/NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES/
OKOTOKS, AB, Aug. 28, 2024 /CNW/ - Replenish Nutrients Holding Corp. (formerly EarthRenew Inc.) (CSE:ERTH) (OTC:VVIVF) ("Replenish" or the "Company"), is pleased to announce its 2024 second quarter financial results and business update.
Business Update and Market Outlook
The second quarter of 2024 saw modest revenues, sales volumes, and margins in the Company's blended fertilizer product – largely due to some final higher cost inventory carryover and some deferral of sales to the fall season. The overall demand for the Company's regenerative fertilizer products remains robust with consistent and growing purchases from existing and new customers, with fluctuations largely due to variability in seasonal demand from weather and the expected cycling of different nutrient requirements for different crop types. The Company expects second half revenues and gross margin percentages in 2024 to be higher than the comparative periods in 2023, leading to solid overall results for annual 2024.
The granulated fertilizer product produced at the Beiseker facility continued to demonstrate strong pricing and margins vis-à-vis the blended product in the second quarter and provides excellent insight into the upside potential of an upgraded Beiseker facility that targets to produce and sell 20,000 to 25,000 metric tonnes of granulated fertilizer per year upon completion of the facility upgrades. As noted in previous quarters, the Company is focused on shifting the sales mix of its products from being predominantly lower margin blended fertilizer towards higher margin granulated fertilizer.
On the financing front, the Company expects to use a combination of internal cash flows, debt and equity, as required, to complete the Beiseker facility upgrade in 2024 or early 2025. The Company expects to close the final financing for the Beiseker upgrade in ...
