Slide 1: 2024 Full Year Results Presentation
2024 Full Year Results Presentation PAUL HOUSE, MD & CEO PAUL EVANS, CFO imdex.com
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation may contain certain ‘forward-looking statements’ and projections provided by IMDEX makes no representations as to the accuracy or completeness of any such statement or on behalf of Imdex limited (IMDEX). Forward-looking statements can generally be identif
Slide 3: Our purpose as a leading global mining-tech company
Our purpose as a leading global mining-tech company is to efficiently and sustainably unlock the earth’s value…
Slide 4: Uniquely positioned to find, define and mine orebodies
We are uniquely positioned to enable customers to find, define and mine orebodies with precision, confidence and at speed.
Slide 5: Presentation Overview
Presentation FY24 HIGHLIGHTS Overview FINANCIAL PERFORMANCE STRATEGY & FY25 FOCUS AREAS OUTLOOK & HOW IMDEX IS POSITIONED TO OUTPERFORM 5
Slide 6: FY24 Highlights
FY24 Highlights——. IMDEX
Slide 7: FY24 Financial Highlights
FY24 Financial Highlights $445 M $131 M 29 % $56 M GROUP REVENUE EBITDA NORMALISED 1 EBITDA MARGIN NPATA 2 UP 8% UP 7% NORMALISED 1 NORMALISED 1 Up 7% on a Up 3% on a Maintained baseline margin Normalised effective constant currency basis constant currency basis while investing in growth tax rate of
Slide 8: FY24 Strategic Highlights
FY24 Strategic Highlights Core New Business Growth Business Growth TECHNOLOGY INTEGRATED DIGITAL IMT LEADERSHIP SOLUTIONS BUSINESS BUSINESS ✓ Release of IMDEX HUB- ✓ Top 250 clients with >3 products ✓ 28% of Sensor & SaaS revenue is ✓ Additional installed BHS sites IQ connected ACTx and 48%, up from
Slide 9: FY24 ESG Highlights
FY24 ESG Highlights PEOPLE INNOVATION ENVIRONMENT SOCIETY GOVERNANCE Sustained a high safety Reduced weight Achieved 95% recyclable Established Community Welcomed engagement and and length of OMNIx packaging for drilling Engagement Policy Tracey Horton AO as NED performance with a growing running ge
Slide 10: FY24 Financial Performance
FY24 Financial Performance 10
Slide 11: Key Metrics
Key Metrics STRONG FINANCIAL PERFORMANCE AGAINST CHALLENGING MARKET BACKDROP $m (unless indicated otherwise) FY24 FY23 VAR % Strong underlying financial performance benefiting from Devico revenue synergies Revenue 445.3 411.4 8% EBITDA 112.9 100.5 12% 2H24 impacted by continued weakness in global ex
Slide 12: Revenue Growth
Revenue Growth IMDEX BUSINESS MODEL ENABLES OUTPERFORMANCE FY24 REVENUE v FY23 UP 8% 445.3 Strong performance against declining 411.4 5-YEAR FY REVENUE CAGR 69.6 global exploration activity 20.6 12.8% v S&P CY EXPLORATION Global exploration budgets down SPEND CAGR 5.6% ~5% for CY241 Global explorati
Slide 13: Devico Technologies – Revenue Performance
31.0 Devico Technologies – Revenue Performance SYNERGIES AHEAD OF EXPECTATIONS DESPITE SOFTER MARKET CONDITIONS A 15% increase pcp in directional drilling revenue, including expansion in USA, Africa, and Australia REVENUE v PCP UP 69.6 A 12% increase pcp in sensor revenue including the 61.3 14% bene
Slide 14: Revenue by Region
Revenue by Region UNRIVALLED GLOBAL FOOTPRINT WITH DIVERSIFIED REVENUE STREAMS FY23 – FY24 Consolidated % of FY24 Americas -1% 14% 13% Group Revenue 26% 48% 26% Asia Pacific -11% 9% -2% % of FY23 Europe / Africa 2% 9% 11% Group Revenue 25% 46% 29% IMDEX Group -4% 12% 8% Devico 12% Americas APAC EA (
Slide 15: EBITDA
