Sims Ltd. · ASX:SGM

Sims — FY2026 Earnings Presentation

53 slides from Sims's earnings presentation, Aug 18, 2026

  1. Slide 1: Full Year ended 30 June 2026

    Full Year ended 30 June 2026 Creating Value by Providing a Pathway to Decarbonisation and Circularity 18 August 2026

  2. Slide 2: Disclaimer

    Disclaimer The material contained in this document is a presentation of information about the Group’s activities current at the date of the presentation, 18 August 2026. It is provided in summary form and does not purport to be complete. It should be read in conjunction with the Group’s periodic rep

  3. Slide 3: Agenda

    Agenda Results Overview & Strategic Progress Stephen Mikkelsen, Group CEO & Managing Director Financial Results Warrick Ranson, Group CFO Strategic Position and Outlook Stephen Mikkelsen, Group CEO & Managing Director Sims Metal Kwinana, Western Australia 3

  4. Slide 4: Results & Market Overview

    Results & Market Overview Stephen Mikkelsen, Group CEO & Managing Director 4

  5. Slide 5: Delivering On Strategy

    Delivering On Strategy Create a World without Waste to Preserve our Planet Repurpose and Recycle Stronger Earnings Platform Customers Suppliers Operational Innovative & Invest Efficiency FY26 EBITDA Agile Responsibly VS FY25 Key raw material Part of our customer Safe operations Rapid response to Foc

  6. Slide 6: Sustainability Highlights

    Sustainability Highlights Employee Health & Safety Climate Industry-Leading Safety Performance Maintained Sims Limited emissions in the value chain (ktCO2E)2 Climate Targets TRIFR1 1.09 (vs 1.22 FY19-FY25 average) • 2030: 7-10% absolute emissions 9605.6 reduction from FY26 baseline. 5846.6 • 2035: 1

  7. Slide 7: Operational Highlights

    Operational Highlights Unprocessed Scrap Trading Margin $ Shredder Capacity Proportion Utilisation Sims Metal1 + 2 ppts + 6% + 5 ppts 74% in FY26 $1.4b in FY26 63% in FY26 Repurposed Units Revenue EBIT Margin %2 SLS + 91% + 77% + 15 ppts 16.8m in FY26 $757.0m in FY26 23% in FY26 1 NAM and ANZ only.

  8. Slide 8: FY26 Financial Results Overview

    FY26 Financial Results Overview FY26 Change • Metal Sales Revenue up 2.6% driven by higher non- Sales Revenue - Group (A$m) 8,007.5 6.9 % ferrous prices and 1.7% volume growth. Metal 7,250.5 2.6 % • SLS Sales Revenue of $757.0 million driven by stronger SLS 757.0 77.4 % DDR4 prices and higher repurp

  9. Slide 9: AI Strengthened Memory Market Fundamentals

    AI Strengthened Memory Market Fundamentals Structural supply-demand imbalance materially increased the value of recovered DDR4 memory during FY26. DDR4 VS DDR5 PRODUCTION DDR4 8Gb, 1GX8 3200 Price2 (USD) Unit Production (Millions 2Gb Equivalent)1 $40 250,000 $20 125,000 0 2024 2025 2026F 2027F $0 DD

  10. Slide 10: Structural Growth Drivers to Further Increase Beyond FY26

    Structural Growth Drivers to Further Increase Beyond FY26 AI infrastructure investment continues to expand the market, while power and grid constraints are delaying (not reducing) the release of data centre assets. Some delays in data centre build outs AI infrastructure investment continues to accel

  11. Slide 11: Structural Demand Driving Non-Ferrous Prices

    Structural Demand Driving Non-Ferrous Prices Underlying market strength amplified by tariffs and geopolitical disruption Structural Drivers US Midwest Aluminium Premium1 • AI Infrastructure contributing to demand for copper and aluminium, supporting zorba pricing. $3.00 50% tariff • Electrification

  12. Slide 12: Two Speed Ferrous Market

    Two Speed Ferrous Market Domestic demand underpins North America. Chinese steel exports continue to impact ANZ. North America Australia & New Zealand • Tariffs reduced steel imports, supporting domestic mills. • Export markets improved modestly – SE Asia demand resilient. • Manufacturing and data ce

