After a rather poor Q1 25, the recovery story looks stronger...

After a rather poor Q1 25, the recovery story looks stronger following Q2 cash flow statement :
- Q2 revenue increased by 42 % (flat Q1), with large improvement in all geographic areas,
- gross margin also showed a significant improvement (H1 25 : 48 % vs 43 % for Q1, which means that Q2 GM was probably above 50 %),
- lastly, cash costs were also better managed during Q2 (22.1 m$ vs 28.1 m$ during Q1), coming from all the major cost categories (manufacturing, ad and staff costs).
Another way to look at their costs : capacity utilization of 84 % during Q2, which looks quite high.
Overall, the company turned EBITDA positive for H1 (2.9 m$ vs - 6.8 m$ for H1 last year) which was not fully converted in cash flow (- 0.9 m$ for H1 25).
So, if we annualise this EBITDA, the company is above my target for FY 26 (5 m$ EBITDA).

My understanding is that such an improvement during Q2 is mainly due to introduction of new pack formats (higher margin).

The company remains cautious for the full year and does not modify its guidance.
But its tone is turning more positive.
Surprising that they do not guide for cash flow (3.9 m$ for Q2 and - 0.9 m$ for H1).

The key element remains the expected approval from FDA for a permanent access to the US market. In Oct 25.