EBITDA HIGH QUALITY BUSINESS MODEL DEMONSTRATING RESILIENT EARNINGS Strong cost management with baseline FY24 EBITDA 1 v FY23 UP EBITDA normalised margin maintained 7% Ongoing investment in R&D – 5-YEAR FY EBITDA CAGR ~8% of FY24 revenue with the majority 122.6 130.7 expensed 20.1% 104.9 Ongoing inv
Slide 16: Disciplined R&D Capital Allocation
Disciplined R&D Capital Allocation MAINTAINING INVESTMENT IN R&D TOTAL R&D SPEND 1 EXPENSED V CAPITALISED R&D ($m) FY24 FY23 R&D Expensed 34.4 30.7 R&D Capitalised (software) 2.5 5.1 Total 36.9 35.8 IMDEX is a growth business committed to R&D in all market conditions R&D is expensed except for softw
Slide 17: Disciplined Capital Management
Disciplined Capital Management STRONG CASH GENERATION ACCELERATING DEBT REPAYMENT Operating Activities Investment Activities Financing Activities FX $108.0m ($35.9m) ($79.4m) ($3.7m) 130.7 3.5 (18.5) (7.7) (29.3) (6.6) (18.4) 58.1 (43.2) 47.1 (17.8) (3.7) $m 96% reported EBITDA to operating cashflow
Slide 18: Robust Balance Sheet
Robust Balance Sheet CAPACITY TO REINVEST IN BUSINESS AND GROWTH $m (unless indicated otherwise) 30 JUNE 2024 30 JUNE 2023 Cash 47.1 58.1 Disciplined net leverage ratio of 0.3x1 Receivables 90.6 90.1 Healthy interest coverage ratio of 6x1 Inventory 63.0 67.5 Fixed assets 94.2 90.3 Devico purchase pr
Slide 19: Strategy and FY25 Focus Areas
Strategy and FY25 Focus Areas 19
Slide 20: Strategy
Strategy DELIVERING VALUE THROUGH TECHNOLOGY LEADERSHIP AND INTEGRATED OFFERING Core Business Growth New Business Growth TECHNOLOGY INTEGRATED DIGITAL IMT LEADERSHIP SOLUTIONS BUSINESS BUSINESS Targeted R&D to maintain market Focusing on optimised integrated Building on geoscience analytics, Leverag
Slide 21: FY25 Focus Areas
FY25 Focus Areas CONTINUING TO EXECUTE ON STRATEGIC INITIATIVES TO DRIVE GROWTH ACROSS THE BUSINESS PROTECTING INVESTING INVESTING IN OUR INVESTING IN OUR AND DEVELOPING IN DIGITAL CORE BUSINESS NEW BUSINESS OUR PEOPLE 2.5 GROWTH GROWTH Safety culture Systems that enable IMDEX to Devico revenue syne
Slide 22: Integrated Solutions – Key to Outperforming Market
31.0 Integrated Solutions – Key to Outperforming Market DRIVING CUSTOMER VALUE AND SHARE OF EXPLORATION SPEND TODAY: TRANSITIONING FROM PRODUCT SALES TO INTEGRATED SOLUTIONS CLIENT CASE STUDY: REVENUE ACHIEVED WITH INTEGRATED SOLUTIONS $100 EXPLORATION SPEND $100 EXPLORATION SPEND LESS LESS IMDEX SH
Slide 23: Outlook
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Slide 24: An Update Around Our Regions
An Update Around OurAround Regions Our Today Regions STEADY ACTIVITY NORTH • Activity remains steady with a focus on near mine SOUTH • Activity remains steady with demand from near projects mine copper projects AMERICA AMERICA • Junior activity remains subdued in Mexico and • Activity in Argentina i
Slide 25: Compelling Long-Term Outlook
Compelling Long-Term Outlook SIGNALS THAT DRIVE LONG-TERM EXPLORATION ACTIVITY ARE LINING UP SUPPLY DEMAND COMMODITY CAPITAL RAISINGS GLOBAL FUNDMENTALS PRICES & EXPLORATION EXPLORATION BUDGETS ACTIVITY Significant need to replace Gold and copper prices have Signs of ‘green shoots’ for capital High-
Slide 26: Growth Opportunities FY26+
Growth Opportunities FY26+ KEY INDICATORS AND GROWTH DRIVERS Market Growth Upside IMDEX Growth Upside Margin • Increased drilling activity Expansion supported by: Market Share • Increasing percentage of revenue • Supply demand imbalances Gains from Digital Business • Growth of core business • Streng
Slide 27: Summary
Summary STRONG FINANCIAL OUTPERFORMED DEVICO MARGINS PERFORMANCE MARKET CONDITIONS INTEGRATION Revenue up 8% on FY23 Global exploration budgets down Strong cultural alignment EBITDA margins maintained with ~5% for CY242 increased investment in R&D, Digital EBITDA normalised1 up Operational integrati
