Vulcan Steel Ltd. · ASX:VSL
Vulcan Steel — FY2025 Earnings Presentation
74 slides from Vulcan Steel's earnings presentation, Aug 26, 2025
Slide 1: Acquisition of Roofing Industries & Equity Raising
25 ACQUISITION OF ROOFING INDUSTRIES & EQUITY RAISING | INVESTOR PRESENTATION NOT FOR RELEASE TO US WIRE SERVICES OR DISTRIBUTION IN THE UNITED STATES.
Slide 2: Important notice
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Important notice Important Notices and Disclaimer unaudited financial information made available by the Vendor or Roofing Industries. While steps have been taken to confirm that information, no representation or warranty, expressed or implied, The
Slide 3: Important notice
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Important notice Market and industry data Presentation does not constitute an offer to sell, or the solicitation of an offer to buy, any securities in the United States or any other jurisdiction in which such offer would be illegal. The securities
Slide 4: Important notice
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Important notice Financial data financial information. Investors should note that the pro forma financial information included in this Presentation is for illustrative purposes only, is not represented as being indicative of Vulcan's All dollar va
Slide 5: Important notice
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Important notice Investors are strongly cautioned not to place undue reliance on forward-looking statements, events expressed or implied in any forward-looking statements in this Presentation will actually particularly in light of the current econ
Slide 6: Disclaimer
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Important notice Disclaimer financial institution engaged in various activities, which may include trading, financing, financial advisory, investment management, investment research, principal investment, hedging, marketing No party other than Vul
Slide 7: Driven to deliver
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Driven to deliver At Vulcan, our strong foundation - built on exceptional customer service, lean operations, a culture of teamwork and continuous improvement - continues to guide us through challenging market conditions. This approach is helping u
Slide 8: Executive summary
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 01 Executive summary 8
Slide 9: Performance highlights
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Performance highlights 1. m - millions. 2. Earnings before interest, tax, depreciation and amortisation. 3. Costs related to sale of product line in FY25. 4. New Zealand accounting standard on recognition of right of use assets and corresponding l
Slide 10: Focus and delivering on the controllables
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Focus and delivering on the controllables Fully integrated our aluminum Maintained high service level Strong cashflow generation Managed return on business capital employed • 98% delivery rate on customer • Generated NZ$419 million in challenging
Slide 11: Our proven M&A track record
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Our proven M&A track record We have a record of disciplined approach to purchasing businesses – a key part of our growth and shareholder value creation strategy • Roofing Industries will represent our 12th acquisition since 1995 and an extension i
Slide 12: Financials & operations
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 02 Financials & operations 12
Slide 13: Operating backdrop during FY25
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Operating backdrop during FY25 Market performance Global and regional economic and industry development • Australia • Ongoing heightened geopolitical risks are creating uncertainty and – Our customers continued to face restrictive interest rate le
Slide 14: Group financial performance
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Group financial performance Revenue NZ$m FY25 FY24 % change • Overall revenue in FY25 declined by 10.9% YoY, driven by: Revenue 948.1 1,064.3 -10.9% 1, 4 Adjusted EBITDA 112.1 147.6 -24.1% – A 6.4% YoY reduction in volume, with 5.7% YoY decline in
Slide 15: Group operating expenditure (OPEX)
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Group operating expenditure (OPEX) Overall OPEX, NZ$m FY25 FY24 % change • Group OPEX (excluding depreciation and amortisation) improved by Employee Benefits 146.4 139.3 5.1% NZ$1m YoY in FY25, reflecting disciplined cost management Selling & Dist
Slide 16: Cash flow & capex
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Cash flow & capex Operating cash flow • Weaker operating cash flow in FY25 reflects the decline in earnings – Inventory levels excluding stock in transit were further reduced by NZ$11m in 2H FY25 following a NZ$16m reduction in 1H FY25, while stil
Slide 17: Balance sheet metrics & dividend
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Balance sheet metrics & dividend Dividend NET DEBT (NZ$m) • A declared FY25 final dividend of 3.5 NZ cents per share following an 450 400 390 interim dividend of 2.5 NZ cents per share 350 340 • The total FY25 dividend represents a 44% payout (bas
Slide 18: Roofing Industries acquisition
