- e-Commerce and digital marketing company RooLife Group (RLG) experienced some challenges during this quarter due to COVID-19
- Revenue for the quarter was lower than expected, however cash collections increased over the quarter
- Due to delays in product supply, total expenditure was also lower than expected
- While the demand for the products being sold by RooLife remains high, some products were sold out in China and the company experienced logistic problems due to restrictions around the pandemic
- On market close, RooLife remains steady and is selling shares for 2.3¢ each
e-Commerce and digital marketing company RooLife Group (RLG) experienced some challenges during this quarter due to COVID-19.
RooLife allows businesses to sell more effectively online, with a focus on the Australian and Chinese markets.
Revenue for the quarter was lower than expected, however cash collections increased over the quarter. Due to delays in product supply, total expenditure was also lower than expected.
RooLife closed the quarter with $1.7 million in cash and cash equivalents.
While the demand for the products being sold by RooLife remains high, some products were sold out in China and the company experienced logistic problems due to restrictions around the pandemic.
“The lack of commercial flights available to deliver product into China and delays in supply from some of the company’s brands which it represents in China led to delays in delivery of products to customers, consequently affecting revenue recognition,” the company said.
Due to the lack of flights, the company turned to the brands it represented to identify alternative transportation to China.
During this quarter, RooLife was appointed to provide marketing, sales and distribution in China for Small World Brands, a U.S. and Singapore based beauty and wellness company, for its Nuria Beauty.
Nuria Beauty is the first of a number of brands which Small World is looking to launch in the China market. Nuria is expected to bring in a revenue of $1.3 million.
On market close, RooLife remains steady and is selling shares for 2.3¢ each.