News

September 2018 Quarterly Review

25 October 2018

Abundant Produce released our September 2018 Quarterly Review and 4C form to the market today. The key highlights from the Quarter’s activities were:

  • $200k in cash receipts represents significant growth in market awareness and developing traction with customers
  • Abundant Seeds (AS) set a daily record for seed sales of 200,000 seeds sold in one day
  • Demand from farmers continues to grow, particularly in northern NSW and SA
  • Progress on international tomato program with seed production scheduled to commence in Chile over summer
  • $640k received through Federal Government’s R&D tax incentive scheme
  • Abundant Natural Health (ANH) preparing to launch on the JD Global sales platform ahead of Chinese Singles Day sales event
  • ANH products set to commence sales on two additional e-commerce platforms in China, Little Red Book and NetEase Kaola
  • Magnesium range set to launch after showcasing to pharmacy wholesalers, retailers and banner groups
  • ANH to showcase its range at the China International Import Expo in Shanghai in November
  • $2.7 million cash balance as at 30 September 2018

Talking about Abundant Produce’s quarterly performance, ABT Group CEO, Tony Crimmins said:

“Abundant delivered revenue of $200,000 in the September quarter, a pleasing rise from the prior two quarters. We achieved this growth through further establishment of our skincare and nutraceutical brands in the domestic market and growth of our seed business, particularly in northern NSW and the Adelaide basin. We expect to deliver continued growth in revenue as international sales develop for both ANH and AS.

“We earned an R&D return of $640,000, which augmented our revenue growth to leave ABT with a stronger cash position compared to the prior quarter. Next month we expect an Export Marketing Development Grant (EMDG) and an Innovation grant from the NSW government.

“Looking forward, we remain poised for further business development and revenue growth heading into Chinese Singles Day and the holiday season.”

To find out more information download the full report.

Abundant Natural Health expands e-commerce presence, securing 2 new platforms in China

20 July 2018

Highlights

  • Abundant Produce’s wholly-owned subsidiary Abundant Natural Health (“ANH”) has secured an agreement to range its products on two additional e-commerce platforms, Xiaohongshu (“Little Red Book”) and NetEase Kaola (“Kaola”)
  • Hong Kong-based Fohun International Limited, a specialist in marketing and managing Western FMCG brands in China, is representing ANH in its agreements with the two platforms
  • Agreement with Fohun to expand onto these platforms follows the recent announcement and upcoming launch of ANH’s online store on e-commerce giant JD Global’s platform
  • ANH to sell its full product range of branded nutraceuticals and cosmetics through both platforms, with launch on Little Red Book and Kaola stores targeted within 3 months

Abundant Natural Health Pty Ltd (ANH)

Plant intellectual property developer Abundant Produce Ltd (ASX: ABT, “Abundant”, or “the Company” is pleased to announce it has signed an agreement with Hong Kong-based Fohun International Limited (“Fohun”) to represent its subsidiary Abundant Natural Health (“ANH”) on e-commerce platforms Xiaohongshu (“Little Red Book”) and NetEase Kaola (“Kaola”).

The agreement with Fohun to represent ANH on these platforms follows ABT’s agreement with Hui Yi (Beijing) International Trade Co. Ltd, announced in early July, to manage ANH’s online shop on the Chinese e-commerce giant JD Global’s online platform, JD.com.

The agreement will see Fohun responsible for operating an ANH flagship store until 2020 to directly sell ANH products to Little Red Book and Kaola. Products ranged in the store and marketed to Chinese customers will include ANH’s full range of ActiveLyco infused face products, magnesium-enriched nutraceutical and salt skin cleansing gels. Fohun will create a store service team and be responsible for store licencing, maintaining and promoting the store.

Backed by Alibaba, Little Red Book is a social media e-commerce shopping app based in Shanghai, targeting 18-to-35 year old Chinese urban females. Users share shopping tips, swap fashion ideas and buy luxury fashion and beauty products from overseas. Founded in 2013, it has grown rapidly, with an estimated 30 million monthly active users in June 2018.

Kaola, a subsidiary of NetEase Inc, launched in early 2015 and has grown to become a leading comprehensive e-commerce platform mainly focusing on cross-border business. Kaola is the key strategic project for NetEase and has become the largest cross border e-commerce platform in China. It aims to provide Chinese consumers with high-quality products, competitive prices and quality after-sales service.

Fohun is a marketing and management company based in Hong Kong that sources products targeted to Chinese mothers and babies, creating partnerships with well-known brands including Kerastase Paris and Australia’s Aptamil and Nature’s Way, representing them to customers in China.

Abundant Natural Health CEO, Shanan Birkin, said:

“We are really excited to be working with Fohun International to extend our reach onto these two platforms, Little Red Book and Kaola, which will help ANH further grow its brand in China.

“Taking our products onto these two growing platforms will ideally complement our upcoming launch and presence on the JD Global platform in markets that are perfectly suited to our products.”

ANH’s flagship stores on Little Red Book and Kaola platforms are expected to launch within this financial quarter subject to the finalisation of the marketing implementation plan.