Slide 1: FY11 Results Presentation
For personal use only Imdex Limited FY11 Results Presentation 15 August 2011 Bernie Ridgeway – Managing Director Paul Evans – Chief Financial Officer FY11 Results Presentation – 15 August 2011 1
Slide 2: Disclaimer
Disclaimer For personal use only This presentation has been prepared by Imdex Limited (“the Company”). It contains general background information about the Company’s activities current as at the date of the presentation. It is information given in summary form and does not purport to be complete. Th
Slide 3: Today's presenters
Today’s presenters For personal use only Bernie Ridgeway Paul Evans Managing Director Chief Financial Officer / Company Secretary FY11 Results Presentation – 15 August 2011 3
Slide 4: Today's agenda
Today’s agenda For personal use only Overview Bernie Ridgeway FY11 financial performance Paul Evans Operational review Bernie Ridgeway Minerals Division Oil & Gas Division Strategy and outlook Bernie Ridgeway FY11 Results Presentation – 15 August 2011 4
Slide 5: Imdex's best ever results
Imdex’s best ever results For personal use only Record revenue and EBITA Record financial performance in all major mining regions Record number of Reflex instruments on rent Business structured to enable immediate response to increased demand Exciting technology development and new product pipeline
Slide 6: Exceptional financial performance
Exceptional financial performance For personal use only Key indicator FY10 FY11 Change Revenue $134.3m $205.2m 53% EBITA (excl non-operational items) $20.7m $48.1m 132% NPAT (excl non-operational items) $9.8m $29.0m 196% Operating cash flow $5.7m $35.9m 530% Gearing (net debt / capital) 19.6% 13.4%
Slide 7: Record revenue
Record revenue For personal use only Revenue * ($m) 205.2 53% on FY10 44% on pre GFC record revenue of $142m 142.0 Minerals 137.0 134.3 87% of total revenue 103.8 Strong performance Minerals Oil & Gas 52.8 13% of total revenue Solid performance given O&G floods impact in central and FY06 FY07 FY08 F
Slide 8: Record EBITA
Record EBITA For personal use only EBITA * ($m) 48.1 132% on FY10 38.8 Strong minerals performance in all major mining regions drove EBITA growth 24.5 22.3 20.7 24% on pre GFC record of $38.8m EBITA margins continued to 7.4 improve to 23.5% O&G FY06 FY07 FY08 FY09 FY10 FY11 * excludes discontinued o
Slide 9: Profit & loss
Profit & loss ($millions) FY10 FY11 Var % For personal use only Revenue (excl interest income) 134.3 205.2 53% EBITDA 24.9 53.8 116% Depreciation (4.2) (5.7) 37% EBITA 20.7 48.1 132% Amortisation (6.4) (6.8) 7% Net interest expense (0.7) (2.8) 260% Tax expense (3.8) (9.5) 154% NPAT before non recurr
Slide 10: Strong balance sheet
Strong balance sheet ($millions) Jun 10 Jun 11 Strong cash position For personal use only Net cash 9.0 18.4 Receivables 41.2 50.2 Invested in working capital Inventory 28.6 40.6 to support increased Investment in SEH 6.8 16.1 sales/rentals Fixed assets 13.6 17.3 Intangibles 50.0 55.9 Investment in S
Slide 11: Minerals Division
Minerals Division 60% on FY10 Record mining Reflex fleet numbers For personal use only 177.7 Revenue * ($m) Africa Reflex continues to gain market 17% share 125.0 AMC brand rolled out globally Americas Americas 26% 108.9 111.2 26% Regional structure delivering cross 96.6 Europe selling advantages 3%
Slide 12: Record Reflex rental fleet
Record Reflex rental fleet For personal use only Tools on Hire Jun 11 Jun 08 Jun 09 Jun 10 Dec 08 Dec 09 Dec 10 Feb 11 Aug 08 Aug 09 Aug 10 Apr 08 Oct 08 Apr 09 Oct 09 Apr 10 Oct 10 Feb 08 Feb 09 Feb 10 Apr 11 Reflex rental fleet at June 2011 79% on previous peak in July 2008 Seasonal slowdowns over
Slide 13: Acquisition of Australian Drilling Specialties (ADS)
Acquisition of Australian Drilling Specialties (ADS) Purchase price $12.0m, $6.0m cash and $6.0m shares on settlement For personal use only Will be immediately earnings accretive Effective date 1 July 2011 Unaudited results for FY11 • Turnover $9.3m • EBITA $2.4m Benefits to the Imdex Group • Enhanc
Slide 14: Acquisition of System Mud (Brazil)
Acquisition of System Mud (Brazil) Purchase price ~$9.0m For personal use only • ~$4.0m cash and ~$3.9m shares on settlement (@ $2.40 per share) • ~$1.1m in cash/shares after 2 years (@ $3.50 per share) Will be immediately EPS accretive Effective date 1 August 2011 Forecast CY11 results • Turnover $
Slide 15: Oil & Gas Division
19% on FY10 Oil & Gas Division Fluids & chemicals impacted by Revenue * floods in Australia For personal use only ($m) Instrumentation services growth via 28.0 DHS JV (oil & gas globally) 27.5 Continued product development on 23.1 existing/new instrumentation Integration of Mud-Data into AMC brand c
Slide 16: On track with strategy
On track with strategy For personal use only Past FY11 Medium Term End market 2 13% Oil & Gas Minerals 87% Instruments Profit 1 32% Fluids 68% Services Rent / Sell Sales 31% mix 2 Rentals 69% ¹ Based on actual or anticipated EBITA 2 Based on actual or anticipated Revenue FY11 Results Presentation –
Slide 17: Increasing estimated global exploration spend
Increasing estimated global exploration spend (non-ferrous) (US$Bn) 22.5 For personal use only 20.8 20.4 19.0 19.3 18.0 17.1 16.0 13.2 11.5 10.4 7.5 7.7 5.1 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Source: Metals Economics Group (2005-2011); Mckinsey analysis (2012-2018)
Slide 18: Key business drivers and outlook
Key business drivers and outlook Mineral exploration Even after recent volatility in global financial For personal use only spend markets, commodity prices remain robust Exploration activity levels and spend currently at record levels Client rig utilisation % Current high utilisation levels expected
Slide 19: Summary
Summary • FY11 – Imdex’s best ever results For personal use only • Record revenue and earnings • Record Reflex rental numbers • Strong balance sheet • Record operating cash flows • Full year dividend of 4.5 cents per share • Attractive growth opportunities to drive further growth • Mud-Data acquisit