PlantX Announces Unprecedented Revenue Growth in March, Positioning Company as Undervalued
PlantX Life Inc. (CSE: VEGA) (Frankfurt: WNT1) (OTCQB: PLTXF), the digital face of all things plant-based, is in hypergrowth mode and capitalizing on the plant-based industry’s massive growth opportunity.
Growing environmental concerns, a shift to sustainable products, an increase in the number of animal protein intolerants, extensive R&D investments, and an increase in merger & acquisition activities are driving the growth of the market for plant-based products, and PlantX is capitalizing on these trends to become the Amazon of the plant-based, vegan and health industries.
Global Plant-Based Food Sales Value (USD billions), 2020 – 2030
The company announced on April 19 that it generated monthly gross revenue of $1.7 million in March 2022, a 28% increase over February 2022 and a 168% increase over March 2021.
The company’s financial success is the result of strategic partnerships and investments in improving the quality of its existing services and programs to retain and grow its customer base. To become a top brand, the company has formed partnerships with celebrity chefs and brand ambassadors such as Matthew Kenney, Venus Williams, and Justin Fields. PlantX also partnered with Access Fulfillment, a UK fulfillment provider, to ensure its growth in the United Kingdom, the world’s largest plant-based product market.
In an effort to expand products and services to become a one-stop-shop for everything plant-based, the company recently announced a strategic partnership with BESTIES Vegan Paradise (“BESTIES”) to redesign and rebrand XMarket brick-and-mortar stores in Venice and Hillcrest, California, as BESTIES. BESTIES is a well-known vegan brand, and this partnership will help PlantX grow its vegan community.
PlantX’s other key growth strategy is to acquire high-quality businesses to accelerate expansion efficiently and proactively. To broaden its product portfolio, the company acquired coffee franchises Eh Coffee Corp. and Portfolio Coffee Inc., Bloombox Club, Locavore Bar and Grill, New Deli, and Little West.
PlantX is taking advantage of the growing e-commerce market to provide high-quality products to the plant-based community. The products of the company are available on thebay.com, amazon.ca, Walmart.com, amazon.com, and Walmart.ca. Last year, the company also launched the PlantX Shop app to improve customer engagement and satisfaction, as well as the speed and efficiency of the checkout process in its retail stores through the app’s self-checkout feature.
As the pandemic changed consumer shopping behavior, using an e-commerce platform is an important step toward growth and could open new opportunities for the company. The ease and convenience of online shopping will continue to drive market growth with the direct-to-consumer model becoming increasingly important.
Global Plant-Based Food Online Stores Sales Value (In US$ Billion), 2021-2030
To strengthen its services and product portfolio, the company plans to continue partnering with other leading plant-based brands, influencers, professional plant-based athletes, and medical advisors. Currently, the company offers over 5,000 vegan products, as well as meal delivery and indoor plant delivery services. PlantX has a first-mover advantage in the fast-growing plant-based industry as well as e-commerce. The company is now becoming a leading plant-based company, as well as a go-to plant-based e-commerce brand with a growing customer base.
PlantX’s revenue growth continues to remain elevated, allowing the company to acquire high-quality brands and scale efficiently. In just one year, the company reached a financial milestone of $2 million in monthly revenue. This is most certainly just the beginning, and there will be more profitable opportunities in the long run.
PlantX is a hyper-growth company that is capitalizing on the tremendous growth of the plant-based industry and now could be a good time to invest in the company as it presents an opportunity for growth-oriented investors to gain exposure to the plant-based product market at a low cost.
Moreover, it seems that PlantX stock price has not yet caught up with their major recent progress and achievments. Given that PlantX are essentially an e-commerce company focusing on plant-based, rather than a plant-based company using e-commerce, PlantX are likely very undervalued.
Looking ahead, as the market begins to see PlantX as a technology-intensive company, it is likely their valuation will go up substantially due how software companies tend to be valued (usually trading at many many multiples of revenue due to their ability to scale fast). As such, now may be a unique opportunity to get in.