Imdex Ltd · ASX:IMD
Imdex — Euroz North West Shelf Conference 2006
23 slides from Imdex's conference presentation, Oct 12, 2006
Slide 1: ASX cover letter - Company Presentation
12 October 2006 Company Announcements Office Australian Stock Exchange Limited Exchange Centre 20 Bridge Street SYDNEY NSW 2001 Dear Sir/Madam Company Presentation l attach a copy of the company presentation to attendees of the Euroz North West Shelf Conference 2006 today in Karratha. Yours Faithful
Slide 2: Imdex Limited
IMDEX LIMITED “Australia’s Global Drilling Products & Services Company” E U RO Z Karratha, 12 October 2006 imde JRITIES LIMETED : SECL
Slide 3: Company Overview
COMPANY OVERVIEW Imdex is a Perth based, ASX listed industrial company specialising in supplying drilling products and services to the mining, oil & gas, water well and civil industries in Australia and internationally Market leader status in many of our disciplines (eg. wireless steering - tool for
Slide 4: Corporate Structure
CORPORATE STRUCTURE Australian Mud Samchem Surtron Ace Drilling Chardec Reflex Company Technologies Supplies Consultants Instruments
Slide 5: Imdex Worldwide
IMDEX WORLDWIDE Fifi « New Caledonia South Africa prew Zealand
Slide 6: Highlights for FY06
HIGHLIGHTS for FY06 * Operating revenue up 43% = EBIT up by 77% on FY05 » NPAT strong at $8.0m, up 91% on last year . Earnings per share up 66% to 6.1 cents per share * Interim fully franked dividend of 1 cent per share and repeated at full year » Bank debt repaid at 31 December 2005 * Robust cash p
Slide 7: Highlights for FY06
HIGHLIGHTS for FY06 * Continued globalisation of the Drilling Fluids & Chemicals business (Australian Mud Company and Samchem) saw revenue growth of 80% and EBIT growth of 91% * Drilling Products and Services (Surtron Technologies and Ace Drilling Supplies) revenue grew by 48% and generated EBIT gro
Slide 8: Results Summary
RESULTS SUMMARY 2006 = 2005-=S «2004 *» Revenue up 43% Year Ended 30 June $000's $000's $ 000's to $66.8m Revenue 66,792 46,835 39,800 * arate $60 up 43% 18% 9 fo 96.0m EBITDA 14,412 6,888 (1,300) ™ EBIT increased to $12m in FY06 109% = 630% (118%) includes: EBIT 11,982 5,498 (3,200) « . 118% 272% s
Slide 9: Balance Sheet
BALANCE SHEET 30-Jun-06 30-Jun-05 $ 000's $ 000's Cash 6,421 103 Receivables 18,798 13,918 Inventory 9,707 7,030 Financial assets 124 1,475 Property, plant & equipment 9,967 5,890 Intangible assets». 3,219 12 Other assets : 4,512 533 Non current assets held for sale - 6,453 Total Assets 52,748 35,41
Slide 10: Australian Mud Company
AUSTRALIAN MUD COMPANY Drilling Fluids & Chemicals Division = - AMC supplies drilling fluids, chemicals and technical services to the mineral exploration, oil and gas, civil, water well, and horizontal directional drilling industries in Australia & internationally «Drilling fluids — cool & lubricate
Slide 11: Samchem
SAMCHEM Drilling Fluids & Chemicals Division » Samchem manufactures and markets drilling fluids & chemicals to the drilling industry in South Africa and greater Africa ». Acquired 1 August 2005 and has been . _ progressively integrated.into the Imdex Group — business performing well " ExcellentR &D
Slide 12: Samchem's Rotafoam dust suppressant
Samchem’'s: Rotafoam dust suppressant Rotafoam added to conveyors/transfer points reduces wind-borne dust
Slide 13: Samchem's Rotafoam dust suppressant
Samchem’'s: Rotafoam dust suppressant Rotafoam added during ship loading reduces wind-borne dust
Slide 14: Surtron Technologies
SURTRON TECHNOLOGIES Drilling Products & Services Division | URTRON| ECHNOLOGIES. “= Surtron is Australia’s market leader in the provision of geophysical logging, down hole surveying and steering for directional drilling = Logging activities at record levels — iron ore industry in Pilbara » Down ‘ho
Slide 15: Ace Drilling Supplies
ACE DRILLING SUPPLIES Drilling Products & Services Division oe g €Ace Drilling -= Ace markets drilling consumables, down hole motors and down hole survey cameras to the mining, exploration and drilling ‘industries in Australia and internationally «Patent granted on successful core orientation tool f
Slide 16: Reflex Instruments
REFLEX INSTRUMENTS Drilling Products & Services Division « Reflex offers highly accurate surveying instruments that provide reliable information about the actual location and direction of drill holes in mining, exploration and construction. «.. Excellent reputation in market place and leading techno
Slide 17: Chardec Consultants
CHARDEC CONSULTANTS —_ . ae CHA RD EsC consuvtanrs wives Drilling Products & Services Division === =" Chardec, based in UK; manufactures the current Reflex range of products and owns much of the IP of those products « Provides Imdex with its own product development and manufacturing facility " Deliv
Slide 18: Investment in Sino Gas & Energy
INVESTMENT IN SINO GAS & ENERGY " Sino Gas & Energy (SGE) focused on becoming an energy company in China — China’s thirst for energy is insatiable " Attractive earn-in with Chevron (CVX) - >5,500 km2 — Tight gas sands, conventional CBM. GIIP of approx. - 8Tcf. Current TGS/CBM drilling program yieldi
Slide 19: Imdex Snapshot
IMDEX SNAPSHOT Current Share Price 77.00 ¢ Number of shares 141.04 m Market capitalisation 108.60 m EBITDA 14.51 m Depreciation & amortisation (2.43) m EBIT. 12.08 m NPAT 7.98 m Basic.eamings per share 6.07 ¢ Earnings per share growth 66% Dividend per share 2.00 ¢ a Hoot Dividend yield 1.3% xan AT a
Slide 20: Looking Ahead
LOOKING AHEAD « Imdex linked to buoyant resources & energy sectors — precious metals, base metals, oil & gas, CBM and iron ore industries *" Continued expansion for the AMC business globally including Mexico, Central and South America, Africa and Russia . Samchem trading better and well positioned t
Slide 21: Global Exploration Spend
GLOBAL EXPLORATION SPEND Estimated Exploration Spend Worldwide $8.0 + Forecast $7.0 + Sep 06 D5 PA: $6.0 + : Worldwide Spend ($US billions) 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 1993 @ 1994 m@ 1995 @ 1996 @ 1997 @ 1998 @ 1999 @ 2000 @ 2001 m 2002 @ 2003 @ 2004 @ 2005
Slide 22: Looking Ahead
LOOKING AHEAD = More aggressive sales growth for the existing Reflex range of products and the launch of new leading edge products onto the market = Forecasting revenue growth of 45% (FY06 - $66.8m) with further EBIT margin improvement on FY06 which was15%. 1Q07 performance supports this forecast. »
Slide 23: Imdex is:
IMDEX is: An Australian global Drilling Products & Services Company: a service provider to the natural resources industries