Slide 1: 2022 Full Year Results Presentation
2022 Full Year Results Presentation PAUL HOUSE, CEO PAUL EVANS, CFO Classification | Restricted
Slide 2: Forward Looking Statements
Forward Looking Statements THIS PRESENTATION MAY CONTAIN CERTAIN ‘FORWARD-LOOKING STATEMENTS’ AND RESULTS OR TRENDS TO DIFFER MATERIALLY, INCLUDING BUT NOT LIMITED TO PROJECTIONS PROVIDED BY OR ON BEHALF OF IMDEX LIMITED (IMDEX). FORWARD RETENTION OF KEY BUSINESS RELATIONSHIPS, ENVIRONMENTAL IMPACTS
Slide 3: IMDEX is a leading global mining-tech company
IMDEX is a leading global mining-tech company. We enable clients to find, define and mine orebodies with precision and at speed. 3
Slide 4: Presentation Overview
Presentation FY22 HIGHLIGHTS AND PERFORMANCE Overview INDUSTRY AND MARKET UPDATE GROWTH OPPORTUNITIES FY23 FOCUS AREAS OUTLOOK APPENDICES 4
Slide 5: FY22 Highlights and Performance
FY22 Highlights and Performance Photo by David Flores 5 IMDEX Country Manager – Argentina
Slide 6: FY22 Financial Highlights
FY22 Financial Highlights 29% RECORD REVENUE 39% RECORD EBITDA 41% NPAT Up 26.5% on a constant currency basis Up 33.8% on a constant currency basis Effective tax rate 28.5% Strong demand in all regions Strong leverage of our global network (FY22 $44.7m v FY21 $31.7m) (FY22 $341.8m v FY21 $264.4m) (F
Slide 7: FY22 Operational Highlights
FY22 Operational Highlights 0.77 15%* 11.9 27% LTIFR IMPROVED EMPLOYEE SUSTAINALYTICS LOW ROCK KNOWLEDGE IMPROVED FROM 1.85 ENGAGEMENT RISK ESG RATING SENSORS ON HIRE Improved safety engagement as a leading Enhanced employee Released first Sustainability Report IMDEX HUB-IQTM connected indicator val
Slide 8: FY22 Financial Performance
FY22 FINANCIAL PERFORMANCE 8
Slide 9: Key Metrics
Key Metrics $m (unless indicated otherwise) FY22 FY21 VAR% Revenue 341.8 264.4 29.3 REVENUE EBITDA1 104.9 75.5 38.9 EBITDA1 Margin % 30.7 28.5 7.7 127.7 110 124.3 140.0 167.8 174.0 NPBT 62.6 44.5 40.7 NPAT 44.7 31.7 41.0 EPS (cents) 11.3 8.0 41.3 $m Pre-Tax Operating Cash Flow2 69.0 64.0 7.8 1H20 2H
Slide 10: Strong Financial Platform
Strong Financial Platform REVENUE EBITDA EBITDA MARGIN% 14% 27%++ (Comparable S&P CAGR 9%**) 218.5 243.7 237.7 264.4 341.8 42.4+ 52.3+ 54.4* 75.5*^ 104.9*^ 22.2++ 23.9++ 22.9 28.5 30.7 $m $m % FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 * Including AASB 16 ^ Stated bef
Slide 11: Cash Generation
Cash Generation EBITDA TO CASH FLOW FROM OPERATIONS 120 104.9 100 30.6 80 8.0 60 2.7 55.5 13.5 40 20 $m EBITDA Working Tax Other Cash Flow Capital From Operations • Increase in working capital to support client demand and mitigate supply chain risks • Inventory volumes increased throughout 1H22, pea
Slide 12: Commitment Technology Leadership
Commitment Technology Leadership TOTAL R&D SPEND* ($m) DISCIPLINED R&D 35 20% CAPITAL ALLOCATION 19% 18% 30 HORIZON 1 - Developing the next generation of our existing 17% product suite to maintain and grow our core market (impacting 16% revenues in current year) 25 15% 14% HORIZON 2 – Developing new
Slide 13: Balance Sheet
Balance Sheet $m (unless indicated otherwise) 30 JUNE 2022 30 JUNE 2021 Cash 36.4 58.5 16.2% Receivables 73.3 58.2 RETURN ON EQUITY Inventory 57.1 41.5 Fixed Assets1 83.7 78.6 Intangibles2 97.8 92.9 19.3% Investment in an associate3 5.0 0 RETURN ON CAPITAL EMPLOYED Other Assets / deferred tax 40.3 3
Slide 14: Industry and Market Update
Industry and Market Update 14
Slide 15: Around Our Regions
