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BioHarvest Sciences (CSE:BHSC) reports strong Q2 2022 results

Cannabis
CSE:BHSC
05 July 2022 13:15 (EDT)

Source: BioHarvest Sciences

BioHarvest Sciences (BHSC) Q2 sales orders of its flagship VINIA product reached US$947,000, representing a 99 per cent growth.

Compared to the same quarter of last year, this is a massive 99 per cent growth and 24 per cent growth compared to Q1 2022.

BioHarvest also had a strong quarter in R&D execution, unveiling the profile of its unique Cannabis biomass composition produced in large-scale industrial bioreactors.

The company also applied for a Cannabis production license in Israel.

This quarter also saw the transition to the new 20 Tons/year VINIA facility in Yavneh, Israel. The facility is said to deliver significant cost reductions over the next 12 months, but time will tell.

“Our strong Q2 results demonstrate our consistent growth and represent a validation of our major assumptions and performance so far,” said CEO Ilan Sobel.

“BioHarvest’s growth strategy remains well intact, and its performance on all fronts validates its leadership in plant-based biotechnology,” added Sobel.

Q2 sales orders in the US saw a 460 per cent growth over Q2 of 2021 and 21 per cent growth over Q1 of this current year.

The US sales metrics were extremely healthy and demonstrated steady improvement. For example, the customer average revenue per unit for the last six months was USD 229 compared to over the previous 12 months at US$198.

In addition, VINIA® continues to achieve a best-in-class verified customer rating of 4.8 out of five with over 700 verified reviews, demonstrating high customer satisfaction. 

Total customers in Israel grew at a record 51 per cent. Also, in June, the company saw the highest ever “average spend per order” of US$203.

As for the second half of the 2022 marketing plan, the company will add influencer endorsements, customer referral programs and affiliate programs.

The company is reiterating its 2022 sales orders guidance of USD 5M to $7M representing a 2.5 to 3.5 times growth over 2021.

“The accomplishments of H1 2022 give me the confidence in delivering strong results in H2 2022 and to continue to fuel our growth engines, as I have articulated several times consistently to the market and our investors,” said Sobel.  

“I am equally satisfied and enthusiastic about how the unique, highly differentiated composition of our Cannabis is opening the doors for the partnership discussions with multi-state operators in the US,” concluded Sobel.

BioHarvest Sciences is a growing Biotech firm listed on the CSE.

BioHarvest Sciences Inc. (BHSC) is up over 17 per cent, trading at C$0.28 at 12:21 pm EST.

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