19. March 2021 | 08:53 CET
BYD, The Very Good Food Company, Bitcoin Group - These are the growth rockets!
Faster, higher, further! This saying is especially true for industries dedicated to future technologies such as electric mobility, hydrogen or fuel cell technology. Growth rates of more than 100% per year are the norm here. If a company stagnates, it will be overrun by its competitors. To grow faster than the market, it needs innovations to gain a speed advantage through unique selling points.
time to read:
3 minutes
by
Stefan Feulner
ISIN:
CNE100000296 , CA88340B1094 , DE000A1TNV91
Author
Stefan Feulner
The native Franconian has more than 20 years of stock exchange experience and a broadly diversified network.
He is passionate about analyzing a wide variety of business models and investigating new trends.
Vegan cuisine as a driver
Innovative and unique in a booming industry. The Very Good Food Company fulfills all these points. The Canadians are completely committed to producing plant-based food alternatives from natural, healthy and less processed ingredients. They offer the entire menu from burgers, steaks, bacon, Takkos to self-created condiments under the umbrella brand "The Very Good Butchers." Inorganically, the Company recently purchased a vegan cheesemaker. Targeted acquisitions will continue to expand the product line. The market for plant-based meat substitutes is currently exploding. It is expected to almost triple to nearly USD 31 billion by 2026. This trend is also reflected in the figures for the third quarter. In the first 9 months, sales grew by a whopping 322% compared to the same period last year.
Structured growth
In sales, the Canadians are relying on three pillars. Traditional e-commerce sales enable consumers to buy products directly online and have them delivered to their homes in the US and Canada. The wholesale business, which currently has 275 premium grocery partners, is currently experiencing strong demand, plans to have over 2,000 distriubtion points by the end of 2021. The third pillar is brick-and-mortar off-line sales. The Very Good Food Company currently operates a restaurant and attached retail store in Victoria, British Columbia. This year, another is planned in Mount Pleasant, Vancouver, which will serve as a research center, a food and beverage hub, and a social media venue.
Supply is reaching its limits
To meet growing demand, the Company also leased two food production facilities last year. In Vancouver and Patterson in the US, up to 61.5 million kg of plant-based meat substitutes are to be processed per year at maximum production volumes. With the US branch, there is also a plan to accelerate the Company's US expansion further. In the long term, the Company aims to become a global player. The Very Good Food Company announced last week that it had signed a non-binding term sheet for a credit facility for 70 million CAD with a renowned institutional investment company. In addition, the Company, in which the founders hold 32% of the shares, is listed on the TSX Venture since yesterday. The stock is also traded in Germany. The stock market value is currently around EUR 330 million. In the long term, a more than exciting story with great potential in a strongly developing overall market.
Growth through range
The Chinese electric car manufacturer BYD also achieved triple-digit growth rates in its sales figures last year. In the battle for the best battery with its US competitor Tesla, the Warren Buffett-backed Company is now once again making headway. Back in April 2020, the Chinese carmaker unveiled its electric car battery called "Blade." The battery is said to have a service life of 1.2 million kilometers or 3,000 charging cycles. "Blade" is to be used for the first time in the new seven-seater SUV model BYD Tang, which is to be launched in 2021, primarily in Norway. A successful market launch has already been completed here. According to the Company, the Blade battery also impresses with its performance in addition to the clear safety benefits. The longevity of the Blade battery even exceeds the 1.2 million km after 3,000 charge/discharge cycles. While this is excellent news for BYD in the long term, the stock is in correction mode. The share price is currently hovering around the EUR 20 mark. At this mark, there are essential support areas that must be held at all costs.
Strong figures
In the run-up to the most important industry event, the expected mega IPO from industry leader Coinbase, Bitcoin Group came up with strong, preliminary figures. The Company closed fiscal 2020 with revenue of EUR 15.0 million. In fiscal 2019, revenue amounted to EUR 6.3 million. Earnings before interest, taxes, depreciation and amortization (EBITDA) quadrupled to EUR 10.5 million in the reporting year, compared to EUR 2.6 million in the previous year. Expenses rose to EUR 4.5 million from EUR 3.8 million in the previous year. Coinbase, the leading crypto exchange in the US, is to be listed on Nasdaq and, with a valuation of more than USD 100 billion, will be one of the largest IPOs of the year.