Around Our Regions FY22 REVENUE GROWTH BY REGION NORTH AMERICA Clients are well funded driving the strong growth trajectory Rig and labour shortages continue to impact operations Strong demand for IMDEX solutions SOUTH AMERICA Activity increased in 2H22 Strong demand for IMDEX solutions, particularl
Slide 16: Strong Industry Fundamentals
Strong Industry Fundamentals • Large, mid-cap and junior resource companies all remain well-funded and committed to current programs, despite some easing in capital raising volumes • Continued demand and extraction of mineral resources with diminishing reserves • New discoveries are likely to be at
Slide 17: Market Constraints Easing For IMDEX
Market Constraints Easing For IMDEX ACCESS TO SUPPLY LABOUR MINE SITES CHAINS SHORTAGES Ability to redirect R&D capital Multiple supply contingencies Attractive employee value allocation in response to proposition client demand Global distribution hubs People light business model Ability to accelera
Slide 18: Growth Opportunities
Growth Opportunities Photo by David Flores 18 IMDEX Country Manager - Argentina
Slide 19: Drivers to Deliver Our Strategy
Drivers to Deliver Our Strategy NEW PRO DUCT S, NEW PRO DUCT S, NEW 1. TECHNOLOGY LEADERSHIP SENSO RS AND SENSO RS AND Targeted R&D to win market share SOFT W AR E SOFT W AR E PRODUCTS / TECHNOLOGIES 2. EXTENSION INTO MINING PRODUCTION Leverage our core competencies into this adjacent market where i
Slide 20: 1. Technology
1. Technology IMDEX HUB-IQ AVERAGE NO. AVERAGE REVENUE METRES SURVEYED WITH CONNECTED REVENUE SENSORS ON RENT PER UNIT IMDEX HUB-IQ 58% 27% 26% 5% FY22 FY22 FY22 FY22 • IMDEX HUB-IQ connected clients up 44% • Strong client activity in all regions • New technologies provide greater value to • 223 mil
Slide 21: 2. Extension into Mining Production
2. Extension into Mining Production DRILLING OPTIMISATION PRODUCTS • BHS is a higher margin fluid product used to stabilise blast holes • Further BHS trials are underway with underground commercial prototypes in Africa, Asia and Australia • First significant commercial contract signed with tier-1 re
Slide 22: 3. IMDEX Integrated Solution Selling
3. IMDEX Integrated Solution Selling TOP 250 CLIENTS WITH >3 IMDEX PRODUCTS 33% FY22 FY22 • 44% of top 250 clients have >3 products up from 33% • Delivering solutions rather than individual products • Breadth of integrated product offering unlocks value Percentages comparable to FY21 22
Slide 23: 4. Strategic Acquisitions
4. Strategic Acquisitions AUSSPEC DATACLOUD DATAROCK ACQUISITION ACQUISITION INVESTMENT SEPTEMBER 2021 NOVEMBER 2021 JULY 2020 Spectra analysed MINEPORTALTM software On track with agreed strategy with aiSIRISTM software up 62% instrumental in demonstrating the value of BLAST DOGTM to customers Proce
Slide 24: FY23 Focus Areas and Outlook
FY23 Focus Areas and Outlook 24
Slide 25: FY23 Focus Areas
FY23 Focus Areas PROTECT INCREASED INVESTMENT OUR PEOPLE IN IMDEX MINING AND DEVELOPING TECHNOLOGIES AND OUR TEAM SOFTWARE INVESTMENT IN OUR INVEST IN DIGITAL 2.0 TO CORE AND MAINTAIN OPTIMISE COST BASE, OUR DISCIPLINED BUILD SCALE AND APPROACH TO PRODUCT FURTHER ENHANCE PORTFOLIO CUSTOMER EXPERIENC
Slide 26: Outlook
Outlook • Strong demand across the IMDEX product portfolio • Supply chain pressures easing for IMDEX • Labour availability and supply chain pressures expected to remain for the balance of FY23 • Clients reporting strong order books and ongoing exploration budgets • Increasing demand for real-time or
Slide 27: “We believe mining is essential to every aspect of modern life.”
“We believe mining is essential to every aspect of modern life. Our opportunity, indeed our responsibility, is to change the global minerals industry forever.” P AU L H O U S E , I M D E X C E O Photo by David Flores 27 IMDEX Country Manager - Argentina
Slide 28: Thank you
Thank you. For further information, please contact Kym Clements Investor Relations Officer kym.clements@imdexlimited.com
Slide 29: Appendices
Appendices IMDEX 4
Slide 30: Corporate Profile
CORPORATE PROFILE IMDEX BUSINESS OVERVIEW Appendices A MINING-TECH COMPANY OUR ESTABLISHED GLOBAL BUSINESS OUR INTEGRATED SOLUTIONS OUR OPPORTUNITY TO DELIVER VALUE ACROSS THE MINING VALUE CHAIN ROCK KNOWLEDGE OUR VALUE PROPOSITION BUILDING OUR SAAS REVENUE OUR STRONGER REVENUE PROFILE ESG DIGITAL T
Slide 31: Our Board of Directors
Our Board of Directors Mr Anthony Wooles Ms Sally-Anne Layman Mr Ivan Gustavino Ms Trace Arlaud Mr Kevin Dundo Non-Executive Chairman Non-Executive Director Non-Executive Director Non-Executive Director Non-Executive Director 31
Slide 32: Executive Leadership Committee
Executive Leadership Committee Mr Paul House Mr Paul Evans Mr Shaun Southwell Ms Michelle Carey CEO CFO COO Chief of Product Management and Marketing Mr John Hickey Ms Kiah Grafton Mr Michael Tomasz Mr Dave Lawie CTO Chief of People IMDEX General Counsel Chief Geoscientist 32
Slide 33: Company Overview
Company Overview CORPORATE INFORMATION AT LARGEST SHAREHOLDERS AT 30 JUNE 2022 % 30 JUNE 2022 IMD L1 Capital Pty Ltd 10.4 ASX Code Fidelity Management & Research Company LLC 4.5 Share Price $1.84 Yarra Funds Management Limited 4.4 Issued Shares 396.5m QVG Capital Pty Ltd. 3.4 Market Capitalisation $
Slide 34: IMDEX Business Overview
IMDEX Business Overview 34
Slide 35: Strong Core Business Model
Strong Core Business Model A STRONG FINANCIAL OUTPERFORMING ABILITY TO ESTABLISHED PLATFORM INDUSTRY GROWTH ACCELERATE GLOBAL CLIENT ORGANIC GROWTH NETWORK EBITDA margin expansion YOY 5-year revenue CAGR 14% Maintain technology leadership An unparalleled global footprint, present on 70% of sites Str
Slide 36: Our Established Global Business
Our Established Global Business 100+ Smithers, Canada East Sussex, UK Rastede, Germany Vancouver, Canada Timmins, Canada Val-d’Or, Canada Amsterdam, Netherlands LEGEND Salt Lake City, USA IMDEX Facilities San Luis Obispo, USA not including Phoenix, USA distributors Chandler, USA Torreón, Mexico Herm
Slide 37: Our Integrated Solutions
Our Integrated Solutions • Drilling Fluids Our Drilling Optimisation DRILLING suite of products enhance • Solids Removal Units OPTIMISATION SALES AND drilling productivity while • Remote Fluid Testing Technologies PERFORMANCE PRODUCTS improving safety and the • Rig Alignment Technologies BASED RENTA
Slide 38: Our Opportunity to Deliver Across the Mining Value Chain
Our Opportunity to Deliver Across the Mining Value Chain 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 AP P L I C AB L E AC R O S S W H O L E M I N I N G V AL U E C H AI N Exploration Resource Delineation Planning Fragmentation Mi
Slide 39: Why Real-time Rock Knowledge is Important
Why Real-time Rock Knowledge is Important MANY $BN MINING Rock knowledge is an We enable the timely delivery of INVESTMENT DECISIONS understanding of location, texture, quality data, giving clarity on the ARE MADE HAVING grade and mineralogy nature of the rock to allow real- It answers the questions
Slide 40: Our Value Proposition
Our Value Proposition TIMELY INFORMATION FOR CRITICAL DECISION MAKING QUALITY DATA REPRESENTIVITY TIME SAVINGS • Industry leading sensors • Cost effective methods • Actionable information allowing data to be collected in real-time • QA/QC at point of data for every metre drilled collection • Driller
Slide 41: Building on Our SaaS Revenue Model
Building on Our SaaS Revenue Model REAL-TIME DATA AND ANALYTICS IMDEX SENSORS CONNECTED TO IMDEX HUB -IQ PREMIUM IMDEX HUB-IQ RENTAL PER MONTH RENTAL PER MONTH + SUBSCRIPTION FEES Access to real-time data Rigorous data validation and built-in QA/QC at the time of data collection + Mineralogy and ana
Slide 42: Our ESG Objectives and Focus Areas
Our ESG Objectives and Focus Areas OUR MATERIAL IMDEX OBJECTIVES TOPICS LEAD Drive the Sustainability of Technology Solutions, Michelle Carey the Global Minerals Innovation Thought Leadership & Chief of Product Forever curious Industry Associations Management & Marketing Ensure a Safe and Health, Sa
Slide 43: Digital Transformation
Digital Transformation Optimising our cost to serve, building scalable systems and enhancing customer experience DIGITAL 1.0 DIGITAL 2.0 (FY19 – FY21)* (FY22 – FY24)* Global digital revenue Global digital revenue platform platform for sensors for sales and software HRIS platform eCommerce capability
Slide 44: IMDEX Values
IMDEX 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 that diverse and talented p