Australian health and wellness company Wellnex Life grew cash receipts to $4.85 million during the September quarter, with additional opening purchase orders climbing to $1.35 million.

The company’s quarterly report also shows Wellnex Life’s balance sheet strengthened during the quarter, with $3.6 million net cash and roughly $4 million in inventory at the end of the three-month period.

Additionally, the Company redeemed $2 million in convertible notes during the quarter which were reissued post quarter on more favourable terms. 

“This has been a transformational quarter for Wellnex Life, with the acquisition of Brand Solutions Australia transforming the company operationally and financially,” the report said.

“The foundations are set for Wellnex to be a substantial and profitable participant in the fast-growing health and wellness market, with an established portfolio of brands that will continue toDDsSq grow and a strong pipeline of new brand launches, licensing and contract manufacturing agreements.”

Despite facing what Wellnex described as “difficult trading conditions” created by lockdowns in NSW and Victoria, the company was able to launch three new brands ranging across both pharmacy and grocery store shelves – Wagner Liquigesics, The Iron Company and Wakey Wakey Energy.

The company also secured licensing agreements with Mark Wahlberg’s sports nutrition company, Performance Inspired.

Net cash loss for the period was down to $319k, of which $200k was related to the acquisition of Brand Solutions Australia (BSA).

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Reach Corporate provide Corporate Advisory Services to WNX and have been engaged by them to manage their investor communications.

Sources:

• Wellnex Life ASX Announcement, Wellnex Life Quarterly Activities Statement – September 2021 Quarter