GrainCorp Limited (GNC) Q2 2023 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning, everyone, and thanks for joining us here at the Graeme Corp Half Year Results Call. For those of you following the investor deck online, I will refer to the page numbers as we go through the pack. And just starting with page three, as we begin, I do want to acknowledge the traditional owners of the land on which we meet. For those of us here in Sydney, that's the Gadigal people of the Eora Nation. I pay my respects to their elders past and present. If we flick over the page to page four, before we deliver our half-year result, I do want to start by talking about safety at Grain Corp and acknowledging the tragic loss of a colleague in a fatal truck accident at our Moree site in April. Philip Burns worked at Grain Corp for three years and was a valued member of our team. I pass my sincere condolences to his family and friends and to his many workmates in the Moree community. The safety of all employees at Grain Corp remains our highest priority, and I don't propose to spend any time on our other safety headlines other than to say that accidents such as the one I've just highlighted are why we remain committed to achieving and maintaining our goal of zero harm. If we return to the first half of financial year 2023, it was an outstanding performance EBITDA of 383 million, with growth in our processing volumes and margins. Today, we're upgrading our earnings guidance and outlook, moving our guidance up to between 500 and 560 million. We're also updating our average EBITDA through the cycle to 310 million. I'll talk about both of those factors later in the presentation. We have a very strong balance sheet with $200 million in core cash. United malt stake is valued at $121 million at the half year, and as many of you will know, that business is subject to a ta...