Quarterly Activities/Appendix 4C Cash Flow Report
| Stock | BOD Science Ltd (BOD.ASX) |
|---|---|
| Release Time | 24 Jan 2025, 3:49 p.m. |
| Price Sensitive | Yes |
Cannabis company provides quarterly update
- Net cash inflow from operating activities of $51k
- Quarterly receipts from customers were $219k
- Proceeds from sale of intellectual property assets were $125k
BOD Science Limited (Subject to a Deed of Company Arrangement) (ASX: BOD) has provided an update on its activities for the three-month period ended 31 December 2024 (Q2 FY2025). The company reported a net cash inflow from operating activities of $51k, an increase of $55k on Q1 FY2025, due to an increase in customer receipts and the reimbursement of previously incurred operating expenses as part of the sale of certain items of the company's intellectual property. Quarterly receipts from customers were $219k, an increase of $27k (14%) on the last quarter (Q1 FY2025: $192k) and a decrease of $66k (23%) on the previous corresponding period (Q2 FY2024: $285k). The increase on the prior quarter is due to a 24% increase in sales volumes driven by the introduction of new SKUs, while the decrease on the PCP is due to the company's exit from its premium skincare business during FY24. In November 2024, the Deed Administrator completed the negotiation of the sale of certain intellectual property assets held by the company, resulting in a cash inflow of $176k, which represented proceeds on sale of the intellectual property assets of $125k and the reimbursement of previously incurred expenses relating to the assets of $51k.
The company has entered into a binding Share Purchase Agreement with the ordinary shareholders of Biortica. The Share Purchase Agreement is subject to conditions subsequent being met, together with the effectuation of the DOCA and the company satisfying the re-compliance requirements with Chapter 1 and 2 of the ASX Listing Rules, including all necessary shareholder approvals. It is expected that a notice of meeting will be sent to the company's shareholders in February 2025, informing them that an extraordinary general meeting has been scheduled at which the shareholders will vote upon whether to approve the various resolutions as detailed in Biortica's DOCA proposal.