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 03 Roofing Industries acquisition 18 18
Slide 19: Transaction summary
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Transaction summary Founded in 1999, Roofing Industries Limited (Roofing Industries) is one of the leading operators in the New Zealand steel roofing and cladding market. The Acquisition represents a highly attractive entry point into the segment,
Slide 20: Roofing Industries is a strong fit for Vulcan
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Roofing Industries is a strong fit for Vulcan √ Attractive, new vertical – expansion to Vulcan’s product line √ Standalone operational platform – well-run and efficient The acquisition of Roofing Industries enhances Vulcan’s √ Network enhancement
Slide 21: Overview of Roofing Industries
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Overview of Roofing Industries Roofing Industries is a leading roll-former and OPERATIONAL & FINANCIAL HIGHLIGHTS supplier of roofing, cladding and rainwater products in New Zealand >20k $162m Tonnes of product sold1 in NZ$ in • Well established p
Slide 22: Roofing Industries has a diverse range of products
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Roofing Industries has a diverse range of products and exposure to the building sector 22
Slide 23: A national footprint with owner operator model
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO A national footprint with owner operator model Nationwide network • 15 locations with 10 locations in North Island and 5 locations in South Island • 250+ employees in the business • Local owner-operators at branch level whose service mindset and f
Slide 24: Steel roofing and cladding industry
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Steel roofing and cladding industry • The New Zealand steel roofing and cladding industry • The majority of long run steel application (made from is estimated (by Vulcan management) to be painted flat steel) is in roofing and cladding approximatel
Slide 25: Rationale for Acquisition
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Rationale for Acquisition New vertical entry & cross-sell Well-run operation Financial contribution • Leading presence in New Zealand • 26 years of New Zealand operator • Earnings per share accretive steel roofing and cladding industry history (as
Slide 26: Integration strategy
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Integration strategy 01 Focus will remain on driving growth in the business and 02 Capitalise on cross-selling opportunities 03 Vulcan will provide additional support for the shareholder value network where required 26
Slide 27: Priorities & outlook
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 04 Priorities & outlook 27
Slide 28: Priorities for FY26 and FY27
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Priorities for FY26 and FY27 Further adding to our foundation for growth 1 2 3 4 5 Maintain and nurture Capitalise on an Expand into New Continue to add bench Further hybrid sites customer service economic upswing Zealand roofing strength to suppo
Slide 29: Outlook
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Outlook While improvement in trading conditions for the Vulcan group in 2H FY25 did not materialise to the extent previously envisaged, overall daily activity is stabilising. Market conditions are likely to remain flat in 1H FY26, with momentum ex
Slide 30: Equity raising overview
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 05 Equity raising overview 30
Slide 31: Equity raise details
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Equity raise details • 1 for 91 underwritten pro rata accelerated renounceable entitlement offer of new fully paid ordinary shares to raise gross proceeds of approximately A$87.1 million (approximately NZ$96.3 million) (Entitlement Offer) Offer si
Slide 32: Use of proceeds
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Use of proceeds • Funds raised will be used to fully fund the acquisition of Roofing Industries Acquisition • Funds raised in excess of the acquisition consideration will provide further balance sheet capacity, before being deployed over time to f
Slide 33: Equity raise timetable
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Equity raise timetable Institutional Offer Vulcan enters trading halt and announcement of Entitlement Offer, Institutional Entitlement Offer opens Tuesday, 26 August 2025 Institutional Entitlement Offer closes Wednesday, 27 August 2025 Institution
Slide 34: Q&A
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 06 Q&A 34 34
Slide 35: Supplementary information
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 07 Supplementary information 35
Slide 36: Vulcan's business
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Vulcan’s business Vulcan is a leading steel and metals distributor and value-added processor across Australia and New Zealand Our customers operate across a range of end-markets * Based on FY25 revenue data. 36
Slide 37: Our growth strategy and initiatives over time
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Our growth strategy and initiatives over time Overriding principle - Provide a proposition that adds value to customers and is also accretive to Vulcan’s shareholder value. Approach to value capture - Greenfield and brownfield initiatives, as well
