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Highlights
• HPC’s share price rose 30% to 1.3 cents per share following the launch of Hydralyte Plus Metabolic Support.
• The product is the first of two new SKUs scheduled for release in Q3 CY25, with Hydration Plus Brain Health to follow later in August.
• The new SKU enters the US prebiotics and probiotics supplements category, valued at US$840 million on Amazon in 2024.

The Hydration Pharmaceuticals Company Limited (ASX:HPC), trading as Hydralyte USA, has announced the launch of its new Hydralyte Plus Metabolic Support product, with initial sales achieved through e-commerce platforms and Amazon USA. The update saw the company’s share price rise 30% to 1.3 cents per share on Tuesday morning.

Product Overview
The Hydralyte Plus Metabolic Support SKU targets the gut health segment and functions as a functional electrolyte with a patented formulation containing prebiotics, probiotics, and postbiotics. Its key active ingredient, Akkermansia muciniphila, is known for promoting the production of GLP-1, aiding in metabolic balance, and supporting fat and carbohydrate metabolism.

This launch marks the first of two planned SKU introductions for the quarter, with the Hydration Plus Brain Health product scheduled for release later in August 2025. Both products are designed to complement HPC’s existing high-margin Liver Detox SKU, which has been a significant contributor to sales growth.

Market Positioning
The company is positioning Hydralyte Plus Metabolic Support within the prebiotics and probiotics supplements market in the United States, a sector that ranked as the fifth largest by sales volume on Amazon in 2024. The category generated US$840 million in sales through Amazon alone last year, representing a 9% increase from 2023.

HPC’s established supply partnerships have enabled the business to allocate most product innovation costs directly to opening order inventory. This approach helps preserve cash until the point of sale, aligning with the company’s streamlined operational model in the US market.

Strategic Importance
The introduction of the new SKU supports HPC’s broader strategy to expand its presence in high-margin product segments, particularly those aligned with consumer health trends in the United States. Management expects the launch to contribute positively to sales momentum and operating margins during the high-demand summer period in Q3 CY25.

The company has highlighted that the Hydralyte Plus Metabolic Support product, along with the upcoming Brain Health SKU, will build upon the success of its research and development program. This program previously led to the Liver Detox product, which remains the company’s best-selling SKU and a key driver of recent growth.

CEO Commentary
HPC Chief Executive Officer Oliver Baker stated that the launch represents progress in the company’s plan to grow revenue and operating margins in the US market. He noted that the addition of gut health and brain health products aligns with rising demand trends and is expected to enhance the company’s sales profile as it advances toward profitability targets.

The combination of product innovation, targeted market entry, and timing during peak seasonal demand is expected to influence HPC’s operational and financial performance in the second half of the calendar year.