Imdex Ltd · ASX:IMD
Imdex — Macquarie Western Australia Forum 2022
27 slides from Imdex's conference presentation, Nov 30, 2022
Slide 1: ASX cover letter: Macquarie Western Australia Forum Presentation
IMDEX LIMITED | ABN 78 008 947 813 216 Balcatta Rd, Balcatta WA 6021 Australia PO Box 1262, Osborne Park WA 6916 Australia +61 8 9445 4010 imdexlimited.com 30 November 2022 For personal use only Company Announcements Office ASX Limited Exchange Centre 20 Bridge Street SYDNEY NSW 2001 Dear Sir / Mada
Slide 2: Macquarie Western Australia Forum
For personal use only Macquarie Western Australia Forum PAUL HOUSE CEO PAUL EVANS,CFO Classification | Restricted
Slide 3: Forward Looking Statements
Forward Looking Statements For personal use only THIS PRESENTATION MAY CONTAIN CERTAIN ‘FORWARD-LOOKING STATEMENTS’ AND RESULTS OR TRENDS TO DIFFER MATERIALLY, INCLUDING BUT NOT LIMITED TO PROJECTIONS PROVIDED BY OR ON BEHALF OF IMDEX LIMITED (IMDEX). FORWARD RETENTION OF KEY BUSINESS RELATIONSHIPS,
Slide 4: Presentation overview
For personal use only PRESENTATION THE IMDEX BUSINESS MODEL OVERVIEW GROWTH STRATEGY AN UPDATE ON OUR KEY INDUSTRY DRIVERS FY23 FOCUS AREAS AND OUTLOOK 3
Slide 5: IMDEX is a leading global mining-tech company
For personal use only IMDEX is a leading global mining-tech company. We are uniquely positioned to enable clients to find, define and mine orebodies with precision, confidence and at speed. 4
Slide 6: Our Integrated Solutions
Our Integrated Solutions For personal use only • Drilling Fluids Our Drilling Optimisation DRILLING suite of products enhance • Solids Removal Units OPTIMISATION SALES AND drilling productivity while • Remote Fluid Testing Technologies PERFORMANCE PRODUCTS improving safety and the • Rig Alignment Te
Slide 7: Our Commitment to Technology Leadership
Our Commitment to Technology Leadership For personal use only TOTAL R&D SPEND* ($m) DISCIPLINED R&D 35 20% CAPITAL ALLOCATION 19% 18% 30 HORIZON 1 - Developing the next generation of our existing 17% product suite to maintain and grow our core market (impacting 16% revenues in current year) 25 15% 1
Slide 8: Our Value Proposition
Our Value Proposition For personal use only TIMELY INFORMATION FOR CRITICAL DECISION MAKING QUALITY DATA REPRESENTIVITY TIME SAVINGS • Industry leading sensors • Cost effective methods • Actionable information allowing data to be collected in real-time • QA/QC at point of data for every metre drille
Slide 9: Our Stronger Revenue Profile
Our Stronger Revenue Profile For personal use only SENSORS & AMERICAS BROAD COMMODITY SOFTWARE EXPOSURE ^ 10% 7% 42% 27% 24% 8% 15% 56% 34% 29% 30% 35% 58% 39% 47% 45% 50% 32% 44% 8% FY17 FY22 FY17 FY22 FY17 FY22 SALES IMDEX HUB-IQ™ CONNECTED AMERICAS EUROPE/ GOLD IRON ORE SENSORS & SOFTWARE AFRICA
Slide 10: Our Strong Core Business Model
Our Strong Core Business Model For personal use only A STRONG OUTPERFORMING ABILITY TO ESTABLISHED FINANCIAL INDUSTRY ACCELERATE GLOBAL CLIENT PLATFORM GROWTH ORGANIC GROWTH NETWORK FY22 revenue of $341.8m and EBITDA of 5-year revenue CAGR 14% Maintain technology leadership An unparalleled global fo
Slide 11: Our Strong Financial Platform
Our Strong Financial Platform For personal use only REVENUE EBITDA EBITDA MARGIN% 14% 27%++ 5 YEAR 5 YEAR CAGR** CAGR (Comparable S&P CAGR 9%**) 218.5 243.7 237.7 264.4 341.8 42.4+ 52.3+ 54.4* 75.5*^ 104.9*^ 22.2++ 23.9++ 22.9 28.5 30.7 $m $m % FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18
Slide 12: Growth Strategy
For personal use only Growth Strategy 11
Slide 13: Drivers to Deliver Our Strategy
Drivers to Deliver Our Strategy For personal use only NEW PRO DUCT S, NEW PRO DUCT S, NEW 1. TECHNOLOGY LEADERSHIP SENSO RS AND SENSO RS AND Targeted R&D to win market share SOFT W AR E SOFT W AR E PRODUCTS / TECHNOLOGIES 2. EXTENSION INTO MINING PRODUCTION Leverage into this adjacent market where i
Slide 14: IMDEX Mining Technologies – Customer Value Offering
