The Zoono Group Ltd (ASX: ZNO) share price soared 13.24% higher today after the company released a business update on its performance so far this year.
Zoono is a global biotech company involved in the development, manufacture and global distribution of a range of long-lasting and environmentally friendly antimicrobial solutions.
The Zoono share price experienced rapid growth in February after the company announced a new distribution agreement as well as successful test results against coronavirus COVID-19.
What did Zoono announce today?
This afternoon, Zoono reported that its unaudited revenues for the 11 weeks to date in the current quarter came to NZ$11.0 million. This is up very sharply on revenues of NZ$1.715 million for the entire first half of FY20.
The biotech company reported that online sales since 1 March 2020 have averaged NZ$150,000 per day. Strong margins from online sales have helped the company to significantly raise its gross sales margin by over 18% compared to the prior half year.
Zoono stated negotiations are currently underway on a range of additional distribution and supply arrangements that it hopes will push its technology into new overseas markets.
Additionally, the company noted it is in a stronger financial position since releasing its half-year results. Zoono's available cash resources have increased by over NZ$2 million since the end of last year.
UK/EU sales office growing strongly
In today's release, Zoono noted that its UK/EU sales office is now profitable. The office has recorded sales of over NZ$1.0 million for the quarter and has current orders for over NZ$3.0 million of Zoono products in coming weeks.
The UK/EU sales office was set up in 2018. Its current new business pipeline includes airlines, airports and other transport companies as well as multinational cleaning and facilities management companies.
Relocation of offices
Zoono also announced that it has moved to a much larger warehouse in Auckland in order to serve the high increase in demand for its products.
The company is now operating with a larger team and it has significantly expanded its raw supply chain. Zoono will also change its logistic arrangements to cater for the higher volume of orders.
