The Calmer Co. International Limited Q1 FY26 - Record $2.4m Quarterly Sales (+26%) - The Kava Revolution.
- Noel Ong
- 5 minutes ago
- 6 min read
Announcement
The Calmer Co. International Limited (ASX: CCO) has reported the strongest quarter in its history with Q1 FY26 sales of $2.4 million, up 26% on Q4 FY25 ($1.9m). Growth was broad-based across Australian retail, the USA, and B2B channels, with additional funding commitments to support inventory and expansion.
Samso has been following CCO’s journey for some time, particularly its pivot toward a retail-led mix in Australia, the building momentum on Amazon US, and steady B2B demand. Today’s update sits squarely within that trajectory—showing execution across multiple channels while putting additional capital behind inventory to meet reorder cadence.
Key Highlights - The Kava Business
Record revenue: $2.4m in Q1 FY26 (+26% vs Q4 FY25).
Australia: $1.4m (+30%), led by Coles and Woolworths retail distribution.
USA: $936k (+20%), supported by new Amazon US product formats.
B2B: $290k (+20%), growth underpinned by partners including IMCD’s Network Nutrition.
Funding: Secured commitments of $700k as Tranche 1 of a proposed $1.4m secured convertible note, to build wholesale inventory and support growth initiatives; management states the company remains on track to break even.
Founder and CEO, Zane Yoshida, commented:
“Our lower cost and more diversified sales and marketing strategies are now delivering growth across all channels. New product launches on Amazon USA are showing pleasing signs of the potential of this market. Australian retail sales remain extremely strong and more profitable than the eCommerce-led strategy originally used to penetrate the market. Meanwhile, eCommerce in both Australia and the USA, through the Acuity platform, continues to grow at a much lower investment level. Our B2B business, which now includes market-leading extracts at higher kavalactone concentrations, has also shown exceptional growth, underpinned by increasing orders from strategic partners and IMCD’s Network Nutrition. The renewed engagement from Applied Food Sciences and their participation in our recent funding further validates our strategy and highlights the global potential of kava.”
Operational & Commercial Notes
Management highlights a lower-cost, diversified sales and marketing strategy. Australian retail is described as more profitable than the earlier eCommerce-led approach; meanwhile, eCommerce in Australia and US (via the Acuity platform) continues to grow at lower investment levels. In B2B, the company cites market-leading extracts at higher kavalactone concentrations and increased orders from strategic partners, including IMCD’s Network Nutrition.
Funding & Outlook
The Company has secured $700k in commitments toward a two-tranche $1.4m secured convertible note to fund wholesale inventory build and other growth initiatives. The release states that this ensures the business is well-resourced to execute and remain on track to break even. Participation from Applied Food Sciences in the funding is noted as a validation point of the strategy and the global potential of kava.
What to Watch Next
Retail sell-through in Coles/Woolworths and repeat orders.
Amazon US momentum from new formats and reviews/ratings trends.
B2B orders cadence (incl. IMCD’s Network Nutrition) and uptake of higher-concentration extracts.
Deployment of convertible note proceeds into inventory and the company’s stated breakeven point.
About The Calmer Co.
The Calmer Co. (ASX: CCO) is a beverage and natural products business focused on kava-based relaxation and sleep support products, delivered globally via e-commerce and blue-chip retail partners through a farm-to-shelf supply chain (Figure 1 ). Brands include Fiji Kava, Taki Mai, and Danodan Hempworks, with markets across the USA, Australia, New Zealand, China, and the Pacific Islands.
Figure 1: Growth beverage player expanding into global kava and broader natural products markets. (source: CCO)
Samso Concluding Comments
A record $2.4m quarter, with Australia retail now the profit anchor, is a good result for a company that has been struggling to make the Kava story mainstream. What is now looking like a Bread-and-butter sell-through in Coles/Woolworths rather than chasing vanity metrics online appears to be the right recipe. If that mix holds, operating leverage should improve without the heavy marketing spend that previously diluted returns.
