Slide 1: Results for 6 months ended 30 November 2024
Pinpoint-Invest-Exit Results for 6 months ended 30 November 2024 Steve McQuillan, CEO Stephen King, CFO
Slide 2: Financial highlights
Financial highlights Group Revenue Gross Profit Margin Adjusted EBITDA £79.0m 30.0% £8.7m FY24 1H: £65.2m FY24 1H: 31.6% FY24 1H: £7.3m Net Debt** Adjusted Diluted EPS Interim Dividend* 12.0p 1.9p £8.9m 31 May 2024: FY24 1H: 11.7p FY24 1H: 1.8p Net debt £6.1m * Interim Dividend - Currently proposed
Slide 3: Our divisions and brands
Our divisions and brands Advanced Engineering Systems (AES) Medical and Industrial Imaging (MII) 2017 2019 2004 2012 2017 2018 2023 2019 2018 2021 2023 Revenue (£m) Adjusted EBITDA (£m) Revenue (£m) Adjusted EBITDA (£m) 11.0 2.2 76.8 63.7 8.5 1.5 (0.6) (1.7) FY24 H1 FY25 H1 FY24 H1 FY25 H1 FY24 H1 F
Slide 4: Strategy
Strategy Pinpoint Invest Exit • Focus on targeting highly • People • Return value to shareholders regulated markets. • Facilities and equipment • Fund new acquisitions • Grow existing businesses • Technology and IP • Fund research and through bolt-on acquisitions • Routes to market development of ne
Slide 5: Our proven strategy in action - Pinpoint
Our proven strategy in action - Pinpoint Strengthening the portfolio A Gear Metering Pump • The Group acquired the S&P assets for £4.1m in August 2023 • S&P manufacture specialist gear metering pumps • Extends product portfolio – including aftermarket offering • Modern, well-invested leased site in
Slide 6: Our proven strategy in action - Invest
Our proven strategy in action - Invest Developing world class products Vet dental 3D Xray scan • Adaptix – making compact 3D X-ray systems • Magnetica – making compact helium-free MRI systems • Initial markets are orthopaedic, veterinary and NDT* • High-quality product images commended by customers
Slide 7: Our proven strategy in action - Exit
Our proven strategy in action - Exit Building and returning shareholder value PB acquired for c£9m as part of HTG in 2017 Exit of PB for enterprise value of £35m in March 2021 Gross return on original capital investment almost 4X 3rd successful exit for Avingtrans since 2013 • Avingtrans is committe
Slide 8: Divisional priorities - AES
Divisional priorities - AES Advanced Engineering Systems (AES) division Hayward Tyler, Slack & Parr, Energy Steel • Markets • Nuclear – on-going life extension focus • Further contract wins in USA and EU “life extension” market • Next Generation – TerraPower contract advancing to plan • In discussio
Slide 9: Divisional priorities – AES (cont.)
Divisional priorities – AES (cont.) Metalcraft, Ormandy, Booth, Composite Products Ormandy AquaModule • Markets • Nuclear decommissioning (Metalcraft) • 3M3 box contact continuing to build production volumes • Defence (Booth) – on-going work on UK Government contracts • Infrastructure (Booth) – £36m
Slide 10: Divisional priorities - MII
Divisional priorities - MII Magnetica, Scientific Magnetics, Tecmag and Adaptix MRI scanner • Medical and Veterinary Imaging • Convergent orthopaedic / veterinary market focus • Total addressable imaging market estimate is circa $7bn • Further investments in Magnetica (MRI) and Adaptix (3D X-ray) •
Slide 11: Financial Highlights
Ds. Avingtrans Financial Highlights 11
Slide 12: Financial performance
Financial performance £m FY25 1H FY24 1H FY24 Revenue 79.0 65.2 136.6 Gross Profit 23.7 20.6 44.0 Gross Profit % 30.0% 31.6% 32.2% Adjusted EBITDA 8.7 7.3 14.0 Adjusted EBITDA % 11.0% 11.2% 10.3% Adjusted Profit before tax 4.5 4.4 7.4 Adjusted Profit after tax 4.0 3.9 6.2 Adj. Diluted EPS (pence) 12
Slide 13: Divisional Results
Divisional Results £m AES MII Central FY25 1H AES MII Central FY24 1H Revenue: Original equipment 51.3 1.9 - 53.1 40.7 1.3 - 42.0 Aftermarket 25.5 0.4 - 25.9 23.1 0.2 - 23.2 Total Revenue 76.8 2.2 - 79.0 63.7 1.5 - 65.2 Operating profit/(loss) 7.8 (2.6) (0.7) 4.5 5.5 (1.1) (0.8) 3.6 Adjustments: Exc
