Macmahon Holdings Limited · ASX:MAH
Macmahon — H1 2025 Earnings Presentation
27 slides from Macmahon's earnings presentation, Feb 19, 2025
Slide 1: Correction to Appendix of 2025 Half Year Results Presentation
19 February 2025 Correction to Appendix of 2025 Half Year Results Presentation Macmahon Holdings Limited (ASX: MAH) has noted a typographical addition error in the Cash Flow Appendix (slide 24) in the FY25 Half Year Results presentation lodged with the ASX today. The error relates to the incorrect s
Slide 2: FY25 Half Year Results
\@. = a= MACMAHON FPY2Z5 HALF YEAR RESULTS 18 February 2025
Slide 3: 1H25 Financial Highlights
1H25 Financial Highlights Revenue Underlying EBITDA1 Underlying EBIT(A)1 $1.2bn 22.0% $181.3m 3.0% $78.1m 14.7% FY25 Secured Revenue of $2.2 bn 15.4% EBITDA margin 6.6% EBIT(A) margin Underlying Operating Cash Flow2 Free Cash Flow3 Interim Dividend $163.4m 18.2% $49.0m 0.55cps 22.2% Cash C
Slide 4: Mining Highlights
Mining Highlights Highly experienced and specialised team providing the full suite of surface and underground mining development and production services Surface Mining Revenue Underlying EBITDA • Awarded $500m+ of new work in Indonesia - ~$80m1 Poboya gold project - $463m1 Awak Mas gold project awar
Slide 5: Civil Infrastructure Highlights
Civil Infrastructure Highlights Over 40 years experience delivering integrated construction and engineering solutions Decmil Revenue Underlying EBITDA • Acquisition of Decmil (ASX: DCG) completed in August 2024 • Integration completed successfully with cost synergies largely realised • Legacy projec
Slide 6: Corporate Highlights
Corporate Highlights Homeground • Management are focussed on the monetisation of the non-core Homeground asset, a 1,392 bed, fully serviced accommodation village • Assessing alternative usage options including the relocation of units to capitalise on project opportunities in different locations • Av
Slide 7: Our Mining Projects
Our Mining Projects PROJECT END (UNLESS EST. MINE COST CLIENT PROJECT COMMODITY SINCE EXTENDED) END DATE1 CURVE1 Tropicana, WA Gold 2012 Life of mine 2033 Q3 Telfer, WA Gold 2016 Life of mine 2025 Q4 Byerwen, QLD Met Coal 2017 June 2025 2069 Q1 Batu Hijau, Indonesia Copper / Gold 2017 Life of Mine 2
Slide 8: Our Civil Infrastructure Projects
Our Civil Infrastructure Projects CONTRACT CONTRACT % EXPECTED CLIENT PROJECT LOCATION SCOPE STRUCTURE SIZE COMPLETE COMPLETION Incentivised Design & Ison Road Extension VIC Target Cost, Cost $50m – $100m 0% Q4 FY26 Construct Reimbursable Design & Warradarge Wind Farm WA Lump sum1 $25m – $50m 2% Q3
Slide 9: 1H25 Revenue Diversification
1H25 Revenue Diversification Business revenue mix is diversified by service, commodity, region and client Service Offering Commodity Region Client 14% 8% 9% 17% 2% 18% 2% 3% 8% 3% 4% 4% 4% 12% 23% 4% 60% 54% 20% 5% 10% 6% 92% 8% 10% AngloGold Ashanti Vault Q Coal Newmont/Greatland Gold Met Coal Tali
Slide 10: People and Safety
People and Safety Safety continues to be our number one business priority SAFETY INJURY FREQUENCY • Group TRIFR decreased from 3.64 in FY24 to 3.19 in 1H25 RATES & WORKFORCE • Enhanced our critical risk management and data analytics capabilities including 9,676 9,605 the development of learning reso
Slide 11: Winning at Macmahon
Winning at Macmahon Investing in our people and creating a winning culture 31 December 2024 Half Year Results 10
Slide 12: Sustainability
S u s t a in a b ilit y Safety continues to be our number one business priority Double materiality 1H25 GHG emissions1 Established Tyre Recycling ENVIRONMENT assessment (tonnes per CO2-e) Climate Change Program completed to identify Scope 1: 612 Disclosure Plan 227 tonnes repaired economic impacts S
Slide 13: 1H25 Results
= = MACMAHON 1H25 Results
Slide 14: Group Financial Performance
