Q4 2026 Imdex Ltd Earnings Call

August 17, 2026

Speaker #1: To ask a text question, select the messaging icon, type your question in the box toward the top of the screen, and press the send button.

Speaker #1: To ask a live audio question, press the Request-to-Speak button at the top of the broadcast window. The broadcast will be replaced by the audio question screen.

Speaker #1: Use the dial-in number and access PIN provided to ask your question via the phone. Alternatively, for those on a home or personal network, you can ask your questions via the web by pressing 'Join Queue.'

Speaker #1: If prompted, select 'Allow' in the pop-up to grant access to your microphone. If you have any issues using the platform, dial-in details can also be found on the homepage under 'Asking Audio Questions.'

Operator: If you have any issues using the platform, dial-in details can also be found on the homepage under Asking Audio Questions. Text questions can be submitted at any time, and the audio queue is now open. I will now hand over to Imdex Managing Director and CEO, Paul House.

Speaker #1: Text questions can be submitted at any time, and the audio queue is now open. I will now hand over to Imdex Managing Director and CEO, Paul House.

Speaker #2: Thank you, and welcome everyone to IMDEX's FY26 full-year results presentation. Today, I am joined by Linda Lim, our Chief Financial Officer; Shaun Southwell, our Chief of Exploration and Production; and Michelle Carey, our Chief of Digital Earth Knowledge.

Paul House: Thank you. Welcome, everyone, to Imdex's FY26 full year results presentation. Today, I am joined by Linda Lim, our Chief Financial Officer, Shaun Southwell, our Chief of Exploration and Production, and Michelle Carey, our Chief of Digital Earth Knowledge. Linda and I will take you through the presentation, and at the conclusion of our prepared remarks, Shaun and Michelle will also be available for any questions. FY26 was the strongest financial year in Imdex's history. We delivered record revenue, record earnings, strong cash generation, and made significant progress in building a larger and more diversified earnings engine through both organic growth and targeted acquisitions. Throughout this call, we will refer to the FY26 results presentation released to the ASX this morning. Our agenda on slide 3 outlines the focus areas for today. We will begin with an overview of the FY26 results.

Speaker #2: Linda and I will take you through the presentation, and at the conclusion of our prepared remarks, Shaun and Michelle will also be available for any questions.

Speaker #2: FY26 was the strongest financial year in Imdex's history. We delivered record revenue, record earnings, strong cash generation, and made significant progress in building a larger and more diversified earnings engine through both organic growth and targeted acquisitions.

Speaker #2: Throughout this call, we will refer to the FY26 results presentation released to the ASX this morning. Our agenda on slide 3 outlines the focus areas for today.

Speaker #2: We'll begin with an overview of the FY26 results. Linda will take you through the financial performance in more detail, and I will then return to discuss the industry macros, our FY27 outlook, our FY27 priorities, and the Imdex longer-term growth strategy.

Paul House: Linda will take you through the financial performance in more detail, and I will then return to discuss the industry macros, our FY27 outlook, our FY27 priorities, and the Imdex longer term growth strategy. Bringing your attention to slide 5. At Imdex, our purpose is to efficiently and sustainably unlock the Earth's value by enabling customers to find, define, and optimize the subsurface environment with confidence and with speed. The image on the right-hand side of the slide attempts to illustrate just how we do that. We help customers capture high-quality rock data in real time or near real time. We analyze that data to generate key insights at scale, and we turn those insights into faster, more confident decisions for our customers.

Speaker #2: Bringing your attention to slide 5: at Imdex, our purpose is to efficiently and sustainably unlock the Earth's value by enabling customers to find, define, and optimize the subsurface environment with confidence and speed.

Speaker #2: The image on the right-hand side of the slide attempts to illustrate just how we do that. We help customers capture high-quality rock data in real time or near real time.

Speaker #2: We analyze that data to generate key insights at scale, and we turn those insights into faster, more confident decisions for our customers. What we can show you in today's results is that FY26 and the investments we have made have accelerated our ability to support customers through this lifecycle.

Paul House: What we can show you in today's results is that FY26 and the investments that we have made have accelerated our ability to support customers through this life cycle. Turning to slide 6 and our FY26 financial highlights, I will draw your attention to a couple of key messages. First, record revenue, record EBITDA normalized, and record NPAT normalized. Revenue increased 21% to AUD 520 million, and growth was broad-based across all regions, driven by both exploration activity and market share gains, the latter of which accounts for just over half of the revenue growth in the period. Of particular note is the quality of the revenue growth, which is characterized by three things, and they are an increasing customer adoption of next-generation technologies, an active demand for technologies that deliver demonstrable lifts in productivity, and the continued growth of our integrated physical and digital solutions.

Speaker #2: Turning to slide 6 and our FY26 financial highlights, I'll draw your attention to a couple of key messages. First, record revenue, record normalized EBITDA, and record normalized NPAT.

Speaker #2: Revenue increased 21% to $520 million, with growth broad-based across all regions, driven by both exploration activity and market share gains, the latter of which accounts for just over half of the revenue growth in the period.

Speaker #2: Of particular note is the quality of the revenue growth, which is characterized by three things: and they are an increasing customer adoption of next-generation technologies, an active demand for technologies that deliver demonstrable lifts in productivity, and the continued growth of our integrated physical and digital solutions.

Speaker #2: Finally, revenue growth converted into margin expansion. Our normalized EBITDA increased 29% to $163 million, with margin expanding to just over 31%. That demonstrates the operating leverage embedded in the Imdex business model.

Paul House: Finally, revenue growth converted into margin expansion. Our EBITDA normalized increased 29% to AUD 163 million, with margin expanding to just over 31%. That demonstrates the operating leverage embedded in the Imdex business model. This is a strong result against a market backdrop of rising costs and some significant FX headwinds. Turning now to slide 7, I would like to highlight the strength of our balance sheet, plus our disciplined approach to capital management. Cash conversion was strong at 83%, reflecting working capital management discipline while continuing to support growth across the business. Net debt increased to AUD 199 million, following the completion of five acquisitions during FY26, with leverage sitting at 1.3x at the end of the reporting period. This is comfortably within our target range and leaves Imdex with capacity to continue investing when such opportunities present.

Speaker #2: This is a strong result against a market backdrop of rising costs and some significant FX headwinds. Turning now to slide 7, I’d like to highlight the strength of our balance sheet, plus our disciplined approach to capital management.

Speaker #2: Cash conversion was strong at 83%, reflecting working capital management discipline while continuing to support growth across the business. Net debt increased to $199 million, following the completion of five acquisitions during FY26, with leverage sitting at 1.3 times at the end of the reporting period.

Speaker #2: This is comfortably within our target range and leaves Imdex with capacity to continue investing when such opportunities present themselves. We have a proven ability to use our strong cash conversion to deleverage, having paid off the debt from the Devaco acquisition in under three years.

Paul House: We have a proven ability to use our strong cash conversion to de-lever, having paid off the debt from the Devico acquisition in under three years. Finally, the board has declared a final fully franked dividend of AUD 0.0175 per share, taking the full-year dividend to AUD 0.034 per share, an increase of 36%, and once again, aiming to deliver superior return to shareholders. Overall, I would like investors to see that our strong cash generation allows us to continue investing through the exploration cycle, strengthen our technology leadership, and expand our digital platform offering directly in line with customer demands. Slide 8 demonstrates how Imdex has evolved from a leading drill site technology business into a more integrated physical to digital platform.

