Well there has been some great posts amongst the chaff over last couple of days
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Times like this always make me go through why I am still invested which can be a great tool to sit out the bad times.
Anyway in light of all the gloom I have just reread the 4c and there really is a lot of great things in there however I think these havent really been seen because "people cant see the forest because of the trees"
below are a few snippets that I really like howl them down if you like but this is what the company has said not me and I think in light of past sins they would have to be pretty daft to officially release things that were not true IMO
When reading these snippets consider what scaling up means, what the explained as near term in webinar means, consider what else was said in webinar and webinar condensed sheet. IMO yes there is a lot of unsettling stuff being thrown around with price movement, AGM , headwinds comment (your so right happy that was a bit woeful but totally transparent) etc, people loosing patience, but is the company failing, IS IT???
Yes I might have blinkers on and be of the ra ra brigade but lets truly have a look at what is happening it might help appease some angst. Anyway some great posts have been written over the last few days thanks to all.
This is all my view above, comments below are directly from 4c
"A major area of focus for Alexium is to continue to diversify its customer base and markets we are servicing to minimize future seasonal effects or temporary fluctuations in order volumes of any one customer or market."
"• A seasonal slowdown in bedding sales in some end bedding brands resulted in fewer raw material needs in August and September. We have
seen these customers return to normal shipment volumes and order frequency • The strengthening of the Australian dollar to the US dollar has also had a small effect on reported revenue"
"• Recent new business in the process of scaling up will also further contribute to an increase in gross margins once production scale is reached, further improving the supply chain and raw material relationships Alexium has established."
"During the period, Alexium continued to expand its customer base by bringing onboard several new accounts. Key efforts of expansion this quarter in the sales pipeline are largely in the flame retardant space whilst Alexicool orders continued on a growth trend as our brand and capability is more widely known in the market. Highlights of the progress in sales include: • Strong organic growth continues with Alexium’s Phase Change Material products with current customers in the Home Textile market. In addition to this organic growth, we have also secured business with four new customers in various mattress component applications. • Alexium is now scaling up shipments of chemistry into South East Asia for pillow and other home textile applications. • Robust pipeline of sales opportunities that not only includes securing new business that leverages current successes but also demonstrates new sales from commercializing new products. Over 75% of these new opportunities are in the flame retardant segment across three chemical platforms (Alexiflam NF, Alexiflam FR and Alexiflam PB) with market leaders across the globe. Highlights of these near-term customers: • Two major flame retardant fabric manufacturers in Asia • Large Chinese producer of tent fabric • European producer of emergency tents • Global producer of underwear and activewear (Alexicool)"
Military
"Over the last quarter, the focus of the effort has largely been tweaking the breathability of the fabric to ensure a successful result in a future field evaluation but minimizing the heat flux through the fabric during a fire event. There continues to be mounting pressure on all branches of the military to protect all of its men and women in uniform from fire events and do so in an environmentally-friendly way. Once Alexium and its partner finalize the fabric construction and FR treatment, the project would move into a procurement phase, which includes: hazard assessment, limited user evaluations (i.e. field trials) and specification writing. The Company expects that process to commence within FY2017. This effort, once successful, is expected to cascade into adjacent programs in other branches of the military and US allies in NATO."
Over the next six months, Alexium expects key projects in two new sectors, Protective Coatings and Resins and Disposable Healthcare Nonwovens to convert into active sales. Nonwovens are the predominant textiles used in markets that consume high volumes of low-cost, disposable fabrics and is an exciting space for Alexium. The Company is in late stages of product validation and scale-up with customers in both resins and nonwovens and would represent a significant expansion outside of bedding and the first significant revenue Alexium would realize outside of textiles.
