The Althea Group Holdings Ltd (ASX: AGH) share price is storming higher on Tuesday morning.
At the time of writing, the medical cannabis company’s shares are up 4.5% to 57 cents.
Why is the Althea share price storming higher?
Investors have been buying the company’s shares this morning following the release of a market update.
According to the release, in November Althea achieved its highest monthly revenue of $847,499. This was driven by the company recording its highest number of new patients and new healthcare professionals (HCPs) per business day.
In light of this and thanks to an excellent start to December, management revealed that it is on track to deliver its biggest quarter to date.
How are its businesses performing?
The release explains that Althea Australia recorded an average of 41.71 new patients and 2.24 new HCPs per business day. This was driven partly by a strong rebound in Victoria following a long COVID-19 lockdown.
It led to its Australian operations posting $737,121 of unaudited revenue in November.
Management expects its Australian growth to normalise in the coming months as the country’s economy continues to recover.
Over in the UK, the company reported 48% month on month growth. This led to unaudited revenue of $110,378 for November.
Althea continues to execute on its early mover advantage in the territory, with approximately half of its prescriptions generated from its wholly-owned subsidiary, MyAccess Clinics.
Althea CEO Josh Fegan said: “I recently relocated permanently to London with my family to oversee the growth of the Althea brand in the UK and EU. With our market access strategy starting to resonate with UK prescribers and regulatory headwinds well and truly behind us, it is great to see our many months of hard work beginning to pay off.”
“Our established Australian business continues to perform strongly, and we are looking forward to entering 2021 with fantastic momentum,” he added.
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Motley Fool contributor James Mickleboro 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 Bruce Jackson.
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