Group Financial Performance Progressing towards another year of growth Revenue ($m) U n d e r ly in g E B I T DA ( $ m ) 176 176 181 1,179 159 1,065 152 149 987 966 139 888 919 129 810 121 653 698 EBITDA 18.5% 18.5% 17.2% 17.1% 15.1% 17.3% 18.2% 16.5% 15.4% margin (%) 1H21 2H21 1H22 2H22 1H23 2H23 1
Slide 15: Profit and Loss
Profit and Loss $ Millions 1H24 1H25 Change • Revenue up 22.0% and Underlying EBIT(A) up 14.7%, attributed to the acquisition of Decmil and organic growth in existing projects including the Revenue 966 1,179 22.0% ramp up to steady state at Greenbushes, extensions at Daisy Milano and Underlying EBI
Slide 16: Cash Flow – Net Debt Waterfall
Cash Flow – Net Debt Waterfall Underlying Interest and Net Capex Free Cash Flow Operating Cash Tax $93.0m $49.0m Flow $163.4m $21.4m NET DEBT • Increased primarily due to the 181.3 acquisition of Decmil, expected to reduce to FY24 levels by year end (17.9) (21.4) OPERATING CASH FLOW • 1H25 Underlyin
Slide 17: Balance Sheet
Balance Sheet Solid financial position $ Millions FY24 1H25 • Larger balance sheet position reflects Decmil acquisition in August 2024 Cash 195 222 for cash consideration of $104m Receivables 428 523 ‒ Acquisition included $58m tax losses, $54m franking credits available for Inventories 105 101 util
Slide 18: Strategy and Outlook
= = MACMAHON Strategy and Outlook
Slide 19: Strategic Journey Towards Lower Capital Intensity Services
Strategic Journey Towards Lower Capital Intensity Services FY181 Revenue Mix 1H25 Revenue Mix 7% 3% Our Strategic Target 17% $710m $1.2bn 23% 60% 90% Revenue Mix FY181 Pipeline 1H25 Pipeline 1% 21% 30% 41% $5.4bn $24.8bn 78% 29% ROACE TARGET >20% 1. Capital light strategy established in FY18 31 Dece
Slide 20: Work in Hand & Tender Pipeline
Work in Hand & Tender Pipeline Order Book Run Off ($m)1 Tender Pipeline3 • ~$2.2 billion1 of FY25 revenue secured 30% • $4.3bn Order Book as at 31 December 2024 1,056 and excludes short term civil and 41% underground churn work, which historically $24.8bn delivers $100 million - $150 million annual
Slide 21: Capital Allocation to Balance Growth and Shareholder Returns
Capital Allocation to Balance Growth and Shareholder Returns Our Priorities Our Record Maintain resilient Maintain Financial Strength Investment in Growth Return Cash to Shareholders balance sheet, Continue to reduce gearing and net debt Growing civil infrastructure and Dividend payout ratio range t
Slide 22: FY25 Guidance & Priorities
FY25 Guidance & Priorities Achieved guidance for eight consecutive years and on track for FY25 FY25 PRIORITIES • No life changing events, reduction in TRIFR FY25 GUIDANCE • Reducing net debt post the Decmil acquisition • Continuing to drive operational improvements Revenue Underlying EBIT(A) • Progr
Slide 23: Thank You
Thank You www.macmahon.com.au 31 December 2024 Half Year Results 22
Slide 24: Appendix
= = MACMAHON Appendix
Slide 25: Cash Flow
Cash Flow $ Millions 1H24 1H25 1 Underlying EBITDA 176.0 181.3 Movement in receivables (6.9) (26.8) Movement in inventory (13.0) 3.3 Movement in payables and provisions (16.6) 9.6 Cash payments for SaaS customisation costs (1.0) (1.9) Other (1.3) (3.9) Net Interest and tax (paid) / received (11.8) (
Slide 26: Reconciliation of Non-IFRS Financial Information
Reconciliation of Non-IFRS Financial Information $ Millions 1H24 1H25 Profit for the year (as reported) 36.5 30.0 Add back: • LTI share based payment expense1 1.0 4.6 1 • Corporate development costs and earn-out related to previous acquisitions 1.2 8.3 1 • Customer contracts amortisation (A) 0.0 2.3
Slide 27: Important Notice and Disclaimer
Important Notice and Disclaimer Disclaimer as to forward looking statements extent required by law. You are cautioned not to place This presentation does not take into account the individual undue reliance on any forward looking statement. investment objectives, financial or tax situation or particu