I know you have been a long term holder @Dabru, so well done for...

I know you have been a long term holder @Dabru, so well done for keeping the faith.

From my understanding, it’s the ZinClear XP powder that is selling like hotcakes at the moment. I have certainly been given the impression that the board has been caught off guard with the size of the orders that have been placed. Hence the urgent need to get the Brisbane factory operational and equipped with three ovens to take some of the pressure off Welshpool. Keep in mind that the US is not manufacturing XP. The boys want to keep the IP for XP very close to home.

So why has ZinClear XP become so popular? I believe the answer can be found on slide 3 of the ANO marketing presentation on 4 July 2018. You might recall the board was hell bent on finding a new precursor supplier as they had to pay a middleman which goes against all that Lev believes in. By using a new cheaper precursor, the new version of XP powder is off white, contains sulphur which is a natural preservative and to top it off has a higher SPF level. It ticks a lot of boxes and is competitive on price.

I recall being disappointed when the half yearly report for 1 July 2017 to 31 December 2017 came out showing ZinClear sales of $1,946,618 compared to $2,189,281 for the same period in 2016. I believe we started to see the sales impact of the new XP formulation in the second half of FY2018 when we were told that there was a 35% increase in sales for ZinClear XP in the full year. That rampant growth that commenced in early 2018 doesn’t appear to have slowed down during the year. One thing for sure, we are certainly going to see an increase in ZinClear sales for the first half when they report in February.

It’s good to see somebody enjoying some cricket!