NEXE Innovations Inc (TSX-V:NEXE, OTC:NEXNF), a leader in plant-based compostable technology and advanced materials innovation, rounded out the year ended May 31, 2021, with a substantial pile of cash and equivalents and working capital to execute on the high demand for its patented, fully compostable, plant-based, single-serve coffee pods for use in Keurig and Nespresso coffee machines.
The Vancouver-based firm reported that it had cash and equivalents totaling C$50.7 million and working capital of C$49.5 million as of May 31, 2021.
NEXE has filed its audited financial statements for the year ended May 31, 2021, and related management's discussion and analysis, with the applicable securities commissions.
READ: NEXE Innovations unveils premium compostable espresso pods
During the year ended May 31, 2021, the company said it achieved the following key milestones for commercializing the fully compostable NEXE pod:
- NEXE Pod for use in Keurig brewing systems is compostable in as little as 35 days;
- NEXE Premium Espresso pods that are compatible with the Nespresso OriginalLine achieved 100% breakdown by composting within 10 weeks;
- Completed factory and site acceptance testing for dosing and sealing machines for the NEXE Pod in the Nespresso OriginalLine Format; and
- Announced the pilot launch of the Nespresso Original Line compostable capsule subsequent to the end of year and soon to add more roast profiles.
The company also completed the commercialization of the NEXE Soluble Pod related to its popular Xoma Superfoods product line. The XOMA Superfoods brand currently features:
• XOMA Micro-Ground Soluble Coffee with MCT (medium-chain triglycerides) made from virgin coconut oil;
• XOMA Mindful Mushroom Coffee with chaga, cordyceps and lion's mane mushrooms;
• Xoma Turmeric Golden Milk Coffee, with a blend of turmeric, ginger, cardamom, cinnamon, and black pepper
• XOMA Keto Coffee with quality fats and MCT oil, flavoured with hints of cocoa;
The company explained that it experienced a delay in completing the annual filings due to challenges in obtaining accounting information as it transitioned from a private organization to a public company and “staffing delays resulting from the coronavirus (Covid-19) pandemic”.
NEXE confirmed that there are “no solvency proceedings against the company”.
The proprietary NEXE pod is designed to reduce the significant environmental impact caused by plastic single-serve coffee pods, over 50 billion of which wind up in landfills. With over $60 million raised to date from equity and government funding and over six years of research and development, NEXE is well-positioned to meet the growing demand for environmentally friendly and sustainable products in the single-serve coffee sector.
Contact the author Uttara Choudhury at uttara@proactiveinvestors.com
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