Imdex Ltd · ASX:IMD
Imdex — Shareholder Meeting (November 2004)
18 slides from Imdex's shareholder meeting presentation, Nov 8, 2004
Slide 1: Annual General Meeting Presentations cover letter
8 November 2004 The Manager Company Announcements Office Australian Stock Exchange Limited Exchange Centre Level 4/20 Bridge Street SYDNEY NSW 2000 BY ELECTRONIC LODGEMENT Dear Sir ANNUAL GENERAL MEETING PRESENTATIONS The Company will hold its Annual General Meeting (AGM) at 11am in Melbourne, today
Slide 2: Chairman's AGM Address
CHAIRMAN’S AGM ADDRESS When we met at last year’s Annual General Meeting we announced significantly improved results from the prior year and we were confident of a successful 2004 financial year. As you know by now things did not work out quite as planned. The underlying financial performance of you
Slide 3: Chairman's AGM Address (continued)
CHAIRMAN’S AGM ADDRESS These factors will contribute to both top line revenue and earnings growth and together with our growth ambitions will provide the scale that will benefit Imdex in the future. The Managing Director will talk to these matters in more detail. For now, I would like to thank my co
Slide 4: Welcome to the 2004 Annual General Meeting
MANAGING DIRECTOR'S AGM PRESENTATION Slide 1 IMDEX LIMITED GENERAL MEETING E Hswcuthes B00 280% MEETING WELCOME TO THE 2004 ANNUAL “Australia’s Giohal Drilling Products & Services Company” Good Morning Ladies and Gentlemen. It's a pleasure to be here, and once again, to hold the AGM in Melbourne. Im
Slide 5: Contents
MANAGING DIRECTOR'S AGM PRESENTATION Slide 2 Contents imdene Strategic Goals & Positioning Results in the Context of the Strategy Why Imdex can make the Strategy Work Near Term Guideposts in the Strategy Ci ee To do that, today’s presentation will cover four main areas. First of all, we will review
Slide 6: Strategy
MANAGING DIRECTOR'S AGM PRESENTATION There are three main challenges for management of any listed company. They are: - to create an awareness of the company through an appealing strategy; - set objectives and demonstrate a track record of performance against those objectives; and - provide competiti
Slide 7: Industry upturn and Imdex positioning
MANAGING DIRECTOR'S AGM PRESENTATION o There could be a lengthy period of catch-up following years of under-investment. « Oil & gas activity is being supported by fears of shortages (and higher prices). Imdex is positioned as a service provider to these industries. We are engaged, albeit in a relati
Slide 8: Operational Focus: Divisional Revenue Performance
MANAGING DIRECTOR'S AGM PRESENTATION Operational Focus During the course of the 2004 financial year, Imdex continued to focus on delivering drilling products and services to the oil and gas, mining, water well and horizontal directional drilling industries in Australia and overseas and on Minerals P
Slide 9: Geographical Spread: Increasing International Revenue
MANAGING DIRECTOR'S AGM PRESENTATION Slide 5 i What we do: imdeKS _ Geographical Spread ? : oe EE Increasing international Revenue DOther m South East Asia BDomestic We have continued to grow our domestic sales and have gained a dominant position in Australia with respect to our drilling fluids busi
Slide 10: Revenue and Underlying EBIT; Performance Summary
MANAGING DIRECTOR'S AGM PRESENTATION Slide 6 _ What we do: Revenue & imde’ Underlying EBIT sae - amma Tos Ri econ. Revenue Millions. FYO2 Increasing Three Year Revenue and EBIT Trend (underlying) pe acfuetieen 430.9 FY03 338.9 baal EBIT Millions FYO4 This slide highlights the increasing sales, margi
Slide 11: Looking at our performance in the past year
MANAGING DIRECTOR'S AGM PRESENTATION Looking at our performance in the past year: e Total revenue was up by 29%; e EBITDA (pre-adjustments) showed a 52% increase on FY03; e The underlying domestic EBIT result of $4.0m was up 95% on the year before. This good underlying performance has continued into
Slide 12: Saudi Arabia joint venture restructure
MANAGING DIRECTOR'S AGM PRESENTATION Nevertheless, enhanced internal procedures have been rolled out to the other Imdex group businesses. In Saudi Arabia, we have done the hard yards since the Joint Venture was signed in June 2001. Sales reached US$17.6m in FY04. However, the financial rewards expec
Slide 13: Financials: Balance Sheet
MANAGING DIRECTOR'S AGM PRESENTATION Slide 8 _Financials: im RR Balance Sheet ey As Ate Se qune O4 Current Assets 18.7 PPE 12.0 investment in Saudi Arabia S4 ‘Other Assets it Total Assets: 34.2 Interest Bearing Liabilities Re? Other’ Liabilities: 8.4 Equity 18.1 Total 34.2 Gearing Ratio 42.5% Mo, Sh
Slide 14: Growth Strategy
MANAGING DIRECTOR'S AGM PRESENTATION Slide 9 | Growth Strategy mae Expand the Imdex business to become a significant global drilling products and services company: « Alliances * Diversify into other.markets.in Australia and internationaily « Geographical expansion « New. products * Mergers & acquisi
Slide 15: New applications and products underpin growth
MANAGING DIRECTOR'S AGM PRESENTATION « * o New resources are being sought to meet longer term industrial needs The broadening geographic involvement of Imdex will provide new opportunities: o Industry needs are repeated elsewhere in the world ~ it is a very homogeneous industry in which skills can b
Slide 16: Competitive Returns
MANAGING DIRECTOR'S AGM PRESENTATION The opportunity to become a successful and significant drilling products and services company on the world stage is real. Slide 10 _ Competitive imde RS _ Returns “ex zp tatuens on Equity Return on Funds Employed In the pursuit of this strategy, we also recognise
Slide 17: Looking Ahead
MANAGING DIRECTOR'S AGM PRESENTATION The gap in performance compared with other small cap stocks has been closing but Imdex still has a relatively low return on funds employed. These differences need to be addressed for Imdex to be properly competitive in the Australian equity market and for its sha
Slide 18: Conclusion
MANAGING DIRECTOR'S AGM PRESENTATION e Our first quarter outcomes have been consistent with this expectation. ¢ Given the strength of the resources and energy sectors and the activity levels experienced in the first quarter of FY05, we should be able to deliver the forecast increases in sales and EB