Midway Limited (ASX: $MWY) announces first-half 2024 financial results and growth strategy update

Midway Limited (ASX: $MWY) has announced the signing of a binding MOU with CHS Broadbent to sell 5.15 hectares of the Geelong site for the development of a grain export operation. The sale will contribute to Midway's shipload volume commitments through Geelong Port and has led to a revaluation of the property to $45 million, increasing the net tangible assets to $1.64 per share. The company achieved a positive underlying EBITDA-S of $2.6 million, despite lower volumes through export and processing facilities. The refinancing with CBA has been completed to provide more funding flexibility, and a fully franked special dividend of five cents per share was paid to shareholders in December.

Executive Commentary on Financial Results and Growth Strategy

Good afternoon. Welcome to the Midway Limited first-half 2024 Financial Results presentation. I'm Tony McKenna, CEO and Managing Director of Midway Limited. As announced, a binding MOU has been signed with CHS Broadbent to sell 5.15 hectares of the Geelong site for the development of a grain export operation. This sale has contributed to a revaluation of the property to $45 million, increasing our net tangible assets to $1.64 per share. We achieved a positive underlying EBITDA-S of $2.6 million, despite lower volumes through our export and processing facilities. The refinancing with CBA has been completed to provide more funding flexibility, and a fully franked special dividend of five cents per share was paid to shareholders in December. We are very positive about the new relationship with CBA, and the new working capital facility increases the resilience of our business through the cycle. Despite the challenges in the first half, we experienced stronger shipments in January and February, contributing to the improved underlying EBITDA-S. Our focus remains on delivering our strategy to create value for shareholders by lifting our operating performance, maximizing the value of assets, and pursuing the carbon growth opportunity.

Summary of ASX Announcement and Outlook

Midway Limited (ASX: $MWY) has reported the signing of a binding MOU with CHS Broadbent to sell a portion of the Geelong site for the development of a grain export operation, contributing to a revaluation of the property to $45 million. The company achieved a positive underlying EBITDA-S of $2.6 million, despite lower volumes through export and processing facilities. The refinancing with CBA has been completed to provide more funding flexibility, and a fully franked special dividend of five cents per share was paid to shareholders in December. The company's outlook remains positive, with expectations of improved volumes in the second half of FY24 and a focus on maximizing the value of assets and pursuing the carbon growth opportunity. Midway's strategy includes lifting operating performance, maximizing asset value, and pursuing opportunities in the carbon market, positioning the company for future growth and earnings potential.