Member Info for Leapfroggy

As you have commented before, it’s a hard sell to put a product in a store that needs three months to be effective. I bought my partner three months of Axisbiotix which he combined with stopping milk use. After five weeks he has stopped using retinol and his skin has improved. I can’t get him to do a review as he says he will wait until the end of the three months.

Given that a search for ‘acne’ on the SD site brings up Axisbiotix as the first amongst 422 products either SD are promoting it or SBTX are paying SD to promote it.

Taking half your profits looks sensible. A £3m profit equates roughly to today’s valuation. That would be a significant improvement for a loss making company. Personally I am heavily invested in Empire Metals which is performing well and a good Titanium play. I have reduced my risk since retiring , sold gold miners as I don’t see much more room for SP growth and switched to HSBC. I look back at the Aim shares I sold to buy into gold shares and all of them have declined including SBTX. Overall I have never made any money investing in Aim but maybe Empire will deliver- time will tell.

May be more to do with the realisation that trade and other conflicts can quickly limit commodity availability especially with +60% of titanium production in China. Major economies need surety of supply, major companies rely on vertical integration through their own mines. The titanium market expects 6% annual compound growth. The Australian government can improve its political and economic position by increasIng production through a strategic investment whilst politically supporting off take agreements with its more stable allies.

Bought another 50,000 but took some time to fill my order.

I am reminded of my careers guidance career. Most of what is written in CVs and applications are unsubstantiated personal opinions. It’s evidence that provides substantiation. People have talked about her being the perfect fit. The same thing was said of Ashman.

I can’t see the SP going beyond 13p in the near term. It’s always the case that those that have lost money tend to reinvest to recover their losses. That MD has held/built his position will encourage old and new investors. There are limits to this bounce if the fundamentals and route to profitability aren’t clear. Some have argued without evidence that everything has been an abject failure. Modest sales of Axisbiotix if extended to all Superdrug stores can still add £1.6m profit - 800 stores x 144 sales p.a. x £14 per unit but this isn’t going to move the dials much on the SP unless overheads are substantially reduced. Of course they could be reinvested if there is a fair return. Zenakine is still in play, though adoption seems very slow. It only takes one market leader to adopt it for momentum to build. I for one would be very happy to reach breakeven at 14p (aided by buys at 7p) and will then decide whether there is a reason to hold or add.

Good point. Has to be a win win for Opti to sell Axisbiotix.

Obviously the Chair of the Audit Committee had to go and Bekker was always a bizarre and pointless appointment.

I agree. We need the company to provide an update on where we are in terms of all of the pillars and any near term positives. Quite possible that Ashman achieved diddly squat during his tenure except to collect his huge salary and that the board failed to deliver a meaningful strategy, provide oversight or any meaningful audit - if so they should be replaced. At the least Hunt should go. In the near term a Zenakine night cream should be launched through Dermatonics whilst SBTX , costs and overheads reviewed and reduced. Once the position is stabilised , I would be happy with putting the company up for sale.

The last RNS presumes a pa profit of around £12m+ with a 20% carry. This is a long way off yet. With one plant operable and a PE of 8 this would mean a share price eight times higher. A second operational plant could double this. If the financing package comes together the share price will rocket.

It is essential that investors are given information on the organisations current financial position and whether the CEOs actions have or may have negatively impacted its financial, regulatory or partnership positions.

His behaviour is irrational and obsessive and little use to anyone or the company.

It should be remembered that we were told sales started with VIPs many months before the launch so I suspect that initial sales were poor. Companies develop their marketing strategies through feedback, gaining understanding of their customers and what is driving sales. It is very rare that they get it right on day one as they lack the two way communication that arises once the product is in the market place. In this case they are also relying on the development of each cosmetic companies’ marketing strategy. Difficult to tell if sales were initially very poor or it’s just taking time to build. Croda’s initial launch marketing seemed poor with emphasis on the benefits of sleep rather than the direct impact of Zenakine on the skin. They will have now adapted their marketing strategy and be having more purposeful discussion between their relationship managers and clients. Even if Croda sales are £10m p.a. they will see this only as the start. That’s the benefit of a tiny company like SBTX having Croda as their customer and marketing arm. I think investors have lost sight of this in the myriad of micro criticism, it’s almost unique and no doubt is the reason Dixon is buying big time. Ashman has committed to early publication of interims and I will be voting for him at the AGM and will await the moment of truth when the interims are published.I bought a few more this morning.

When I search the Superdrug site to buy the acne product for collection only one store can be found in the whole of London.

I would agree. Hopefully they will come together to oust the current board. I cannot remember a company that has had such poor investor relations and has so little evidence of its worth or the impact of management. Might be worth breaking it up and selling the parts to gain a modest return.

I guess this is why Superdrug are not selling the products online yet?

Agree. It is inexplicable that we are not selling a night cream through Dermatonics. The online feedback is excellent with a lot of proactive sales through Ben. We have a trusting customer base that would be open to new skin care products.

With Axisbiotix P we are trying to sell an unknown product through an unknown brand which apparently requires nil marketing spend to generate £1m in sales p.a.

Thanks for that Toyin. Must have been dreaming! For me acne is a big possibility, so I would hope partnerships are progressing

Least thing to worry about. At around 20mins in the July 2024 IM he said that he expected Axisbiotix P to sell £1m a year with ‘very little marketing spend’. And of course the acne product would be in a gum and launched later in 2024, presumably through a multi National rather than Superdrug.