2240 GMT - Bega's margins within its Branded goods business are likely to keep expanding in 2H, reckons UBS. Bega reported Ebitda margins of 6.5% in 1H, more than double levels at the corresponding stage a year earlier. In a note, analyst Evan Karatzas said lagged price increases drove most of the improvement, alongside some cost reductions. "Branded Ebitda margins have now returned back in-line with those of FY 2021 post the Lion acquisition," UBS says. "We expect margin improvement to continue in 2H, forecasting Ebitda margin of 6.9% and FY 2024 Ebitda of A$202 million." If achieved, annual Ebitda would by up 56% on a year earlier, UBS says. (david.winning@wsj.com; @dwinningWSJ)
(END) Dow Jones Newswires
March 06, 2024 17:40 ET (22:40 GMT)
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