Slide 1: 1H FY25 Results
1H FY25 RESULTS Dr. Ian Kadish Managing Director & CEO Craig White CFO 26 February 2025
Slide 2: IDX Vision, Purpose and Values
IDX VISION, PURPOSE AND VALUES Vision: A Healthier World Purpose: Deliver The Best Health Outcome For Every Patient We Serve 2
Slide 3: Delivering on Our Values – 1H FY25
DELIVERING ON OUR VALUES – 1H FY25 • Excellent average patient • 3622 reporting radiologists • 2,8072 employees • Completed merger with • Structured program to NPS of +83 in Australia and 2002 employees Capitol Health Limited combine both IDX and • Conducted “temp-check” and +79 in NZ1 (‘Capitol’)
Slide 4: 1H FY25 Financial Highlights
1H FY25 FINANCIAL HIGHLIGHTS Solid revenue growth of 7.8%, Operating EBITDA growth of 8.2% and strong Operating NPAT growth of 31.9%1 Statutory Result Standalone IDX Operations Combined/Pro Forma Net debt / Statutory 7.8% 8.2% 31.9% 22.7% 14.2% EBITDA (pre- NPAT2 increase in increase in increase in
Slide 5: Medicare DI Benefits and Services Growing Consistently Above Long-Term Averages
MEDICARE DI BENEFITS AND SERVICES GROWING CONSISTENTLY ABOVE LONG-TERM GROWTH AVERAGES SINCE SEPTEMBER 2023, WITH DIVERGENCE BETWEEN BENEFITS AND SERVICES REFLECTING STRONGER GROWTH IN HIGHER ACUITY MODALITIES Industry growth rates, on a 12–month rolling basis, continue to track ahead of the 10-year
Slide 6: Shareholder Returns
SHAREHOLDER RETURNS Fully franked interim dividend of 2.5cps1 (1H FY24: 2.5cps)3 Operating EBITDA2 100.0 80.0 41.5 48.3 60.0 45.4 AUD �m 38.8 40.0 52.0 46.2 20.0 36.0 39.8 43.2 - FY21 FY22 FY23 FY24 FY25 1H 2H Dividends 14.0 12.0 cents per share 10.0 7.0 8.0 6.0 3.0 4.0 3.5 3.3 5.5 2.0 4.0 2.5 2.5 2
Slide 7: Financial Performance
FINANCIAL PERFORMANCE 1H FY25 Results
Slide 8: Results for 1H FY25
RESULTS FOR 1H FY25 Statutory Consolidated Result Standalone IDX Operations (Inclusive of Capitol from 20 December 2024) Integral Capitol Consol. Integral Integral AUD �m 1H FY25 1H FY25 1H FY25 1H FY25 1H FY24 Var. (�) Var. (%) Revenue 249.4 3.5 252.9 249.4 231.3 18.1 7.8% Operating EBITDA(1) 46.8
Slide 9: Revenue
REVENUE (IDX STANDALONE, PRE-MERGER BASIS) Solid revenue growth of 7.8% to �249.4m • Solid revenue growth of 7.8% driven by Medicare indexation, growth in patient volumes and continued favourable mix impact. A summary of Medicare indexation is as follows: o 3.5% increase effective 1 July 2024 on all
Slide 10: Operating Expenditure
OPERATING EXPENDITURE (IDX STANDALONE, PRE-MERGER BASIS) Operating expenditure decreased by 10 basis points as a percentage of revenue on a standalone IDX, pre-merger basis, despite labour costs increasing by 80 basis points as a % of revenue driven by clinical staff shortages and labour cost inflat
Slide 11: Capital Management
CAPITAL MANAGEMENT (PROFORMA MERGED BASIS WITH CAPITOL1) Solid and strengthening balance sheet AUD �m 31 Dec 2024 30 Jun 2024 • 1H FY25 net debt of $298.7m(2) (1H FY24: $210.0m), being 2.8x(3) EBITDA prior to Cash and cash equivalents 31.3 42.4 non-operating transactions at 31 December 2024 (1H FY24
Slide 12: Cash Flow and Cash Conversion
CASH FLOW AND CASH CONVERSION (IDX STANDALONE, PRE-MERGER BASIS) Strong free cash flow growth of 22.7% and conversion of 88.8% (excluding replacement capital) driven by improvement in working capital in 1H FY25 Integral Integral AUD �m 1H FY25 1H FY24 Var. (�) Var. (%) Operating EBITDA 46.8 43.2 3.6
Slide 13: Capital Expenditure
CAPITAL EXPENDITURE (IDX STANDALONE, PRE-MERGER BASIS) Capex investment aligned with IDX’s strategy 1H FY25 replacement capex of �12.1m Replacement capex reflects capital sensitivity requirements, site refurbishments and other end of life equipment replacements. 1H FY25 has seen replacement or upgra
Slide 14: Regulatory Update
REGULATORY UPDATE 1H FY25 Results
Slide 15: Regulatory Environment Update
