Alexium’s revenues previously peaked in Q3 and FY Q4 2017, reaching $6.47 m and $6.84 m respectively.
During the same period, a new Serta iComfort mattress range with TempActiv cooling was launched (in late January 2017) and shipped into stores (April to May).
In late July this year, Serta launched its “next generation” all new foam line of iComfort at the Las Vegas Market. A key marketing focus of the new mattress is its cooling memory foam. The new foam line is due to be shipped into stores in October/November.
If the events of 2017 were linked and if history were to be repeated, Alexium would be seeing a considerable rise in revenue this quarter and the next.
With all the low margin (non-Alexicool) sales which have been culled since 2017, I’m not expecting a repeat of 2017’s $6m + sales quarters. But, while some business has been dropped since 2017, other business has been picked up.
There are now 15 commercialized Alexicool products compared with just 2 in Q3 2017, and at least 10 Alexicool customers now, versus just 3 in Q3 2017. In addition, as highlighted in Wisefool’s previous post, higher volumes of PCM are needed for mattress foam compared with mattress ticking.
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