Slides
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1H FY25 Results Presentation For the half year ended 31 December 2024 24 February 2025
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Contents Business overview 4 Operational update 13 Group financial results 22 Outlook 28 Q&A 30 Appendix 31 Joe Bartolo Group Managing Director Nabeel Sadaka Chief Executive Officer Geoff Trumbull Chief Financial Officer
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3 1H FY25 Normalised Revenue¹ $416.7m ↑ 12% on $371.3m in 1H FY24 43% of FY25 Prospectus forecast FY25 secured revenue 2 91% ↑ 30% vs. 61% at 30 June 2024 1H FY25 Normalised EBITDA¹ $48.7m ↑ 30% on $37.6m in 1H FY24 48% of FY25 Prospectus forecast Work-in-hand 3 $1.37bn ↑ $70m since 30 June 2024 1H FY25 Normalised NPAT¹ $19.6m ↑ 72% on $11.4m in 1H FY24 47% of FY25 Prospectus forecast Net cash position $32.6m ↑ $6.8m on pro forma 30 June 2024 1H FY25 Results Highlights Symal is on track to meet its FY25 prospectus pro forma revenue and EBITDA forecast of $961.1m and $102.3m respectively. Notes: (1) Normalised results include pro forma adjustments for IPO impacts, pre-acquisition Sycle earnings and normalisation adjustments for a historical commercial claim which resulted in one -off profits in FY24. Refer to slide 34 for detail of normalisation adjustments; (2) Represents secured work in hand (WIH) and 1H FY25 delivered revenue as at 21 February 2025; (3) Represents est imated aggregate value of contracted yet-to-be completed projects as at 21 February 2025
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4 Business overview 4
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A founder-led, diverse and vertically integrated construction group, driving growth, innovation and strategic expansion. 5
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6 Our success drivers A diversified business with services across contracting, plant and equipment hire, material sales and recycling, all spanning multiple sectors. A self-performing operating model, with in-house resources and control over project complexities. A team of highly experienced, ambitious and passionate leaders. A vertically-integrated set of complementary businesses, built to operate either independently or supporting each others’ operations. An amazing company culture, driven by shared founder-driven values. An aligned and founder-led business with clear direction and growth aspirations.
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7 Our operational pillars 7 Recycling and repurposing Material salesContracting Plant and equipment hire
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8 Our vertical integration model Symal's vertically integrated model ensures we’re able to remain highly competitive yet provide solutions that achieve the best performance outcomes for our clients. This model gives Symal greater control over program, costs, risks and delivery.
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9 Symal delivers projects across the Nation with strategic office and yard locations along the East and South coasts of Australia. We have a strategic plan to further expand in other parts of Australia backed by its track record of organic growth and successfully acquiring and integrating businesses. Built for Scale & Growth ~3,600¹ vehicle and machinery assets $1.37bn² work-in-hand ~1,200 employees 200+ live projects $961.1m FY25E pro forma forecast revenue $102.3m FY25E pro forma forecast EBITDA ~18% FY22 – FY25E pro forma revenue CAGR ~29% FY22 – FY25E pro forma EBITDA CAGR Brisbane Townsville Gold Coast Yatala Tomago Newcastle Sydney Wagga Wagga Spotswood MelbourneGeelong Avalon Stawell Adelaide Current office location Upcoming office location Notes: (1) Includes yellow goods, heavy vehicles, light vehicles, equipment, machinery, and other plant. (2) Represents estim ated aggregate value of contracted yet-to-be completed projects as at 21 February 2025.
