Quarterly Activities/Appendix 4C Cash Flow Report
| Stock | ECS Botanics Holdings Ltd (ECS.ASX) |
|---|---|
| Release Time | 28 Apr 2025, 8:19 a.m. |
| Price Sensitive | Yes |
ECS Botanics reports Q3 FY25 results, transitions to B2B + B2C model
- B2C sales up 38% QoQ, now 46% of total revenue
- Total revenue up 19% YoY to $4.8M
- Secured $5.2M loan facility from NAB to support growth
ECS Botanics Holdings Ltd (ASX: ECS), a leading medicinal cannabis company, provided an update on its activities for the quarter ending 31 March 2025 (Q3 FY25). Key highlights include: Continued rapid growth of the B2C business, with Q3 sales of $2.2 million, up 38% on the prior quarter and now representing 46% of total sales. Total quarterly revenue of $4.8 million, a 1% increase on the prior quarter and a 19% increase on the prior corresponding period. Cash receipts of $4.3 million, a decrease of 9% QoQ and 2% on pcp, as the focus remains on growing B2C sales. The company onboarded 540 prescribers since July 2024, on target to exceed 700 within 12 months of launching B2C brands. After the end of Q3, ECS successfully increased its corporate loan facility with the National Australia Bank (NAB) from $3.2 million to $5.2 million, strengthening its working capital position to support the launch of the Terphogz product line. Favorable growing conditions and new protective cropping enclosures have resulted in a high-quality outdoor crop and increased yields. ECS also entered an eight-year licensing and marketing agreement with Terphogz to expand their genetics, product portfolio, and brand beyond the Californian market. The company plans to demonstrate its ability to leverage its low-cost operating model with increased scale and yields to drive cashflow and profitability, as the benefits of its strategic shift to a B2C and B2B hybrid model begin to materialize.
ECS reported total quarterly revenue of $4.8 million for Q3 FY25, a 1% increase on the prior quarter and a 19% increase on the prior corresponding period. The company's B2C sales now represent 46% of total revenue.
Over the year ahead, ECS plans to demonstrate its ability to leverage its low-cost operating model with increased scale and yields to drive cashflow and profitability. The benefits of the company's strategic shift to a B2C and B2B hybrid model are beginning to materialize, allowing it to deliver improved value for shareholders from its exceptional farming assets and increasingly recognised brands.