Quarterly Activity Report
Brisbane, July 29, 2022 AEST (ABN Newswire) - Fiji Kava Limited (
ASX:FIJ) an Australian-Fijian medicinal Kava company which produces natural Noble Kava products for the natural medicine market, wishes to provide shareholders and investors with an overview of quarterly activities to accompany the Appendix 4C for the period ended 30 June 2022 ("Quarter, "Reporting Period").
KEY HIGHLIGHTS
- Annual revenue expected to be approaching AU$2 million in FY22 following quarterly revenue of $537k achieved during the Quarter.
- Record quarterly Cash Receipts of $804k, an increase of 70% versus the prior period (Q3FY22) with an additional $60k received from Australian Taxation Office (GST refunds).
- 70% of Revenues recognised for products in Beverage formats with the USA market accounting for almost half of all revenues, driven by strong growth in FijiKava(R) Drinking Kava and Tea, and Danodan Hemp Flower Infusion product sales
- Appointment of USA natural grocery retail broker Grass Roots Marketing, including onboarding of a national USA retail broker network with significant reach.
- Expansion of the Network Nutrition IMCD partnership to include Canada, Australia, New Zealand and the ASEAN region for KavatonTM sales and R&D for beverage ready extracts and active premixes.
- Supply chain modernisation including establishment of a 'regional collection hubs' and relocation of medicinal extraction line, significantly reducing raw materials and inventory shipping costs, as well as reducing production overheads.
- Announcement by the Fijian Government of the legalisation of Industrial Hemp in Fiji.
- Inventory position now more than $2m globally including stock to underpinned future growth, reduce manufacturing costs and streamline logistics in FY23.
Commenting on the Quarter, Fiji Kava CEO, Dr Anthony Noble, said: "Fiji Kava continues to evolve its business model to prepare for the Company's next chapter of growth in the US market and through expanded product development. With a detailed strategy of increasing our focus to functional beverages formats in the USA and modernising our vertically integrated supply chains, we forecast strong growth for the 2023 financial year. Alongside the range of cost control and restructuring initiatives announced previously, we are positioning the business to more efficiently attack the most profitable and rapidly growing USA functional beverage market opportunities."
*To view the full quarterly report, please visit:
https://abnnewswire.net/lnk/B99DIW3N
About Fiji Kava Limited
Fiji Kava Limited (ASX: FIJ) is an Australian-Fijian medicinal kava health & wellness company, producing natural 'noble kava' products for the complementary and alternative medicine market, estimated to exceed USD $210 billion by 2026 globally. As the first foreign company with approval from the Fijian Government to operate in the kava industry, FijiKava has established a global leading sustainable and 100% traceable, certified organic supply chain of 'noble kava' including a nucleus farm in Levuka, on the island of Ovalau, Fiji.
FijiKava is focused on expanding the availability of noble kava products throughout western markets to provide a natural alternative to prescription medicines to promote sleep, soothe and calm the nerves, support muscle relaxation and relax the mind.
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