In an interview with CEOCFO Magazine, Innovus Pharma's CEO explains how the company has acquired a rich portfolio of consumer care products - and how those products are now fueling rapid growth into 2017
NEW YORK, NY / ACCESSWIRE / October 25, 2016 / CEOCFO Magazine, today released an interview with Dr. Bassam Damaj, CEO of Innovus Pharmaceuticals, Inc. (OTCQB: INNV). In the interview, Dr. Damaj describes Innovus' successful strategy of acquiring and in-licensing revenue-generating products with real benefits to patients, as well as companies that already have top-selling products.
"The strategy works very well," says Dr. Damaj. "We had over $1 million in revenues in the second quarter this year, and turned cash flow positive three quarters ahead of our projections." Dr. Damaj says that he expects at least $5 million in revenues for 2016 and $15 million in 2017. Moreover, revenues will climb much higher than $15 million in 2017 if the FDA approves an over-the-counter allergy treatment, FlutiCare™.
Dr. Damaj says that "the turning point" for Innovus was acquiring the assets of Beyond Human and its powerful BTH® marketing and sales platform, which reaches between 20-30 million people every month through its print media. Not only is Beyond Human's lead product, BTH® Testosterone Booster, a top seller (bringing in $2.2 million in 2015), but "we also have been able to put our own products into the Beyond Human platform," Dr. Damaj explains.
For example, Innovus acquired a supplement clinically shown to enhance blood flow and sexual health for a mere $40,000. Rebranded as Vesele® and marketed through Beyond Human, it has become Innovus' best-selling product. "The Beyond Human platform is working so well that it has enabled us to increase gross margins from 58% to 68% this year," says Dr. Damaj.
But the largest revenue growth is expected to come from Innovus' 2015 merger with Novalere FP, which brought the worldwide rights to the FlutiCare™ brand. FlutiCare™ is a generic version of a blockbuster nasal spray for relieving allergy symptoms, Flonase®. Innovus expects a decision from the Food & Drug Administration by the end of 2016 that would allow Innovus to take FlutiCare™ over-the-counter.
Innovus plans to sell FlutiCare™ in a number of retail outlets. But in contrast to its competitors, Innovus can use its BTH® marketing platform to also sell directly to consumers. "We expect to gain market share among users who don't go to the usual retail outlets," Dr. Damaj explains. In addition, bypassing the middleman keeps margins high.
As a result, Dr. Damaj is projecting that FlutiCare™ would bring in $10-15 million in 2017 if approved by the FDA, on top of the $15 million expected from Innovus' other products. FlutiCare™ has the potential not only to double the Company's projected revenue, he says, but also to begin a new phase of accelerating growth.
Click here for the full video interview.
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SOURCE: CEOCFO Magazine