  13. Slide 13: Financial Results

    Financial Results Warrick Ranson, Group CFO 13

  14. Slide 14: Group Financial Performance

    Group Financial Performance1 A$m FY26 FY25 Change • Revenue uplift of $513.5 million with favourable non- Sales Revenue 8,007.5 7,494.0 6.9% ferrous markets and momentum in DDR4 memory Total Underlying Costs pricing. (1,322.9) (1,265.6) (4.5)% excluding Depreciation2 Underlying EBITDA3 727.8 430.0 6

  15. Slide 15: Underlying EBIT FY26 vs FY25

    Underlying EBIT1 FY26 vs FY25 A$m A$m 182.0 (36.0) 1.9 140.1 5.0 6.0 468.0 468.0 (53.0) (15.5) 198.6 115.6 (16.4) (13.0) 55.8 27.6 174.9 174.9 (12.5) 3 3 3 4 FY25 NAM SA ANZ Metal Global Sims Central Resource FY26 FY25 Translational Ferrous Non- SLS Labour Variable Other Depreciation FY26 Recycling

  16. Slide 16: Total Metal

    Total Metal NAM SAR ANZ GTO A$m FY26 FY25 FY26 FY25 FY26 FY25 FY26 FY25 Sales Revenue 4,841.3 4,503.6 6,455.8 5,454.7 1,776.0 1,575.5 633.1 987.2 Trading Margin 1,029.7 942.8 1,904.0 1,565.6 370.7 375.5 Net Operating Costs 1 (717.7) (686.9) (1,198.5) (1,106.3) (254.9) (242.4) Underlying EBITDA2 313.

  17. Slide 17: Sims Lifecycle Services

    Sims Lifecycle Services (SLS) A$m FY26 FY25 Change • Sales revenue up by 77.4% due to strong DDR4 memory Sales revenue 757.0 426.6 77.4% pricing and increased repurposed units. Underlying EBITDA1 190.3 45.9 314.6% • Resale pricing supported by robust hyperscaler demand and Underlying EBIT1 172.7 32.

  18. Slide 18: SLS Quality of Earnings Strengthened

    SLS Quality of Earnings Strengthened Resale Services Commodity Platform Revenue +149.7% Revenue +25.4% Revenue 1.1% Repurposed units +90.9% Revenue +77.4% Trading margin Trading margin Trading margin +97% +37% +59% Operating Costs1 per repurposed unit down 40% EBIT +429.8% Strong Hyperscaler Deeper

  19. Slide 19: Central Costs

    Central Costs A$m FY26 FY25 Change • Operational functions down by 6.6% with further cost reduction initiatives. Operational Functions (46.4) (49.7) 6.6% • Projects costs reduced in line with development Project Costs (10.0) (14.9) 32.9% progress for new Metal yard-based operations Corporate Overhea

  20. Slide 20: Group Cost Bridge

    2 1 FY 25 1266 Tr an s la A$m tio na C lF os X (39) tr ec la ss ifi ca tio Re n (8) so ur (d ce isc R on en tin ew ue a (4) d) l AUD/USD average FX rate: FY26 0.679 and FY25 0.648 Re ba se d FY 25 1,215 TC TA cq ui sit io n Costs exclude Depreciation and Amortisation and income from equity investmen

  21. Slide 21: Capital Expenditure

    Capital Expenditure 500 • FY26 Sustaining Capex $149m and Lease payments 400 $81.5m. • Sustaining capex: plant and facility maintenance, safety, 300 and compliance. Key projects include electrical upgrades, replacement of shredder parts and Claremont port 200 dredging in NAM, and shredder improvemen

  22. Slide 22: Balance Sheet

    Balance Sheet A$m FY26 FY25 • Net assets of $2.7 billion. Working capital 393.9 478.7 • Working capital: higher receivable and inventory Property, plant & equipment 1,416.6 1,445.4 balances offset by higher payables. Intangible assets 330.7 266.6 • Intangibles increased by $64 million following Inve

  23. Slide 23: Working Capital

    Working Capital • Increase in non-ferrous prices lifted the carrying A$m value of trade receivables and non-ferrous inventory by $201 million. 201 6 479 • Margin deposits stabilised. 394 • Ongoing focus on working capital management (58) (234) across the group. • Inventory levels managed to expected

