Slide 1: Duratec Limited 1H FY25 Results Presentation
DURATEC LIMITED 1 H F Y 2 5 R E S U LT S P R E S E N TAT I O N 20 FEBRUARY 2025
Slide 2: Speakers
C H R I S O AT E S MANAGING DIRECTOR SPEAKERS MEET OUR EXECUTIVES ASHLEY MUIRHEAD CHIEF FINANCIAL OFFICER OLLIE MCKEON EXECUTIVE MANAGER – C O R P O R AT E , S T R AT E G Y & I N V E S T O R R E L AT I O N S
Slide 3: 1H FY25 Highlights
1H FY25 HIGHLIGHTS DURA TeEe
Slide 4: Business Overview
BUSINESS OVERVIEW SPECIALIST TECHNICAL EXPERTISE IN UPGRADING AND EXTENDING THE LIFE AND USE OF INFRASTRUCTURE KEY BUSINESS DRIVERS WPF Duratec Pty Ltd (WPF) (wholly owned subsidiary) • Aged infrastructure Leading Energy sector remediation and • Asset capacity expansion fabrication company based in
Slide 5: Business History
BUSINESS HISTORY GROWTH OVER 15 YEARS $640m $600m * Compound Annual Growth Rate over 15 Years 5 DURATEC LIMITED – 1H FY25 RESULTS PRESENTATION – 20 FEBRUARY 2025
Slide 6: Financial Highlights
FINANCIAL HIGHLIGHTS C O N S I S T E N T G R O W T H & P R O F I TA B I L I T Y Note 1: Revenue excludes DDR Australia Pty Ltd (49% share) Note 2: Normalisation of EBITDA accounts for tax effect from Duratec Limited’s 49% investment in DDR Australia Pty Ltd and one-off relocation costs (Normalisatio
Slide 7: Financial Results
FINANCIAL RESULTS
Slide 8: 1H FY25 Financial Results
1H FY25 FINANCIAL RESULTS Consolidated Entity PCP FY25 H1 FY24 H1 Movement ▪ Revenue is slightly down from PCP by 1.9% but higher than the second half #039;000 #039;000 of FY24 by 9.2%. This result was driven by Defence and Mining & Industrial Sectors having lower revenue compared to PCP, which was offset
Slide 9: 1H FY25 Balance Sheet Summary
1H FY25 BALANCE SHEET SUMMARY Consolidated Entity Dec-24 Jun-24 Financial Position as at 31 December 2024 #039;000 #039;000 • Balance sheet continued to strengthen during 1H FY25, with Net ASSETS Assets increasing by 14.1% to $67.4m. Cash and cash equivalents 60,792 65,218 Trade and other receivables 47,6
Slide 10: 1H FY25 Cash Flow
1H FY25 CASH FLOW Strong Cash Conversion Investment Growth Solid Return to 84% • $8.6m in Capital Expenditure Shareholders • Operating cash flow before • $2.2m acquisition of GF • $5.5m of Dividends paid interest and tax to EBITDA Engineering during 1H FY25 1 Note 1: Operating Cash Flow Before Inter
Slide 11: 1H FY25 Banking Facilities
1H FY25 BANKING FACILITIES • The Group had successful negotiations with various Facility Limit Jan-25 Jun-24 Increase financiers during and after the end of the half-year $’000 $’000 $’000 period. As a result, the Group's banking facilities Bank Guarantee (MOF) 125,000 50,000 75,000 150.0% were incr
Slide 12: Operational Highlights
OPERATIONAL HIGHLIGHTS
Slide 13: Sustainability: Safety & Wellbeing
SUSTAINABILITY SAFETY & WELLBEING • No Lost Time Injuries recorded • Supervisor Leadership Program has continued to be facilitated across the business with over 100 Supervisors completing the program. • Implementation of AI-driven ergonomic coaching app to set up the correct manual handling and redu
Slide 14: Sustainability: Diversity, Community & Environment
SUSTAINABILITY D I V E R S I T Y, C O M M U N I T Y & ENVIRONMENT • National Association of Women in Construction (NAWIC) corporate member • Platinum sponsorship of Telethon Community Cinemas supporting multiple children’s charities • Ongoing sponsorship of local community initiatives • A Board Sust
Slide 15: Defence Performance and Outlook
DEFENCE PERFORMANCE AND OUTLOOK 1H FY25 PERFORMANCE • Revenue $97.5m at 12.1% gross margin • National delivery model resulted in wins across multiple States and Territories, consolidating Duratec’s position as a trusted delivery partner for Defence • Duratec Ertech Joint Venture (DEJV) awarded ECI H
Slide 16: Mining & Industrial Performance and Outlook
MINING & INDUSTRIAL PERFORMANCE AND OUTLOOK 1H FY25 PERFORMANCE • Revenue $72.5m at 22.6% gross margin • Award of $44m structural integrity project under existing MSA with Rio Tinto • Berth C&D project for BHP is progressing, including approved $5m scope extension, with potential for further works e
Slide 17: Building & Facade Performance and Outlook
