Failures in 2023, #3The collapse in revenues in 2023
What was said after H1 2023
"The decrease in sales revenue for the first 6 months was primarily driven by an overall decrease in sales volume of 61% mainly due to a one-time stocking campaign by one major customer in 2022" : Q2 NR from 8/29/23.
vs.
"We kicked off the year with the signing of a three-year renewable Supply and Distribution Agreement with leading global active ingredients provider, Symrise, which served as a major catalyst to our best ever financial performance year in the Company’s history." : Year end NR from 4/12/2023.
A comment in H1 2022 on the revenue surge of 35% could have been given but it was not. Shareholders are now aware it was due to a one-time stocking campaign from a major customer. In light of this, to have previously taken credit for a routine renewal of the Symrise contract, and calling it a catalyst for record 2022 revenues, shows a total lack of integrity. Touting the minimum volumes in the contract renewal is disingenuous (without giving min. volumes) given that H1 2023 revenues are $5.5M and are at a run rate close to the $12.89M rev in 2019 or $11.59M rev in 2018.
Knowing how critical a return to normal ordering from KENVUE is to the company, preliminary Q4 rev. are well known, a responsible CEO would be making some disclosure to their "valued" shareholders. There is no need to wait for audited financials in April.
Given the base business is key to fund the R&D pipeline and was a cash cow for the company, this really shows how Gilles was completely disengaged and how he took credit when it was not his to take.