Total
0
Shares
Bubs (ASX:BUB) - Founder & CEO, Kristy Carr - The Market Herald
Founder & CEO, Kristy Carr
Source: The Australian
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Bubs Australia (BUB) recorded $12.8 million in revenue for the December quarter, up 36 per cent over Q1 FY21 but down 12 per cent on the prior year (pcp)
  • Broken down, adult goat dairy revenue was up 45 per cent over the previous quarter and it made up 40 per cent of all Q2 sales
  • China remains Bubs' lead export market with total China sales increasing 35 per cent over the prior quarter and up seven per cent over the pcp
  • Its Goat Infant Formula ranked number three across Tmall Global and ranked number two for exports on JD.com
  • During the December quarter, the first shipment of Bubs Infant Formula and Bubs Organic Baby Food products were exported to Malaysia
  • Finally, Bubs launched its Vita Bubs vitamin and mineral supplements range at Chemist Warehouse stores in October
  • Throughout the December quarter, Bubs burnt through around $5.68 million in operating activities and used $114,000 in investing activities
  • As of December 31, the company had $48.21 million in available funding, representing eight quarters of use if spending levels remain the same
  • Bubs is up 7.44 per cent on the market and shares are trading at 65 cents

Bubs Australia (BUB) recorded $12.8 million in revenue for the December quarter, up 36 per cent over Q1 FY21 but down 12 per cent on the prior year (pcp).

Broken down, adult goat dairy revenue was up 45 per cent over the previous quarter and up 25 per cent over the pcp. Additionally, this revenue made up 40 per cent of Q2 revenue.

Bubs' infant nutrition portfolio was up 27 per cent over the September quarter and down 24 per cent over the pcp. This made up 57 per cent of Q2 revenue.

The remaining three per cent of sales came from Bubs' Deloraine brand of adult goat dairy products.

"Whilst the impact of COVID-19 continues to cause channel disruption and market conditions remain challenging, we are pleased to report sales growth is returning across all product groups, channels and regions, with quarter-on-quarter gross revenue increasing 36 per cent," Founder and CEO Kristy Carr said.

"While this is still some 12 per cent below the prior comparable period due to the contraction of the Diagou channel, we are particularly pleased by the strong rebound in domestic sales which are up 31 per cent quarter-on-quarter," she added.

China sales

China remains Bubs' lead export market with total China sales increasing 35 per cent over the prior quarter and up 7 per cent over the pcp.

Gross revenue form direct China sales increase 156 per cent over the prior corresponding period and its offtake sales volume increased 151 per cent.

Its Goat Infant Formula ranked number three across Tmall Global and ranked number two for exports on JD.com.

"Based on the official Alibaba Tmall market data, Bubs Goat Infant Formula was ranked the third highest selling imported goat formula brand on Tmall Global and the number one Australian goat formula brand during the Double 11 campaign," Kristy commented.

International

During the December quarter, the first shipment of Bubs Infant Formula and Bubs Organic Baby Food products were exported to Malaysia.

Bubs also signed new eCommerce platforms in the area with its products now sold on Redmart in Singapore and Lazada in Malaysia.

Development

In October, Bubs launched its Vita Bubs vitamin and mineral supplements range at Chemist Warehouse stores. This launch was supported by the company's Global Brand Ambassador, Jennifer Hawkins.

Financials

Throughout the December quarter, Bubs burnt through $5.68 million with the majority going towards product manufacturing and operating costs.

The company also invested $114,000 in property, plant and equipment.

As of December 31, the company had $48.21 million in available funding, representing eight quarters of use if spending levels remain the same.

Bubs is up 7.44 per cent on the market and shares are trading at 65 cents at 11:05 am AEDT.

BUB by the numbers
More From The Market Herald
Digital Wine Ventures (ASX:DW8) - CEO, Dean Taylor - The Market Herald

" Digital Wine Ventures’ (ASX:DW8) WINEDEPOT tastes victory in March

Digital Wine Ventures’ (DW8) WINEDEPOT business has reported exciting growth during March 2021.
Booktopia (ASX:BKG) - CEO, Tony Nash - The Market Herald

" Booktopia (ASX:BKG) signs supply deal with Zookal as record academic sales spell new chapter of growth

Online book retailer Booktopia (BKG) will become the exclusive supplier and fulfillment partner for Zookal as academic sales hit a new record.
MCS Services (ASX:MSG) - CEO, Paul Simmons - The Market Herald

" MCS Services (ASX:MSG) renews $7.5M security contract

Security services provider MCS Services (MSG) has once again won a tender from WA-based property investment company Perron Group.
Nutritional Growth Solutions (ASX:NGS) - Managing Director & CEO, Liron Fendell - The Market Herald

" Nutritional Growth Solutions (ASX:NGS) secures rights to trademark in China

Nutritional Growth Solutions (NGS) has secured the right to The Healthy Daily Height trademark in China.