BUILDING & FACADE PERFORMANCE AND OUTLOOK 1H FY25 PERFORMANCE • Revenue $55.2m at 18% gross margin • Substantial progress on current projects demonstrates specialist service offering is valued by stakeholders: • Air Apartments Adelaide facade works – $15.5m (ECI converted to main works contract) • D
Slide 18: Energy Performance and Outlook
ENERGY PERFORMANCE AND OUTLOOK 1H FY25 PERFORMANCE • Revenue $39.2m at 27.4% gross margin • Successful ongoing expansion within the Energy Sector, including: • Award of $21.8m KBSB Wharf Refurbishment, our first direct contract with Woodside • Onsite works at the Inpex Ichthys Facility in Darwin • C
Slide 19: Other Performance and Outlook
OTHER PERFORMANCE AND OUTLOOK ( I N C L U D E S M A R I N E , T R A N S P O R T & WAT E R I N F R A S T R U C T U R E ) 1H FY25 PERFORMANCE • Revenue $23m at 19% gross margin • AustRoads National Prequalification System (Road and Bridge) – McCoys Bridge Strengthening project on behalf of the Departm
Slide 20: 1H FY25 Performance: WPF
1H FY25 PERFORMANCE • Revenue of $28.6m, up 91.8% on PCP, delivering a Gross Profit of $7.8m (accounted for in the Energy and M&I sectors) • Darwin workshop cemented itself into the Northern Territory with site-based works for Inpex at the Ichthys Plant • Awarded the fabrication of Santos’ Pipeline
Slide 21: 1H FY25 Performance: MEnD
1H FY25 PERFORMANCE • Relocation to new office and purpose-built laboratory facility in Perth has increased MEnD’s capability to deliver for existing and new clients • Introduction of cutting-edge 360-degree cameras and SLAM scanning technology, combined with 3D reality model processing to enable ra
Slide 22: 1H FY25 Performance: DDR Australia
1H FY25 PERFORMANCE • DDR Australia Pty Ltd (DDR) is a joint venture equity accounted investment owned by Duratec (49%) and Hutcheson & Co Holdings Pty Ltd (51%) • The DDR Group delivered Revenue of $48.6m, up 105.1% on PCP • Awarded 2 contracts forming part of the Project Phoenix portfolio of works
Slide 23: 1H FY25 Operational Highlights: Master Services Agreements
1H FY25 OPERATIONAL HIGHLIGHTS MASTER SERVICES AGREEMENTS Represents 6-month actuals • Revenue generated by Master Services Agreements (MSA) and annuity style projects remained stable, representing approximately 26% of the 1H FY25 Revenue. • Annuity style projects remain a key focus of the Company.
Slide 24: Pipeline & Outlook
PIPELINE & OUTLOOK
Slide 25: Order Book, Tender and Pipeline
ORDER BOOK, TENDER AND PIPELINE 1,2 ORDER BOOK TENDERS3 PIPELINE4 11% 21% 13% 40% 33% 36% $410 $1.6 5% $4.1 million billion 6% billion 15% 50% 2% 12% 27% 18% 19% Note 1: As of 31 January 2025 Note 2: Figures include 49% share of DDR Australia Pty Ltd’s Order Book, Tenders, and Pipeline Note 3: Tende
Slide 26: Outlook
OUTLOOK SHORT TERM OUTLOOK • Healthy order book demonstrates good win rates on the small to medium sized projects • Strategies rolling out to further grow MSA works by diversifying offering to existing MSA clients includes cross- selling opportunities for WPF/ GF Engineering and Duratec • Works on
Slide 27: Questions
QUESTIONS
Slide 28: Question Session
C H R I S O AT E S MANAGING DIRECTOR QUESTION SESSION ASHLEY MUIRHEAD CHIEF FINANCIAL OFFICER OLLIE MCKEON EXECUTIVE MANAGER – C O R P O R AT E , S T R AT E G Y & I N V E S T O R R E L AT I O N S
Slide 29: Appendix
APPENDIX DURA TeEe
Slide 30: Corporate Snapshot
CORPORATE SNAPSHOT Share Price and Volume – 1H FY25 Substantial Holders – 31 December 2024 2,000,000 $1.80 Number of % Shares Shareholder Name 1,800,000 $1.60 Shares Outstanding 1,600,000 $1.40 1,400,000 ERTECH HOLDINGS PTY LTD 47,348,514 19.01% Volume Closing Price (AUD) $1.20 1,200,000 $1.00 1,000
Slide 31: Important Notice & Disclaimer
IMPORTANT NOTICE & DISCLAIMER This presentation has been prepared by Duratec Limited (ACN 141 614 075) ("Duratec", "Duratec Group" and the "Company"). The information contained in this presentation is for information purposes only. The information contained in this presentation is not investment or
Slide 32: Duratec Limited
DURATEC LIMITED 1 H F Y 2 5 R E S U LT S P R E S E N TAT I O N 20 FEBRUARY 2025