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10 Organic runway Continue to build market share in existing and new geographies Inorganic opportunities Accelerate growth and market entry through targeted acquisitions Innovation Develop Sycle, Searo and identify other commercial innovation opportunities Strategic focus • National growth driven by a strong addressable market in road and rail infrastructure, renewables, defence, private and community infrastructure and facilities with strong relationships in all sectors. • Targeted strategic acquisitions to build on our diversified offering • Focus on strategies and plans to ensure seamless integration into Symal. • Continue to grow and deliver on the Sycle strategy • Expand on Searo offering • Focus on future market trends, technologies and future industries to ensure Symal is positioned early. 1H FY25 outcomes • New national offices established • Gawara Baya Wind Farm project ECI converted, completing set strategy • Continual wins in energy, data centers and community infrastructure. • Dedicated M&A team established • Due diligence underway on a number of acquisition opportunities. • M&A Framework and gameboard completed. • Purchased Sycle resource recovery sorting line • Strategic plans to create a Large scale recycling centre close to Melbourne CBD • Strategy to build Tier 2 C&D waste skip bin operation through organic and inorganic growth. Near-term priorities • Continue market share growth. • Progress the international procurement strategy. • Pipeline of quality M&A targets identified. • Identification of strategic M&A to increase industrial waste volumes • Create Melbourne Recycling Centre • Expand on Searo's offerings. • Purchase of the Sycle fuel line. Growth strategy
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11 Planning to invest ~$50m over the next 3-4 years, Sycle is poised to grow exponentially through two primary streams: Sycle: Waste reinvented Sycle is a vertically integrated recycling and repurposing offering, delivering services such as waste management, transportation, processing and recycling of C&D and C&I waste. Sycle will unlock the potential of the circular economy by investing in Greentech product development. Construction and demolition (C&D) circular precinct A ~$30m investment in Sycle’s C&D operations will result in a purpose- built facility and infrastructure to position Sycle as a leader in Victorian waste management. • Long term lease site close to Melbourne being finalized(1). • Leading soil washing and remanufacturing capabilities. • Increases capability to produce sand and aggregates suitable for concrete and other construction requirements. • Establishing new streams with a high-quality landscaping product range for both major projects and commercial/domestic applications. . Commercial and industrial (C&I) recycling and fuels A ~$20m investment in Sycle’s C&I operations will result in increased waste processing volume, sorting technology and fuels production. • Targeted acquisitions will elevate Sycle's current waste volumes. • Resource recovery sorting line has been purchased to significantly improve recovery rates. • New fuels production capability will further increase recovery rates and deliver a lower carbon embodied alternative energy source. Waste received Processing Product sales Gate fee revenue EPA Levy costs (landfill) Sales revenueProcessing costs (recovered) Sycle’s financial driversA cleaner future begins now with our strategy This investment aims to deliver: • Increased waste volumes, resulting in higher gate fee revenue and the supply of commdity for remanufacturing for Sycle. • Increase recovery rates, resulting in less EPA levy rebate and diversion of precious resources from landfill. • The creation of value added products, resulting in higher margin product sales.Notes: (1) pending government and EPA permits
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12 Searo is actively delivering small-scale battery storage and EV charging infrastructure, including associated battery and solar installations, in the commercial and industrial sectors with a growing portfolio of blue-chip clients. In addition, Searo is expanding its electrical services capability to complement its civil infrastructure expertise, reinforcing its position as a leader in the renewable energy sector. Searo has built a self-performing operating model by developing a skilled blue-collar workforce and investing in plant and equipment to enhance service delivery. With a strategic focus on delivering behind the meter storage projects and self-perform electrical services. Searo: Redefining energy The introduction of an electrical services offering represents a natural and organic progression in Symal’s diversification strategy, enhancing its ability to service infrastructure and energy markets. Powering today, building for tomorrow
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13 Operational update 13
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14 Delivering Results: Operational Overview 1.30 (0.42) 0.23 1.11 1.37 WIH @ 30/6/24 1H25 delivered 1H25 wins WIH @ 31/12/24 WIH @ 21/2/25 $bn 0 0.2 0.4 0.6 0.8 1 1.2 1.4 1.6 28% of WIH now within energy and renewables sector Further ECI and preferred contractor projects ~$200m not in WIH Work in Hand (WIH) constantly being replenished with new projects1 ~$870m of FY25 revenue secured (91% of FY25 forecast) at 21-Feb-25 371.3 416.7 384.2 454.7 89.7 961.1 0 200 400 600 800 1,000 FY24 FY25 FY25 Prospectus $m Get & Do Secured 2H Actual 1H Actual 59% 28% 7% 3% 3% Infrastructure Energy / Renewables Private Sector Community Infrastructure Other (defence, education etc) $1.37b Moonee Valley Racecourse Ballan Road Upgrade Springvale BESS Notes: (1) WIH represents aggregate value of contracted yet -to-be completed projects as at 31 December 2024 and estimated as at 21 February 2025.