  24. Slide 24: Cash Flow

    Cash Flow Operating Cash1 Capital Expenditure Capital Allocations A$m +$516m -$488m -$55m 52 3 358 332 105 98 82 203 36 178 (728) (2) Net Debt 30 Underlying Trade working Interest & SAR Dividend Direct Capex Lease Acquisitions SAR cash Dividends Other Net Debt 30 2 Jun 25 EBITDA capital Taxes Receiv

  25. Slide 25: Strategic Positioning & Outlook

    Strategic Positioning & Outlook Stephen Mikkelsen, Group CEO & Managing Director 25

  26. Slide 26: Evolving AI Infrastructure

    Evolving AI Infrastructure Higher-value assets create a growing pipeline of recoverable servers, memory and accelerator components. Data centre demand by workload - gigawatts Growing Market Opportunity (AI Computing)2 219 181 153 • AI infrastructure is significantly more compute intensive. 128 103 •

  27. Slide 27: SLS Positioned to Capture Growing AI Infrastructure Complexity

    SLS Positioned to Capture Growing AI Infrastructure Complexity Traditional Infrastructure Global Platform General-purpose CPU Servers Recovery, refurbishment and resale across multiple markets. Lower rack density Embedded Relationship Embedded in hyperscaler IT asset lifecycles. Air cooling Technica

  28. Slide 28: SLS Medium-Term Growth Drivers

    SLS Medium-Term Growth Drivers Memory Repurposed Demand DDR4 to remain strong for the medium term and then gradually replaced by DDR5 repurposed demand. GPU Lifecycle Services Scaling testing, refurbishment, certification and resale of high-value GPUs is likely to be a high growth opportunity. Advan

  29. Slide 29: Growing US Demand for Ferrous and Non-Ferrous Metal

    Growing US Demand for Ferrous and Non-Ferrous Metal Ferrous Non-Ferrous Upcoming Scrap Demand Due to New NA Steel US Data Centre Capacity2 (Gigawatts3) Capacity 2026-2029 (Millions Metric Tons)1 120 8 6.9 6.4 6.5 4 3.6 60 4 3.1 0.7 0 0 Hybar Nucor Ternium Pacific AM/Dofasco Vinton Hyundai 2015 2018

  30. Slide 30: North America Metal Platform

    North America Metal Platform Positioned to Capture Non-Ferrous Strength in US Structural Drivers NAM Complementary Market Structures 12 Auto Shredders2 77 Sites • Growing exposure to high value non- • A greater proportion of NAM’s footprint is Non-Ferrous3 Sales Volume(kt) ferrous products. concentr

  31. Slide 31: Australia Ferrous Scrap Market

    Australia Ferrous Scrap Market Current & potential estimated scrap demand & • ~4 Mtpa of scrap and currently a net exporter of supply in Australia (in millions of metric tonnes) ferrous scrap. • Proposed upgrades in Port Kembla, Laverton Scrap Generated and Rooty Hill to drive an increase in domesti

  32. Slide 32: ANZ Metal Platform

    ANZ Metal Platform Foundational Strength Supporting Non-Ferrous Complementary Market Structures ANZ Sales Revenue FY26 ANZ Non Ferrous: Retail • Unique national feeder yard footprint. vs NFSR FY26 • Tailored collection/consolidation infrastructure. • Growing at source volumes. . Large-Scale Metropol

  33. Slide 33: Metal Medium-Term Growth Drivers

    Metal Medium-Term Growth Drivers North America Australia & New Zealand • Market Consolidation: Opportunity to pursue • Glenbrook EAF: Ramp-up expected to increase domestic complementary acquisitions that strengthen the metal scrap demand. recycling platform. • Greenfield development: Targeted bolt-o

  34. Slide 34: Outlook

    Outlook • SLS's first-half underlying EBIT is expected to be between $75 million and $90 million. While DDR4 market fundamentals remain strong, the timing of data centre decommissioning activities remains variable. • The factors that supported strong non-ferrous demand and prices in FY26 are expecte

  35. Slide 35: Questions & Answers

    Questions & Answers Cy .

