Bega Cheese says FY19 performance to be impacted by farm gate pricing pressure

Company News

by Anna Napoli

Bega Cheese (ASX:BGA) expects overall milk intake in FY19 to be between 1 and 1.1 billion litres of milk compared with total intake of 750 million litres in 2018.

The dairy company says performance in FY19 is expected to be impacted by farm gate milk pricing pressure.

Bega is forecasting  normalized EBITDA  in the range of $123 to $130 million as compared to $110 million in FY18.

Bega says despite the current decrease in milk supply in the Australian dairy industry it is is very pleased with the integration of the Koroit facility, and, the forecast performance of that acquisition.

Shares in Bega Cheese (ASX:BGA) are trading 12.3 per cent lower at $4.98.
 

Anna Napoli

Finance News Network
Anna joined FNN February 2018 and also works with Channel 7 as a freelance producer. Anna has also worked as a lawyer and lecturer. She has also presented news updates for interstate news with Southern Cross Austereo.