Speaker #2: Finally, the board has declared a final fully-franked dividend of $1.75 per share, taking the full-year dividend to $3.40 per share—an increase of 36%. Once again, we aim to deliver superior returns to shareholders.

Speaker #2: Overall, I would like investors to see that our strong cash generation allows us to continue investing through the exploration cycle, strengthen our technology leadership, and expand our digital platform offering, directly in line with customer demand.

Speaker #2: Slide 8 demonstrates how Imdex has evolved from a leading drill site technology business into a more integrated physical-to-digital platform. Imdex's two growth engines, Drill Site Technologies and Digital Earth Knowledge, connect the full data value chain from originating high-quality subsurface data at the drill site through to digital workflows, software analytics, and decision intelligence.

Paul House: Imdex's two growth engines, drill site technologies and Digital Earth Knowledge, connects the full data value chain from originating high-quality subsurface data at the drill site through to digital workflows, software analytics, and decision intelligence. Often, our customers are not looking for more data, they are looking for more data insights. That is where our integrated platform, which improves decision intelligence for both resource companies and drillers, continue to differentiate Imdex. Turning now to slide 9, as I have often said, strong results are the direct outworking of strong strategic execution. Our deliberate focus on technology leadership and our relentless match-fit discipline across the operation is key to these results this year. First, we continue to capture more value from customer activity. Share of wallet increased to a record AUD 2.40 to AUD 100 of global exploration spend, up from AUD 2.20 in FY25.

Speaker #2: Often, our customers are not looking for more data; they are looking for more data insights. That is where our integrated platform, which improves decision intelligence for both resource companies and drillers, continues to differentiate Imdex.

Speaker #2: Turning now to slide 9, as I have often said, strong results are the direct outworking of strong strategic execution. Our deliberate focus on technology leadership and our relentless match-fit discipline across the operation is key to these results this year.

Speaker #2: First, we continue to capture more value from customer activity. Share of wallet increased to a record $2.40 per $100 of global exploration spend, up from $2.20 in FY25.

Speaker #2: Second, customers are adopting more of the Imdex offering. Integrated on-site services revenue increased by 20%, and the average number of global sites using integrated solutions increased by 42%.

Paul House: Second, customers are adopting more of the Imdex offering. Integrated on-site services revenue increased 20%, and the average number of global sites using integrated solutions increased 42%. Third, we continue to strengthen the platform itself. The acquisitions of Earth Science Analytics, Datarock, ALT, Mount Sopris Instruments, and Krux has created an expanded and truly leading collection of physical and digital technologies. Overall, FY26 has demonstrated that Imdex has more ways to deliver value for customers than ever before. Turning to slide 10 and our sustainability highlights. Our strong growth during FY26 has meant that we have crossed the threshold under AASB S2 to become a tier 1 reporting company. We have made substantial strides towards compliance, and I am delighted to share a selection of highlights. We completed our climate risk assessment and scenario analysis. We strengthened our governance framework. We continued to improve our emissions data capture.

Speaker #2: Third, we continue to strengthen the platform itself. The acquisitions of Earth Science Analytics, Datarock, ALT, Mount Sopris Instruments, and PRUX have created an expanded and truly leading collection of physical and digital technologies.

Speaker #2: Overall, FY26 has demonstrated that Imdex has more ways to deliver value for customers than ever before. Turning to slide 10 and our sustainability highlights.

Speaker #2: Our strong growth during FY26 has meant that we have crossed the threshold under AASB ES II to become a Tier 1 reporting company. We've made substantial strides towards compliance, and I'm delighted to share a selection of highlights.

Speaker #2: We completed our climate risk assessment and scenario analysis. We strengthened our governance framework. And we continue to improve our emissions data capture. These are all important foundations as we prepare for mandatory climate reporting.

Paul House: These are all important foundations as we prepare for mandatory climate reporting. Furthermore, we invested heavily in the link between sustainability and productivity for our customers. Many of our technologies directly help customers improve their productivity and reduce waste, whether that is through improved drilling performance or substantial water savings. Finally, some tangible examples within our own operations. Our Balcatta headquarters and our Californian R&D facility are both now predominantly powered by solar. Subsequent to year ends, we launched an industry-leading 24-week parental leave policy, recognizing the importance of this to our Imdex workforce. Our strategy around sustainability is of importance to our employees first and foremost, and I am delighted with the engagement on these projects by our workforce all around the world. The onward delivery of those benefits to both customers and shareholders is being actively led by our Imdex people.

Speaker #2: Furthermore, we invested heavily in the link between sustainability and productivity for our customers. Many of our technologies directly help customers improve their productivity and reduce waste, whether that is through improved drilling performance or substantial water savings.

Speaker #2: Finally, some tangible examples within our own operations: our Balcatta headquarters and our California R&D facility are both now predominantly powered by solar. Subsequent to year-end, we launched an industry-leading 24-week parental leave policy, recognizing the importance of this to our Imdex workforce.

Speaker #2: Our strategy around sustainability is of importance to our employees, first and foremost, and I'm delighted with the engagement on these projects by our workforce all around the world.

Speaker #2: Beyond delivery of those benefits to both customers and shareholders, this is being actively led by our Imdex people. I'll now hand over to Linda, who will take you through the FY26 financial performance in more detail.

Paul House: I will now hand over to Linda, who will take you through the FY26 financial performance in more detail.

Speaker #3: Thank you, Paul. I will now build upon Paul's highlights by going a little deeper into our financial performance. Slide 12 demonstrates the record year for Imdex, with strong underlying growth.

Linda Lim: Thank you, Paul. I will now build upon Paul's highlights by going a little deeper into our financial performance. Slide 12 demonstrates the record year for Imdex. Strong underlying growth, continued market share gains, and increasing adoption of higher value solutions. Results for the year are normalized for the integration and transaction-related costs associated with the five acquisitions completed during the year. It also includes a AUD 3 million impairment on a development asset. This write-off is a direct outworking of our disciplined capital management, where we ruthlessly review all projects and redirect capital for the strongest returns. In addition to those highlighted by Paul earlier, there are three performance highlights to speak of. First, record NPAT normalized of AUD 59 million reflects another year where earnings growth outpaced revenue growth. Second, NPATA normalized increased to AUD 70 million, providing a useful measure of the earnings capacity of the enlarged Imdex platform.

Speaker #3: Continued market share gains and increasing adoption of higher-value solutions. Results for the year are normalized for the integration and transaction-related costs associated with the five acquisitions completed during the year.

Speaker #3: It also includes a $3 million impairment on a development asset. This write-off is a direct outcome of our disciplined capital management, where we ruthlessly review all projects and redirect capital for the strongest returns.

Speaker #3: In addition to those highlighted by Paul earlier, there are three performance highlights to speak of. First, record MPAT normalized of $59 million reflects another year where earnings growth outpaced revenue growth.

Speaker #3: Second, MPAT are normalized, increased to $70 million, providing a useful measure of the earnings capacity of the enlarged Imdex platform. And third, EPS normalized, increased 37% to $11.50 per share, demonstrating that growth in revenue, margins, and earnings is translating into superior returns to shareholders.

