Imdex Ltd · ASX:IMD
Imdex — Ord Minnett Mining Services Conference 2007
24 slides from Imdex's conference presentation, Nov 29, 2007
Slide 1: Cover letter to ASX Company Announcements Office
For personal use only 29 November 2007 Company Announcements Office Australian Stock Exchange Limited Exchange Centre 20 Bridge Street SYDNEY NSW 2001 Dear Sir/Madam Ord Minnett Mining Services Conference Presentation Please find attached a copy of the presentation being made to the attendees of the
Slide 2: Mining Services Conference
Mining Services Conference For personal use only Imdex Limited 29 November 2007
Slide 3: Agenda
AGENDA For personal use only Who we are Where have we been Group Structure Our Strengths FY07 Results Imdex Snapshot Imdex Strategy FY08 Global Exploration Spend
Slide 4: Who We Are
WHO WE ARE For personal use only Imdex is a Perth based, ASX listed company (IMD) supplying drilling products and services globally The industries serviced include: Mineral exploration Mining Oil and gas Water well Civil Imdex is a technology market leader
Slide 5: Who We Are
WHO WE ARE For personal use only Imdex is building on its comprehensive global distribution and supply network - recent agreements with Sandvik (distribution) and Boart Longyear (supply) Imdex employs circa 300 employees around the world Imdex operates from 10 major locations to service the global m
Slide 6: Who We Are – Operating Divisions: Fluids and Chemicals
WHO WE ARE – Operating Divisions For personal use only Fluids and Chemicals We manufacture and sell fluids and chemicals used in a range of on-shore drilling applications These fluids cool and lubricate the drill bit, keep the drill hole open and return cuttings to the surface Our products and packa
Slide 7: Who We Are – Operating Divisions: Products and Services
WHO WE ARE – Operating Divisions For personal use only Products and Services We develop and manufacture our down hole instrumentation using the IP we own Our instrumentation primarily includes down hole survey and core orientation Imdex technology provides the leading instrumentation for the mineral
Slide 8: Who We Are – Global Reach
WHO WE ARE – GLOBAL REACH For personal use only Major Operational Locations Other Operations Europe Germany Sweden Kazakhstan Switzerland Mongolia Turkey UK Vallentuna (Sweden) Timmins Calgary East Sussex (UK) Almaty (Kazakhstan) China Indonesia Laos Malaysia New Zealand Congo Papua New Guinea Ghana
Slide 9: Who We Are – Why Imdex?
WHO WE ARE – WHY IMDEX? For personal use only Employees choose Strong Investors choose Imdex growth Imdex Market Quality of leading service products Suppliers choose Customers choose Imdex Imdex Global reach
Slide 10: Where Have We Been – Financial Results
WHERE HAVE WE BEEN – Financial Results For personal use only Revenue by Division EBITA (normal operations) $30.0 $140.0 $25.0 $120.0 $100.0 $20.0 $80.0 $15.0 $60.0 $10.0 $40.0 $5.0 $20.0 $0.0 $0.0 FY03 FY04 FY05 FY06 FY07 FY03 FY04 FY05 FY06 FY07 Fluids and Chemicals Products and Services Minerals P
Slide 11: Where We Have Been – Acquisitions and Growth
WHERE WE HAVE BEEN – Acquisitions and Growth For personal use only FY 2007 FY 2008 1 November 2007 Further 1 May 2007 acquisitions 1 August 2006 and organic 1 July 2007 growth
Slide 12: Group Structure
GROUP STRUCTURE For personal use only IMDEX LIMITED Drilling Fluids & Drilling Products & Chemicals Division Services Division Australian Suay Southern- Samchem Mud Poly-Drill * Surtron # Reflex Chardec Flexit Energy * land ^ Company * - From 1 July 2007 ^ - From 1 November 2007 # - Divestment effec
Slide 13: Our Strengths
OUR STRENGTHS For personal use only IP ownership and manufacturing technologically leading products for the drilling industry Strong brands in Australia and internationally Global distribution and supply network Customer focused local management expertise (think global; act local) Powerful research
Slide 14: FY07 Results – Highlights
FY07 RESULTS – HIGHLIGHTS For personal use only up 153% “an outstanding financial year for the Imdex Group” – I F Burston, Chairman up 79% up 69% up 60% up 44% 2.5 cents Fully EBITA Earnings franked Operating (normal Net Profit Operating per share dividend Revenue operations) after Tax cash flow (8.
