- Keytone Dairy (KTD) has signed a significant long-term manufacturing agreement with Iovate Health Sciences
- The company has received opening orders of $3.6 million, which is 143 per cent of Keytone’s total revenue for the 2019 financial year
- Last financial year, the company received $2.5 million in revenue
- Keytone Dairy is now continuing to work with existing customers in the health and wellness sector as well as securing new ones
- Company shares are up a steady 18.1 per cent and are currently trading for 42.5 cents each
Keytone Dairy (KTD) has signed a significant long-term manufacturing agreement with Iovate Health Sciences.
Iovate Health Sciences is a North American company that specialises in nutrition and weight-management products.
What makes this order so significant is that Keytone Dairy has received more than $3.6 million worth of orders, which is 143 per cent of its total revenue for the 2019 financial year.
For the 2019 financial year, Keytone Dairy had revenue of $2.51 million, which was a 23 per cent increase compared to FY18.
These new orders will be manufactured and produced during this current quarter.
“The signing of this leading global protein brand in the international health and wellness sector with such a significant opening order, in addition to the significant volume of the requirement, validates the high growth nature of the Keytone business and our in-depth manufacturing capability and credentials,” CEO Danny Rotman commented.
“We are excited to continue to attract and work with leading clients in our sector and we look forward to acquiring new strategic clients as we continue our strong trajectory,” he added.
As of yet, this contract has no expiry but the order amount produced will differ and be confirmed based off forecasts in China and Australia.
This means that a concrete sum cannot be determined for Keytone Dairy ahead of time and will be calculated as orders are received and processed.
The company will continue to work closely with Iovate to ensure they remain as a customer and potentially increase the orders.
Keytone Dairy is continuing to work with existing customers in the health and wellness sector, as well as working to secure new ones.
More details will be provided when new customers are signed.
Company shares are up a steady 18.1 per cent and are trading for 42.5 cents each at 11:41 am AEDT.