ECS Botanics (ECS) has reported revenue of A$4.56 million in the three months to December 31, up 94% on the previous quarter.
Cash receipts from customers were up 51% at $3.86m while the company achieved the “significant milestone” of cashflow positivity, generating net cash from operating activities of $170,000 despite additional costs incurred as a result of recent flooding around its north-western Victoria facility.
Revenue for H1 FY23 already equates to 96% of FY22’s full-year total of $7.18m.
Chairman Jeremy King said: “It is pleasing to see the high levels of demand for medicinal cannabis products that the company has been experiencing begin to translate to financial performance.
“Having successfully refocused and streamlined the business over the last six months, we look forward to continued growth and expansion.”
During the quarter, ECS invested more than $1m expanding and enhancing its cultivation and manufacturing facilities to meet the ongoing demand for dried flower.
The company also installed and commissioned two new protective cropping enclosures and began constructing another four enclosures scheduled to be completed next month.
And it concluded the sale of its Tasmanian business and assets to US-based pet nutrition firm Blue Buffalo for $3m.
Emyria has received a R&D tax refund of more than A$2m, further boosting its finances following a $3m placement late last year.
The strong cash position will allow the firm to complete a Phase III clinical trial supporting the registration of its EMD-RX5 cannabinoid medicine as an over-the-counter treatment with the Therapeutic Goods Administration.
It will also enable it to initiate US-focussed drug-registration programs for high-strength, ultra-pure cannabinoid dose forms and advance preclinical screening of its MDMA-inspired drug-discovery program
The refund of $2,094,701 was for research activity conducted during FY22.
Managing director Dr Michael Winlo said: “This substantial refund reflects the scale of Emyria’s research and development investment during the last financial year.
“Combined with our recent strategic placement, this… bolsters Emyria’s capacity to accelerate the registration of our unique ultra-pure cannabinoid dose forms as well as drive further expansion and preclinical screening of our first-in-class, MDMA-inspired drug-discovery program.”
Medlab has announced positive interim results from an observational study investigating the safety, tolerability and efficacy of its low-dose, cannabinoid-based medicine NanaBis for pain management.
During the study, 244 doctors attended 1,172 Australian patients, collecting data monthly for up to one year.
Results showed a 55% improvement in pain relief, a 31% improvement in quality of life, and 75% of patients reduced their opioid use. Only 12.4% experienced a non-serious adverse reaction, with 1.3% reporting a serious adverse reaction.
The average duration of treatment was 5.4 months with at least 77 patients continuing to receive NanaBis after the study was over.
Medlab CEO Dr Sean Hall said: “It is encouraging to see both patients and prescribers wanting to continue past the 12-month mark… the interim data demonstrates a good safety, tolerability and sustainability profile for NanaBis.”
The full readout of the study is expected in July 2023.