Slide 1: Rubicon Water FY24 Results Presentation
Utah, USA RUBICON WATER FY24 Results Presentation 23 August 2024 Presenters: Bruce Rodgerson CEO / Andrew Bendall CFO ASX:RWL 1
Slide 2: Important Notice and Disclaimer
IMPORTANT NOTICE AND DISCLAIMER This presentation has been prepared by Rubicon Water Limited (Company) to provide summary ‒ if you are outside Australia, you are a person to whom the provision of the information in this information about the Company and its associated entities which carry on the bus
Slide 3: Important Notice and Disclaimer
IMPORTANT NOTICE AND DISCLAIMER None of the Advisers have authorised, permitted or caused the issue or lodgement, submission, dispatch None of the Company, or any other Limited Party, makes any representation or warranty as to the or provision of this presentation and there is no statement in this p
Slide 4: Rubicon Water
RUBICON WATER Dedicated to addressing water scarcity by providing innovative solutions to governments, water management utilities, and growers. $1.08bn ~70% Our mission is to increase water availability and agricultural productivity through Infra & services Revenue improved water-use efficiency. Wit
Slide 5: Overview
OVERVIEW Revenue of $58.4m - up Record performance in Significant investments in the US, securing $A 33 localised global operations, 5.8% on pcp. increasing personnel outside of million in orders, a Underlying EBITDA ANZ from 67 to 140 over the 200% increase over the past five years. ($5.4m) vs ($8.
Slide 6: FY24 Results
FY24 RESULTS 6
Slide 7: FY24 Results
FY24 RESULTS FY24 FY23 The reported EBITDA loss of $5.4m was #039;m #039;m negatively impacted by $3.4m of one-offs including the unwinding of certain contract Revenue 58.4 55.2 assets in China and a doubtful debt provision requirement in Chile. Gross margin 23.5 18.6 Gross margin (%) 40.2% 33.7% The GM%
Slide 8: Revenue Performance
REVENUE PERFORMANCE FY24 FY23 FY24 FY23 BY SEGMENT BY TYPE #039;m #039;m #039;m #039;m ANZ 19.1 19.5 Hardware 43.1 39.3 Asia 6.1 14.1 Software & Support 7.1 7.1 ROW 33.2 21.6 Other Components & Services 8.2 8.8 Total 58.4 55.2 Total 58.4 55.2 ANZ Asia ROW Non-Hardware Revenue ANZ down $0.4m (2%) vs pcp: Asia do
Slide 9: Cash Flow
CASH FLOW Strategic Investments International Contracts SUMMARY FY24 FY23 #039;m #039;m $7.0m negative impact Inroads into outstanding Net Inventory levels to cash flow from Asian receivables in 2nd were managed, down operations full year. half FY24 expected to circa $3.0m through 2nd half was positive co
Slide 10: Balance Sheet
BALANCE SHEET 30 Jun 31 2024 Jun 2023 $’m $’m Cash, Current Contract Assets and Inventories all lower Current assets 73.5 93.1 Intangibles, Non- Current Contract Assets and Deferred Tax Non-current assets 32.9 18.5 Assets higher Total assets 106.4 111.6 Current liabilities 45.7 44.8 $2.6m of the HSB
Slide 11: Placement & SPP
PLACEMENT & SPP Firm commitments received for a fully underwritten two tranche Completion June 2024 Net debt (#039;000) June 2024 of Offer1 Pro Forma Placement to raise $16.0 million. New shares issued under Cash at bank 1,690 3,575 5,265 Tranche 1 settled on 12 August 2024, while new shares issued Ban
Slide 12: The Rubicon Opportunity
THE RUBICON OPPORTUNITY Projections towards the Currently… year 2050 state that…. Agriculture consumes Agriculture will need 70% of the world’s to produce 56% freshwater resources. more food and fibre to feed the Surface water is the world’s population. primary source of water, supplying approximate
Slide 13: International Business Transition
INTERNATIONAL BUSINESS TRANSITION Snapshot of globalisation progress over the last 6 years. 1 2 Embedded global 200%+ increase in operations. REVENUE bookings out of the DIVERSIFICATION OVER USA for FY24. Assembly operations est. in USA & Chile, manufacturing est. in TIME1 Funding and prioritisation
Slide 14: Solutions Delivering Long-Term Value
SOLUTIONS DELIVERING LONG-TERM VALUE Creating relationships beyond solution sales, embedding ourselves to address evolving water management challenges SOLUTION SALES1 RECURRENT SOFTWARE1 Revenue composition by financial year REVENUE – O&M1 9% 7% 9% Integrated hardware O&M NeuroFlo Software 11% 11% 7
Slide 15: Well-Positioned to Deliver Material Operating Leverage as Pipeline Is Delivered
WELL-POSITIONED TO DELIVER MATERIAL OPERATING LEVERAGE AS PIPELINE IS DELIVERED $100m • Rubicon’s operating model is set up to 50% $90m deliver strong operating leverage at scale given a relatively consistent $80m historical gross margin range of ~40- $70m 40% 50% and stable operating cost base. $60
Slide 16: Growth Opportunity
Growth Opportunity 18
Slide 17: Rubicon's Market Evolution
RUBICON’S MARKET EVOLUTION Historical sales - Australia vs USA market (A$m) 80 Australia: early years characterised by technology development and small- Australia per year US per year Annual water price indicator scale implementations until the 70 Millennium Drought peaked, seeing the value of water
Slide 18: Project Pipeline
PROJECT PIPELINE RWL - Pipeline Progress NEAR-TERM PROJECTS – BY SEGMENT 1,200 + 4% 1,000 - 7% 800 Aug-23 #039;M 600 Jun-24 400 + 4% 200 - ANZ Asia Rest of World Early Engagement Funding/Solution Development Pricing/Tender/Contract DIVERSIFICATION OF NEAR-TERM PROJECT OPPORTUNITIES, ALIGNING WITH GLOBA
Slide 19: Near-Term Summary & Characteristics
NEAR-TERM SUMMARY & CHARACTERISTICS Contracted works, recurring revenue and smaller projects across all geographies budgeted in FY25 Global near-term Opportunities in the Countries with active Average opportunity pipeline near-term stage near-term amount opportunities $225M+ 310+ 20+ $640K Healthy n
Slide 20: Near-Term Global Projects
NEAR-TERM GLOBAL PROJECTS New project pipeline opportunities over the next ~12-18months. ($AUD) C. ASIA $48.7M Avg. 8.1M 6 OPPORTUNITIES EMEA USA $35.2M $29.5M Avg. 370K Avg. 250K 94 PROJECTS 117 PROJECTS INDIA $96.9M Avg. 12.1M 8 PROJECTS LATAM AUS $13.3M APAC Avg. 280K $5.6M 27 Avg. 140K 47 PROJEC
Slide 21: Summary and Outlook
SUMMARY AND OUTLOOK 1 2 3 Uniquely positioned to Progress in globalisation Set up for continued capitalise on growing strategy has laid a strong success in identified demand for water foundation for substantial growth markets which management solutions in the growth in FY25 and beyond. combined repr
Slide 22: Contact
www.rubiconwater.com CONTACT Bruce Rodgerson Andrew Bendall CEO CFO Bruce.Rodgerson@rubiconwater.com Andrew.Bendall@rubiconwater.com © 2024 Rubicon Water. RUBICON logo and BayDrive, BladeMeter, BladeValve, CableDrive, FarmConnect, FerIT, FlumeGate, FlumeMeter, FormiPanel, MicronLevel, NeuroFlo, Piko