BioHarvest Sciences Inc. (CSE:BHSC, OTC:CNVCF) has posted another strong quarter of sales growth for VINIA, its nutrient-rich red grape supplement, in both its primary markets of Israel and the United States.
For the fourth quarter ended December 31, 2021, the biotech reported sales orders of 825,000 from its direct-to-consumer ecommerce business, up 17% from the third quarter. The firm said it also represented “triple the sales orders from the same quarter in 2020.”
BioHarvest also broke down the sales number, showing how its dietary supplement VINIA fared in its primary markets. In Israel, BioHarvest reported record sales orders of US$501,000 in 4Q, up 11% over 3Q and 84% over 4Q 2020.
READ: BioHarvest Sciences increases its forecast of 2021 annual sales orders for VINIA in Israel
The firm said it also saw “continued success” in the VINIA US pilot program launched in May 2021. BioHarvest reported US$325,000 in sales orders in 4Q, up 27% over 3Q, while total sales orders were pegged at US$652,000 for the full year.
“VINIA sales orders in 2021 amounted to US$2.4 million, a nearly six-fold increase over 2020,” said BioHarvest.
Sales and marketing metrics in the US pointed to “robust demand,” added the company. Nearly 83% of 2020 sales and 89% of orders at www.vinia.com are from subscriptions packages with around 70% of subscriptions accounting for recurring payment packages of three months or more, the company said. It demonstrates a “significant opportunity to build a scalable, sustainable, and profitable business,” added BioHarvest.
The firm hired industry veteran Jared Turner as Vice President of BioHarvest's global e-commerce. Turner, who joined the company in December, brings over 15 years of leadership experience in building nutraceutical e-commerce businesses. “Under his stewardship, the team is poised to achieve further sales growth in VINIA, as well as other products that will be introduced in 2022, including cannabis,” said the company.
"I am very proud of the sales results achieved in the last quarter and for the entire year," BioHarvest CEO Ilan Sobel said in a statement. "Combined with the scientific and technological accomplishments we posted, 2021 was an outstanding year. The sales and marketing team has demonstrated unique capabilities to successfully grow the business.”
Sobel said the firm is looking forward to “scaling” its US pilot once its technology transfers to its new 20-ton-a-year VINIA manufacturing facility to enable the company to “reach optimal production levels.”
“I anticipate another year of record sales in 2022, positively impacting the health and wellness of tens of thousands of satisfied customers," added Sobel.
VINIA contains Piceid Resveratrol from red grapes at levels in each capsule which is equivalent to the amount of Piceid Resveratrol in a bottle of red wine, bringing consumers the benefits of red wine with the advantage of zero calories, zero sugar, and zero alcohol. According to the company, VINIA supports heart health, boosts physical energy and mental alertness.
In 2021, the firm expanded the applicability of its technology, which allows it to harvest nutrients and active ingredients without growing plants. In December, the firm announced that it had developed the capability to produce a meaningful amount - 10 kilograms - of full-spectrum cannabis biomass without growing the plant itself.
Contact the author Uttara Choudhury at uttara@proactiveinvestors.com
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