Linda Lim: EPS normalized increased 37% to 11.5 cents per share, demonstrating that growth in revenue, margins, and earnings is translating into superior returns to shareholders. Turning to slide 13. As Paul mentioned earlier, revenue increased 21% to AUD 520 million, continuing Imdex's track record of growing well ahead of underlying exploration activity. Over five years, revenue has grown to a 15% CAGR against exploration budget growth of 6%. This year, we've introduced a revised revenue disclosure that better reflects how customers engage with our digital platform. The key point is the growth in platform revenue from 33% of group revenue in FY21 to 47% in FY26. That shift is a deliberate outcome of our fleet connectivity strategy over many years, which began with IMDEXHUB-IQ.

Speaker #3: Turning to slide 13, as Paul mentioned earlier, revenue increased 21% to $520 million, continuing Imdex's track record of growing well ahead of underlying exploration activity.

Speaker #3: Over five years, revenue has grown at a 15% CAGR, compared to exploration budget growth of 6%. This year, we've introduced a revised revenue disclosure that better reflects how customers engage with our digital platform.

Speaker #3: The key point is the growth in platform revenue, from 33% of group revenue in FY21 to 47% in FY26. That shift is a deliberate outcome of our fleet connectivity strategy over many years, which began with IMDEXHUB-IQ.

Speaker #3: Our equipment, sales, and services revenue grew 11%, also outperforming underlying exploration market activity. This was supported by continued strength in product sales and a 20% growth in integrated on-site services.

Linda Lim: Our equipment sales and services revenue grew 11%, also outperforming underlying exploration market activity, supported by continued strength in product sales and a 20% growth in integrated on-site services. Overall, our revenue mix continues to strengthen. Moving to slide 14. This slide demonstrates the diversification of Imdex's revenue growth with an increasing contribution from higher-value platform-enabled revenue streams. Platform-enabled hardware rentals continue to grow as customers adopt more connected technologies, reflecting the benefits of our long-term fleet digitization strategy. Software and platform advisory revenue is also well-positioned for growth, supported by the expanded capabilities acquired during FY26. Integrated on-site services delivered another strong result, increasing 20% year on year as customers continue to adopt broader full solution offerings across the drill site, driving share of wallet expansion.

Speaker #3: Overall, our revenue mix continues to strengthen. Moving to slide 14, this slide demonstrates the diversification of Imdex's revenue growth, with an increasing contribution from higher value, platform-enabled revenue streams.

Speaker #3: Platform-enabled hardware rentals continue to grow as customers adopt more connected technologies, reflecting the benefits of our long-term fleet digitization strategy. Software and platform advisory revenue is also well positioned for growth, supported by the expanded capabilities acquired during FY26.

Speaker #3: Integrated on-site services delivered another strong result, increasing 20% year-on-year as customers continue to adopt broader full solution offerings across the drill site, driving share of wallet expansion.

Speaker #3: At the same time, our product sales business continues to perform strongly, benefiting from underlying exploration activity and the reach of our global sales and service network.

Linda Lim: At the same time, our product sales business continues to perform strongly, benefiting from underlying exploration activity and the reach of our global sales and service network. Over time, we expect to continue to see this revenue profile evolve. For example, rentals and other has been and should continue to be progressively declining as customers continue to upgrade to new technologies and on-site integrated solutions. Imdex is growing through multiple complementary revenue streams. We are benefiting from closer engagement with customers to deliver our portfolio of technologies right across the mining value chain. Turning to slide 15. This slide demonstrates that the 21% revenue growth is primarily organic growth in the core business. Revenue increased from AUD 431 million to AUD 520 million. 17% of that growth was organic, driven by market share gains, technology adoption, and growth across all regions.

Speaker #3: Over time, we expect to continue to see this revenue profile evolve. For example, rentals and other has been, and should continue to be, progressively declining as customers continue to upgrade to new technologies and on-site integrated solutions.

Speaker #3: Imdex is growing through multiple complementary revenue streams. We are benefiting from closer engagement with customers to deliver our portfolio of technologies right across the mining value chain.

Speaker #3: Turning to slide 15, this slide demonstrates that the 21% revenue growth is primarily organic growth in the core business. Revenue increased from $431 million to $520 million. Seventeen percent of that growth was organic.

Speaker #3: Driven by market share gains, technology adoption, and growth across all regions. Acquisitions contributed $17 million, reflecting partial year contributions from businesses acquired during the financial year '26.

Linda Lim: Acquisitions contributed AUD 17 million, reflecting partial year contributions from businesses acquired during the financial year 26. On a full-year equivalent basis, those acquisitions represent approximately AUD 51 million of annualized revenue. As we enter FY27, we have both a stronger core business and a full-year contribution from high-quality additions to the platform. With that context, let me now move to slide 16 and show how that growth was delivered across our operating segments. Rather than walk through every segment, I'll draw your attention to a couple of highlights. Record revenue across all segments with all regions delivering growth above underlying exploration market activity. The DEK segment is disclosed for the first time, delivering across all BSK regions and showing an 85% revenue increase in FY26 and a 32% five-year CAGR from existing software products and the contributions from the new businesses. This demonstrates multiple growth levers working together.

Speaker #3: On a full-year equivalent basis, those acquisitions represent approximately $51 million of annualized revenue. As we enter FY27, we have both a stronger core business and a full-year contribution from high-quality additions to the platform.

Speaker #3: With that context, let me now move to slide 16 and show how that growth was delivered across our operating segments. Rather than walk through every segment, I'll draw your attention to a couple of highlights.

Speaker #3: We recorded revenue growth across all segments, with all regions delivering growth above underlying market exploration activity. The DEK segment is disclosed for the first time, delivering across all DST regions and showing an 85% revenue increase in FY26.

Speaker #3: And a 32% five-year CAGR from existing software products and the contributions from the new businesses. This demonstrates multiple growth levers working together. Turning to slide 17, this slide highlights the operating leverage in the Imdex business model.

Linda Lim: Turning to slide 17. This slide highlights the operating leverage in the Imdex business model. EBITDA normalized increased 29% to AUD 163 million, ahead of revenue growth of 21%, with margin expanding from 29% in FY25 to 31%. Importantly, we delivered this while continuing to invest for future growth, demonstrating our ability to expand earnings, strengthen margins, and scale the platform simultaneously. Turning to slide 18. We invested AUD 43 million in R&D during FY26, reinforcing our commitment to invest through the cycle in technology leadership and future growth. Our R&D program remains highly customer-led, focused on opportunities with clear commercial outcomes and strong demand. This investment continues to strengthen the platform and position Imdex for long-term growth. Turning now to slide 19.

Speaker #3: EBITDA, normalized, increased 29% to $163 million, ahead of revenue growth of 21%, with margin expanding from 29% in FY25 to 31%. Importantly, we delivered this while continuing to invest for future growth, demonstrating our ability to expand earnings, strengthen margins, and scale the platform simultaneously.

Speaker #3: Turning to slide 18, we invested $43 million in R&D during FY26, reinforcing our commitment to invest through the cycle in technology leadership and future growth.

Speaker #3: Our R&D program remains highly customer-led, focused on opportunities with clear commercial outcomes and strong demand. This investment continues to strengthen the platform and position Imdex for long-term growth.

Speaker #3: Turning now to slide 19, capital expenditure increased to $69 million, as we continued investing in the fleet of next-generation technologies to support revenue growth.

