Thanks for your post, I appreciate the update on sales on the ground in your area. Would love for you to update us when you see offline marketing from a2 if you could.Actually we would love any material news about a2 from the ground over there! By the way, have you tried the a2 Chocolate Milk over there?? Its only been released in the US so far.
In response to your request for "pertinent "new" news that's come up in the last 12 months" - Im not sure how disconnected you have become with news, but Chinese registration has been huge news and will be a game changer moving forward. We have currently grabbed about 3% of the Chinese IF market to date, and management are on record a few months back saying they are aiming for 10% of the Chinese IF market in the "medium" (not "long"!!) term. This comes at a time where the competition will be reduced by approx 75% (those without CFDA registration), as well as the total IF sales volume forecasted to double in China over the next 3 years!! A rough back of envelope calculation would place managements aspirations around gaining revenue of approx $4B in the "medium" term, from China alone. We are also now turning a profit in the UK and hopefully in the next 12-24 months in the US. We have also set up shop in Singapore, while South East Asia is the next major geographical focus for the company.
To throw fuel on the fire, management are planning to release Pregnancy formula for mums (as opposed to pregnancy vitamins), and Protein powder for fitness - as I'm sure you are well aware, these are HUGE markets worldwide. These are apparently just around the corner. New IF sachets and premixes are also on the cards from Sylait's new facility - historically these generate significantly higher margins for companies, and Im sure that will be the case for us too.
Lastly, Synlait have forecast a doubling of IF output for this year - so we can expect brilliant results again this FY. It should also be noted that our net margins were approx 25% this year and still growing...
In my opinion, a large amount of shares should be put into the bottom drawer, the drawer should be placed into a safe, and the safe should then be stored in a bank vault!!
Take it easy (that phrase really rubbed off on my when I lived in Colorado!).
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