Infant formula supplier Wattle Health has reported bumper second-quarter sales, and says it will shake up the milk formula trade in 2018 on the back of key accreditation and distribution agreements at home and in China.
Wattle Health, which listed on the Australian share market in March, says sales for the October 10 to December 31 period hit $540,000, equivalent to 58 per cent of last financial year's sales, and that discussions with possible Chinese distributors should be finalised after accreditation from the China Food and Drug Administration.
Wattle in November told shareholders it anticipates becoming one of the first Australian companies to comply with the CFDA 2018 regulatory regime "within the next three months".
Executive chairman Lazarus Karasavvidis on Wednesday said the company expected a key deal with fresh milk supplier and processor Organic Dairy Farmers for the exclusive production and distribution of a new dried organic dairy product would be completed by February
"This would result in the company being the only fully Australian organic infant formula and nutritional dairy brand on the market and one of the few nutritional dairy companies to be fully vertically integrated," Mr Karasavvidis said.
Wattle already has distribution agreements with Aiyingdao Zhuhai and Tesco Lotus in China.
Domestically, it as agreements with Metcash and some of its IGA and Foodland outlets, plus an agreement with Australian Pharmaceutical Industries (API), owner of Priceline, Pharmacist Advice and Soul Pattinson which is effective from February.
At 1053 AEDT, shares in WHA were 3.5 cents or 1.9 per cent higher, at $1.92
