Next Investors logo grey

Bod Australia continues to break sales records


Published 10-MAY-2021 11:36 A.M.


3 minute read

Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.

In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.

The below articles were written under our previous business model. We have kept these articles online here for your reference.

Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.

Click Here to View Latest Articles

Bod Australia (ASX: BDA) today announced its highest ever monthly sales for its medicinal cannabis prescription products.

During April, BDA filled a total of 1,789 MediCabilisTM prescriptions in Australia, an 11% increase on the previous month (March 2021 prescriptions: 1,617).

The number takes the total MediCabilisTM prescriptions filled in FY2021 to 9,519.

“MediCabilisTM volumes continue to grow at a very pleasing rate and the recent prescription sales growth further highlight Bod’s ability to generate strong revenues across one of the Company’s two core operating divisions,” BDA CEO Jo Patterson said.

BDA is a cannabis focused healthcare company with an established revenue base from two verticals:

  1. Medicinal cannabis - sold via prescriptions, supported by clinical trials, and health professional education and awareness
  2. CBD and hemp consumer products - sold off the shelf, BDA’s products licensed to H&H Group globally to accelerate sales.

BDA attributes its current growth to its Australia wide clinical study to test the efficacy of MediCabilisTM when prescribed for conditions including anxiety, insomnia, and Post Traumatic Stress Disorder (PTSD).

It can also be attributed to ongoing engagement and strong relationships with approved prescribers, educational initiatives with physicians and healthcare professionals.

The overall numbers are pleasing with ~27% of the total Special Access Scheme Category B prescriptions filled across Australia (total: 6,682).

Total FY2021 prescriptions have currently increased 138% on FY2020 (FY2020 prescriptions: ~4,000), with the upward trend expected to continue.

64% of prescriptions dispensed during April 2021 were repeat prescriptions.

Cumulative Medicabilis prescription sales.
Cumulative MediCabilis prescription sales.
Month on month sales.
Month on month sales.

Sales growth is a continuing trend allowing BDA to generate consistent and recurring revenue, with the company expecting its market share to grow.

“The Company continues to maintain a solid segment of the total Australian market through Special Access Scheme Category B. It is worth noting, that of the total Special Access Scheme approvals, not all result in a prescriptions being filled. Therefore, Bod’s total market share may be potentially higher,” Patterson said.

Its share of the market should also increase with the introduction of new products.

“The Company has a number of new products in the pipeline that will be launched imminently. We anticipate that the introduction of new products and scale up of operations across both business divisions will unlock considerable value for shareholders.”

For more information read: BDA Records Highest Ever Monthly Sales of Medical Cannabis Products

While today’s figures are reflective of BDA’s work in the medical cannabis space, the company is also growing its consumer division.

BDA has an exclusive global partnership with H&H Group, a multi-billion dollar Hong Kong listed company, that owns a number of powerful consumer brands in the health and wellness space, including the market leading Swisse brand in Australia.

H&H Group also operates one of the largest e-commerce channels for nutritional products in Europe and North America, where BDA is currently expanding.

BDA recently announced a maiden $312,000 binding purchase order - the first of multiple binding purchase orders expected in the coming months - from H&H Group for CBD products for the US market (expected to reach US$1.8 billion in 2020, and grow to US$6.9 billion by 2025, making it four times larger than the UK).

BDA has a strong cash balance of over $9.2M (at March 31st 2021) and in the march quarter spent $1.3M, less than the $1.87M in revenue it brought in, so the company looks well-funded for the coming months at current rates of revenue and spending.

Read: Bod Australia outlines strong revenue growth

General Information Only

S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.

Conflicts of Interest Notice

S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.

Publication Notice and Disclaimer

The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.

Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.

This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.