![United Malt chief executive Mark Palmquist is upbeat about the future, whether or not a proposed takeover from French business Soufflet succeeds or not. FIle photo. United Malt chief executive Mark Palmquist is upbeat about the future, whether or not a proposed takeover from French business Soufflet succeeds or not. FIle photo.](/images/transform/v1/crop/frm/5Q2j7ezUfQBfUJsaqK3gfB/47baa61c-76ec-4bb2-b4e3-a4f80328e20e.jpg/r0_204_4000_2462_w1200_h678_fmax.jpg)
AS UNITED Malt shareholders continue to wait for the outcome from a proposed takeover from French malt giant Soufflet, the company remains optimistic of a boost in fortunes.
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United Malt chief executive Mark Palmquist announced earnings before tax, interest, depreciation and amortisation (EBITDA) of $52.7 million for the first half of 2023, broadly in line with market expectations.
Mr Palmquist said that while the first quarter of FY23 had been difficult there had been a marked improvement in the second quarter, which he hoped would continue on through the second half of the financial year.
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"Sales volumes started to recover, particularly towards the end of the second quarter, which is consistent with the expected seasonal increase in malt demand as our customers build inventory for the northern hemisphere summer," he said.
But the company will have to contend with an apparent trend away from high malt beer styles such as Indian Pale Ale back into lighter lagers and pilsners and flat craft beer sales.
Craft beer is good for malt businesses as it generally utilise more malt than mainstream styles.
Share prices rose slightly to $4.44 in the wake of the announcement, below the mooted $5 a share Soufflet takeover offer.
Soufflet continues to do its due diligence prior to a formal takeover offer.
United Malt was formed as a standalone business in 2020 following a demerger from GrainCorp.