Perenti Limited · ASX:PRN
Perenti — H1 2025 Earnings Presentation
21 slides from Perenti's earnings presentation, Feb 24, 2025
Slide 1: 1H25 Results Presentation
1H25 Results Presentation February 2025 1 Perenti Limited ABN 95 009 211 474
Slide 2: Important notice and disclaimer
Important notice and disclaimer This presentation and these materials (together the “Presentation”) have been prepared by Perenti Limited ABN 95 You should consult your own advisors as to legal, tax, financial and related matters and conduct your own 009 211 474 (ASX:PRN) (“Perenti”) as a summary of
Slide 3: Our Purpose
Our Purpose At Perenti, our purpose is to create enduring value and certainty. We empower our people, care for our communities and collaborate with our clients to deliver smarter solutions for a better future. Ultimately our focus on our people, communities and clients delivers value for our shareho
Slide 4: Global portfolio of mining services
Global portfolio of mining services CONTRACT MINING Through effective management of a portfolio of businesses that serve our clients, we safely generate consistent and strong cash flows through economic cycles to create superior shareholder returns and enable long-term growth. DRILLING SERVICES 65 %
Slide 5: 1H25 | In-line with expectations for FY25 guidance
1H25 | In-line with expectations for FY25 guidance REVENUE LEVERAGE2 • Revenue of $1,730 million in 1H25 exceeds the previous record from 2H24. $1.73B 6% on 1H24 0.9x Flat vs 1H24 • EBITDA, EBIT(A) and NPAT(A) have all increased in-line with the expected 1H/2H skew. EBITDA INTERIM DIVIDEND • Peren
Slide 6: 1H25 | Operational Highlights
1H25 | Operational Highlights Safety of our people remains our paramount objective • Following the outcomes of the Safety Taskforce, multiple initiatives have been and continue to be implemented that are designed to enhance the safety-focused culture across Perenti. Improving results from Drilling S
Slide 7: Group Performance | Growth through market cycles
Group Performance | Growth through market cycles REVENUE EBITDA EBIT(A) EBIT(A) Margin $1,730M 6% vs 1H24 $323M 3% vs 1H24 $155M 5% vs 1H24 9.0% 13 bps vs 1H24 • Overall group performance has delivered record revenue showcasing the increased scale of the business and the benefit from the por
Slide 8: Contract Mining | Global scale provides business resilience
Contract Mining | Global scale provides business resilience REVENUE EBITDA EBIT(A) EBIT(A) Margin $1,250M 3% vs 1H24 $252M 2% vs 1H24 $134M 1% vs 1H24 10.7% 25 bps vs 1H24 • Contract Mining represents 72% of Group revenue and 75% of underlying EBIT(A) before corporate costs • Consistent perf
Slide 9: Drilling Services | Delivering to plan with upside ahead
Drilling Services | Delivering to plan with upside ahead REVENUE EBITDA EBIT(A) EBIT(A) Margin $388M 65% vs 1H24 $80M 67% vs 1H24 $43M 76% vs 1H24 11.1% 68 bps vs 1H24 • Drilling Services represents 22% of Group revenue and 24% of underlying EBIT(A) before corporate costs. • The strength of
Slide 10: Mining Services and idoba | Turnaround underway
Mining Services and idoba | Turnaround underway REVENUE EBITDA EBIT(A) EBIT(A) Margin $92M 9% vs 1H24 $12M 60% vs 1H24 $3M 81% vs 1H24 2.9% 10.7 pp vs 1H24 22 7.6% 8 • Mining Services and idoba represents 5% of Group revenue and 1.5% of underlying EBIT(A) before corporate costs. • BTP was pr
Slide 11: People | The foundation of our business
People | The foundation of our business Our most important responsibility is to ensure the safety of our people. The implementation of safety initiatives continued during the first half of FY25 to build a culture of safety and respect. Safety highlights during 1H25 included: • Increased critical con
Slide 12: Financial Results | Underlying profit and loss
Financial Results | Underlying profit and loss $M 1H24 1H25 Change • Revenue of $1,730 million is a new half year record for Perenti. Revenue 1,632.2 1,730.4 6.0% • EBITDA was up 3.3% pcp and EBIT(A) up 4.5% compared to the pcp. EBITDA 312.4 322.7 3.3% • Drilling Services and Contract Mining rep
Slide 13: Financial Results | Reconciliation to statutory
Financial Results | Reconciliation to statutory $M REVENUE EBITDA EBIT(A) NPAT(A) • The statutory profit for 1H25 included several “non-underlying" items in Underlying results 1,730.4 322.7 155.1 81.7 the reconciliation table. Margin (%) - 18.6% 9.0% 4.7% Add non-underlying items below • Divisional
Slide 14: Financial Results | Cash flow and cash conversion
Financial Results | Cash flow and cash conversion $M 1H24 1H25 Change 1H25 (A)2 • Cash conversion of 71% impacted by $42.4 million of debtor receipts Operating cash flows (before interest and tax) 246.7 228.9 7% 271.3 received in early January 2025. Operating cash conversion1 79% 71% 8 pp 84%
Slide 15: Financial Results | Liquidity and capital management
Financial Results | Liquidity and capital management $M 31 Dec 2023 30 Jun 2024 31 Dec 2024 US guaranteed senior notes (A$) 2025 expiry 635.8 303.6 166.2 US guaranteed senior notes (A$) 2029 expiry — 523.8 565.6 Syndicated Debt Facility 262.6 70.0 102.3 Asset finance and other funding 52.4 31.3 29.2
Slide 16: Capital Management | Enhancing shareholder value
Capital Management | Enhancing shareholder value • Since successfully reducing leverage1 under 1.0x, Perenti has generated significant returns to shareholders using the strong cash flow generation of the business. • During the last 12 months, ~$250 million has been allocated to either debt reduction
Slide 17: Outlook | Work-in-hand and Pipeline
Outlook | Work-in-hand and Pipeline Work in Hand remains strong with multiple near-term opportunities to increase contracted value in FY25. Work in Hand1 Pipeline Work in Hand1 Pipeline Work in Hand1 Pipeline Region Operation Commodity ($ billions) ($ billions) ($ billions) ($ billions) ($ billions)
Slide 18: FY25 | Guidance reaffirmed and positioned for growth
FY25 | Guidance reaffirmed and positioned for growth Multiple years of growth has built a resilient portfolio of businesses with significant scale and free cash flow, enabling: • Reduction in gross debt to reduce interest costs over time; • Funding of capital expenditure to sustainably grow earnings
Slide 19: Thank you
Thank you 19
Slide 20: Appendix | Underlying Financials
Appendix | Underlying Financials Group ($M) 1H24 1H25 Change (YoY) Contract Mining ($M) 1H24 1H25 Change (YoY) Revenue 1,632.2 1,730.4 ▲ 6.0% Revenue 1,295.5 1,250.3 ▼ 3.5% EBITDA 312.4 322.7 ▲ 3.3% EBITDA 256.7 251.8 ▼ 1.9% EBIT(A) 148.5 155.1 ▲ 4.5% EBIT(A) 135.5 133.9 ▼ 1.2% NPAT(A) 78.5 81.7 ▲ 4
Slide 21: Appendix | 1H25 revenue breakdown
Appendix | 1H25 revenue breakdown Revenue by Project (%) Group Underground Surface Mining Services1 Drilling Services Top Project 7% 12% 41% 76% 7% Top 2 – 10 projects 43% 64% 59% 15% 34% Top 11-20 projects 20% 21% – 4% 18% All others 30% 3% – 5% 41% Revenue by Country (%) Australia 50% 43% — 80% 92