GrainCore — Projected Income Statement (Profit & Loss)

The projected income statement, the revenue, gross-profit, EBITDA and net-profit trajectory underpinning GrainCore.

GrainCore Business PlanSection 16 › Projected Income Statement (Profit & Loss)

Section 16 · Business Plan

Projected Income Statement (Profit & Loss)

The projected income statement, the revenue, gross-profit, EBITDA and net-profit trajectory underpinning GrainCore.

The projected income statement below presents the full five-year
profit-and-loss trajectory. Margins are consistent with industry norms:
gross margins of 33–42% and EBITDA margins stabilising around 21% once
both milling lines are operating at scale. Year 1 shows a higher gross
margin because only the higher-margin maize line is operating; the
blended margin normalises as the lower-margin (but high-volume) wheat
line ramps.

Income statement (R’m) Year 1 Year 2 Year 3 Year 4 Year 5
Revenue 861 1,757 2,291 2,713 2,956
Cost of sales — grain (426) (989) (1,306) (1,555) (1,700)
Cost of sales — other direct (78) (158) (206) (244) (266)
Gross profit 358 610 779 914 990
Gross margin 41.6% 34.7% 34.0% 33.7% 33.5%
Staff costs (38) (46) (52) (56) (60)
Logistics & distribution (47) (97) (126) (149) (163)
Marketing (16) (32) (41) (49) (53)
Administration & overheads (22) (26) (29) (31) (33)
Maintenance (10) (21) (27) (33) (35)
Fixed utilities (14) (17) (19) (20) (22)
EBITDA 211 371 484 576 624
EBITDA margin 24.5% 21.1% 21.1% 21.2% 21.1%
Depreciation (46) (46) (46) (46) (46)
EBIT 165 325 438 529 578
Net interest (49) (49) (39) (26) (14)
Profit before tax 116 276 400 503 564
Taxation (27%) (31) (74) (108) (136) (152)
Net profit after tax 84 201 292 367 412
Net margin 9.8% 11.5% 12.7% 13.5% 13.9%

Table 16.1 — Projected income statement, Years 1–5. Figures
rounded to R’m; parentheses denote deductions.

Figure 16.1
Figure 16.1 — Total cost structure, Year 3 (representative). Grain dominates cost of sales, underscoring the importance of procurement discipline.

Confidential — this business plan is provided to prospective investors and lenders for evaluation purposes only and may not be reproduced or distributed without the written consent of GrainCore Milling & Foods (Pty) Ltd.