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1515 Utilising in-house capabilities derived from decades of experience to include constructability and live costing as design inputs. Early contractor involvement (ECI) model Our approach Project governance structure aligned to project requirements, underpinned by Project Governance Plan. Active participation in project start-up meetings, and introduction of collaboration workshop at contract commencement to establish agreed partnership framework. ‘Lessons learned’ meetings, ensuring transfer of knowledge across project phases, focus on continuous improvement. Robust innovation, value management and decision-making process during design phase to ensure maximum value extracted. Commitment to collaborative outcomes from senior management. Symal boasts a highly experienced Precontract and Design Management Team, specialising in Early Contractor Involvement (ECI) services for design and construct, as well as collaborative contracts across diverse sectors. Through a structured and transparent ECI process, Symal takes the lead in identifying, assessing, and managing risks - leveraging the collective expertise of our broader team. We systematically address all potential risk categories that could impact a project, including geotechnical conditions, planning and approvals, design complexities, long lead-time items, construction constraints, health, safety, and environmental factors, commissioning and handover, project interfaces, and stakeholder engagement. This approach is designed to maximise value for money, establish fair risk-sharing arrangements, and enhance the likelihood of achieving key project success factors for both Symal and our clients. success rate in conversion to live projects. 90% Symal’s approach has resulted in a
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16 Early contractor involvement (ECI) projects ECI complete, main project awarded to Symal(1) • Located Northwest of Townsville. • Paid ECI – Complete delivering a material saving to the Client and geotechnical, design, approvals, long lead procurement and program understanding for both WindLab and Symal. • Major Earthworks, Drainage, Quarry and Concrete Supply. • Wind Farm internal road network and bridges. • Main project awarded, subject to conditions to be finalised before being in full force and effect. Gawara Baya Wind Farm Ballan Road Upgrade Moonee Valley Racecourse Commenced Project Development Phase with MRPV (2) • Upgrading the major intersection of Ballan, McGrath and Green roads in Wyndham Vale, Victoria. • New traffic lights, additional lanes and bus lanes. • New paths and pedestrian crossings. • At the conclusion of the ECI period, deliver a Target Outturn Cost (TOC) for approval by MRPV. • Should the TOC be approved, deliver the project under the Incentivised Target Cost (ITC), cost reimbursable model. ECI nearing completion (2) • Redevelopment of Moonee Valley Race Club (MVRC) as part of precinct masterplan. • ECI has driven a material cost reduction for MVRC and delivered improved geotechnical, design and program understanding for both MVRC and Symal. • Track and facilities realignment to support development opportunities by others. • Bulk earthworks for racetrack reconstruction with four new underpasses & retaining walls. • New services including track lighting, water treatment, landscaping and architectural finishes. • Paid ECI - near completion. Notes: (1) Gawara Baya Wind Farm project included in figure on slide [14] Note: there is no guarantee that the conditions precedent to the agr eement will be satisfied and accordingly there is no guarantee that the agreement will become legally binding; (2) Ballan Road Upgrade and Moonee Valley R acecourse only included in WIH for the contracted planning and design works, delivery sums not included in WIH until the ECI is concluded and a signed contract for delivery is executed.
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17 Continued Growth Through Strategic Project Wins • 50+ Projects Wins in Energy in YTD FY25 adding to our long history in the sector. • Projects spread throughout Queensland, NSW, ACT, Victoria and South Australia. • Civil works (earthworks, drainage, pavements and foundations) for Wind Farms, Battery Storage, Solar, Waste to Energy, Transmission and Substation Projects. • End to end delivery of EV Charging Stations including solar, battery and charging station construction. • 12 data centre wins for YTD FY25 adding to our already impressive history over the past four years. • Symal works as a subcontractor in this sector contributing earthworks, drainage, civil works and concrete works for a variety of building clients delivering for the likes of Microsoft, NextDC and Amazon. 30+ Community Infrastructure projects, YTD FY25 Including but not limited to: • Rugby Victoria Centre of Excellence • Whittlesea Community Hospital • Craigieburn Community Hospital • Port Melbourne Social Housing • Hawthorn Football Club's new training facilities. • The Home of the Matildas. • The City of Melbourne's Greenline Project • Ballarat Base Hospital Energy and renewables Data centres Community infrastructure
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18 Operating segments have been revised to align with Symal’s operating model: Operating segments • Delivery of engineering and construction on various projects nationally. • Delivery as a head contractor or subcontractor. • Public and private clients under various contract models including cost reimbursable, alliance, construct only, design, and construct and incentivised target cost. • Wet or dry plant hire throughout Australia. • Internal and external provision of construction crews including supervision and project management support. • Also procures and deploys miscellaneous materials and consumables within Symal Group. • Operates internal quarries including material sales and supports quarry operations for external clients. • Aggregation of other Symal Group services that are not reported separately and are not considered to be operating segments (including Sycle operations). • This segment also includes corporate shared services and group eliminations. Contracting Services Plant and Equipment Other Revenue contribution EBITDA contribution Revenue contribution EBITDA contribution Revenue contribution EBITDA contribution 80% 51% 20% 47% 0.5% 2% 18
