Wellnex Life (ASX:WNX) provided shareholders with an update on its ongoing turnaround strategy.
Executive Chairman Ash Vesali said the company remains focused on scaling its Pain Away brand, expanding recurring contract manufacturing revenues, and maintaining strict cost and capital discipline, while deprioritising non-core activities.
In November, Wellnex Life recorded an EBITDA profit of $0.1 million, driven by higher gross profit and cost reductions.
Year-to-date EBITDA has improved by $1.7 million, supported by sales growth, an increase in group gross margin from 21% to 30.1%, and a further $0.4 million reduction in operating expenses, positioning the company on track to reach breakeven by Q2 FY26.
Pain Away has delivered a 16% year-to-date sales increase, boosted by its launch into Costco and 7-Eleven, while gross margin rose to 59.4% from 46% last year, aided by disciplined trade spend management. Trade investment was reduced from 39% to 28%.
Vesali noted the board is encouraged by the team’s execution and engagement, with ongoing initiatives expected to further enhance margins and reduce costs in the second half of FY26.
At the time of reporting, Wellnex Life's share price was $0.12.