Rhinomed’s Mute is fastest growing nasal strip in US
Rhinomed Ltd (ASX:RNO), a leader in airway technology and the developers of MuteTM, has informed the market that its Mute nasal stent is the fastest growing product in the nasal strip category in US based drug stores.
Rhinomed is a Melbourne based technology firm with a focus on nasal, respiratory and breathing management technologies.
The company is monetising applications of its technology portfolio in the sport, sleep, well-being and drug delivery markets.
The DrugStores News Management's Annual Drugstore State of the Industry report lists Mute as the fastest growing product in the nasal strip category, growing sales at 56.6% in US Dollar terms and 57.2% in units for the 52 week period ended April 21, 2019.
This development comes as the company’s broader operations are also delivering promising growth.
Revenue for the March quarter of more than $1 million represented a 64% increase on the previous corresponding quarter, and the year-to-date income run rate is tracking well ahead of fiscal 2018.
As well as the Mute product line, order volumes for the group’s new ProntoTM rechargeable vapour delivery technology have been encouraging.
New markets poised to deliver robust growth
While the US pharmacy (drug store) market consists of some 67,000 stores, Mute has only recently achieved distribution into 9000 of these stores.
Mute’s rapid growth against exceptionally well established and supported brands such as GlaxoSmithKline’s (LON:GSK) Breathe Right strip product demonstrates Mute’s growing appeal and its potential to achieve further distribution in the US drug store market and then more broadly within the food, mass and specialty retail markets in the US.
As the category leader, Breath Right and Breathe Right Extra achieved sales in excess of US$22 million from pharmacy alone and shipped nearly 2 million units to achieve more than 50% market share.
With only a small store presence and having only begun to make inroads in building brand awareness, the company believes Mute has significant potential to grow and disrupt the sector further.
Highlighting Mute’s premium position and its scope for growth in a niche market, chief executive Michael Johnson said, ‘’Rhinomed is pleased to see that the investment in building the Mute brand is delivering traction.
"Mute is the premium product within the category and is continuing to deliver strong margins for our retail partners.
"As the innovator within the market, Rhinomed will continue to build upon this success to expand our retail presence in the US and global pharmacy market.’’