Slide 28: Additional Notes
fi Zi / Additional Notes IMDEX
Slide 29: Additional Notes
Additional Notes FY24 FY23 Normalised EBITDA ($m) 130.7 122.6 Gross Tax Net Gross Tax Net Impairment expense1 (7.4) - (7.4) - - - Devico integration & organisation redesign costs2 (10.4) 3.1 (7.3) (10.6) 0.8 (9.8) Exceptional legal costs3 - - - (11.1) 3.3 (7.8) Flexidrill Settlement – residual costs
Slide 30: Appendices
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Slide 31: Why IMDEX Will Continue to Deliver
Why IMDEX Will Continue to Deliver A STRONG FINANCIAL OUTPERFORMING ABILITY TO ACCELERATE ESTABLISHED GLOBAL PLATFORM INDUSTRY GROWTH ORGANIC GROWTH CLIENT NETWORK Strong history of EBITDA margin 5-year revenue CAGR 12.8% Technology leadership An unparalleled global footprint expansion 5-year EBITDA
Slide 32: Our Strong Track Record as a Growth Company
Our Strong Track Record as a Growth Company 1 S&P EXPLORATION REVENUE EBITDA NORMALISED BUDGETS 445.3 130.7 ▲60% 12.6 ▲153% ▲315% 8.1 176.2 31.5 US$B $M $M CY17 CY23 FY17 FY24 FY17 FY24 • Exploration expenditure remains well • Highlighting the continued investment in R&D • Highlighting the evolution
Slide 33: Our Board of Directors
Our Board of Directors COMMITTED TO DRIVING SUSTAINABLE GROWTH Mr Anthony Wooles Mr Paul House Ms Sally-Anne Layman Ms Tracey Horton AO Ms Trace Arlaud Mr Uwa Airhiavbere Non-Executive Chief Executive Officer Non-Executive Director Non-Executive Director Non-Executive Director Non-Executive Director
Slide 34: Our Executive Leadership Committee
Our Executive Leadership Committee Mr Paul House Mr Paul Evans Ms Michelle Carey Ms Kiah Grafton Mr John Hickey Managing Director & Chief Financial Officer1 Chief of Strategy Chief of People Chief Technology Officer Chief Executive Officer Mr Dave Lawie Mr Wayne Panther Mr Shane Plant Mr Shaun South
Slide 35: Our Values
Our Values Forever We go Together We’re curious. beyond. we thrive. global game changers. We believe in shaping the We are passionate about creating We are a global team of Our rich global experience and diverse future of mining through the positive customer experiences diverse and talented people,
Slide 36: Our Customer Value Proposition
Our Customer Value Proposition DRIVING PRODUCTIVITY D R I L L I N G O P T I M I S AT I O N ROCK KNOWLEDGE PRODUCTS SENSORS R E AL - T I M E D AT A AN D AN AL Y T I C S TIMELY INFORMATION FOR CRITICAL DECISION MAKING QUALITY REPRESENTIVITY TIME SAVINGS • Industry leading technologies • Data collectio
Slide 37: Our Disciplined Stage Gate Development Process
Our Disciplined Stage Gate Development Process Concept Engineering Pilot End of Life Prototype Production Concept proposal, technology Detailed design, build of Minor product changes, pilot options, draft business case functional prototypes, field production, full marketing and proof of concept for
Slide 38: Corporate Calendar
Corporate Calendar KEY DATES • 21 – 27 August 2024 Virtual FY24 Roadshow • 17 October 2024 FY24 Annual General Meeting and 1Q25 Update • 1 November 2024 IMDEX Tech Deep Dive 38
Slide 39: Confidential: For Customer Internal Consideration Only
CONFIDENTIAL: FOR CUSTOMER INTERNAL CONSIDERATION ONLY. This presentation has been prepared by IMDEX LIMITED (‘THE COMPANY’). It contains general background information about the company’s activities and forward-looking statements based on information known to date and subject to various risks, unce