Ohrid Organics Secures Significant Cannabis Supply Contract
Why we think this is very good
The trading update from Ohrid Organics, a subsidiary of Hydrogen Utopia International, is very positive. The company has secured a significant sales agreement worth up to €4.5 million over the next 12 months with a licensed medicinal cannabis company in North Macedonia. This contract establishes a stable revenue foundation for the company's North Macedonian operations and is expected to deliver meaningful profitability, supporting reinvestment into strategic infrastructure expansion. The update also highlights robust operational improvements, including exceeding yield targets and achieving high THC levels. Overall, the tone of the update is very upbeat, with no indications of any negative market conditions or headwinds.
Key Points
- Ohrid Organics has entered into a €4.5 million sales agreement with a licensed medicinal cannabis company in North Macedonia
- The agreement will provide a stable revenue foundation and meaningful profitability for Ohrid Organics' North Macedonian operations
- Proceeds from the agreement will be used to develop a significantly enlarged post-harvest facility, a key enabler for Ohrid Organics' growth trajectory
- Ohrid Organics is actively advancing toward GMP certification, which is anticipated within the current calendar year
- The company's cultivation division has exceeded yield targets and achieved high THC levels
Summary
Hydrogen Utopia International PLC's subsidiary, Ohrid Organics, has entered into a significant sales agreement with a licensed medicinal cannabis company in North Macedonia. The agreement provides for the supply of up to €4.5 million in GACP-compliant cannabis products over the next 12 months. This contract establishes a stable revenue foundation for the company's North Macedonian operations and is expected to deliver meaningful profitability, supporting reinvestment into strategic infrastructure expansion. Ohrid Organics is also actively advancing toward GMP certification, which is anticipated within the current calendar year. The company's cultivation division continues to deliver robust improvements across core performance indicators, exceeding yield targets and achieving high THC levels.