Not exact matches
Since Murray Goulburn slashed the farm-gate milk price from $ 5.60 a kilogram milk solids to $ 4.75 - $ 5 and warned it would not meet
profit forecasts in late February, the
dairy industry has been at the centre of a political debate.
Talking about the
industry at large, Sellar said because the
dairy market is so competitive, it tries to maximize the customer's
profit from raw milk.
However, a portion of the US
dairy industry believes the method used to calculate
profit margins does not reflect actual costs to the farmer, leaving them financially vulnerable.
«However, this shift by some
dairy cattle farmers is unlikely to significantly affect
industry - wide
profit as these processors compete with Fonterra in most markets.»
Mr Helou, who is investing $ 500 million to double milk production and expand in Asia, says the
profit pool in the Australian
dairy industry is so shallow the number of processors will halve over the next few years.
The suggested boost in
dairy intake could spell big
profits for the
industry, as federal nutrition programs such as school lunch menus are adjusted to conform.»
And also Speciality
Dairy: For example, if you think FY - 2015 revenue of 49.5 M & segment
profit of 1.9 M is representative of Agri - Biz today, you might only assign a 0.4 P / S multiple — but considering the continuing trajectory of brand deals / transactions in the food
industry, I wouldn't be surprised if the Speciality
Dairy component easily commanded a 1.0 P / S (or even a much higher) multiple in an eventual sale.