Zoono Group Limited (ASX: ZNO) Reports Strong Quarter
Strong Interest in Shelf-Life Extension Technology
Zoono Group Limited (ASX: ZNO) has reported significant interest in its shelf-life extension technology. The company is currently conducting 29 trials across 12 countries, involving eight additional supermarket groups and packaging companies. Over 40 companies are engaged in discussions regarding potential collaborations in this niche market.
Progress and Strategic Outlook
Trials for the shelf-life extension project have expanded from soft fruits to include a variety of products, such as meats and ready meals. Successful results from the trials have led to plans for UK supermarket chains to roll out in-store berry trials for its packaging technology by March 2025. The expected national rollout could occur in late FY25 or early FY26 if trials prove successful.
Financial Performance and Future Prospects
Despite slower-than-expected commercial uptake, the Board remains optimistic about the potential revenue streams from the technology. Zoono emphasizes a compelling 5x return on investment for supermarkets willing to implement the technology. The company is refining its product formulation, which has enhanced application speed and reduced productivity impact for packaging partners.
Operational Updates and Funding
Zoono is also advancing in its Asian market initiatives, particularly in Japan, where it anticipates further orders from a major pharmaceutical company. With improved sales and reduced overheads, the company expects to meet its financial objectives and maintain operational liquidity over the coming quarters. Cash and cash equivalents stood at NZ$787,000 at the end of the quarter, reflecting an effective management strategy.
Motley Fool contributor Kiarra Jackson has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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