Customer Growth Hits 57% CAGR; US Patent Granted Through 2041
Terragen Holdings reports rapid customer growth for its new dry probiotics, secures a US patent, and posts promising crop trial results, signaling strong momentum in its agricultural biotech offerings.
- Customer base for dry probiotics grows from 7 to 27 in four months
- US patent granted for microbial feed supplement, protecting innovation until 2041
- Maize crop trials show 9.6% yield increase and $287/ha gross margin boost
- Advanced talks with major feedlots covering 200,000+ head capacity
- New CFO appointed with extensive biotech and agtech experience
Strong Uptake of New Dry Probiotic Products
Terragen Holdings Limited has made significant strides in commercialising its agricultural biotech products during the June 2025 quarter. The company’s recently launched dry format probiotics for ruminants, designed for intensive beef and lamb feedlot systems, have seen customer numbers nearly quadruple from 7 to 27 within just four months. This rapid adoption reflects a compound annual growth rate of 57%, underscoring strong market interest in Terragen’s innovative feed supplements.
Moreover, Terragen is in advanced discussions with several major Australian feedlots, collectively managing over 200,000 head of livestock, about integrating its probiotics into their feeding regimes. While binding agreements are yet to be finalised, these talks highlight the company’s growing footprint in a lucrative segment of the livestock industry.
US Patent Boosts Global Market Prospects
In a key intellectual property milestone, Terragen secured a US patent for its microbial feed supplement, which covers its flagship products Terragen Probiotic for Ruminants and MYLO®. This patent protection extends until March 2041, reinforcing the company’s competitive position in the global animal probiotics market. The patent also supports ongoing regulatory efforts to launch these products in the United States, a critical growth market for Terragen.
Promising Crop Trial Results and Research Initiatives
Terragen’s plant bio-stimulant, Great Land Plus®, delivered encouraging results in independent maize crop trials conducted in Queensland and New South Wales. The trials demonstrated a 9.6% increase in yield and an additional gross margin of $287 per hectare when used alongside standard fertiliser applications. Notably, the product also reduced input costs by $60 per hectare, highlighting its potential to improve both profitability and sustainability for growers.
Complementing these advances, Terragen commenced the Next Gen Nitrogen Project in partnership with Queensland University of Technology. This 18- to 20-month research initiative aims to explore nitrogen-fixing and plant growth-promoting bacteria from Terragen’s microbial library to expand its plant product portfolio, signaling a commitment to science-driven innovation.
Leadership and Financial Position
On the leadership front, Terragen appointed Roger McPherson as its new Chief Financial Officer and Company Secretary. McPherson brings over two decades of experience in biotechnology, agtech, and pharmaceuticals, having held senior roles in both listed and private companies. His arrival is expected to strengthen Terragen’s financial management as it scales operations.
Financially, Terragen ended the quarter with $4.8 million in cash reserves, down approximately $1 million from the previous quarter. The company reported a 35% increase in cash receipts, driven by favourable market conditions, and capitalised $605,000 in development costs related primarily to its beef feedlot trials. These figures suggest a solid operational footing as Terragen advances its commercialisation strategy.
Bottom Line?
Terragen’s expanding customer base, patent protection, and research pipeline set the stage for accelerated growth, but finalising major feedlot contracts and US regulatory approvals remain critical next steps.
Questions in the middle?
- When will binding agreements with major feedlots be signed and what terms will they include?
- What is the timeline and likelihood for regulatory approval to launch Terragen’s probiotics in the US market?
- How will the new CFO influence Terragen’s capital strategy and global expansion plans?
