- 44% quarter over quarter sales growth with record VINIA® sales orders of USD 688K in Q3
- Successful VINIA® pilot sales program in the U.S. market with USD 236K in sales orders in Q3
- Major progress towards the commissioning of the 20Tons/year VINIA® new production facility before year end
- Significant accomplishments in cannabis development program; commercialisation on track for H1 2022
- Closing of private placement and funds raised through exercise of warrants
VANCOUVER, CANADA, and REHOVOT, ISRAEL, October 5, 2021 – BioHarvest Sciences Inc. (“BioHarvest” or the “Company”) (CSE: BHSC) today announced another strong quarter, fueled by strong growth of VINIA® sales in Israel and the U.S. Q3 VINIA® pilot sales revenues were USD 688K representing 44% growth over Q2 2021 and 1,198% growth over Q3 2020.
In Israel, the Company reports record sales orders of USD 452K during Q3 2021 for its flagship VINIA® product. 10% growth over Q2 2021 and 768% growth over Q3 2020. The continued adoption of VINIA® in Israel and the high percentage (55%) of revenue in Q3 from returning customers demonstrate the health benefits, efficacy, and overall loyalty to the product.
Sales orders in the ongoing U.S. pilot program, which launched in May 2021, were USD 236K, representing 251% growth over Q2 2021, with sales orders in September 2021 exceeding USD 100K. With 90% of sales being subscription packages generating monthly recurring revenue, $80 average transaction spend and with 48% of customers being “repeat” customers, we are confident that we can build a scalable, sustainable, and profitable business.
The metrics are a good predictor of future demand in the U.S. for VINIA®. Supplying the anticipated demand growth requires our new manufacturing facility to be up and running before we add additional marketing layers and increase spending levels as part of the scaling of our U.S. business.
To support the projected strong demand, primarily in the U.S., the Company made major progress towards the commissioning of a new 20 Tons/year VINIA® manufacturing facility in Israel.
The Company also made substantial progress on its Cannabis vertical in Q3. This includes the successful development of the Amalgamated Trichome Coral Structure (News Release dated August 19, 2021) and the scaling of the production to mid-size bioreactors (News Release dated September 1, 2021) This continues to pave the road for the first commercial availability of our Cannabis product by the end of H1 2022.
With regards to the Company’s financing activities, BioHarvest announced in its October 4, 2021, press release that it raised net proceeds USD 3,484,849 via private placement financing and received USD 4,407,455 through the exercise of warrants. This has provided the financing to support the Company’s immediate goals.
Ilan Sobel, CEO, said “I am very proud of our Q3 results fueled by strong growth in VINIA® sales in Israel and the U.S. This increased demand, especially in our VINIA® “pilot phase” gives us confidence in building a scalable business in the U.S. This quarter’s strong results and accomplishments, further validates our vision, strategy and leadership position in plant-based bio-technology.”
Q3 Shareholder Update
We invite all interested investors and media to our next Shareholder Update, to be held at 11am PST, October 14, 2021. The online meeting will be hosted by the CEO, Ilan Sobel, and will feature a live Question and Answer session. If you are not available to attend live, please register and we can send you the session recording after the event. Register at: https://app.livestorm.co/st-financial/october-2021-bhsc-shareholder-update?type=detailed
About BioHarvest Sciences Inc.
BioHarvest Sciences Inc. (CSE: BHSC) is a fast-growing Biotech firm listed on the Canadian Securities Exchange. BioHarvest has developed a patented bio-cell growth platform technology capable of growing the active and beneficial ingredients in fruit and plants, at industrial scale, without the need to grow the plant itself. This technology is economical, ensures consistency, and avoids the negative environmental impacts associated with traditional agriculture. BioHarvest is currently focused on nutraceuticals and the medicinal cannabis markets. Visit: www.bioharvest.com.