Linda Lim: Capital expenditure increased to AUD 69 million as we continued investing in the fleet of next-generation technologies to support revenue growth, a positive reflection of our customer demand. Turning now to slide 20. Operating cash flow was strong at AUD 126 million, or AUD 135 million on a normalized basis, demonstrating the strength of our cash generation across the business. Cash conversion of 83% reflects the quality of earnings and disciplined execution while continuing to support growth. Strong cash generation remains a key advantage of the Imdex business model, providing the flexibility to invest in growth and maintain a strong balance sheet. Moving to balance sheet on slide 21. Imdex finished FY26 with a strong balance sheet, leverage of 1.3 times and financial flexibility following a year of strategic investment and acquisition activity.

Speaker #3: A positive reflection of our customer demand. Turning now to slide 20, operating cash flow was strong at $126 million, or $135 million on a normalized basis.

Speaker #3: Demonstrating the strength of our cash generation across the business. Cash conversion of 83% reflects the quality of earnings and disciplined execution while continuing to support growth.

Speaker #3: Strong cash generation remains a key advantage of the Imdex business model, providing the flexibility to invest in growth and maintain a strong balance sheet.

Speaker #3: Moving to the balance sheet on slide 21, Imdex finished FY26 with a strong balance sheet—leverage of 1.3 times and financial flexibility following a year of strategic investment and acquisition activity.

Speaker #3: Return on equity improved during the year, and return on capital remained stable, demonstrating the quality of our capital allocation and sustainable earnings growth. Disciplined working capital management continues to support cash generation. For example, this is demonstrated through inventory investment below revenue growth.

Linda Lim: Return on equity improved during the year, and return on capital remains stable, demonstrating the quality of our capital allocation and sustainable earnings growth. Disciplined working capital management continues to support cash generation. For example, this is demonstrated through inventory investment below revenue growth. Together, this positions us well to continue investing and creating long-term value. Moving to slide 22. This slide brings together the capital allocation principles we have discussed throughout the presentation. During FY26, the board reviewed and approved a refreshed capital management framework that reflects the evolution of Imdex into a larger and more diversified business. The key changes include clarifying our R&D investment target to circa 10% of revenue. This recognizes the wider array of sensor technologies we now have and the increase in customer-led demand for AI-enabled geoscience products.

Speaker #3: Together, this positions us well to continue investing and creating long-term value. Moving to slide 22, this slide brings together the capital allocation principles we have discussed throughout the presentation.

Speaker #3: During FY26, the Board reviewed and approved a refreshed capital management framework that reflects the evolution of IMDEX into a larger and more diversified business.

Speaker #3: The key changes include clarifying our R&D investment target to around 10% of revenue. This recognizes the wider array of sensor technologies we now have, and the increase in customer-led demand for AI-enabled GA science products.

Speaker #3: Further, we have refined our target leverage range to support future growth opportunities and updated the dividend policy to 25% to 35% of normalized NPATA, to better reflect the changing nature of our earnings following five acquisitions.

Linda Lim: Further, we have refined our target leverage range to support future growth opportunities and updated the dividend policy to 25% to 35% of NPATAA normalized to better reflect the changing nature of our earnings following five acquisitions. Importantly, the fundamentals remain unchanged. Disciplined capital allocation, investment through the cycle, and a continued focus on creating long-term shareholder value. I will now hand back to Paul to discuss the industry outlook and growth opportunities ahead.

Speaker #3: Importantly, the fundamentals remain unchanged: disciplined capital allocation, investment through the cycle, and a continued focus on creating long-term shareholder value. I'll now hand back to Paul to discuss the industry outlook and growth opportunities ahead.

Speaker #1: Thanks, Linda. For the remainder of the presentation, I'd like to focus on the external environment, the opportunities that we see ahead, and how Imdex is positioned to continue growing above the rate of market growth.

Paul House: Thanks, Linda. For the remainder of the presentation, I would like to focus on the external environment, the opportunities that we see ahead, and how Imdex is positioned to continue growing above the rate of market growth. Let us start with the industry backdrop on slide 24 and an update on our traditional traffic signals slide. I will start out by saying that we see all traffic signals as green and favorable to support long-term growth in exploration activity. There are, however, three specific items I would call out. First, commodity prices remain supportive. Gold and copper are at attractive levels, and while gold has moved around from the recent highs, pricing continues to underpin customer investment decisions across exploration, development, and production. Second, the underlying supply challenge remains structural and firmly in place. Reserves continue to decline, discovery rates remain challenged, and ore bodies are getting deeper and more complex.

Speaker #1: Let's start with the industry backdrop on slide 24, and an update on our traditional traffic signals slide. I'll start out by saying that we see all traffic signals as green and favorable to support long-term growth in exploration activity.

Speaker #1: There are, however, three specific items I would call out. First, commodity prices remain supportive. Gold and copper are at attractive levels, and while gold has moved around from the recent highs, pricing continues to underpin customer investment decisions across exploration, development, and production.

Speaker #1: Second, the underlying supply challenge remains structural and firmly in place. Reserves continue to decline, discovery rates remain challenged, and ore bodies are getting deeper and more complex.

Speaker #1: That structurally increases the need for better geological intelligence, faster decision-making, and technologies that improve productivity overall. Third, exploration budgets are increasing, and junior and intermediate financing has grown significantly year-on-year, providing a stronger funding pipeline for future drilling activity.

Paul House: That structurally increases the need for better geological intelligence, faster decision-making, and technologies that improve productivity overall. Third, exploration budgets are increasing, and junior and intermediate financing has grown significantly year on year, providing a stronger funding pipeline for future drilling activity. The deployment of these funds is still largely ahead of us. That said, a large part of that increase in funding continues to be absorbed by higher operating costs in the market. So the industry is not just focusing on spending more, it is now focused on getting more value from every AUD invested. That is why productivity remains such an important thematic, and why it connects so directly to the Imdex value proposition. Moving now to slide 25, it is more specific commentary on the FY27 outlook for Imdex.

Speaker #1: The deployment of these funds is still largely ahead of us. That said, a large part of that increase in funding continues to be absorbed by higher operating costs in the market.

Speaker #1: So the industry is not just focusing on spending more; it is now focused on getting more value from every dollar invested. That is why productivity remains such an important thematic, and why it connects so directly to the IMDEX value proposition.

Speaker #1: Moving now to slide 25 and some more specific commentary on the FY27 outlook for Imdex. While the external macro provides a favorable backdrop, Imdex has always been very focused on making sure it has growth levers of its own.

Paul House: While the external macro provides a favorable backdrop, Imdex has always been very focused on making sure it has growth levers of its own. The market conditions we discussed on the previous slide remain supportive and are represented here on the right-hand side of the slide. Importantly, these market conditions correlate strongly with Imdex's own strength as customers increasingly focus on productivity and faster, more informed decision-making. Once again, our view is that the increased funds available, whether through capital raisings or exploration budgets, means the increase in exploration activity is still ahead of us. On the left-hand side, however, we can see that Imdex today has multiple growth levers at its disposal, regardless of these market conditions. Our portfolio of sensor technologies is larger than ever.

Speaker #1: The market conditions we discussed in the previous slide remain supportive, as represented here on the right-hand side of the slide. Importantly, these market conditions correlate strongly with Imdex's own strength, as customers increasingly focus on productivity and faster, more informed decision-making.

