Eden Research PLC (AIM:EDEN, OTCQB:EDNSF) CEO Sean Smith talked with Proactive about recent developments, including the company's growth and new regulatory achievements.
Smith highlighted the second consecutive approval for Ecovelex in Italy, an important product in their bio-pesticide lineup.
He emphasised that while regulatory processes are challenging and costly, they are also crucial for expanding Eden's market reach.
Proactive: Sean, you're out with a couple of news releases this week: a trading update and news about your second approval for Ecovelex in Italy. That’s something you've been waiting for.
Sean Smith: Absolutely. And good morning, by the way. Thanks for having me on. The trading update we can get to in a moment, but focusing on Ecovelex and the news we shared this week—it’s very good news.
It mirrors last year's temporary approval granted in a significant territory. This time, it's Italy, as we await full authorisation. The temporary approval shows there are no good alternative products in the market. Farmers requested emergency use, and it was granted again for the second consecutive year, which is positive.
Proactive: This follows a series of approvals for various products in multiple territories, in Europe and North America.
Sean Smith: Yes, that's correct. For anyone following the industry or crop protection, regulatory processes are both essential and challenging. Regulatory is a double-edged sword; it drives the sustainable bio-pesticide industry but also slows down commercial progress.
It defines our addressable market, as approvals are crop and disease-specific. However, regulatory action has opened up new opportunities, like Ecovelex, and others under development.
Proactive: Moving to the trading update, you’ve guided for 34% revenue growth in 2024, reaching £4.30 million, and expect £5 million in 2025. But there’s been a slight delay in reaching that milestone due to regulatory timings.
Sean Smith: Exactly. Timing is everything. The question isn’t if we get there but when. We usually look at selling in two or three windows per year, aiming for end-of-year sales to drive additional revenue.
Regulatory approvals in the US were delayed, impacting the 2024 revenue. Approval came in January instead of last year, which meant missed marketing opportunities and a reduced impact on sales.
Proactive: So, despite these challenges, are you still optimistic about the future?
Sean Smith: Yes, we remain positive. We're pleased with current growth and continue to work on expanding our market through new products and regulatory authorisations. We are looking at 2025 with caution, setting realistic expectations while acknowledging potential upsides.