Continued Strength Shown As Demand for Cannabis Increases
Ovation Science Inc. (“Ovation” or the “Company”), a topical and transdermal cannabis product development company with a patented skin delivery technology and backed by over twenty years of research and development, reports that sales in January 2021 through its licensee in Nevada outperformed the previous month (December 2020) by over 70%. January sales were also the highest since February 2020. Ovation earns royalty income from these sales.
“We are thrilled to report that our royalty income for January resulted in the highest increase in the last twelve months. We believe this represents the beginning of a big turnaround in the topical cannabis business since the beginning of the pandemic said Terry Howlett, CEO of Ovation Science. He added, “We anticipate sales to continue to grow with the re-opening up of the economy and increased tourism back to Nevada and across the country. The proven effectiveness and subsequent repeat buyers of our topical and transdermal products remains a key driver to our superior performance.” Mr. Howlett added “We continue to be focused on selecting a multi-state operator (MSO) in the United States that can duplicate and surpass the success that we have in Nevada. Although all businesses were affected due to the unprecedented lockdowns, we are pleased with the strong start to the new year.”
Ovation’s topicals, backed by over 20 years of R&D, are cannabis-infused creams and lotions that you apply directly to your skin to provide relief . Ovation formulates two types of topicals; ones that remain on the skin to deal with “skin issues” and transdermal creams that allows the CBD (cannabidiol), and/or the THC (tetrahydrocannabinol) to be absorbed through the skin into the bloodstream. Ovation products are powered by Ovation’s Invisicare® drug delivery technology; a patented technology that enhances topical products by increasing the amount of drug delivered to and through the skin. Franz cell diffusion studies were conducted and showed a 41% better release topically by Ovation’s products and an 81% greater transdermal penetration, compared to other market leading products tested.
Topical cannabis products appeal to traditional cannabis users as well as non-traditional users exploring cannabis for the first time. It is an easy entry into the cannabis market and more people are experiencing the benefits of using topical products; particularly ones backed by science like Ovation’s products. According to a 2020 CWI Consulting Services survey, the key reasons people purchase topicals is pain relief and skin health (Cannabis Science and Technology, “A Market Overview: Cannabis Topicals”, January/February 2021, Volume 4, Issue 1). A 2019 Brightfield Group report, predicted by 2025, topicals would reach $4.5 billion in the US alone. With the United Nations recently reclassifying cannabis from its Schedule IV list (narcotics designated as potentially addictive and dangerous), broader deregulation could be on the horizon as well as increased cannabis research and medical use worldwide. (Trends Transforming The Cannabis and CBD Industry Outlook in 2021 https://linchpinseo.com/trends-in-the-cannabis-industry/ Updated March 2, 2021).
From the Company’s and licensee’s (distributor) perspective, topical cannabis products can offer a great deal of value to a product mix as Ovation’s products are relatively inexpensive to produce yet offer high margins and appeal to a broader market than traditional cannabis products. With the industry losing its stigma, the new pro-cannabis administration in the US and the overall greater acceptance of cannabis, Ovation Science is poised for growth in 2021.
For information about Ovation Science Inc. visit www.ovationscience.com
Statements have not been evaluated by the Food and Drug Administration. These products are not intended to diagnose, treat, cure, or prevent any disease.
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