IMDEX Mining Technologies – Customer Value Offering EXAMPLE DOWNSTREAM BENEFITS FOR IMPROVED RESOURCE STEWARDSHIP For personal use only Drilling Planning Blasting Mining Stock Piling and Blending Processing INDUSTRY • Drill hole stability • Imprecise geology • Sub-optimal blasting • Fully capturing
Slide 15: The Size of the Opportunity
The Size of the Opportunity BLAST DOG – A UNIQUE ROBOTIC LOGGING SERVICE For personal use only BLAST DOG TM BUSINESS GROWTH PHASE 1 WHY ENTER THE MINING PRODUCTION MARKET? • Substantially larger than the exploration and development market and 1200 less subject to cyclical impact TAM • Embedded into
Slide 16: Transfer of Blast Hole Data to IMDEX HUB-IQ
Transfer of Blast Hole Data to IMDEX HUB-IQTM For personal use only QUALITY DATA • Industry leading sensors • QA/QC at point of data collection • Digital workflows remove risk of human error • AI and machine learning remove human subjectivity REPRESENTIVITY • Cost effective methods allowing addition
Slide 17: The Glass Bench – Richer Data
The Glass Bench – Richer Data For personal use only • Resource and grade control drilling • Blast hole drilling • Wide spacing 50 – 200m • Narrow spacing 5 – 10m • 1 – 2m sample intervals • 1cm sample intervals • Resource defined with limited data • Resource defined with expanded data 17
Slide 18: The Glass Bench – Precision Mining
The Glass Bench – Precision Mining For personal use only Before After • Large Bulk Mining Equipment • Small Autonomous Mining (Swarm) • Large Minimum Mining Unit (10 – 20m) • Reduced Minimum Mining Units (<5m) • Decreased Blasting Precision • Elevated Blasting Precision • Reduced Resource Recovery •
Slide 19: The Australian news article on Rio Tinto smaller trucks
THE AUSTRALIAN NEWS 14 O CT O BER 2022 For personal use only Thinking small could revolutionise the way But Rio thinks the Scania trucks…can deliver ore to its processing plants more cheaply than big rigs, and help the Rio Tinto runs its giant company extend the life of its Pilbara operations, as we
Slide 20: Precision Mining and Our MINEPORTAL Software
Precision Mining and Our MINEPORTALTM Software For personal use only GRANULAR DATA TO SUPPORT MWD VISUALISATION IN MINEPORTAL PRECISION MINING OVERLAID WITH AUTO BUILT BLOCK-MODEL 20
Slide 21: FY23 Outlook
For personal use only FY23 Outlook 21
Slide 22: Positive Start to FY23
Positive Start to FY23 Record quarterly revenue For personal use only 1Q REVENUE Average sensors on hire up 105.9* 13% on 1Q22 and 9% on 86.8 4Q22 67.3 67.6 22%* 1Q23 ARPU increased 3% 61.4 1Q23 REVENUE ON 1Q22 54.6 (19% at constant currency) over 2H22 Sensor & SaaS represent 12%* 59% of 1Q23 revenu
Slide 23: An Update Around Our Regions
An Update Around Our Regions 1Q23 REVENUE GROWTH AND ACTIVITY BY REGION* NORTH AMERICA For personal use only Increased drilling programs planned for CY23 in USA – focus on near mine operations. High demand for skilled labour contributing to rig fleet upgrade and renewal. Activity in Canada consisten
Slide 24: Robust Industry Fundamentals
Robust Industry Fundamentals Global non-ferrous exploration budgets remain ~45% lower than the peak and are forecast to For personal use only increase in C24. WORLD EXPLORATION The global commitment towards net zero Aggregate nonferrous exploration budget emissions and the resultant demand for criti
Slide 25: FY23 Focus Areas
FY23 Focus Areas For personal use only PROTECT INCREASED INVESTMENT OUR PEOPLE IN IMDEX MINING AND DEVELOPING TECHNOLOGIES AND OUR TEAM SOFTWARE INVESTMENT IN OUR CORE BUSINESS MODEL INVEST IN DIGITAL 2.0 TO AND MAINTAIN OUR OPTIMISE COST BASE, DISCIPLINED APPROACH BUILD SCALE AND TO PRODUCT FURTHER
Slide 26: Summary
Summary For personal use only A STRONG START LONG-TERM GROWTH TO FY23 DRIVERS ARE STRONG Record quarterly revenue, up 22% on 1Q22 Diminishing reserves Average sensors on rent up 13% on 1Q22 Demand heightened by decarbonisation targets Strong demand for IMDEX product portfolio Prices remain above lev
Slide 27: Thank you
Thank For personal use only you. For further information, please contact Kym Clements Investor Relations Officer kym.clements@imdexlimited.com