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1919 • Normalised Revenue increased by 8.0% and EBITDA increased by 8.2% versus pcp. • Growth underpinned by new project wins and the ramp up of existing major projects, most notably the Eastern BTA project. • Normalised financial results exclude the timing of profit recognition on a large commercial settlement from FY23(1) ($10 million EBITDA gain recognised in 1H FY24 and a $3.3m EBITDA expense recognised in 1H FY25). • Normalised EBITDA margin of 7.5% is consistent with 1H FY24. These margins reflect a mix of work as both head contractor and subcontractor under cost reimbursable and lump sum commercial models. • Strong margin outcomes from early completion and underrunning cost reimbursable projects. This performance led to Symal being awarded project bonuses and contributed to securing a further ECI. Contracting Services 1H FY25 Normalised Revenue $331.6m ↑ 8.0% on 1H FY24 1H FY25 Normalised EBITDA $24.8m ↑ 8.2% on 1H FY24 1H FY25 highlights Normalised $m 1H FY25 1H FY24 Change $m Change % Revenue 331.6 307.1 24.5 8.0% EBITDA 24.8 22.9 1.9 8.2% EBITDA margin 7.5% 7.5% 0.0% EBIT 24.3 21.7 2.6 11.8% EBIT margin 7.3% 7.1% 0.2% Notes (1) Related to matters disclosed in the Prospectus (section 4.9.6.1)
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2020 • Revenue increased by 34.3% and EBITDA grew by 53.0% versus pcp. • There was no normalisation adjustments applied to this segment. • This growth was underpinned by: Continued investment in the fleet of heavy plant and equipment with approximately $15m capex spend in 1H FY25. Strong external and internal demand for wet and dry hire of equipment along the East Coast and South Australia. • Change in depreciation assumptions to industry standard useful lives has resulted in a sustainable increase in EBIT margin. Plant and Equipment 1H FY25 Normalised Revenue $83.1m ↑ 34.3% on 1H FY24 1H FY25 Normalised EBITDA $23.0m ↑ 53.0% on 1H FY24 1H FY25 highlights Normalised $m 1H FY25 1H FY24 Change $m Change % Revenue 83.1 61.9 21.2 34.3% EBITDA 23.0 15.0 8.0 53.0% EBITDA margin 27.6% 24.3% 3.4% EBIT 13.4 2.2 11.2 508.9% EBIT margin 16.2% 3.6% 12.6%
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2121 • ~1,200 employees, up approximately 13% over the last six months • ~2,000 subcontractors from all over Australia. • Highly trained internal workforce providing core expertise to consistently perform for our clients and partners. • Subcontractor base enables flexible workforce scaling as well as providing specific trade expertise when required. • “Safety 7” Critical Risk program focuses our people and our partners on key industry safety risks. Safety and our workforce Symal’s 12-month rolling safety statistics (1H25) 0.22 LTIFR ↓ 74.7% on 1H24 3.30 TRIFR ↓ 31.4% on 1H24 1H FY25 highlights Key people statistics ~1,200 Employees ↑ 13% on June 2024 4.5m Work hours delivered in CY 2024 13,000 Training hours delivered in CY 2024 ~140 Indigenous or disadvantaged employees Our learning, equality and pathways programs
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22 Group financial results 22
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2323 Normalised financial performance Normalised $m 1H FY25 1H FY24 Change $m Change % Revenue 416.7 371.3 45.4 12.2% Operating expenses (368.0) (333.7) (34.3) 10.3% EBITDA 48.7 37.6 11.1 29.6% Depreciation & amortisation (14.6) (17.8) 3.3 (18.2%) EBIT 34.1 19.8 14.4 72.7% Interest expense (3.8) (2.7) (1.1) 39.8% Share of JV profits - (0.6) 0.6 (100.0%) Profit before tax 30.3 16.4 13.9 84.7% Income tax expense (10.7) (5.0) (5.7) 112.8% NPAT 19.6 11.4 8.2 72.3% • Revenue growth of 12.2%, driven by growth in both the Contracting Services and Plant and Equipment segments. • EBITDA growth of 29.6%, supported by strong returns on investment in plant and equipment and strong margin outcomes on key projects (including bonuses paid on early completion of cost reimbursable projects). • EBITDA margin of 11.7%, up 1.6% from pcp. • 1H FY25 revenue and EBITDA represents approximately 43% and 48% of the full year FY25 forecast in the Prospectus, ahead of an estimated 40% first half split at the start of the financial year. • Stronger 1H FY25 result reflects accelerated delivery on certain projects resulting in a shift in timing from 2H FY25 to 1H FY25. • Depreciation expenses reduced following re-assessment of useful life assumptions to industry norms in FY25. • Continued growth in finance costs driven by an increase in Symal Group’s fleet and associated equipment financing leases as the business has continued to scale. • Income tax expense growing with earnings, with some permanent differences relating to Loan Funded Shares (no tax deduction applicable), the allocable cost allocation (ACA) on joining tax consolidated group (cost base reductions) and normal permanent differences. Key financial metrics 1H FY25 1H FY24 Change Change % EBITDA margin 11.7% 10.1% 1.6% EBIT margin 8.2% 5.3% 2.9% NPAT margin 4.7% 3.1% 1.6% Notes (1) Normalised results exclude the impact of (a) the impact of the pre- IPO restructure, (b) the impact of the IPO process, and (c) the timing of profit recognition on a material commercial settlement from FY23. Symal delivered strong year on year revenue growth with further improvement in EBITDA margins above historical averages.
