A food and nutrition company developing innovative, clean, plant-based food and nutrition products is out with news about its massive growth, with potential for further expansion.
To put it simply – consumers just can’t get enough.
Else Nutrition Holdings Inc. (TSX:BABY) has more than tripled its production capacity in line with increasing demand as product sales remain robust.
Satisfying the global demand:
The team reached the milestone by adding a second U.S. powder production facility, while initial commercial European production is slated for later this month.
The company grew quickly last year and ran into supply issues due to huge demand. This announcement shows the company has resolved those issues but allows for further growth this year. Else Nutrition has already performed two successful commercial production campaigns in the U.S. and plans to continue its accelerated manufacturing plan throughout 2023, establishing a higher level of available inventory.
Until the end of last year, Else Nutrition had a single powder manufacturing plant that supported its sales in North America and globally. Else will perform three production campaigns this month, two in the U.S. and one in Europe, to resolve out-of-stock issues.
These additions are in response to fast-growing demand from brick-and-mortar retailers, Amazon, and Else’s e-commerce store.
In the autumn of 2020, Else became the #1 Best Seller on Amazon in the new baby and toddler formula category. It won the ‘Best Dairy Alternative’ Award 2021 at World Plant-Based Expo and was a Nexty Award Finalist at Expo West 2022 in the plant-based lifestyle category. In September 2022, Else Super Cereal reached the #1 best seller in baby cereal across all brands on Amazon.
In a media release on this news, Hamutal Yitzhak, Else’s CEO and Co-Founder, stated that the additional production facilities will allow the business to stabilize its production and build up sufficient inventory levels to meet the robust demand from its customer base.
“We are excited to have entered a new phase in our journey, where leading grocery and mass North American retailers are now adding our products to their shelves; our ability to properly support this fast-growing demand is critical for our success.”
CEO Yitzhak sat down with Sabrina Phillips to discuss the news further in depth.
In the interview, she mentioned the U.S. Food and Drug Administration’s approval process for their vegan (non-soy) infant formula. This is something investors should also keep their eye on as they move through 2023 and jump through the required hoops toward approval next year.
About the company:
Else Nutrition Holdings Inc. is an Israel-based food and nutrition company utilizing a revolutionary, plant-based, non-soy formula that is a clean-ingredient alternative to dairy-based formula. The company is developing food and nutrition products for infants, toddlers, children, and adults.
The core ingredients of its plant-based formula boast a roughly 65 per cent lower carbon footprint that is free of antibiotics, hormones, pesticides, GMOs, and heavy metals. Based on whole food ingredients, there is no chemical processing.
Else Nutrition has grown substantially in the past year but is still an early-stage investment opportunity, given the market size, recent expansion, and future expansion. More and more people are turning to alternative food options, from consumers to restaurant chains, looking for their health and sustainability benefits.
The global plant-based food market is looking at a global compound annual growth rate of roughly 18 per cent by 2030, reaching a value of US$161.9 billion.
In the past month, Else’s stock has risen 27 per cent and is on track to keep adding to this growth, as 2023 looks to be a transformative year for the company as it widens its product range in parallel with accelerating retail penetration in the U.S., igniting its global expansion.
The company’s incoming product lines are anticipated to significantly widen its product range and make it more attractive to brick-and-mortar retailers.
Else Nutrition (TSX:BABY) opened trading at $0.90 per share.
DISCLOSURE: This is a paid article by The Market Herald.