  36. Slide 36: Appendix

    Appendix Cy .

  37. Slide 37: Product Segment Volumes

    Product Segment Volumes Intake volumes (‘000 tonnes) FY26 FY25 Change Intake volumes (‘000 tonnes) FY26 FY25 Change North America Metal 4,918 4,678 5.1% Ferrous Trading¹ 5,951 5,682 4.7% ANZ Metal 1,489 1,429 4.2% Non-Ferrous Trading 457 425 7.5% Total Proprietary Volumes 6,407 6,107 4.9% Global Tra

  38. Slide 38: Product Segment Revenues

    Product Segment Revenues Average Sims Metal Sales Price FY26 FY25 Change Ferrous 545.2 564.7 (3.5)% Non-Ferrous Shredder Recovery 3,097.4 2,964.6 4.5% Non-Ferrous Retail 5,607.9 4,513.8 24.2% Total Average Sims Metal Sales Price 1,012.0 937.1 8.0 % Sims Metal Sales Revenue ($m) FY26 FY25 Change Ferr

  39. Slide 39: Normal market charts

    Normal market charts 1. Ferrous2 2. HMS Vietnamese Ferrous Export Price3 500 500 USD/mt USD/mt 400 400 FY26 Average FY25 Average FY26 Average FY25 Average 300 300 Jul-24 Jan-25 Jul-25 Jan-26 Jul-24 Jan-25 Jul-25 Jan-26 3. Non-Ferrous4 4. Copper5 3000 14,000 Copper Price USD/mt FY26 Copper Average FY

  40. Slide 40: Group Profit & Loss

    Group Profit & Loss1 A$m FY26 FY25 Change Sales revenue 8,007.5 7,494.0 6.9% Statutory EBITDA 667.2 323.7 106.1% Underlying EBITDA² 727.8 430.0 69.3% Statutory EBIT 407.4 68.6 493.9% Underlying EBIT² 468.0 174.9 167.6% Net Interest expense (44.4) (33.7) (31.8)% Statutory tax (expense)/benefit (117.7

  41. Slide 41: North America Metal

    North America Metal A$m FY26 FY25 Change Sales Revenue 4,841.3 4,503.6 7.5% Trading Margin ($) 1,029.7 942.8 9.2% Trading Margin (%) 21.3% 20.9% 0.4 ppts Underlying EBITDA¹ 313.9 254.3 23.4% Depreciation 164.8 161.7 (1.9%) Amortisation 13.2 12.5 (5.6%) Underlying EBIT¹ 135.9 80.1 69.7% Assets 2,292.

  42. Slide 42: Investment in SA Recycling

    Investment in SA Recycling A$m FY26 FY25 Change Statutory EBITDA 714.9 459.3 55.6 % Underlying EBITDA 705.5 459.3 53.6 % Statutory EBIT 504.7 259.5 94.5 % Underlying EBIT 495.2 259.5 90.8 % Statutory EBITDA - Sims' Interest (50%) 357.5 229.7 55.6 % Underlying EBITDA - Sims' Interest (50%) 352.8 229.

  43. Slide 43: Australia & New Zealand Metal

    Australia & New Zealand Metal A$m FY26 FY25 Change Sales Revenue 1,776.0 1,575.5 12.7% Trading Margin ($) 370.7 375.5 (1.3%) Trading Margin (%) 20.9% 23.8% (2.9)ppts Underlying EBITDA¹ 117.5 134.2 (12.4%) Depreciation 61.4 61.6 0.3% Amortisation 0.3 0.4 25.0% Underlying EBIT¹ 55.8 72.2 (22.7%) Asset

  44. Slide 44: Global Trading

    Global Trading A$m FY26 FY25 Change Sales Revenue 633.1 987.2 (35.9%) Underlying EBITDA¹ (15.5) (2.4) (545.8%) Depreciation 1.0 1.1 9.1% Amortisation — — —% Underlying EBIT¹ (16.5) (3.5) (371.4%) Assets 176.9 203.9 (13.2%) Intake Volumes (‘000)² 1,085 1,242 (12.6%) Sales Volumes (‘000) 1,018 1,211 (