REGULATORY ENVIRONMENT UPDATE Key Medicare Changes (continued) 1 November 2024 Australia • Nuclear medicine subgroup for non-PET imaging services will MRI Licences receive a one-off fee increase of 3.5%, followed by annual indexation from 1 July 2025 onwards. • On 1 November 2022, the Federal govern
Slide 16: Regulatory Environment Update (continued)
REGULATORY ENVIRONMENT UPDATE (CONTINUED) New Zealand Skills Shortages in Australia and New Zealand • There is limited indexation of pricing in New Zealand, and we • International medical graduates (radiologists and referring continue to negotiate with both private health insurers and other doctors)
Slide 17: Strategy Update & Outlook
STRATEGY UPDATE & OUTLOOK 1H FY25 Results
Slide 18: Management's Strategy – Good Medicine is Good Business
MANAGEMENT’S STRATEGY – GOOD MEDICINE IS GOOD BUSINESS 1 Grow Existing Business and Margin 2 Strategic Mergers & Acquisitions Strategy Accelerate use of Drive organic earnings teleradiology, digital Drivers of growth, including through and AI to improve the Drive our environmental, IDX and Capitol m
Slide 19: Merger with Capitol Health Limited
MERGER WITH CAPITOL HEALTH LIMITED Combination of two highly complementary diagnostic imaging businesses to realise significant and enduring benefits for all of our combined patients, doctors and shareholders Creates a leader in ANZ diagnostic Vision for MergeCo imaging, with significant and endur
Slide 20: Attractive Merger Strategic Rationale and Financial Benefits
ATTRACTIVE MERGER STRATEGIC RATIONALE AND FINANCIAL BENEFITS Combination of two highly complementary footprints into a more geographically diversified portfolio Significantly Combined group has a materially greater financial profile enhanced scale Nationwide footprint of 150 clinics1 supported
Slide 21: Questions
QUESTIONS 1H FY25 Results
Slide 22: Appendices
APPENDICES 1H FY25 Results
Slide 23: Group Overview – December 2024 (Previously IDX Standalone)
GROUP OVERVIEW – DECEMBER 2024 (PREVIOUSLY IDX STANDALONE) Victoria Queensland Western Australia New Zealand Queensland Geographic Market Victoria Victoria & NSW Queensland Queensland Western Australia New Zealand & NSW Ballarat, Geelong, Albury, Wodonga, Sunshine Coast, Gold Coast, Warrnambool and
Slide 24: Group Overview – December 2024 (Previously Capitol Standalone)
GROUP OVERVIEW – DECEMBER 2024 (PREVIOUSLY CAPITOL STANDALONE) Victoria Tasmania Western Australia South Australia Geographic Market Victoria Rural Southern Southern Western Australia South Australia Total Core markets Metro Melbourne Mildura Hobart/Launceston Hobart Perth Metro Adelaide Sites 44 1
Slide 25: Reconciliation of Operating to Reported EBITDA and Statutory NPAT
RECONCILIATION OF OPERATING TO REPORTED EBITDA AND STATUTORY NPAT Statutory Consolidated Result (Capitol from Standalone IDX Operations 20 December 2024) Integral Capitol Consol. Integral Integral AUD �m 1H FY25 1H FY25 1H FY25 1H FY25 1H FY24 Var. (�) Var. (%) Operating NPAT 9.8 (1.0) 8.8 9.8 7.4 2
Slide 26: Supplementary Information – Pro Forma 1H FY25 Profit & Loss Statement
SUPPLEMENTARY INFORMATION – PRO FORMA 1H FY25 PROFIT & LOSS STATEMENT Integral Integral Capitol1 Pro Forma2 AUD �m 1H FY25 1H FY24 Var. (�) Var. (%) 1H FY25 1H FY25 Revenue 249.4 231.3 18.1 7.8% 122.7 372.1 Consumables 11.7 11.4 0.3 2.6% 4.2 15.9 Labour 158.7 145.4 13.3 9.1% 77.8 236.5 Equipment 8.2
Slide 27: Supplementary Information – Items Below EBITDA
SUPPLEMENTARY INFORMATION – ITEMS BELOW EBITDA Integral Integral Capitol1 Pro Forma2 AUD �m 1H FY25 1H FY24 Var. (�) Var. (%) 1H FY25 1H FY25 Comments Operating costs below EBITDA (excluding tax) Depreciation charge on PP&E and Depreciation of property, plant & equipment 14.3 13.6 0.7 4.7% 7.4 21.7
Slide 28: Disclaimer
DISCLAIMER 1. Some of the information contained in this 3. Past performance of IDX cannot be relied 5. Reliance should not be placed on the presentation contains “forward-looking upon as an indicator of (and provides no information or opinions contained in this statements” which may not directly or