The USA e-commerce uplift—notably new formats on Amazon—adds optionality. It’s early, but if reviews, repeat rates, and Subscribe & Save adoption continue to trend up, that becomes a second engine rather than a distraction. The B2B extracts piece is interesting: higher-concentration actives can underpin better pricing power and stickier relationships, which tends to smooth quarterly volatility.
Funding matters. The $700k Tranche 1 of a proposed $1.4m secured convertible note buys time to build inventory and meet reorders—exactly where growth companies trip if they under-stock into momentum. The flipside is balance-sheet discipline: investors should read the note terms closely, track inventory turns, and watch gross margin as the channel mix evolves. Breakeven claims are credible if the sell-through and reorder cadence keep pace with stock on hand.
Figure 2: CCO share price chart as of 13th October 2025. (source: CommSec)
The share price (Figure 2) has not really reflected any movement upwards but I think this is more to do with the heating up of the mineral resource sector of the ASX. I don't think that the lack of excitement has much to do with a perception of underperformance of CCO. The flow-down effect of the surging gold price and the sudden realisation of an actual shortage of certain minerals, and the ongoing geopolitical narrative are creating a surge in the popularity of any mineral resource story.
Unfortunately, this will reflect the more "not so interesting" stories. The upsurge in the revenue of CCO is very encouraging for me as an investor. A market capitalisation of AUD $12M is a great place, as the proof of market traction appears to be in place. A subtle kink upwards in share price is not lost on me. I have been following this company's story since I first had a chat with Zane Yoshida. I have yet to be able to convince him to appear on Coffee with Samso, but there is time left.
Execution now is simple to measure: scan retailer planograms and restock frequency, monitor Amazon rankings/reviews, and watch B2B order frequency from groups like IMCD’s Network Nutrition. If these dials move together, the path to sustainable cash generation is in sight. If they decouple—rising inventories, softer reorders, or margin slippage—expect the market to demand tighter cost control before assigning a higher multiple.
The Samso Way – Seek the Research
Always verify growth claims, funding terms, and channel sell-through against primary disclosures.
Our mission is simple: cut through the noise and spotlight what matters—genuine stories, grounded insights, and real opportunity.
Our content is well-researched and is only created if the team sees a merit in discussing the company or concept. Investors can explore our three core platforms:
There may be numerous paths to success in investing, but the common thread among successful individuals is that they remain committed to making informed decisions. Equip yourself with the right knowledge and tools, and you will be well on your way to achieving your financial goals.
Most importantly, investors need to be absolutely diligent in understanding their own risk-reward tolerance and capabilities. Never bite off more than you can chew. As they say, Rome wasn’t built in a day, and the Great Wall stood because it took centuries to complete.
The Samso Philosophy:
Stay curious. Stay sharp. And remember—digging deeper always uncovers the real value.
In Life, there is no such thing as a Free Lunch.
Happy Investing, and the only four-letter word you need to know is DYOR.
To support our independent nature of our work, please head over to our Support Page and give us a helping hand in any of the ways listed. This is a new initiate for the Samso Platform, and it was always the concept of Samso when we started this journey in 2018.
Disclaimer
The information or opinions provided herein do not constitute investment advice, an offer or solicitation to subscribe for, purchase or sell the investment product(s) mentioned herein. It does not take into consideration, nor have any regard to your specific investment objectives, financial situation, risk profile, tax position and particular, or unique needs and constraints.
Share to Grow: Your Bonus
Samso has just released an eBook: How to Add Value to your Share Portfolio
A lesson on geological models sought by mining companies that gives insight and an understanding of which portfolios are better - and potentially more lucrative – investments. Click here to download this eBook.
If you find this article informative and useful, please help me share the information. I try and write about topics that are interesting and have the potential to be of investment value. It is not easy to find stories that fit those parameters. If you or your organisation see the benefit of what Samso is trying to achieve and have a need to share your journey, please contact me at noel.ong@samso.com.au.
Samso is a trusted platform that equips dedicated investors with up-to-date industry knowledge and insights from top CEOs and thought leaders. By staying informed on business advancements and market trends, investors can enhance their financial decisions through a combination of expert guidance and their own research.