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2424 Statutory financial performance Statutory $m 1H FY25 1H FY24 Change $m Change % Revenue 403.6 364.3 39.3 10.8% Operating expenses (369.7) (318.0) (51.7) 16.3% EBITDA 33.9 46.3 (12.4) (26.8)% Depreciation & amortisation (12.6) (16.3) 3.8 (23.1)% EBIT 21.3 30.0 (8.6) (28.9)% Interest expense (3.3) (2.3) (1.0) 42.5% Share of JV profits - (0.6) 0.6 (100.0)% Profit before tax 18.0 27.0 (9.0) (33.4)% Income tax expense (11.0) (8.2) (2.8) 33.9% NPAT 7.0 18.8 (11.8) (62.8)% Statutory results include the impact of the pre-IPO restructure, IPO process and a material commercial settlement that inflated earnings in the prior corresponding period. Reconciliation of statutory to normalised NPAT ($m) 1H FY25 1H FY24 Statutory NPAT 7.0 18.8 Pre-IPO restructure1 (1.2) (0.3) IPO costs / ASX listing costs2 10.3 (0.3) FY23 project settlement3 3.3 (10.0) Tax effect of adjustments (3.3) 3.2 Step down ACA restructure 3.6 - Normalised NPAT 19.6 11.4 Statutory revenue $403.6m ↑ 10.8% on 1H24 Statutory NPAT $7.0m ↓ 62.8% on 1H24 Statutory EBITDA $33.9m ↓ 26.8% on 1H24 Notes (1) Includes costs of restructure, inclusion of pre -acquisition Sycle earnings, and tax expense associated with ACA restructure; (2) Includes IPO offer costs and incremental public company costs prior to listing; (3) Adjusts for the impact of commercial settlement of a FY23 project
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2525 Cash flow Statutory $m 1H FY25 1H FY24 EBITDA 33.9 46.3 Interest paid (3.3) (2.3) Non-cash items (incl. share based payments) 6.7 (10.0) Income taxes paid (20.3) (10.4) Change in working capital(1) 35.1 7.0 Gain or loss on sale of PP&E 0.2 0.1 Cash provided by operating activities 52.2 30.8 Payment for PP&E (19.2) (21.4) Payments for investments (9.6) - Proceeds from sale of PP&E 1.7 - Cash (used in) investing activities (27.1) (21.4) Proceeds from issue of shares 133.5 - Repayments of promissory notes (56.8) - Net movement in related party loans 5.7 (14.0) Repayment of borrowings (18.6) (12.4) Proceeds from borrowings 20.8 23.4 Principal portion of lease payments (0.7) (0.9) Dividends paid (39.2) - Cash provided by financing activities 44.8 (3.9) Net change in cash 69.9 5.5 • 1H FY25 operating Cash Flow of $52.2 million. • Normalised cash conversion(2) of 182% driven by seasonal working capital benefit in the December period (expected to partially reverse in 2H FY25) and the impact of $6.7 million of non-cash share-based payments within EBITDA. • Capex of $19.2 million, largely relating to heavy plant and equipment, to support the planned sustainable growth of the business. • This capital expenditure was funded by $20.8 million in additional asset financing, with a further $18.6 million of existing asset finance repaid in line with historical asset financing arrangements. • Dividends paid relate to pre-IPO payments as part of the restructure. Notes: (1) Working capital comprises trade and other receivables, inventory, prepayments, contract assets, less trade and other payables, provisions and tax liabilities and other assets and liabilities to the extent these relate to the operating (and not financing or investing activity); (2) Defined as operating cash flow before interest and tax, divided by EBITDA. 1H FY25 cash conversion $m Normalised Statutory EBITDA 48.7 33.9 Remove non-cash items 0.4 6.7 Remove loss on sale of PP&E 0.2 0.2 Add movement in working capital 39.6 35.1 Operating cash flow before interest and tax 88.9 75.9 Cash conversion (%) 182% 224%
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2626 Balance sheet Notes: (1) Includes equity accounted investments, long -term other assets, short-term other assets, other financial assets, contract assets, and inventory; (2) Includes current lease liabilities and non -current lease liabilities; (3) Includes current loans and borrowings and non -current loans and borrowings. (4) Includes long term provisions, short term provisions and other current liabilities.. • Improvement in cash position from June 2024 pro forma, after $39.2m in pre-IPO dividends and $20.3m of tax payments during 1H FY25. • Seasonal reduction in receivables, net of addition of ~$15m of Sycle receivables, given the run into the holiday period in December. • Increase in payables driven by the acquisition of Sycle (~$28m payables). • Working capital benefit expected to partially reverse in 2H FY25 in line with FY25 Prospectus forecasts. $m 31-Dec-24 Statutory 30-Jun-24 Statutory 30-Jun-24 Pro Forma Cash and cash equivalents 157.6 87.7 146.5 Trade and other receivables 96.0 140.0 134.4 Intangible