Slide 15: FY07 Results – P&L Summary
FY07 RESULTS – P&L SUMMARY For personal use only 2007 2006 2005 Year ended 30 June $000’s $000’s $000’s Revenue 119,340 66,792 40,051 79% 67% 1% EBITDA 30,196 14,414 6,889 Sales up 109% 109% 630% by 79% EBIT 22,398 11,983 5,499 87% 118% 272% Net Profit after Tax 13,518 7,984 4,172 69% 91% 213% Opera
Slide 16: FY07 Results – Balance Sheet
FY07 RESULTS – BALANCE SHEET For personal use only 2007 2006 Strong cash position $000’s $000’s Cash 15,271 6,421 Significant uplift in total assets Receivables 27,806 18,798 due to acquisitions Inventory 13,839 9,707 Financial assets 16,056 4,500 Financial assets; investment in Property, plant & eq
Slide 17: Imdex Snapshot
IMDEX SNAPSHOT For personal use only Current share price $2.24 Number of shares 182.84m Market capitalisation $409.56m EBITDA $30.20m Depreciation ($4.37m) EBITA $25.83m Amortisation ($3.43m) EBIT $22.40m NPAT $13.52m Basic earnings per share 8.74¢ Earnings per share growth 44% Dividend per share 2.
Slide 18: Imdex Snapshot – Top Shareholders
IMDEX SNAPSHOT For personal use only Top 10 Shareholders (as at 27 November 2007) Ian Burston Chairman Fiberform Vinidic Holding AB 11.4% Bernie Ridgeway Managing Director J P Morgan Nominees 7.1% Ross Kelly Non-Exec Director ANZ Nominees 5.8% Kevin Dundo Non-Exec Director National Nominees 4.9% Mag
Slide 19: Imdex Strategy FY08 – Outlook
IMDEX STRATEGY - FY08 OUTLOOK For personal use only Imdex is becoming the fourth global player in drilling fluids behind M-I (Schlumberger/Smith International), Halliburton and Baker Hughes Imdex is supplying market leading technology in down hole instrumentation Strong demand for commodities and en
Slide 20: Imdex Strategy FY08
IMDEX STRATEGY - FY08 For personal use only Our FY08 strategy is to: Continue to provide superior customer service consolidate the business and make new “bolt-on” acquisitions continue to build scale in both drilling fluids and down hole instrumentation support existing distribution/supply alliances
Slide 21: Global Exploration Spend
GLOBAL EXPLORATION SPEND For personal use only Estimated Exploration Spend Worldwide (Non Ferrous) Budgeted mineral US$ Billions exploration expenditure is $10.0 a record US$10B in 2007 - up 33% on the US$7.5B in $9.0 2006 $8.0 Exploration by commodity $7.0 is Gold (41%), Base Metals $6.0 (36%), Dia
Slide 22: Global Exploration Spend – Budgets by Region and Stage
GLOBAL EXPLORATION SPEND For personal use only Worldwide Exploration Budgets* Worldwide Exploration Budgets* by Region 2007 (%) by Stage 2007 (%) Pacific / United Latin SE Asia States America Minesite Australia 4% Grass 8% 24% 20% roots 12% 39% 16% 19% Africa 17% 41% Canada Late Stage Rest of World
Slide 23: FY08 – September Quarter & Forecast
FY08 – SEPT QUARTER & FORECAST For personal use only FY08 Forecast Revenue FY08 Forecast EBITA $160.0 $ 150m $40.0 $ 37.5m $140.0 $35.0 $120.0 $30.0 $100.0 $25.0 $80.0 $20.0 $60.0 $15.0 $40.0 $10.0 $20.0 $5.0 $0.0 $0.0 FY04 FY05 FY06 FY07 FY08 FY04 FY05 FY06 FY07 FY08 FY08 progress to date shows con
Slide 24: Imdex Limited
For personal use only IMDEX Limited Australia’s Global Drilling Products & Services Company - a service provider to the natural resources industries