1. On a positive note, Australian sales have increased by ~25-30% in the past FY. Government R&D/other grants aren’t an area I’m overly familiar with, but ECS having 260k in grants as of last FY is very minimal in comparison.
2. Also a note of positivity, given the multiple strains listed on the TGA currently, we would expect compliance costs and associated consulting fees to reduce going forward. With near 650k spent in the last two years to have several strains approved by the TGA, and perhaps the EU certifications etc.
3. ECS advertising for Maintenance Electrician and Quality Assistant in the past 2 weeks on seek. A solid indication of the increase in staffing required for operations (assuming these are new positions rather than replacements).
4. Expecting to realise increased revenue from the large contracts signed prior to the last harvest period. Particularly the MediCann $24m and Rokshaw $9 (expected to have first revenue this FY and to my knowledge first supply of pastilles) contracts recently announced.
ECS Price at posting:
2.1¢ Sentiment: Buy Disclosure: Held