assets and goodwill 27.3 0.2 29.9 Right of use assets 15.6 8.5 14.2 Property, plant and equipment 136.9 105.1 126.7 Deferred tax assets - 2.1 6.3 Current tax assets 0.2 - - Other assets(1) 28.8 18.8 20.8 Total assets 462.3 362.4 478.8 Trade and other payables 116.9 100.4 103.4 Current tax liabilities - 15.7 15.2 Lease liabilities(2) 16.2 8.7 14.5 Loans and borrowings(3) 108.7 91.6 106.2 Deferred tax liabilities 3.9 - 2.8 Other Liabilities(4) 68.3 63.0 65.5 Total liabilities 314.2 279.4 307.6 Net assets 148.1 82.9 171.2 Issued capital 293.2 0.0 293.4 Reserves (189.0) 5.0 (181.8) Retained earnings 43.9 68.6 59.7 NCI - 9.4 - Total equity 148.1 82.9 171.2 Working capital $m 1H FY25 1H FY24 Change Trade and other receivables 96.0 140.0 (44.0) Excl. related party loan receivables (4.5) (17.4) 12.9 Other assets 28.8 18.8 10.0 Trade and other payables (116.9) (100.4) (16.6) Excl. related party loan payables - 6.2 (6.2) Other liabilities (68.3) (63.0) (5.3) Net working capital (65.0) (15.8) (49.2) Excl. Sycle acquired working capital 14.1 Working capital movement (35.1)
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2727 Capital management Notes: (1) Net leverage (post-AASB 16) calculated as net debt including lease liabilities divided by FY25 pro forma EBITDA of $102.3m. (2) Net leverage (pre-AASB 16) calculated as net debt excluding lease liabilities divided by FY25 pro forma EBITDA less FY25 pro forma AASB 16 lease expense of $3.0m. (3) Includes facilities from NAB and other domestic banks. (4) Includes equipment finance provided by OEM providers. • Symal remains well capitalised, with an improved net cash position of $32.6m compared to June 2024 pro forma of $25.8m (as presented in the Prospectus). • Financing documents with key lenders updated prior to IPO including extension of NAB bank guarantee facility to 31 December 2026. • $141m of undrawn capacity on asset financing limits and $78m of undrawn capacity on bank guarantee and bonding facilities , supporting medium term growth objectives. • Review of longer term funding requirements and capital structure to be undertaken through CY 2025. • The payment of dividends by Symal is at the discretion of the Board, however the Company’s target payout ratio is between 30-50% of net profit after tax • Following the announcement of FY25 results, Symal intends to declare a dividend equivalent to 50% of NPAT, pro-rata for the period from IPO completion to 30 June 2025 $m 31-Dec-24 Statutory 30-Jun-24 Statutory 30-Jun-24 Pro Forma Drawn debt (108.7) (91.6) (106.2) Lease liabilities (16.2) (8.7) (14.5) Gross debt (125.0) (100.3) (120.7) Cash equivalents 157.6 87.7 146.5 Net cash / (debt) 32.6 (12.6) 25.8 Net leverage (post-AASB 16)(1) (0.3) 0.1 (0.3) Net leverage (pre-AASB 16)(2) (0.5) 0.0 (0.4) $m Limit Drawn Headroom Bank debt(3) 187.5 73.3 114.2 Equipment finance(4) 59.0 32.2 26.8 Other 3.2 3.2 - Banking facilities 250.8 108.7 141.0 Bank Guarantees 105.0 45.4 59.6 Bond facilities 40.0 21.5 18.5 Total facilities 395.8 175.6 219.1
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28 Outlook 28
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2929 On track to meet FY25 prospectus pro forma revenue and EBITDA forecast of $961.1m and $102.3m respectively. Progressing several acquisition opportunities. Strong WIH and pipeline of opportunities across the nation for FY26 and beyond. Continue with Sycle’s growth strategies. Outlook Maintaining momentum in 2H FY25 and beyond Strong revenue and profitability, ahead of 1H FY25 expectations. Continuing to win work and replenish work in hand. Significant step forward with QLD and energy strategy with the win of Gawara Baya Wind Farm. Launched the Searo brand, providing a new electrical contracting service offering to the market. Strong delivery in 1H FY25
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30 Questions and answers 30
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31 Appendix 31