Speaker #1: Once again, our view is that the increased funds available, whether through capital raisings or exploration budgets, mean the increase in exploration activity is still ahead of us.

Speaker #1: On the left-hand side, however, we can see that Imdex today has multiple growth levers at its disposal, regardless of these market conditions. Our portfolio of sensor technologies is larger than ever.

Speaker #1: Our position as a trusted advisor to customers is increasing, and our newly consolidated DEK business is delivering high growth. All combined, this is deepening our role in customer workflows.

Paul House: Our position as a trusted advisor to customers is increasing, and our newly consolidated DEK business is delivering high growth, all combined to deepen our role in customer workflows. Regionally, we expect the demand to be broad-based, with the Americas leading the way. The finish to FY26 saw the month of June deliver a record revenue month for Imdex. FY27 continued where FY26 left off with July once again setting a record revenue above the June result. Finally, simply, the FY27 year will benefit from a full year contribution from the five acquisitions that were completed in FY26. Taken together, we are not relying on a single region, product, or market cycle. The combination of favorable market conditions and more growth levers than ever before gives us real confidence in our ability to continue growing above market in FY27.

Speaker #1: Regionally, we expect the demand to be broad-based, with the Americas leading the way. To finish out FY26, we saw the month of June deliver a record revenue month for Imdex.

Speaker #1: FY27 continued where FY26 left off, with July once again setting a record revenue above the June result. Finally, simply, the FY27 year will benefit from a full-year contribution from the five acquisitions that were completed in FY26.

Speaker #1: Taken together, we are not relying on a single region, product, or market cycle. The combination of favorable market conditions and more growth levers than ever before gives us real confidence in our ability to continue growing above market in FY27.

Speaker #1: That brings us to slide 26 and the priorities for Imdex that will underpin our focus for the next 12 months. The priorities need to be, and are, very straightforward.

Paul House: That brings us to slide 26 and the priorities for Imdex that will underpin our focus for the next 12 months. The priorities need to be and are very straightforward. First, we need to meet the market where it is. We want to ensure we are capturing the market opportunity that is in front of us as it grows. That is leveraging our global sales and service network, leveraging our larger product portfolio, and leveraging our position as a trusted advisor to customers. Second, integration. We completed five acquisitions during FY26, and our focus now is unlocking the value of those businesses, integrating those teams and those technologies across our global network, and to unlock the commercial and operating synergies that they offer. Third, we continue to invest in the systems, processes, and ways of working that will support future scale, including the increased use of AI-enabled solutions.

Speaker #1: First, we need to meet the market where it is. We want to ensure we are capturing the market opportunity that is in front of us as it grows.

Speaker #1: That is leveraging our global sales and service network, leveraging our larger product portfolio, and leveraging our position as a trusted advisor to customers. Second: integration, integration, integration.

Speaker #1: We completed five acquisitions during FY26, and our focus now is unlocking the value of those businesses, integrating those teams and those technologies across our global network, and unlocking the commercial and operating synergies that they offer.

Speaker #1: And third, we continue to invest in the systems, processes, and ways of working that will support future scale, including the increased use of AI-enabled solutions.

Speaker #1: We have a great track record of delivering these transformation initiatives, and we are underway to do so again this year. This is not a year of changing direction.

Paul House: We have a great track record of delivering these transformation initiatives, and we are underway to do so again this year. This is not a year of changing direction. It is a year of continuing to execute against a strategy that has been years in delivery. This in turn brings us directly to slide 27, where we step back from FY27 and look at the longer-term growth pathways available to Imdex. The message is a simple one. Imdex is no longer solely levered to exploration activity. We have built multiple growth pathways being share of wallet, market share gains, market expansion, and a structural shift towards new technology adoption within our market. What I find particularly encouraging is that all four pathways build on the same platform, the same customer relationships, and the same technology capability. That means growth in one area often creates opportunities in another.

Speaker #1: It is a year of continuing to execute against a strategy that has been years in delivery. This, in turn, brings us directly to slide 27, where we step back from FY27 and look at the longer-term growth pathways available to Imdex.

Speaker #1: The message is a simple one. Imdex is no longer solely levered to exploration activity. We have built multiple growth pathways: being share of wallet, market share gains, market expansion, and a structural shift towards new technology adoption within our market.

Speaker #1: What I find particularly encouraging is that all four pathways build on the same platform, the same customer relationships, and the same technology capability. That means growth in one area often creates opportunities in another.

Speaker #1: This is something that our customers continue to define and drive, and, in turn, will yield sustainable earnings growth for our shareholders. And this is the perfect segue to our final slide, 28.

Paul House: This is something that our customers continue to define and drive, and in turn, will yield sustainable earnings growth for our shareholders. This is the perfect segue to our final slide 28. I would like to draw together the key reasons we believe Imdex is well-positioned for the future. First, we have an integrated physical to digital platform. Increasingly, our sensors, software, analytics, and AI-enabled solutions work together to improve productivity and improve decision-making for our customers. Second, we are building a higher quality earnings base. Platform revenue has increased from 33% to 47% of group revenue over the past five years. Third, disciplined capital allocation. We continue to invest through the cycle in R&D. We continue to invest in our digital capabilities and growth opportunities while maintaining a strong balance sheet and financial flexibility. Finally, we have multiple growth engines.

Speaker #1: I'd like to draw together the key reasons we believe Imdex is well positioned for the future. First, we have an integrated physical-to-digital platform. Increasingly, our sensors, software, analytics, and AI-enabled solutions work together to improve productivity and improve decision-making for our customers.

Speaker #1: Second, we are building a higher-quality earnings base. Platform revenue has increased from 33% to 47% of group revenue over the past five years.

Speaker #1: Third, disciplined capital allocation. We continue to invest through the cycle in R&D; we continue to invest in our digital capabilities and growth opportunities, while maintaining a strong balance sheet and financial flexibility.

Speaker #1: And finally, we have multiple growth engines. DST continues to perform strongly as our core earnings engine, while DEK is creating new opportunities across software, analytics, and AI-enabled solutions.

Paul House: DST continues to perform strongly as our core earnings engine, while DEK is creating new opportunities across software analytics and AI-enabled solutions. Together, these strengths position Imdex to continue growing above market and support our ambition of building a larger, more diversified, and higher quality earnings platform. That concludes our presentation for today, and I will now hand back to the moderator for Q&A.

Speaker #1: Together, these strengths position Imdex to continue growing above the market and support our ambition of building a larger, more diversified, and higher-quality earnings platform. That concludes our presentation for today, and I'll now hand back to the moderator for Q&A.

Speaker #2: Thanks, Linda and Paul. If you have not yet submitted your text question or joined the live audio queue, please do so now. I will introduce each caller by name and ask you to go ahead.

Operator: Thanks, Linda and Paul. If you have not yet submitted your text question or joined the live audio queue, please do so now. I will introduce each caller by name and ask you to go ahead. You will then hear a beep indicating your microphone is live. Our first question today comes from William Park from UBS. William, please go ahead.

Speaker #2: You'll then hear a beep indicating your microphone is live. Our first question today comes from William Park from UBS. William, please go ahead.

