Incannex Healthcare Ltd Posts Record Sales (ASX:IHL)

Formerly known as Impression Healthcare Ltd, Incannex Healthcare Ltd [ASX:IHL] — who specialise in custom dental products — recorded a bumper sales hike for the month of June.

ASX IHL Share Price Chart 1

Source: Optuma

What’s happening at Incannex Healthcare?

From the low in April 2020, the share price has moved up over 138% to where it is today, all this on the back of a rather exciting 12 months for the company.

Looking back to August 2019, Impressions Healthcare announced they had officially launched their wholly-owned, novel cannabinoid drug discovery brand, Incannex.

This announcement was made on back of news that Impression executed a comprehensive agreement with Cannvalate; including a wholesale purchase and distribution agreement for the sale of cannabis medicines into its growing network of medical professionals.

This announcement was the beginning of a pivot for the company away from dental products and into the area of cannabinoid development.

On 30 June 2020 the company announced they had formally rebranded the company Incannex and ceased all operations in the oral device business.

Effectively putting all their eggs in the cannabinoid basket.

CEO of Incannex Healthcare, Mr Joel Latham, said:

After sourcing a great range of medicinal cannabis manufacturers, we have been unrelenting in our efforts to grow cash sales of the Incannex range of products.

I am delighted to report that the Company has achieved its greatest quarter of cash sales receipts, being an 97% increase over the previous corresponding June 2019 quarter.’

Cash sales for the June 2020 quarter were $671k — a fantastic result for the company.

Where to from here for Incannex?

The company is currently in a trading halt. This was taken as the company is working on a pre-clinical animal study associated with the mortality rate of COVID-19.

To read the outcome of this click here, not being a medical expert, I would not want to misinterpret the findings.

Looking at the technical of the stock:

ASX IHL Share Price Chart 2 - Incannex Shares

Source:Optuma

The price is hovering just under the level of seven cents, should it break through this level the focus may become 7.6 cents — worth noting that the level of seven cents proved strong in the past, turning price back down in April 2020.

Conversely should the price turn at the seven-cent level and decline, then levels of 5.7 and 4.4 cents may provide future support.

Regards,

Carl Wittkopp,
For Money Morning

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Carl Wittkopp writes for Money Morning and has a diploma in Financial Planning. He specialises in technical analysis.

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