Industry News       English French Dutch Spanish German Russian Italian Portuguese Portuguese Danish Greek Romanian Ukrainean Chinese Polish Korean
Logo Slogan_English


CASTLE MALTING NEWS in partnership with www.e-malt.com
19 May, 2022



Malting news Australia: United Malt reaffirms previous earnings forecast for financial year 2022

The world’s fourth largest maltster United Malt reaffirmed its previous earnings forecast for financial year 2022 to be in the range of A$115 million to A$140 million, disappointing investors while, underlying EBITDA came in line with Bloomberg consensus of A$57 million, the Finance News Network reported on May 17.

Here are the key metrics compared to the same time a year ago from March:

• Net income: A$10.3 million, down 24.3 per cent
• Interim dividend per share: 1.5 cents from 2 cents, down 25 per cent
• Underlying EBITDA: A$57.3 million, down 5.3 per cent
• Revenue: A$651.6 million, up 11 per cent
• EBITDA: A$51.5 million, down 3 per cent

Despite pubs reopening and demand on the rise, the Canadian drought impacting barley quality, strained supply chains, rising input costs weigh on the maltster.

Operating cash flow was negative during the first half. Working capital draw was higher reflecting the typical seasonal build up in preparation for second half shipment and due to increased barley and malt inventory costs.

For the next few years, the United expects base capital expenditure to be in the range of about A$55 million to A$60 million, including stay-in-business and safety-related investment in the range of around A$30 million to A$35 million.

In the UK, the company remains focused on servicing the Scottish whisky market which requires quality malt to meet the long-term requirements of distillers to produce aged whisk while expecting incremental EBITDA of about A$18 million on a full year run rate basis to come from their Scottish expansion project.

Despite the downside pressure, the company is optimistic that sales volumes will continue to recover with full year sales volumes to exceed financial year 2021 levels and approach pre-Covid financial year 2019 levels.

Shares in United Malt closed at session low of 1.6 per cent to A$3.95.





Back



E-malt.com, the global information source for the brewing and malting industry professionals. The bi-weekly E-malt.com Newsletters feature latest industry news, statistics in graphs and tables, world barley and malt prices, and other relevant information. Click here to get full access to E-malt.com. If you are a Castle Malting client, you can get free access to E-malt.com website and publications. Contact us for more information at marketing@castlemalting.com .














We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.     Ok     No      Privacy Policy   





(libra 0.6445 sec.)