William Park: Hi, Paul and Linda. Thanks for taking my question. I want to just quickly ask about your comments earlier, that June being your record month. Can you just step through whether this trend is continuing to Q1 of FY27 and just some of the, I guess, opportunities and trends that you are seeing around the grounds, please?

Speaker #3: Hi, Paul and Linda. Thanks for taking my question. I just wanted to quickly ask about your comments earlier, that June is your workload month. Can you just speak to whether this trend is continuing into the first quarter of FY27, and just some of the opportunities and trends that you're seeing on the ground, please?

Speaker #1: Yes, I can. I will, thanks for the question. Yeah, I think a comment that June was a record month, and July was a record month above the June month, means that we exited Q4 strongly.

Paul House: Yes, I can. William, thanks for the question. Yeah, I think our comment that June was a record month and July was a record month above the June month means that we exited Q4 strongly. We started Q1 of 2027 strongly. It is fairly broad-based. It is consistent with what we saw in FY26. I think in the outlook slide, we put some commentary at the bottom of the slide, just speaking to the major thematics in each region, but it is fairly uniform. Copper gold continues to be strong. We are starting to see exploration. Sorry, junior financings, for example, have started to go into the ground in places like Canada.

Speaker #1: We started Q1 of '27 strongly. It is fairly broad-based. It's consistent with what we saw in FY26. I think in the outlook slide, we put some commentary at the bottom of the slide just speaking to the major thematics in each region.

Speaker #1: But it is fairly uniform. Copper-gold continues to be strong, and we are seeing— we're starting to see exploration, sorry, junior finances, for example, have started to go into the ground in places like Canada.

Speaker #1: And, probably looking forward, I think our view is that the South American region, which is currently the second-largest exploration region in the world by dollar spend, is likely to become the largest region by dollar spend within the next 12 to 24 months.

Paul House: Probably looking forward, I think our view is that the South American region, which would currently be the second-largest exploration region in the world by dollar spend, is probably likely to be the largest region, by dollar spend within the next 12 to 24 months.

Speaker #3: Thank you. And my second question just surrounds your guidance around DNA and net interest for FY27. If my calculation is correct, that appears to be around $15 million higher than expectations. Just wondering, could you please unpack that and whether there's any sort of offsetting factors to think about in FY27?

William Park: Thank you. My second question just around your guidance around D&A and net interest for FY27. If my calculation is correct, that appears to be around 15 million higher than expectations. Just wondering, could you please unpack that and whether there is any sort of offsetting factors to think about in FY27? Is there an opportunity for you to sort of continue to expand margins from here on that could potentially partially or fully offset some higher D&A and net interest?

Speaker #3: Is there an opportunity for you to continue to expand margins from here on, that could potentially partially or fully offset some higher DNA and net interest?

Speaker #4: Thanks, Will. So we've provided guidance on depreciation, amortization, and also financing costs just to address that difference in consensus. That's at our capital profile that we've spent in the prior year to support the revenue growth that you've seen.

Linda Lim: Thanks, Will. In turn, we provided guidance on depreciation, amortization, and also financing costs just to address that difference in consensus at the moment. So it aligns with our capital profile that we have spent in the prior year to support the revenue growth that you have seen. In terms of financing cost, we have used our balance sheet to acquire the assets. That financing cost assumes a potential small rate rise in September when the bank meets. It is also just indicative of the higher borrowings that we are carrying. Just reminding you all that we refinanced those facilities in June last year, so that is a more competitive rate than it has been previously. So that is the guidance provided.

Speaker #4: In terms of financing cost, we've used our balance sheet to acquire the assets. We've put that financing cost as assuming a potential small rate rise in September when the bank meets.

Speaker #4: But also, it's just indicative of the higher borrowings that we're carrying. Just reminding you all that we refinanced those facilities in June last year.

Speaker #4: So, that is a more competitive rate than it has been previously. So, that's the guidance provided. In terms of margins, with the new businesses, they are going to come in more margin neutral.

Linda Lim: In terms of margins, we have, with the new businesses, they are going to come in more margin neutral, but you can see that the DST and DEK businesses are actually achieving 34% to 35% margins already, but we are going to invest that back into the business. So FY27 is going to be a year of investment for us, and that is going to set us up really well for margin accretion into the future.

Speaker #4: But you can see that the DST and DEK businesses are actually achieving 34 to 35% margins already, but we're going to invest that back into the business.

Speaker #4: So, FY27 is going to be a year of investment for us, and that's going to set us up really well for margin accretion into the future.

Speaker #2: Our next question today comes from Mitchell Sonegan from Macquarie. Mitchell, please go ahead.

Operator: Our next question today comes from Mitchell Sonogan from Macquarie. Mitchell, please go ahead.

Speaker #5: Good morning, Paul and Linda. Can you hear me?

Mitchell Sonogan: Good morning, Paul and Linda. Can you hear me?

Speaker #1: Sure, can.

Paul House: We can.

Speaker #4: You can, Mitch.

Linda Lim: We can, Mitch.

Speaker #5: Yeah, great. Thanks for taking the questions, guys. Paul, maybe just following on from that comment on South America and expecting that to be the biggest region for spend in the next one to two years.

Mitchell Sonogan: Yep. Great. Thanks for taking the questions, guys. Well, maybe just following on just from that comment on South America and expecting that to be the biggest region for spend in the next one to two years. In terms of where Imdex is currently positioned in that region, market share versus, say, North America, are you sort of in line with where you'd expect to be or you're underrepresented? Just keen to understand how you're positioning the business to capture that opportunity over the next couple of years. Thank you.

Speaker #5: In terms of where Imdex is currently positioned in that region—market share versus, say, North America—are you sort of in line with where you'd expect to be, or are you underrepresented?

Speaker #5: I'm just keen to understand how you're positioning the business to capture that opportunity over the next couple of years. Thank you.

Speaker #1: Yeah, I might give an opening answer to that, and then Shaun Southwell and Michelle Carey are both on the line, and I'll hand over to Shaun maybe to round out my answer.

Paul House: Yeah, I might give an opening answer to that, and then Shaun Southwell and Michelle Carey are both on the line, and I will hand over to Shaun maybe to round out my answer. I think the first thing, Mitch, is that South America and North America behave slightly differently. We see North America as largely serviced by many technologies, and so you are often competing for market share. In South America, you are finding that there are areas of the market that are unserviced, so you are often educating the market to create market size, as well as winning market share. So just the behavior in the two different regions means our strategy is slightly different in each. More broadly, though, we do have a footprint in all of the major mining regions in South America, and that is something Shaun and his team monitor pretty closely.

Speaker #1: I think the first thing, Mitch, is that South America and North America have sort of behaved slightly differently. We see North America as largely serviced by many technologies, and so you're often competing for market share.

Speaker #1: In South America, we're finding that there are areas of the market that are unserviced, so we're often educating the market to create market size.

Speaker #1: As well as winning market share. So, just the behavior in the two different regions means our strategy is slightly different in each. More broadly, though, we do have a footprint in all of the major mining regions in South America.

Speaker #1: And that's something Shaun and his team monitor pretty closely. Shaun, would you like to add to my answer to Mitch's question?

Paul House: Shaun, would you like to add to my answer to Mitch's question?

Speaker #5: Yeah, thanks, Paul. I guess just following on from Paul's statement around our footprint, where we're at in regards to the South America area, they're probably our—they're probably the most lagging around total overall technology adoption.

