Investor Presentaiton
Malt: solid customer demand
$M
FY19
FY18
Revenue
1,317
1,152
EBITDA
176
170
EBIT
123
115
Capex
48
46
•
Continued high utilisation of malting plants;
•
•
•
Solid demand for malt and brewing ingredients from
brewing and distilling customers;
Focus on continuous improvement has resulted in
reduction of utility consumption;
Large skew in earnings to second half, reflecting:
- increased beer consumption in the northern
hemisphere in the summer months;
- lower ECA barley supply, which added cost in
1H19; and
- heavy snowstorm in Canada in 1H19, restricting
deliveries.
US craft beer market (by sales volume) grew 4% in
2018(1).
In October 2018, announced £51 million
investment in Bairds' Scottish malting facilities,
adding 79kt of capacity across Arbroath and
Inverness sites:
- reflecting strong sector growth and customer
demand;
new capacity underpinned by LTAs with key
distilling customers;
construction underway and due for completion
in calendar year 2021.
1.
Brewers Association.
GrainCorp
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