It's a bit of chicken and egg with situation regards to sales and capacity, but they would've forecasted full capacity within 12 months of it being commissioned. At the current rate of around 4-5m per 1,500 tonnes, we could achieve $16-20m from the dairy side of the business. Hopefully the sales mix is skewed to IF or higher margin products to grow this further.
I'm not sure what Omniblend's new combined plant will produce in additional capacity but I think $35m is about right in the short term.
In total for next FY we are looking at $50m+ but what is our EBITDA % going to be? With the current mix 12% would be decent giving us $6m and an earnings multiple of 17x in Fy21 using current MC. All going well the outlook should be for more capacity to grow sales and for a continued focus on higher margin products as the market will overlook us if we're just a contract manufacturer.