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32 This document is dated 24 February 2024 and has been prepared by Symal Group Limited ACN 130 808 276 (“Symal”). This presenta tion has been authorised for release by the Board of Symal. Summary information This material has been prepared only as a presentation aid and contains summary information about Symal and its business whic h is current as at the date of this presentation unless otherwise stated. This material has been prepared for information purpos es only. This presentation should be read in conjunction with Symal’s most recent financial report and other periodic and continuous disclosure announce ments lodged with the Australian Securities Exchange (”ASX”), which are available at www.asx.com.au under the Company’s ticker c ode (ASX:SYL). Not an offer of securities This material is NOT a prospectus, product disclosure document or other offering document under Australian law or under the l aw of any other jurisdiction. This material does NOT contain all of the information that may be required for evaluating Symal, i ts assets, possible valuation, prospects or potential opportunities. Please note that the information contained herein is only of a general nature. It shoul d NOT be relied upon for any evaluation of Symal or for making any investment decision. No liability Symal has prepared this presentation based on information available to it at the time of preparation. No representation or wa rranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and c onclusions contained in this presentation. To the maximum extent permitted by law, Symal, its professional advisers and their affiliates and related bodies c orporate and their respective officers, directors, employees and agents disclaim any liability (including, without limitation , any liability arising from fault or negligence for any loss arising from any use of this presentation (or its content) or otherwise arising in connection with it ). While it has been prepared from sources Symal believes to be reliable, Symal cannot guarantee its accuracy or completeness an d other than as required by law – Symal undertakes no obligation to advice of changes or updates to any such materials. Neither Symal nor any other entity or person in or associated with Symal guarantees any return (whether capital or income) or generally the performance of Symal or the price at which its securities may trade. Except as otherwise expressly stated in this presentation, Symal has not authorised any person to give any information or mak e any representation which is not contained in this presentation. Any such information or representation not contained in this p resentation must not be relied upon as having been authorised by, or on behalf of, Symal. Forward looking statements This presentation contains information, forecasts and forward -looking statements in respect of which there is no guarantee of fu ture performance and which of themselves involve significant risks (both known and unknown). Forward-looking statements are statements that are not historical facts. Words such as “expect(s)”, “feel(s)”, “believe(s)”, “wi ll”, “may”, “anticipate(s)” and similar expressions are intended to identify forward -looking statements. These statements includ e, but are not limited to, statements regarding future results, regulatory approvals, production targets, sales etc. All of such statements are subject to risks and uncertainties, many of which are difficult to predict and generally beyond the control of Symal, that could cause a ctual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. These risks and uncertainti es include, but are not limited to Symal's prospects, assets, projects and business strategy. None of Symal, its Directors or officers can give, or gives, any assurance that the results, performance or achievements express ed or implied by the forward-looking statements contained in this document will actually occur or that the assumptions on which those statements are based are exhaustive or will prove to be correct beyond the date of its making. Readers are cautioned not to place undue reli ance on these forward-looking statements. Except to the extent required by law, Symal has no intention to update or revise forward -looking statements, or to publish prospective financial information in the future, regardless of whether new information, future events or any other factors affect the information contained in this presentation. You are cautioned not to place undue reliance on these forward -looking statements and we do not undertake any obligation to revise and disseminate forward -looking statements to reflect events or circumstances after the d ate hereof, or to reflect the occurrence of or non-occurrence of any events. There can be no guarantee that Symal will achieve i ts stated objectives / milestones, that its forecasts will be met or that forward looking statements will be realised. Not financial product advice These materials do NOT take into account any specific objectives, financial situation or needs of potential recipient / user. For these and other reasons, before undertaking any evaluation of Symal, its assets, prospects or opportunities you are strongl y recommended to obtain your own independent legal, financial