Shaun Southwell: Yeah. Thanks, Paul. I guess just following on from Paul's statement around our footprint. Where we are at in regards to South America, they are probably the most lagging around total overall technology adoption, and we are well positioned to be able to change that. We have seen that shifting in the last two or three years, similar to what North America did probably four or five years ago. So we are really positive around where this is going and what that opportunity looks like.

Speaker #5: And we're well-positioned to be able to change that. We've seen that shifting in the last two or three years, similar to what North America did probably four or five years ago.

Speaker #5: So we're really positive about where this is going and what that opportunity looks like.

Speaker #1: And Michelle, did you answer that in terms of how you see the DEK business continuing to grow, with South America in mind?

Paul House: And, Michelle.

Shaun Southwell: Yeah, thank you.

Paul House: Did you want to add to that in terms of how you see the DEK business continuing to grow with South America in mind?

Speaker #4: Yeah, I mean, I think I would just echo Shaun's sentiment, actually, around them being a little further behind in terms of technology adoption. We also have—the DEK business has been a little more focused around the Australian market in particular.

Michelle Carey: Yeah, I mean, I think I would just echo Shaun's sentiment actually around them being a little further behind in terms of technology adoption. We also have, the DEK business has been a little more focused around the Australian market in particular. So we have quite a bit of growth across most regions, and certainly including South America.

Speaker #4: So, we have quite a bit of growth across most regions, and certainly including South America.

Speaker #5: Yeah. Thanks, guys. And Paul, maybe just one other one, just in terms of, I guess, the forward outlook and just your customers with oh, sorry, your conversations with big customers, whether they're the mining companies on exploration budgets or particularly the big drilling groups.

Mitchell Sonogan: Yeah, thanks, guys. Paul, maybe just one other one. Just in terms of, I guess, the forward outlook and just your customers. Oh, sorry, your conversations with big customers, whether the mining companies on exploration budgets or particularly the big drilling groups. Do you mind just giving me a little bit more color about how they are talking about the outlook for the rest of this calendar year across the bigger regions?

Speaker #5: Yeah, do you mind just giving me a little bit more color about how they're talking about the outlook for the rest of this calendar year across the big regions?

Speaker #1: I think the urgency around replacing reserves, the urgency around changing government policies that are supportive to their business, and the urgency around rising costs necessitating better use of technologies to improve outcomes or speed outcomes is more universal this year than it was last year, or the year before.

Paul House: I think the urgency around replacing reserves, the urgency around changing government policies that are supportive to their business, and the urgency around rising costs necessitating better use of technologies to improve outcomes or speed outcomes is more universal this year than it was last year than it was the year before. We see all that as quite favorable in the types of conversations we have. Again, I think it is fairly consistent around the world. I think the things that differentiate the different regions around the world, they have all got slightly unique characteristics. I think the policy environment in Australia is slightly less supportive, compared to, say, South America. I think there is obviously a strong role of government in the North American region. Everything is- Everything has got a slight-- It has got its own slight flavor to it by region.

Speaker #1: So we see all that as quite favorable in the types of conversations we have. And again, I think it's fairly consistent around the world.

Speaker #1: I think the things that differentiate the different regions around the world—they've all got slightly unique characteristics. So I think the policy environment in Australia is slightly less supportive compared to, say, South America.

Speaker #1: I think there's obviously a strong role of government in the North American region, so everything has got its own slight favor to it by region.

Speaker #1: But for the major customers themselves, they're all having the same conversation and engaging us around how they can spend more and be more efficient about it.

Paul House: But for the major customers themselves, they are all having the same conversation and engaging us around how they can spend more and be more efficient about it. I think the only caution I would say is the same one we said last year, and that is, we are very confident around the intention to increase exploration activity. But just as we saw in FY26, the ability to spend that amount of money was challenged by time. We think the intention is positive. How quickly they can spend, it just might push a little further out to the right. We do not think that is a bad thing. What we want is the underlying intention to drive, in this direction.

Speaker #1: I think the only caution I would say is the same one we said last year, and that is we are very confident around the intention to increase exploration activity.

Speaker #1: But just as we saw in FY26, the ability to spend that amount of money was challenged by time, and so we think the intention is positive.

Speaker #1: How quickly they can spend it just might push a little further out to the right. We don't think that's a bad thing. What we want is the underlying intention to drive in this direction.

Speaker #2: Thank you. Our next question comes from Nicholas Rawlinson from Morgan's. Nicholas, please go ahead.

Operator: Thank you. Our next question comes from Nicholas Rawlinson from Morgans. Nicholas, please go ahead.

Speaker #5: Hi, Paul and Linda. Thanks for taking my questions. The integration costs were a really big number in that second half. Would you mind just talking us through those costs, please? And do you expect any more below-the-line integration costs to come through in FY27?

Nicholas Rawlinson: Hi, Paul and Linda. Thanks for taking my questions. The integration costs were a really big number in that H2. Would you mind just talking us through those costs, please? Do you expect any more below-the-line integration costs to come through in FY27?

Speaker #4: Hi, Nick. Yes, so in FY27, you will expect to see integration costs coming through as we continue to integrate the five acquisitions. Regarding the breakdown of the $15 million, firstly, I'll just add that the integration of these businesses is far-reaching and global in nature.

Linda Lim: Hi, Nick. Yes. In FY27, you will expect to see integration costs coming through as we continue to integrate the five acquisitions. The breakdown of the AUD 15 million. Firstly, I will just add that the integration of these businesses is far-reaching and global in nature. Very similar to the footprint, although a bigger footprint than we have integrated through the Devico acquisition, so there is quite a lot of moving parts to it. The AUD 15 million you see there includes a couple of things. It includes roughly AUD 3 million of transaction costs, AUD 3 million of purchase price allocation adjustments, and then the remainder is integration costs in nature. That is the breakdown of it. That is partial obviously through the year. Then you can extrapolate that forward for a full year of integration in FY27.

Speaker #4: So, very similar to the footprint—although a bigger footprint than we have integrated through the Devico acquisition. So, there's quite a lot of moving parts to it.

Speaker #4: The $15 million you see there includes a couple of things. There is the actual amount; it includes roughly $3 million of transaction costs.

Speaker #4: $3 million of purchase price allocation adjustments, and then the remainder is integration costs in nature. That's the breakdown of it, and that's partial, obviously, through the year.

Speaker #4: So, then you can extrapolate that forward for a full year of integration in FY27.

Speaker #5: Great. That's helpful. Thanks, Linda.

Nicholas Rawlinson: Great. That is helpful. Thanks, Linda.

Speaker #4: No worries.

Linda Lim: No worries.

Speaker #2: Thank you. Our next question comes from Gavin Allen from Euroz Hartleys. Gavin, please go ahead.

Operator: Thank you. Our next question comes from Gavin Allen from Euroz Hartleys. Gavin, please go ahead.

Speaker #6: Good morning. So just one quick one from me—a bunch of them got answered during the call, which is good. But just noting that 20% increase in integrated site revenues over the year and a 42% increase in the sites themselves. Just thinking, given the increase in integrated sites is outpacing the increase in the revenues on those sites, how we might think of the opportunity to add further services into those added sites.