Slide 38: Vulcan's environment & sustainability update
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Vulcan’s environment & sustainability update Health and Safety • Committed to providing a safe and healthy work environment - recently reinforced this with the launch of the Safety Step Change Programme to further improve Vulcan’s health and safet
Slide 39: Vulcan's environment & sustainability update
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Vulcan’s environment & sustainability update Environment • Scope 1 and 2 greenhouse gas (GHG) emissions were 12,357 tonnes for FY25, with a decrease on the 13,865 tonnes in FY24 • Our emissions intensity for Scope 1 and 2 in FY25 decreased on a pe
Slide 40: Vulcan's business model at a glance
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Vulcan’s business model at a glance 40
Slide 41: Half-yearly volume and financial trends
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Half-yearly volume and financial trends 41
Slide 42: Steel segment
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Steel segment Revenue Steel, NZ$m FY25 FY24 % change • Revenue fell by 13.1% YoY in FY25, driven by: Revenue 409.7 471.3 -13.1% A 5.7% YoY reduction in volume 1,2 – EBITDA 44.1 68.8 -35.9% Sales Volume (000 tonnes) 152.7 162.0 -5.7% – A 7.8% YoY d
Slide 43: Metals segment
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Metals segment Revenue Metals, NZ$m FY25 FY24 % change • Revenue decreased by 9.2% YoY in FY25, primarily driven by: Revenue 538.4 593.0 -9.2% An 8.1% YoY reduction in volume 1,2 – EBITDA 84.9 99.5 -14.6% Sales Volume (000 tonnes) 61.1 66.5 -8.1%
Slide 44: Key drivers of EBITDA change
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key drivers of EBITDA change Volume and margin OPEX • Volume change contributed NZ$23m YoY decline in EBITDA • Group OPEX was NZ$1m lower at NZ$213m in FY25, reflecting: • Margin decrease contributed NZ$14m YoY decline in EBITDA – A disciplined fo
Slide 45: Profit and loss segment disclosure
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Profit and loss segment disclosure Steel Metals Corporate Total Post NZ IFRS 16 1 , NZ$m FY25 FY24 % change FY25 FY24 % change FY25 FY24 % change FY25 FY24 % change Revenue 409.7 471.3 -13.1% 538.4 593.0 -9.2% 0.0 0.0 0.0% 948.1 1,064.3 -10.9% Adj
Slide 46: Statutory and non-GAAP earnings
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Statutory and non-GAAP earnings Revenue EBITDA EBIT NPAT EPS (NZ cents) NZ$m (unless stated) FY25 FY24 FY25 FY24 FY25 FY24 FY25 FY24 FY25 FY24 Statutory basis 948.1 1,064.3 109.0 147.6 58.5 99.0 15.7 40.0 11.9 30.4 + Significant items 1 3.1 0.0 3.
Slide 47: Balance sheet
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Balance sheet NZ$m 30 Jun 25 30 Jun 24 % change Trade and other receivables 130.8 144.8 -9.7% Inventories 333.9 360.6 -7.4% Less: trade & other payables -143.2 -144.1 -0.6% Working capital excluding tax items 321.4 361.3 -11.0% Property, plant equ
Slide 48: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 08 Key risks 48
Slide 49: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks 1. Risks Relating to the Acquisition Risk Summary Acquisition due diligence Vulcan undertook a due diligence process in respect of Roofing Industries, its wholly-owned and non-wholly owned branch companies and three related roofing produ
Slide 50: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Roofing Industries’ future Vulcan has entered into a share purchase agreement with the Vendor to effect the Acquisition, the completion of which is conditional on, among other things, the completion of certain restructuring
Slide 51: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Vulcan may be unable to Following completion of the Acquisition, certain of the Roofing Industries senior management team will continue to play an important part in the Roofing Industries’ business strategy and success, as t
Slide 52: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks 2. Risks Relating to Vulcan and its Business While the risks set out in this section are stated to relate to Vulcan (including each member of the Vulcan Group) and its business, investors should consider that some or all of these risks w
Slide 53: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Changes in economic and Steel demand is linked to the strength of economic activity, on a global and regional (Australia and New Zealand) basis. geopolitical conditions and demand for steel in If macroeconomic conditions wer
Slide 54: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Fluctuations in steel prices Vulcan’s business may be materially affected by changes in international trade policies, tariffs, and trade restrictions, all of which are unpredictable and outside of its control. Government act
Slide 55: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Growth strategy (cont.) While Vulcan will endeavour to conduct all reasonable and appropriate due diligence on potential growth opportunities, acquisition and other development opportunities may carry the risk of unsuccessfu
Slide 56: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Customer relationships Vulcan does not have long-term agreements or arrangements with its key customers, giving rise to a lack of contractual certainty regarding future revenue. There is therefore a risk that Vulcan’s existi
