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- RooLife Group (RLG) has achieved 62 per cent year-on-year growth in revenues for the September quarter
- Revenues surged to $940,000 for the quarter, alongside total cash receipts of $828,000
- The company also secured a record number of contract wins worth an anticipated $7.4 million, with three substantial new signings
- In addition to the increased revenues recorded, RooLife added around $6.2 million to its coffers through a recent placement and entitlement offer
- While the company only has six months of funding available at current spending levels, the enhanced revenue base will likely extend this going forward
- RooLife Group is trading 3.23 per cent lower for 3 cents
RooLife Group (RLG) has achieved 62 per cent year-on-year growth in revenues for the September quarter.
Strong growth
Revenues surged to $940,000 for the quarter, alongside total cash receipts of $828,000.
The company secured a record number of contract wins worth an anticipated $7.4 million, taking the value of RooLife’s announced contract wins since April to $11.2 million.
The contracts are expected to deliver revenues right through into the 2023 financial year.
The company launched three new Tmall online stores in partnership with U.S. company Nuria Beauty, COLABDry Shampoo from the United Kingdom and New Zealand’s AFT Pharmaceuticals.
The Nuria Beauty and COLAB Dry Shampoo stores have gained traction with Chinese consumers, highlighted by impressive month-on-month sales growth since their launches.
October’s launch of the Kiwi Health store and impending launches of Total Beauty Network’s INIKA cosmetics brand and BLIS Technologies’ key oral probiotics products are also expected to deliver growth through the December quarter.
Strong balance sheet
In addition to the increased revenues recorded over the September quarter, RooLife also added around $6.2 million to its coffers through a placement and entitlement offer.
The launch of the three new e-Commerce stores ahead of Alibaba’s 11.11 Singles Day online shopping festival is a timely — and potentially lucrative — initiative which should boost revenues even further.
While the company only has six months of funding available at current spending levels, the enhanced revenue base will likely extend this going forward.
All up, if things go according to plan, RooLife should be well-capitalised to support the anticipated growth through 2021 and beyond.
RooLife Group is trading 3.23 per cent lower for 3 cents at 1:29pm AEDT.