Gavin Allen: Good morning to you. Just one quick one from me. A bunch of them got answered during the call, which is good, but just noting that 20% increase in integrated site revenues over the year and a 42% increase in the sites themselves. Just thinking, given the increase in integrated sites is outpacing the increase in the revenues on those sites, how we might think of the opportunity to add further services into those added sites. I am just thinking about what might be the latent capacity there, if you wouldn't mind.

Speaker #6: I'm just thinking about what might be the sort of latent capacity there, if you wouldn't mind.

Speaker #1: Yeah. Again, I'll add to that, and then I'll hand over to Shaun if he wants to add anything extra, Gav. I think, as we've been approaching integrated sites, we've been thinking about smaller or larger packages that move into those sites.

Paul House: Yeah. Again, I'll add to that, and then I'll hand over to Shaun if he wants to add anything extra, Gav. I think as we've been approaching integrated sites, we've been thinking about smaller or larger packages that move into those sites. Once we are on-site, the ability to work with the customer, better understand their immediate challenges, be able to better demonstrate how we might solve some of those challenges or improve outcomes, gives you a front-row seat at growing that revenue on an established site. So you're right, we do expect it to grow. I can give you a great example around directional drilling. When customers adopt directional drilling for the first time, they might adopt it two or three times during a drilling program.

Speaker #1: And so once we are on site, the ability to work with the customer, better understand their immediate challenges, and be able to better demonstrate how we might solve some of those challenges or improve outcomes gives you a front-row seat at growing that revenue on an established site.

Speaker #1: So you're right. We do expect it to grow. I can give you I can give you a great example around directional drilling. So when customers are dropped adopt directional drilling for the first time, they might adopt it two or three times during a drilling program.

Speaker #1: The second year, they might sort of adopt it five or six times. And by the third year, they're using it right throughout their drilling program.

Paul House: The second year, they might sort of adopt it five or six times, and by the third year, they're using it right throughout their drilling program. So you do see a step-up in time as they get more familiar and you bake these new technologies into ways of working that deliver long-term benefits. Yes, we do think there's headroom there. Shaun, is there anything you'd add?

Speaker #1: So you do see a step up in time as they get more familiar, and you bake these new technologies into ways of working that deliver long-term benefits.

Speaker #1: And so, yes, we do think there's headroom there. Shaun, is there anything you'd add?

Speaker #5: Yeah, thanks, Paul. Yeah, I think the point you've made around that entry point and how we can continue to expand—I think the other thing is we're expanding our integration into smaller projects as well.

Shaun Southwell: Yeah, thanks, Paul. Yeah, I think the point you've made around that entry point and how we can continue to expand, I think the other thing is, we're expanding our integration into smaller projects as well. We started off looking at the larger projects, which are easier to integrate or more impactful. But because we're seeing so much advantage for our customers, they're pulling us into even projects with only two rigs. So we're starting to see it integrate further across the industry and starting to set that as an industry expectation or standard.

Speaker #5: So we started off looking at the larger projects, which are easier to integrate or more impactful. But because we're seeing so much advantage for our customers, they're pulling us into even projects with only two rigs.

Speaker #5: So we're starting to see it integrate further across the industry, and it's starting to set that as an industry expectation or standard. Thanks, guys. Really appreciate it.

Gavin Allen: Thanks, guys. Really appreciate it.

Speaker #2: Our next question comes from Josh Kanarakis from Barrenjoey. Josh, please go ahead.

Operator: Our next question comes from Josh Kannourakis from Barrenjoey. Josh, please go ahead.

Speaker #5: Hi, Paul and Linda. Thanks for taking my question. Just first one—a follow-up just on the integration. So, not so much on the cost, but more so, what should we expect to see, and at what stage do we expect, I guess, the IMDEX platform to fully integrate and be able to leverage the tools for individual customers?

Josh Kannourakis: Hi, Paul and Linda. Thanks for taking my question. Just first one, a follow-up on the integration. Not so much on the cost, but more so, what should we expect to see and at what stage do we expect, I guess, the Imdex platform to fully integrate and be able to leverage the tools for individual customers? I know that's obviously been an aspiration, but just in terms of timing, how should we be thinking about when that full integration is completed?

Speaker #5: I know that has obviously been an aspiration, but just in terms of timing, how should we be thinking about when that full integration is completed?

Speaker #1: Yeah. So I think there are probably a couple of moving parts there. And we have spoken about them publicly before. So, we think pulling together some of the digital technologies is a two-year journey.

Paul House: Yeah. I think, there's probably a couple of moving parts there, and we have spoken about them publicly before. We think pulling together some of the digital technologies is a 2-year journey, firstly. I think some of the, you might remember, say, the ALT and the Mt. Sopris, that business had a greater percentage of its revenue came from sensor sales rather than sensor rentals. Devico, for example, was well on the transition from, was more than halfway in the transition to sensor rentals. ALT and Mt. Sopris are slightly behind that. We think the same journey is possible, but because of the stage where they're at, they're absolutely tier 1 products, but the transition to rentals and embedding them into the tech will just take a little bit longer. We see the same pathway. Michelle, did you want to add something to that?

Speaker #1: Firstly, and I think some of you might remember, say, the ALT and now SOPRIS, that business had a greater percentage of its revenue coming from sensor sales rather than sensor rentals.

Speaker #1: And so whereas Devaco, for example, was well on the transition—from, was more than halfway in the transition to sensor rentals—ALT and now SOPRIS are slightly behind that.

Speaker #1: So we think the same journey is possible, but because of the stage where they're at, they're absolutely tier one products. The transition to rentals and embedding them into the tech will just take a little bit longer.

Speaker #1: But we see the same pathway. Michelle, did you want to add something to that?

Speaker #4: Yeah. The other thing I'd say is we don't actually think of this as being entirely a big bang thing. As the platform is being pulled together, there are opportunities for us to be incrementally releasing product offerings to our customers.

Michelle Carey: The only other thing I would say is we do not actually think of this as being entirely a big bang thing. As the platform is being pulled together, there are opportunities for us to be incrementally releasing product offerings to our customers. We are certainly getting really strong pull across things like televiewer work that goes all the way through from data collection into automated interpretation, and we will be taking advantage of some of those integrated solution opportunities ahead of that full platform build-out timeline.

Speaker #4: We're certainly getting really strong pull across things like televiewer work that goes all the way through from data collection into automated interpretation. And we will be taking advantage of some of those integrated solution opportunities ahead of that full platform build-out timeline.

Speaker #5: Got it. Okay. And just—sorry, sorry, just to remind me, Paul, the two years, was that sort of from now, or was that from when we were talking about it at, sort of, more the first half result in last year as well?

Josh Kannourakis: Got it. Okay. Sorry, just to remind me, Paul, the 2 years was from now, or was that from when we were talking about it at more the H1 result of last year as well?

Speaker #1: Oh, no. That's sort of from when we completed more of those digital acquisitions.

Paul House: Well, no. That is sort of from when we completed more of those digital acquisitions.

Speaker #5: Okay.

Josh Kannourakis: Okay.

Speaker #1: Yeah, which was the start of a rock, really, in February.

Paul House: Which was Datarock, really, in February.

Speaker #5: Yep. Okay. That's perfect. And just also, in terms of, I know obviously you mentioned in the notes you’ve got those small acquisitions as well that you announced.

Josh Kannourakis: Yep. Okay, that is perfect. