Slides
Page 1
A G M 14 November 2025 Presentation Steven Boland - CEO Acrow Ltd (ASX:ACF) Raising the Standard in Construction. Sydney Harbour Bridge 1 PRESENTATION For personal use only
Page 2
This presentation is based on unaudited final results and provided for information purposes only. The information in this presentation is in a summary form, does not purport to be complete and is not intended to be relied upon as advice to investors or other persons. The information contained in this presentation was prepared as of its date and remains subject to change without notice. This presentation has been provided to you solely for the purpose of giving you background information about Acrow Limited (“Acrow”). No representation or warranty, express or implied, is made as to the accuracy, reliability, completeness or fairness of the information, opinions and conclusions contained in this presentation. Neither Acrow, its related bodies corporate, shareholders or affiliates, nor any of their respective officers, directors, employees, related bodies corporate, affiliates, agents or advisers makes any representations or warranties that this presentation is complete or that it contains all material information about Acrow or which a prospective investor or purchaser may require in evaluating a possible investment in Acrow or acquisition of shares. To the maximum extent permitted by law, none of those persons accept any liability, including, without limitation, any liability arising out of fault or negligence for any loss arising from the use of information contained in this presentation or in relation to the accuracy or completeness of the information, statements, opinions or matters, express or implied, contained in, arising out of or derived from, or for omissions from, this presentation. Acrow has not independently verified any of the contents of this presentation (including, without limitation, any of the information attributed to third parties). No person is under any obligation to update this presentation at any time after its release to you. Certain statements in this presentation may constitute forward-looking statements or statements about future matters that are based upon information known and assumptions made as of the date of this presentation. Forward looking statements can generally be identified by the use of forward-looking words such as, “expect”, “anticipate”, “likely”, “intend”, “should” , “could”, “may”, “predict”, “plan”, “propose”, “will”, “believe”, “forecast”, “estimate”, “target” and other similar expressions within the meaning of securities laws of applicable jurisdictions. Indications of, and guidance or outlook on, future earnings or financial position or performance are also forward-looking statements. Actual results may differ materially from any future results or performance expressed, predicted or implied by the statements contained in this presentation. As such, undue reliance should not be placed on any forward-looking statement. Past performance is not necessarily a guide to future performance. Nothing contained in this presentation, nor any information made available to you is, or shall be relied upon as, a promise, representation, warranty or guarantee, whether as to the past, present or future. This presentation is not, and does not constitute, an offer to sell or the solicitation, invitation or recommendation to purchase any securities in Acrow and neither this presentation nor any of the information contained herein shall form the basis of any contract or commitment. In particular, this presentation does not constitute an offer to sell, or a solicitation of an offer to buy, any securities in the United States. This presentation may not be reproduced or redistributed to any other person. In receiving this presentation, each recipient agrees to the foregoing terms and conditions. This Presentation was approved by the Acrow Board of Directors DISCLAIMER For further information, please contact: Steven Boland Managing Director Andrew Crowther CFO 2 For personal use only
Page 3