  45. Slide 45: Sims Lifecycle Services

    Sims Lifecycle Services A$m FY26 FY25 Change Sales Revenue 757.0 426.6 77.4% Underlying EBITDA¹ 190.3 45.9 314.6% Depreciation 17.3 11.7 (47.9%) Amortisation 0.3 1.6 81.3% Underlying EBIT¹ 172.7 32.6 429.8% Assets 213.0 163.4 30.4% Employees 1,062 974 9.0% A$m FY26 FY25 Change Revenue Resale 482.0 1

  46. Slide 46: Corporate & Other

    Corporate & Other A$m FY26 FY25 Change Sales Revenue 0.1 1.1 (90.9%) Underlying EBITDA¹ (113.9) (122.0) 6.6% Depreciation 1.5 2.1 28.6% Amortisation - 2.4 100.0 % Underlying EBIT¹ (115.4) (126.5) 8.8% Assets 249.7 402.0 (37.9%) Employees 111 100 11.0% 1 Underlying EBITDA and EBIT excludes significan

  47. Slide 47: Constant Currency Summary

    Constant Currency Summary A$m FY26 FY26 FY25 Change Actual Constant Currency Actual NAM Sales revenue 4,841.3 5,071.5 4,503.6 12.6% Trading Margin 1,029.7 1,078.6 942.8 14.4% Net Operating Costs (717.7) (751.8) (686.9) (9.4%) Underlying EBIT¹ 135.9 142.3 80.1 (77.7)% SA Recycling Sales revenue 6,455

  48. Slide 48: Financial Summary – Group

    Financial Summary – Group1 A$m FY26 FY25 Group Results Sales Revenue 8,007.5 7,494.0 Underlying EBITDA² 727.8 430.0 Underlying EBIT² 468.0 174.9 Underlying NPAT 289.1 83.1 Underlying EPS (cents per share) 147.7 42.5 Dividend (cents per share) 34.0 23.0 Balance Sheet Total Assets 4,742.5 4,446.1 Tota

  49. Slide 49: Financial Summary – Segment

    Financial Summary – Segment A$m FY26 FY25 Sales Revenue North America Metal 4,841.3 4,503.6 ANZ Metal 1,776.0 1,575.5 Sims Lifecycle Services 757.0 426.6 Global Trading Operations 633.1 987.2 Corporate & Other 0.1 1.1 Total 8,007.5 7,494.0 Underlying EBIT1 North America Metal 135.9 80.1 ANZ Metal 55

  50. Slide 50: Financial Summary – Segment (cont.)

    Financial Summary – Segment (cont.) A$m FY26 FY25 Proprietary sales tonnes (‘000) 1 North America Metal 4,802 4,751 ANZ Metal 1,532 1,590 UK Metal 0 421 Total 6,334 6,762 Underlying EBIT2 North America Metal 135.9 80.1 ANZ Metal 55.8 72.2 Total 191.7 152.3 EBIT / tonne ($/t) North America Metal 28.3

  51. Slide 51: Financial Summary – Product

    Financial Summary – Product A$m FY26 FY25 Sales tonnes (‘000) Ferrous Trading1 5,865 5,878 Non-Ferrous 469 463 Brokerage 1,243 1,260 Total 7,577 7,601 Sales Revenue2 Ferrous Metal 4,239.5 4,483.2 Non-Ferrous Metal 2,939.6 2,519.6 Sims Lifecycle Services 757.0 426.7 Secondary processing & other 71.4

  52. Slide 52: Significant Items

    Significant Items FY26 Pre- FY26 After- FY25 Pre- FY25 After- A$m Tax Total Tax Total Tax Total Tax Total Reported earnings 407.4 245.3 68.6 2.4 Significant items Asset write downs 58.0 43.4 45.1 34.0 Gain on business transactions (net of transaction — — (1.7) (2.5) costs and impact of discontinued

  53. Slide 53: Capital Management Framework

    Capital Management Framework OBJECTIVE Success Measures Context: Strategy • Must remain dynamically ROIC/EPS responsive to the cycle ST Y • Inherent market volatility: G RA TE TE RA G • Conservative and ST Y Dividends flexible (25-35% Payout) Capital Operating • Balance sheet strength Allocation Val

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