Slide 1: FY21 Results Presentation
DURATEC LIMITED FY21 RESULTS PRESENTATION 27 AUGUST 2021
Slide 2: Important notice and disclaimer
Important notice and disclaimer This presentation has been prepared by Duratec Limited (ACN 141 614 075) ("Duratec", "Duratec Group" and the "Company"). The information contained in this presentation is for information purposes only. TThe information contained in this presentation is not investment
Slide 3: Duratec Overview
Duratec Overview Leading Australian engineering, construction and remediation contractor Industry leader with specialist technical expertise Leading contractor to the Defence sector, on 37 bases nationally, a key strategic growth driver Also active in Buildings & Facades, Mining & 1621 725 17 Pro
Slide 4: FY21 Summary
FY21 Summary Challenging year – poised for strong FY22 Challenging Year • COVID-19 created logistical challenges in delivering projects and delayed contract awards, especially Defence and Buildings & Façades • Government stimulus spending increased, but typically smaller contract awards • Duratec de
Slide 5: Corporate Snapshot
Corporate Snapshot National leader with experienced board and management Capital Structure Share Price and Volume since IPO ASX Code DUR 0.7 9,000,000 0.6 8,000,000 Shares on issue 237.4m 7,000,000 Volume (M shares) 0.5 6,000,000 Last Price ($) Share price as at 24 August 2021 44.0c 0.4 5,000,000 Ma
Slide 6: Financial Results
Financial Results
Slide 7: FY21 Financial Highlights
FY21 Financial Highlights Resilient result in a challenging year EPS Revenue2 EBITDA1 NPAT1 3.10 cents per share $235.7m $18.8m $8.6m Dividend 1.50 cents per share Margin 8.0% Margin 3.7% fully franked Post IPO dividend Order Book Tendered Strong Pipeline3 Cash $236.2m $657.2m $2.2b $41.2m up from $
Slide 8: FY21 Financial Result
FY21 Financial Result Resilient result in a challenging year FY21 FY20 Variance Satisfactory performance in FY21 Revenue $235.7m $247.3m (4.7%) Lower revenue due to: Reported EBITDA $15.9m $22.4m (28.8%) • Delays in contract awards, particularly in Defence and Buildings & Facades partially offset by
Slide 9: Revenue by Region and Operating Segment
Revenue by Region and Operating Segment1 Maintained business diversification FY21 down 4.7% compared to PCP (but 17.6% increase over FY19) 247.3 235.7 200.4 Average gross margin 19.4%, consistent with PCP 119.9 112.8 67.2 Key drivers for change 126.3 45.2 Western Region1 133.2 127.3 122.9 81.1 • Slo
Slide 10: DDR Australia Pty Ltd (DDR)
DDR Australia Pty Ltd (DDR) Significant contributor in FY21 DDR Revenue ($m) (100% of business) Equity accounted investment owned by: Duratec (49%) and Dundee Rock (51%) $50.7 Provides meaningful work and training opportunities to Aboriginal and Torres Straits people $33.4 Delivered $45.9m in Supply
Slide 11: Operational Highlights
Operational Highlights DURANTE
Slide 12: FY21 Operational Highlights
FY21 Operational Highlights Strengthened the platform for growth Zero lost time injuries and continued investment to foster a culture of ZERO HARM Safe & Sustainable Operations Solid financial result in challenging conditions No JobKeeper assistance received Key market segments remain very active, s
Slide 13: FY21 Projects Delivery
FY21 Projects Delivery Key sector and project overview Core Service Offerings FY21 Projects Defence RAAF Base Richmond works, Fisherman's Bend building refurbishment, Gallipoli Barracks fuel installation works, HMAS Stirling works, Oakey fire safety, RAAF Pearce building & electrical, RAAF Williamst
Slide 14: HSECQ Overview
HSECQ Overview Working towards ZERO HARM No Lost Time Injury (LTI) recorded in FY21 Established Safety Culture Committee to escalate and address issues across the business Mental Health First Aid Training implemented to better equip team leaders Federal Safety Accreditation Implementation of new sys
Slide 15: Operational Outlook
Operational Outlook Strong activity across key sectors Defence • Sustainment spending forecast to more than double over the next decade Mining & Industrial • Teams well positioned nationally to meet increasing demand for remediation and life extension of ageing infrastructure • Clients increasingly
Slide 16: Outlook
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Slide 17: Orderbook and Pipeline
Orderbook and Pipeline Diversified across industry sector and geographies and growing Orderbook1,3 Tendered2 Identified Opportunities2 10% 15% 7% 31% 32% $236.2m 47% 15% Excluding MSA’s of $657.2m $2.2b 49% circa $40m pa 36% 19% 18% 21% from $145.0m at 31 July 2020 from $392.0m at 31 July 2020
Slide 18: Positive Business Outlook
Positive Business Outlook Well positioned for growth in FY22 Key macro themes and demand drivers that support Duratec’s organic growth continue: • Strong commodity prices and high volumes underpin increased resource sector investment • Government infrastructure stimulus spending, including Defence n
Slide 19: Appendices & Case Studies
APPENDICES & CASE STUDIES
Slide 20: Appendix 1 - Financial Information Reconciliation
Appendix 1 - Financial Information Reconciliation Reconciliation of Statutory Reported results to Normalised results Reported EBITDA Reconciliation (#039;000) FY2021 FY2020 Normalised EBIT – Reconciliation ($’000) FY2021 FY2020 Profit before income tax 10,032 17,960 Reported EBIT 10,691 18,547 Deprecia
Slide 21: Case Studies
Case Studies
Slide 22: Department of Defence - HMAS Stirling Armament Wharf Extension
Department of Defence - HMAS Stirling Armament Wharf Extension Marine Construction Scope • Stage 1: A 156m long wharf extension to the existing Armament Wharf comprising a reinforced concrete wharf deck supported by steel driven piles, a berthing dolphin and two mooring dolphins. In addition to the
Slide 23: City of Sydney - Woolworths Building Facade Remediation
City of Sydney - Woolworths Building Facade Remediation Heritage Remediation Scope • Supply and installation of safe access system • Stripping of all paint from render • Repairing of render and concrete, and repainting • Removal of existing Plasteel windows to eighth and ninth floors • Stripping of
Slide 24: Rio Tinto - Iron Ore Sustaining Capital Structural Integrity
Rio Tinto - Iron Ore Sustaining Capital Structural Integrity Maintenance - Structural Integrity Scope • Utilising an in-house scaffolding team to build access platforms to work areas • Carrying out of non-destructive testing of concrete and steel work • Analysis of steelwork to determine cross secti