STRATEGIC PRINCIPLES Diversification of revenue streams across our core product and service offerings. A clear, concise strategy that underpins the continued profitable growth of the business. Placing an equal importance on both the Construction & Industrial Access Markets. Maintain a disciplined approach to return on investment for both capex and M&A opportunities. Focus on the Acrow Way of operating with specific focus on: 3 Safety People development across all areas Engineering excellence Internal product development Superior customer service/ outcomes Best in Breed across all business areas For personal use only
Page 4
North East Link POSITIONING FOR FUTURE OPPORTUNITIES 4 For personal use only
Page 5
ACCELERATED CAPITAL PROGRAM PP&E $1.3m Jumpform $15.1m Industrial Access $6.5m Non-growth $5.7m Other growth $4.0m Screens $3.6m Acrowdeck $3.5m FY21 FY22 FY23 FY24 FY25 0 10 20 30 40 50 60 43.5 49.8 57.9 58.0 41.8 Capex in FY26 expected to be approximately $27.0mCapex in FY26 expected to be approximately $27.0m 5 FY25 TOTAL CAPITAL SPEND Total capex spend FY25 $39.7m (excl. ex-hire replacement) Growth: $32.7m Non-growth: $5.7m PP&E- $1.3m (includes WIP for re-platforming of new ERP) Total capex spend FY25 $39.7m (excl. ex-hire replacement) Growth: $32.7m Non-growth: $5.7m PP&E- $1.3m (includes WIP for re-platforming of new ERP) Ex-hire replacement of $10.1m Ex-hire replacement of $10.1m RETURN ON INVESTMENT* % *Actual cumulative return = Capex return weighted by time in the fleet. HURDLE RATE 40% Preparing the business for future work Preparing the business for future work For personal use only
Page 6
BUILDING SUSTAINABLE EARNINGS Expanded Industrial Access to deliver recurring revenue business Generating annualised revenue into FY26 of circa. $200m Longstanding blue-chip customers, including gov’t generating highly recurring maintenance services revenue Industrial Access FY25 Avg. employee head count: (as at 31 July 2025) FTE - 423 Casual - 535 Established beachhead into WA with first major contract win in Dec 2024 - Perdaman Urea Project Represented 50% of group revenue in FY25 Industrial Access Acquisitions: MI Scaffold (Nov-23) Benchmark Scaffolding (Mar-24) Brand Australia (Apr-25) Above Scaffolding (Apr-25) National business providing access services across industrial, mining, energy, utilities, defence & marine TOWNSVILLE MACKAY GLADSTONE BEENLEIGH OPERATIONS INDUSTRIAL ACCESS BRANCH LOCATIONS KARRATHA SYDNEY HUNTER VALLEY Industrial Depots & Activity Industrial Access Revenue FY20 FY21 FY22 FY23 FY24 FY25 FY26e 0 50 100 150 200 $m 10 22 46 40 72 132 200 6 For personal use only
Page 7
FY22 FY23 FY24 FY25 0 2 4 6 8 10 12 8 FY22 FY23 FY24 FY25 0 2 4 6 8 10 12 FY20 FY21 FY22 FY23 FY24 FY25 0 5 10 15 20 FY20 FY21 FY22 FY23 FY24 FY25 0 5 10 15 20 25 JUMPFORM HIRE CONTRACT WINS 47 system wins across 33 projects since launch* 12 projects include screens supply Project wins in all major national cities JUMPFORM $3.9m $3.6m $10.4m JUMPFORM REVENUE SCREENS $nil Complementary to Jumpforms 95 screens projects in progress nationally * Record FY25 hire contract wins Organic growth in VIC, SA and WA SCREEN HIRE CONTRACT WINS SCREEN REVENUE Multiple repeat customers $0.5m $5m $8m $11m 66 1414 77 11 55 5353 55 2424 44 99 $7m $9m $8m $13m $16m $15m $6m $9m $13m $12m $14m $25m CURRENT PROJECTS IN PROGRESS PROJECT WINS BY STATE 7 *Effective 22 October 2025 For personal use only
Page 8
POSITIONING FOR GROWTH Currently conducting the implementation of a new ERP project. Will enable the back office to increase scaleability, increase efficiency, digitise and provide strategic alignment across the entire business. Sets operations up for increasing efficiency through greater use of technology. CAPABILITY & FLEXIBILITY OF WORKFORCE CAPABILITY & FLEXIBILITY OF WORKFORCE TRAINING & DEVELOPMENT TRAINING & DEVELOPMENT PRODUCT DEVELOPMENT & SUPPLY CHAIN PRODUCT DEVELOPMENT & SUPPLY CHAIN Large, skilled pool of scaffolders across key regions – ready to scale, as required. Strong local presence in every state for rapid mobilisation. 63+ engineers and designers delivering technical excellence. 8 Cadet, graduate & apprentice programs building long-term talent pipelines across all divisions of the business. Partnerships with universities to attract top engineering talent. Leadership, sales & technical training for continuous upskilling. ATEC training hubs in SEQ & Mackay delivering nationally recognised certifications. Driving internal product development to retain IP and specifically for the Australian market. Flexibility in manufacturing options across multiple geographies. Greater capacity to scale and respond to surges in demand. Our specifications, our timeline and pricing competitiveness. 6-8 weeks from order to supply. ENTERPRISE RESOURCE MANAGEMENT PROJECT ENTERPRISE RESOURCE MANAGEMENT PROJECT For personal use only
