Cellmid Limited (ASX:CDY) has reported a record quarter of receipts of $2.2 million in the three months ending March 31, 2018.
Strong December sales where revenues were recognised in the latest quarter served to support the company’s cash on hand position of $3.4 million as at the end of March.
This represented an 81% increase compared with the prior comparable period, as several new initiatives by the life sciences group began to gain traction.
Advangen boosts sales
The strong December sales performance in the consumer health division could largely be attributed to sales of Advangen products.
These sales were achieved via Japanese-based television shopping channel, QVC.
The Japanese subsidiary continues to be cash flow positive.
WATCH NOW: Cellmid gaining ground in USA and China following advances in Japan and Australia
Consumer health revenues for fiscal 2018 to date have reached $4.49 million, exceeding total sales for fiscal 2017 of $4.45 million.
Management highlighted that this is a strong indication of the expected sales growth in fiscal 2018 with the added impact of US e-commerce sales, launched in September 2017.
The company should also benefit from its near-term entry into China.
Cellmid forecasts sustained growth
Management said Cellmid was well placed to deliver revenue growth in fiscal 2018, particularly given year-to-date sales have already exceeded last year’s total sales.
Planned marketing and distribution initiatives scheduled to occur prior to fiscal year-end should provide additional momentum.
New revenue streams from the company’s distribution channel strategy and the launch of new products are expected to drive additional growth into fiscal 2019.