Logistical difficulties that have seen supermarket shelves around the country sit empty have done little to slow health and wellness company Wellnex Life as it continues to grow sales.

The company reported earlier this month that revenues for the first half of the financial year were 18.5% above the prior corresponding period, hitting $8.84 million.

Additionally, the company has already received purchase orders for $1.6 million, which will be invoiced in the second half of the financial year.

Meanwhile, Wellnex’s margins have expanded 14.1% compared with the same period last year, and are now at 33.1%.

This growth means the business is well on track to meet or even exceed its FY22 revenue target of $21 million.

Wellnex Life noted this performance was achieved despite sales being adversely affected by “longer than expected supply timelines” caused by global logistical problems.

With some of these challenges persisting into the new year, the company has taken proactive steps to counter the effects of possible delays – including putting on additional stock as a precautionary measure.

“It’s been a transformational six months for Wellnex with the company experiencing significant growth in revenue despite many headwinds,” Wellnex CEO George Karafotias said.

“This is a testament to the strength of the business, which will see continued growth in sales and margins in the fast-growing health and wellness market.”

Wellnex Life has identified several likely drivers of growth for the year ahead, including its Wakey Wakey and Iron Company products joining Woolworths’ shelves in the March quarter. Further growth will come from new products being introduced in the Wagner Liquigesic stable – a joint venture with Chemist Warehouse and sold through this retail pharmacy chain – as well as the launch of the Pharmacy Own brand following the commencement of the company’s supply agreement with healthcare provider CH2.

To stay up to date with Wellnex Life news and announcements, please register your details on the Wellnex Life investor portal.

Reach Corporate provides Corporate Advisory Services, including managing investor communications on behalf of Wellnex and will receive fees for its services

Sources

• The Guardian, From empty shelves to cancelled festivals: how Omicron is wreaking havoc across Australia
• Wellnex Life ASX Announcement, Wellnex Life Half Yearly Company Update to 31 December 2021
• Stockhead, Wellnex Life gets manufacturing underway for its new product range in JV partnership with Chemist Warehouse
• CH2, ABOUT CLIFFORD HALLAM HEALTHCARE