Page 9
KEY FY25 HIGHLIGHTS UGL Cooling Tower 9 For personal use only
Page 10
SAFETY IS OUR PRIORITY LOST TIME INJURIES TOTAL RECORDABLE INJURIES LTIFR ZERO HARM IMPROVEMENT 3 1. 12 months rolling figures 2.Total Recordable Injury Frequency Rate 3.Lost Time Injury Frequency Rate 4.4 1.0 0 1.1 0 FY24 FY25 FY24 FY25 FY24 FY25FY24 FY25 100%100% IMPROVEMENTIMPROVEMENT 100%100% IMPROVEMENTIMPROVEMENT 10 5.0 6.0 5.7 TRIFR 2 1 For personal use only
Page 11
KEY OPERATIONAL ACHIEVEMENTS FY25 Represents 50% of Group revenue from standing start in 2019 INDUSTRIAL ACCESS - RECURRING REVENUE JUMPFORM/SCREENS Largest ever Acrow contract won for joint Jumpform/Screens hire, valued at $4.5m on Meriton Cypress Palms development on the Gold Coast NSW INDUSTRIAL ACCESS ACQUISITIONS Above Scaffolding and Brand Australia - new clients and capabilities Contract renewal for three years plus one year option - total value over $60m INDUSTRIAL ACCESS BMA CONTRACT 11 RECORD SECURED HIRE CONTRACTS/PIPELINE Hire contracts secured up 27% YoY Pipeline up 15% YoY Awarded landmark $42m contract for Perdaman Project Ceres Urea plant development INDUSTRIAL ACCESS WA CONTRACT For personal use only
Page 12
FY24 FY25 0 50 100 150 200 250 300 FY24 FY25 0 5 10 15 20 25 30 FY24 FY25 0 1 2 3 4 5 6 FY24 FY25 0 20 40 60 80 100 FY24 FY25 0 2 4 6 8 10 12 FY24 FY25 0 5 10 15 20 25 30 35 KEY FINANCIAL METRICS FY25 REVENUE $m NPAT (Stat.) $m DPS $215.3 $265.1 $25.6 $23.3 5.85c 5.85c EBITDA $m EPS ¢ $74.6 $80.2 11.54c 11.17c ps 23% Flat 8% 3% NPAT $m $33.0 $34.3 4% 1 1.All metrics are underlying unless otherwise stated. ¢ps 9% 12 For personal use only
Page 13
0 50 100 150 200 250 300 FY19 FY20 FY21 FY22 FY23 FY24 FY25 REVENUE($m) 71.0 87.0 105.7 148.3 0 20 40 60 80 100 FY19 FY20 FY21 FY22 FY23 FY24 FY25 EBITDA ($m) 80.2 14.8 19.5 24.3 EARNINGS PER SHARE (¢) DIVIDENDS PER SHARE (¢) 0 1 2 3 4 5 6 FY19 FY20 FY21 FY22 FY23 FY24 FY25 0 2 4 6 8 10 12 FY19 FY20 FY21 FY22 FY23 FY24 FY25 4.4 4.0 4.0 7.2 2.0 1.8 2.0 2.7 25% CAGR 17% CAGR 33% CAGR 20% CAGR 168.5 11.6 53.2 36.3 4.4 FINANCIAL TRACK RECORD 0 5 10 15 20 25 30 35 FY20 FY21 FY22 FY23 FY24 FY25 ROE (%) 17.0 14.5 7% CAGR 32.7 23.0 215.3 74.6 27.1 11.5 5.9 1 1.All metrics are underlying unless otherwise stated. 13 265.1 11.2 23.7 5.9 For personal use only
Page 14
OPERATIONS 14 Perth Airport For personal use only
Page 15
15 TWO MARKETS. ONE STANDARD OF EXCELLENCE. CONSTRUCTION INDUSTRIAL ACCESS For personal use only
Page 16
16 CONSTRUCTION - SERVICES & MARKETS FORMWORK COMMERCIAL SCAFFOLD JUMPFORM SCREENS H/WARE & CONSUMABLES HEALTH & UTILITIES CIVIL HIGH RISE COMMERCIAL HIGH RISE RESI LOW RISE RESI SERVICESMARKETS For personal use only
Page 17
Equipment Hire 55.2% Product Sales 17.8% Consumables 16.3% Labour & Cartage 10.7% Revenue Breakdown FY25 CONSTRUCTION - PERFORMANCE For personal use only
Page 18
18 SCAFFOLD HIRE LABOUR SOLUTIONS PROJECT MANAGEMENT TRAINING - ATEC EQUIPMENT SALES POWER GENERATION OIL & GAS REFINERIES MARINE DEFENCE SERVICESMARKETS INDUSTRIAL ACCESS - SERVICES & MARKETS ASSET MAINTENANCE For personal use only
Page 19
Labour Hire 65.9% Product Sales 19% Scaffold Hire 15.1% Revenue Breakdown FY25 INDUSTRIAL ACCESS - PERFORMANCE For personal use only
Page 20
GROUP OUTLOOK Over water access 20 For personal use only
Page 21
SHORT TERM OBSERVATIONS 21 The Screens & Jumpform businesses are continuing to expand their national presence, with particularly strong growth anticipated in WA for both businesses. We are pursuing the expansion of the Industrial Access division into WA & SA through targeted organic growth initiatives. The recently acquired industrial access businesses are providing significant cross-selling & growth opportunities. e.g Defence sector. We anticipate a pause in M&A activity in FY26 as we focus on consolidating our recent acquisitions. We have experienced softness in the general formwork business during 1H FY26, especially in QLD. We are confident of increased activity into 2H FY26 and more specifically 4Q FY26. Activity levels are increasing in both SA & WA; are stable in NSW & VIC; and will improve significantly in QLD in 2H FY26. The Industrial Access division is continuing to grow with revenues approaching $200m in FY26 and contributing a larger share of revenue. Our deliberate strategy to diversify the revenue streams has delivered stable earnings during a downturn period in the broader construction industry. For personal use only