Slide 14: Balance Sheet
Balance Sheet £m FY25 1H FY24 1H FY24 Tangible fixed assets 29.1 28.5 29.6 Goodwill 27.9 28.5 27.9 Investments - - - Other intangibles 37.4 28.9 33.6 Deferred tax asset & pension surplus 4.2 1.5 3.8 Working capital 40.7 39.2 38.9 Provisions (2.0) (1.2) (1.8) Tax asset 0.1 0.4 0.1 Net debt incl. IFRS
Slide 15: Movement in net debt (£m)
Movement in net debt (£m) Advanced Engineering Medical & Industrial Central Net debt Systems Imaging The waterfall chart shows net debt movements based on 11.0 balances in the financial statements. Management believe that IFRS 16 lease liabilities are operational in nature rather than financial debt
Slide 16: Dividend growth (pence per share)
Dividend growth (pence per share) Suspended due to Covid-19 2.9 2.8 2.6 2.4 2.3 2.2 2.1 2.0 4.0 1.7 1.8 1.9 1.4 1.6 1.1 1.2 1.3 1.0 - FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 Interim Final 16
Slide 17: Summary
Summary H1 FY25 - on target to deliver full year expectations Results improving, in particular at Hayward Tyler and Ormandy Results resilience is underpinned by the Group’s regional supply chains and regional sales of products Order book: best order cover position since before the pandemic
Slide 18: Appendix Background Info
Ds. Avingtrans Appendix Background Info 18
Slide 19: Our locations and employees (31 December 2024)
Our locations and employees (31 December 2024) UK 737 China USA 172 India 62 11 Australia 41 19
Slide 20: Our values
/ Avingtrans Our values A High Performance Business Integrity Quality Agility We mean what we say and do what we say we Right first time, on time. Our products and We adapt rapidly and cost effectively - in will do, with respect for all concerned services have enduring value to our customers respons
Slide 21: Environment, Social and Governance (ESG)
Environment, Social and Governance (ESG) • Our goal is to ensure sustainability is embedded into our pinpoint-invest-exit business strategy. Our approach to sustainability is aligned with the UN’s Sustainable Development Goals (SDGs). We consider the following to be our priorities: Development of ne
Slide 22: Sustainability: progress
Sustainability: progress Feb Jan 2019 2020 SCR Pump ISO 14001 May Our Hayward Tyler Jan Oct Environmental 2022 May business secures its 2021 2021 Management Carbon tracking 2023 first order for SCR Acquisition of Green Factory Our Kunshan site gains All sites across the Net Zero pumps which removes
Slide 23: Share price performance
Share price performance Our share price has beaten the market over the last 5 years (growth %) 100% 80% 60% 40% AVINGTRANS 20% 0% -20% FTSE AIM ALL-SHARE -40% 23
Slide 24: Market capitalisation progression (£m)
Market capitalisation progression (£m) Purchased Rolls Royce pipes; Exited Sigma 2015 31 Returned £19m to shareholders; Purchased SciMag & Whiteley Read 2016 50 Purchased HTG & Ormandy Group assets 2017 43 Purchased Tecmag; Exited Whiteley Read 2018 67 19 Purchased Booth & Energy Steel 2019 71 CV-19
Slide 25: Blue chip client partnerships
Blue chip client partnerships 25
Slide 26: Diversified end markets
Diversified end markets By region By industry Rest of Other, 8% world, 13% Industrial, 38% Nuclear, UK, 41% 23% China, 22% Conventional USA, 24% power, 31% 26
Slide 27: M&A – successful exits
M&A – successful exits Brand Acquisitions Bought for £m1 Sold for £m1 JRT Ltd JenaTec Inc 4.0 14.5 JGWT GMBH Boneham & Turner (FY02 - FY09) (FY13) Moss Group Sigma Components B&D Patterns C&H Composites Eng Group 22.0 65.0 Aerotech Tubes PFW Farnborough (FY07 - FY16) (FY16) RMDG Rolls Royce Nuneaton
Slide 28: Largest investors
Largest investors Ordinary shares of 5p each Number of % of total shares (000s) shares Harwood Capital 4,030 12.2% Funds managed by Business Growth Fund 2,363 7.1% Funds managed by Unicorn Asset Management Ltd 1,946 5.9% Funds managed by Downing LLP 1,746 5.3% Funds managed by JTC Employer Solutions