and commercial advice – those acting without such advice do so at their own risk. Financial information All dollar values are in Australian dollar ($A) unless otherwise stated. Figures in this presentation are subject to rounding . This presentation refers to certain financial measures that are 'non -IFRS financial information' under ASIC Regulatory Guide 230 : 'Disclosing non-IFRS financial information' and are not recognised under Australian Accounting Standards (AAS) and International Financial Reporting Standards (IFRS). The non-IFRS financial information includes normalised and pro forma results, EBITDA, EBIT, net debt and others. Such non -IFRS financial information does not have a standardised meaning prescribed by AAS or IFRS. Accordingly, the non IFRS financial information may not be comparable to similarly titled measures provided or used by other companies and should not be interpreted as an al ternative to other financial measures determined in accordance with AAS or IFRS. While Symal believes these non -IFRS financial measures provide useful information about the financial performance and condition of Symal, investors are cautioned not to place undue reliance on an y non-IFRS financial information included in this presentation. The non -IFRS financial information in this presentation has not bee n audited or reviewed in accordance with AAS. Past performance Past performance of the Company cannot be assumed as indicative of the future performance. There is NO guarantee of future perfo rmance - actual results and future outcomes will in all likelihood differ from those outlined in this presentation. Important notice
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33 Statutory to pro forma results reconciliation $’000 Statutory 1H FY25 Pre-IPO restructure1 IPO costs / ASX listing costs2 Pro-forma 1H FY25 FY23 project settlement3 Normalised 1H FY25 Revenue 403.6 13.2 - 416.8 (0.1) 416.7 Operating expenses (369.7) (11.9) 10.3 (371.4) 3.4 (368.0) EBITDA 33.9 1.3 10.3 45.4 3.3 48.7 Depreciation & amortisation (12.6) (2.0) - (14.6) - (14.6) EBIT 21.3 (0.7) 10.3 30.8 3.3 34.1 Net finance costs (3.3) (0.5) - (3.8) - (3.8) Share of JV profits - - - - - - Net profit before tax 18.0 (1.2) 10.3 27.0 3.3 30.3 Income tax expense (11.0) 4.0 (2.7) (9.7) (1.0) (10.7) Net profit after tax 7.0 2.7 7.6 17.3 2.3 19.6 $’000 Statutory 1H FY24 Pre-IPO restructure1 IPO costs / ASX listing costs2 Pro-forma 1H FY24 FY23 project settlement3 Normalised 1H FY24 Revenue 364.3 17.6 - 381.9 (10.6) 371.3 Operating expenses (318.0) (16.0) (0.3) (334.3) 0.6 (333.7) EBITDA 46. 3 1. 6 (0 .3 ) 4 7.6 ( 1 0. 0) 3 7.6 Depreciation & amortisation (16.3) (1.5) - (17.8) - (17.8) EBIT 3 0 .0 0 .1 (0 .3 ) 2 9 .8 ( 1 0. 0) 19 . 8 Net finance costs (2.3) (0.4) - (2.7) - (2.7) Share of JV profits (0.6) - - (0.6) - (0.6) Net profit before tax 2 7.0 (0 .3 ) (0 .3 ) 2 6 .4 ( 1 0. 0) 16 . 4 Income tax expense (8.2) 0.1 0.1 (8.0) 3.0 (5.0) Net profit after tax 18 . 8 (0 .2 ) (0 .2 ) 18 . 4 (7.0 ) 11. 4 Notes (1) Includes costs of restructure, inclusion of pre -acquisition Sycle earnings, and tax expense associated with ACA restructure; (2) Includes IPO offer costs and incremental public company costs prior to listing; (3) Adjusts for the impact of commercial settlement of a FY23 project
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34 Operating segments Revenue EBITDA Normalised $000 1H FY25 1H FY24 FY25 Prospectus 1H FY25 1H FY24 FY25 Prospectus Contracting Services 331.6 307.1 835.6 24.8 22.9 53.1 Plant and Equipment 83.1 61.9 143.6 23.0 15.0 43.3 Other / Eliminations 2.1 2.4 (18.1) 1.0 (0.3) 5.9 Group 416.7 371.3 961.1 48.7 37.6 102.3 Revenue EBITDA Prospectus segment information $000 FY25 Prospectus FY25 Prospectus Major Infrastructure 634.7 28.0 Construction Services 211.3 25.2 Asset Management 91.7 21.7 Plant, People & Logistics 26.3 25.7 Other / Eliminations (2.9) 1.7 Group 961.1 102.3
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35 Segment reporting update Operating segments have been refined to align with Symal operating model Prospectus operating segments (driven by historical legal structure) Major Infrastructure Construction Services Asset Management Plant, People and Logistics Other Contracting Services Plant and Equipment Other Major infrastructure projects Other projects External plant hire Internal plant ownership External plant hire (new states) Internal plant management Electrical contracting (Searo) Sycle Unallocated Shared Services Bridge & Civil / Structures All other legal entities Operating segments Quarries
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