Page 22
MEDIUM TERM OUTLOOK 22 In QLD, we expect to see activity attributable to the 2032 Olympic Games ramping up from 1H FY27. Buoyant construction focused state operations, especially in QLD , VIC and SA. Organic growth in Industrial Access will be substantial, generated through scale; opening new geographic and industry specific markets. There will also likely be a recommencement of M&A in this sector in the medium term.In VIC, we will continue to capitalise on our position as the leading provider of formwork hire and sales to the civil infrastructure sector, leveraging the ongoing Big Build program, with a particular focus on major projects such as the North East Link, Suburban Rail Loop, and Airport Rail Link. Outside of Olympic activity in the state, other major project spend in QLD is forecast to almost triple from $10b to ~$30b between FY25 and FY29. Given our dominant presence in the QLD market, we are well positioned to take advantage of this opportunity. Industrial Access market will continue to be very strong and a larger contributor to overall group revenues. In SA, we expect to see unprecedented revenue opportunities out of both the T2D Motorway project and the infrastructure build up in relation to AUKUS. We expect to capture continued market share growth in both NSW and WA in our construction based business. Source: QMCA Queensland Major Projects Pipeline 2025 QLD MAJOR PROJECTS SPEND New hire revenue secured ytd is flat on PCP. However the sales pipeline has increased by 25% over the same period to $248m, the biggest total in the Company’s history Infrastructure Australia reports that there will be a shortage of up to 300,000 construction workers by FY27. For personal use only
Page 23
Lead up to the Games 23 Olympic Venue Construction Formwork Commercial Scaffold Scaffold labour Commercial Scaffold Industrial Scaffold Scaffold labour Formwork During the Games Formwork Formwork Commercial Scaffold Scaffold labour Screens & Jumpform Formwork Commercial Scaffold Scaffold labour Screens & Jumpform Depot footprint Other Opportunities Hotel accommodation development Tourist attractions asset maintenance e.g. Sydney Harbour Bridge Formwork Commercial Scaffold Scaffold labour Screens & Jumpform Industrial Access equipment TOWARDS BRISBANE 2032 OLYMPICS ACROW LONG-TERM OPPORTUNITIES Athletes Village Construction Hotel Accommodation Transport Infrastructure Regional Construction & Infrastructure Temporary events facilities National Tourist Surge 1. Queensland Transport and Roads Infrastructure Program indicates a spend across the state of $16b between 2025 and 2029 1. QLD Hospitals Program $12b spend between 2025 and 2030 Formwork Commercial Scaffold Scaffold labour Screens & Jumpform Industrial Access equipment National Defence maintenance access contracts Industrial Access For personal use only
Page 24
1H FY26 GUIDANCE 24 FY24 $215.3m FY25 $265.1m FY24 Margin -62.1% FY25 Margin -54.5% DIVISIONAL REVENUE MIX SHIFT 34% 66% 50% 50% Industrial Access Margin - 38.2% Construction Margin - 74.2% Industrial Access Margin - 36.6% 1 1.All references to margin refer to sales contribution margin Construction Margin - 72.1% 58% 42% 1H26 $155m Metric (underlying) 1H FY25 (Actual) 1H FY26 (Guidance) % chg on pcp* Revenue $126.6m $153.0m-$157.0m +22% EBITDA $39.0m $37.0m-$40.0m -1% *Midpoint 1H FY26 Margin -49.0% Industrial Access Construction Indicative For personal use only
Page 25
Steven Boland MD & CEO Andrew Crowther CFO CONTACT ACROW HEAD OFFICE 1300 138 362 2A Mavis Street Revesby NSW 2212 info@acrow.com.au www.acrow.com.au Raising the Standard in Construction. investors@acrow.com.au Investor enquiries & presentation questions Matt Caporella COO 25 For personal use only