Slide 57: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Operations risk (cont.) Vulcan may also be adversely impacted by an inability to procure steel from steel producers in a timely manner, impacting the ability for Vulcan to process and distribute to its customers. Vulcan also
Slide 58: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Availability of debt Vulcan has entered into facility agreements for the provision of debt financing. Funding provided under the banking facility is used to fund Vulcan’s activities. The banking facility is subject to certai
Slide 59: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Work health and safety The distribution and processing of steel and metals products involves certain labour-intensive processes and the use of various machinery and equipment (including operating Vulcan’s trucking fleet). ri
Slide 60: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Environmental laws and Vulcan’s steel processing operations involve the use of certain chemicals (such as liquid nitrogen for laser cutting and liquid oxygen for gas cutting) and produce certain waste. Vulcan has installed r
Slide 61: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks 3. General investment risks Risk Summary Price of shares and The price at which Shares are quoted on the ASX and NZX may increase or decrease due to a number of factors. These factors may cause the New Shares to trade at prices above or
Slide 62: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary Accounting Standards New Zealand Accounting Standards are set by the New Zealand Accounting Standards Board (NZASB) and are outside the control of Vulcan, its Directors, or its senior management team. The NZASB may, from tim
Slide 63: Key risks
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Key risks Risk Summary No guarantee of future There is no guarantee that Vulcan will generate sufficient cash flow from its operations in the future to pay dividends. Further, Vulcan expects future dividends to be imputed or franked, where suffici
Slide 64: Offer jurisdictions
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 09 Offer jurisdictions 64 64
Slide 65: International offer jurisdictions
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO International offer jurisdictions This document does not constitute an offer of new ordinary shares (the “New Shares”) and entitlements (the “Entitlements”) of the Company in any jurisdiction in which it would be unlawful. In particular, this docu
Slide 66: International offer jurisdictions
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO International offer jurisdictions Singapore This document and any other materials relating to the Entitlements and the New Shares have not been, and will not be, lodged or registered as a prospectus in Singapore with the Monetary Authority of Sing
Slide 67: International offer jurisdictions
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO International offer jurisdictions United Kingdom Neither this document nor any other document relating to the offer has been delivered for approval to the Financial Conduct Authority in the United Kingdom and no prospectus (within the meaning of s
Slide 68: Summary of the Underwriting Agreement
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 10 Summary of the Underwriting Agreement 68
Slide 69: Summary of the Underwriting Agreement
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Summary of the Underwriting Agreement Vulcan Steel Limited (NZBN 9429038466052, ARBN 652 996 015) (Vulcan) has appointed the Underwriters to act as the joint lead managers, underwriters and bookrunners in relation to the Entitlement Offer, subject
Slide 70: Summary of the Underwriting Agreement
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Summary of the Underwriting Agreement f) (delisting) ASX or NZX announces that Vulcan will be removed from the official list or that the Shares will be: i. removed from official quotation; or ii. suspended from quotation by ASX or NZX for one or m
Slide 71: Summary of the Underwriting Agreement
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Summary of the Underwriting Agreement q) (prosecution or investigations) any of the following occur: i. a Director or the Chief Executive Officer, Chief Commercial Officer or Chief Financial Officer is charged with an indictable offence; or ii. an
Slide 72: Summary of the Underwriting Agreement
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Summary of the Underwriting Agreement z) *(market disruption): i. trading of all securities quoted on ASX, NZX, Hong Kong Stock Exchange, London Stock Exchange or New York Stock Exchange is suspended or limited in a material respect for a whole da
Slide 73: Summary of the Underwriting Agreement
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO Summary of the Underwriting Agreement Representations, warranties and undertakings Vulcan gives customary representations and warranties in connection with (among other things) the Entitlement Offer. Vulcan gives customary undertakings to the Unde
Slide 74: FY25 RESULTS, ACQUISITION & EQUITY RAISING
FY25 RESULTS, ACQUISITION & EQUITY RAISING VULCAN.CO 74