19 slides from Matrix Composites & Engineering's earnings presentation, Aug 31, 2022
Slide 1: Matrix Composites & Engineering 2022 Full Year Results Presentation
MATRIX COMPOSITES & ENGINEERING 2022 FULL YEAR RESULTS PRESENTATION Aaron Begley - CEO Brendan Cocks - CFO 31 August 2022 WWW.MATRIXENGINEERED.COM
Slide 2: Disclaimer
DISCLAIMER Important information: The following notice and disclaimer applies to this investor presentation issued by Matrix Composites & Engineering Ltd (the Company). You are advised to read these disclaimers carefully before reading or making any other use of this presentation or information cont
Slide 3: FY22 Growth Trajectory
FY22 GROWTH TRAJECTORY FINANCIAL OPERATING OUTLOOK • Revenue $28.6m (FY21: $17.6m) • Subsea buoyancy revenue up 51% • Emerging from challenging COVID-19 on FY21 induced period with strong growth • Continued growth half on half prospects through FY21 and FY22 • Corrosion Technology business expanding
Slide 4: Delivering on Initiatives in FY22
DELIVERING ON INITIATIVES IN FY22 SUBSEA CORROSION TECHNOLOGIES ADVANCED MATERIALS ✓ Further exposure to resources ✓ Capitalising on oil & gas ✓ Fully integrated business into sector recovery Matrix’s operations ✓ New opportunities opened ✓ Increased presence in SURF ✓ Anti-corrosion coating, up, pa
Slide 5: FY22 Financial Results
FY22 FINANCIAL RESULTS CFO – BRENDAN COCKS
Slide 6: Key Financial Metrics
KEY FINANCIAL METRICS FY22 FY21 • Revenue growth with recovery in oil & gas market gaining momentum. Revenue $m 28.6 17.6 Underlying EBITDA1 $m (2.3) (4.4) • Revenue up 64% on FY21, including coatings and advanced materials. EBITDA $m (0.1) (21.2) • Underlying EBITDA loss reduced with Net profit/(lo
Slide 7: Revenue Growth & Diversification
REVENUE GROWTH & DIVERSIFICATION Revenue • Revenue building coming out of lingering impact of weak oil price and COVID-19. 20.0 • Consistent revenue growth lifting from $8.1m 15.0 1H FY21 to just under $15m 2H FY22. $m 10.0 5.0 • Subsea – riser buoyancy, SURF and well 0.0 construction – up 51% to $1
Slide 8: Balance Sheet
BALANCE SHEET $m 30 Jun 22 30 Jun 21 • Balance sheet stable, retaining positive net cash Cash 7.6 7.2 position. Trade and other receivables 3.5 5.3 • Continue to hold no trade or term debt. Exploring Inventory 6.5 6.6 financing opportunities in recovering market with Other assets 0.4 0.3 new contrac
Slide 9: Cash Flow from Operations
CASH FLOW FROM OPERATIONS $m FY22 FY21 Underlying EBITDA /(Loss) (2.3) (4.4) • Operating cash outflow stemming from EBITDA Receivables 1.8 0.1 loss with small working capital movement. Trade Payables (0.6) 0.7 • Other outflows largely reflect interest expense on Inventory 0.1 1.0 lease liabilities a
Slide 10: Strategy & Outlook
STRATEGY & OUTLOOK CEO – AARON BEGLEY
Slide 11: Three Business Pillars
THREE BUSINESS PILLARS Increasingly diversified operational structure to underpin long-term sustainable growth. SUBSEA CORROSION ADVANCED TECHNOLOGIES MATERIALS Leveraging capability SURF, deep water drilling and Growing anti corrosion coating, High tech composite material and expertise in well cons
Slide 12: Our Commitment to Sustainability
OUR COMMITMENT TO SUSTAINABILITY • Circular economy - exploring ways to make our business more sustainable • Climate action - focused on reducing carbon footprint • Key sustainability accreditation – awarded ISO 14001 certification 12
Slide 13: Applications Across Oil & Gas and Renewable Energy: Global Subsea Spend
APPLICATIONS ACROSS OIL & GAS AND RENEWABLE ENERGY SUBSEA GLOBAL SUBSEA SPEND • Global activity in SURF reflected in recent significant award win, with growing pipeline of opportunities and outstanding quotes. • Revenue and market share expected to grow over coming years. Source: Westwood Analysis –
Slide 14: Applications Across Oil & Gas and Renewable Energy: Subsea
APPLICATIONS ACROSS OIL & GAS AND RENEWABLE ENERGY SUBSEA OVERVIEW OUR QUOTATION PIPELINE • World’s largest syntactic foam buoyancy plant. Buoyancy applications for: • Deepwater drilling • Subsea umbilicals, risers and +$200m flowlines (SURF) • Offshore floating wind turbines and infrastructure ~ $3
Slide 15: Lighter, Stronger, Corrosion Free
LIGHTER, STRONGER, CORROSION FREE ADVANCED MATERIALS LOCAL RESOURCES SECTOR • Iron ore, LNG, Gold • Hydrogen, Renewables KEY CLIENTS • Fortescue Future Industries • Woodside Energy • Newcrest Mining Matrix Composites & Engineering • Active discussions with other major resource companies TECHNOLOGY S
Slide 16: Corrosion Technologies
CORROSION TECHNOLOGIES LOCAL RESOURCES SECTOR • LNG • Brownfield developments • Operational maintenance Strong Performance • Coatings revenue growth of 81% for FY22 to $10.4m TECHNOLOGY SOLUTIONS • Humidur® coatings • Composite repairs • Equipment • Roto lining: Thermoplastic lining 16
Slide 17: Renewable Energy: An Emerging Growth Opportunity
RENEWABLE ENERGY AN EMERGING GROWTH OPPORTUNITY Entry to fast emerging renewables Matrix awarded key Actively discussing broader clean market environmental certification - ISO energy sector opportunities Fortescue Future Industries (FFI) 14001 New technological developments in contract - Develop equ
Slide 18: Strong Growth Outlook
STRONG GROWTH OUTLOOK • Heading into FY23 with challenging COVID-19 induced period in rear view, and larger, more diversified pipeline of work evident • Increasing activity in subsea markets, ~$30m in recent drilling riser buoyancy, SURF contracts • Floating wind opportunities being pursued – recent
Slide 19: Contact
CONTACT Aaron Begley Chief Executive Officer T +61 8 9412 1200 E: aaron.begley@matrixengineered.com Brendan Cocks Chief Financial Officer T +61 8 9412 1200 E: brendan.cocks@matrixengineered.com WWW.MATRIXENGINEERED.COM