“As we launch another new product into Germany and more than triple our shipment volumes, our European team continues to demonstrate strong execution and leadership. In line with our Mission of improving patients’ lives through medical cannabis, we continue to expand our offering of EU-GMP cannabinoid-based medicines. Simultaneously, we are developing additional products based on our Colombian extracts, whose efficacy and safety are backed by real-world evidence from over 20,000 prescriptions,” comments Alvaro Torres, CEO and Director.
Nimbus Health GmbH, Khiron’s German distribution partner, recently received approximately 36kg of the Company’s 20/1 medical cannabis product. Khiron’s 20/1 medical cannabis refers to the Company’s high-THC flower, which has been prescribed to patients in the UK since July 2020. Both Khiron’s 1/14 and 20/1 products are intended to treat anxiety, substance use disorder, and migraines. With the product shipment now received, Khiron’s German medical cannabis offering now includes both THC-dominant and CBD-dominant products. The Company expects to increase its European medical cannabis sales in Q2 2021.
With a diversified portfolio of products, Khiron is now better positioned to serve Germany and the UK, two of the largest chronic pain markets in Europe. As a whole, the global pain management drugs market was valued at roughly $71 million in 2019. This market is expected to reach approximately $91 million by 2027, registering at a compound annual growth rate (CAGR) of 3.8% from 2020 to 2027, according to Allied Market Research. In addition to expanding its European presence, Khiron also plans to improve patient access by increasing its product offering and medical education initiatives.
“In Europe , our world-class team continues to execute, recently delivering first sales in Germany and a strategic partnership with Cellen Therapeutics, a leader in digital healthcare in the UK and fellow founding member of Project Twenty21. We also received UK CPD accreditation for our global medical cannabis education platform, Khiron Academy, and imported the first ever live cannabis clones from Colombia to Europe . Collectively, these achievements will help us deliver on our mission of improving patients’ lives by increasing access to medical cannabis products both at home and abroad,” stated Mr. Torres.
Khiron recently reported its Q1 2021 results and demonstrated positive growth overall. The Company achieved record revenues of $2.8 million in Q1 2021, marking a 49% increase from the year prior. In particular, Khiron’s medical cannabis sales achieved 20% of revenues, contributing towards over 45% of gross profits. With this in mind, Khiron’s medical cannabis sales appear to be growing at a consistent rate as the Company continues to expand its presence throughout the medical cannabis sector.
Khiron’s share price opened at $0.465, up from a previous close of $0.46. The Company’s shares are up 5.43% and are currently trading at $0.485 as of 12:06PM ET. This indicates that there has been some noticeable change following the news.