Melodiol Global Health reports total unaudited revenue of $3.1 million in first two months of FY24
Recreational cannabis subsidiary Mernova Medicinal contributes $1.45 million driven by Ritual branded products
ME1 recently reported total unaudited group revenue from all operations of $21.6m in FY23, an increase of 148% on FY22 of $8.7m
FY23 was third consecutive record revenue year for the company
Special Report: Melodiol Global Health has generated unaudited revenue of $3.1 million in the first two months of FY24 with its wholly-owned Canadian recreational cannabis subsidiary Mernova Medicinal a strong contributor.
Melodiol Global Health Limited (ASX:ME1) says Mernova’s unaudited revenue through FY24 to February totals $1.45m, driven by ongoing sales of its high quality, Ritual branded products across Canadian markets. ME1’s fiscal year kicks off on 1 January and ends on 31 December.
ME1 says Mernova currently has confirmed purchase orders for March of $272,000 and continues to witness strong demand across the Canadian recreational cannabis marketplace.
The company says its total unaudited revenues also include results from its wholly owned Health House International (HHI) subsidiary, which distributes medical cannabis in Australia and other medical products in Europe.
HHI, which was previously listed on the ASX prior to its acquisition by ME1 in May 2023.
ME1 says HHI contributed $1.7m of sales for the two months ending in February and continues to be a key component of the company’s revenue mix.
Strong FY23 as focus on reaching cash flow positive
ME1 reported total unaudited group revenue from all operations of $21.6m in FY23, an increase of 148% on FY22 of $8.7m.
FY23 was the third consecutive record revenue year for the company.
ME1 says it has rationalised its portfolio to focus on the high-revenue generating subsidiaries to accelerate its strategic objective of reaching cash flow positive.
The company says HHI is advancing multiple sales initiatives to drive sales growth across key markets, while continuing to stringently manage operating expenditure.
Mernova has been a particularly strong performer for ME1 as a licensed producer of cannabis products in Canada for sale under the Ritual brand banner.
Cannabis is legalised in Canada for both medicinal and recreational use with ME1 saying Mernova has further growth potential.
ME1 recently announced Mernova had inked deals with six different provincial markets to stock new products from its established Ritual brand.
CEO and Managing Director, Mr William Lay says the company continue to be very proud of the work being done at its core subsidiaries to build a strong revenue base that supports strategic objectives.
“All of our internal teams continue to work diligently towards expanding this revenue base, and we look forward to providing further updates in due course.”
This article was developed in collaboration with Melodiol Global Health, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
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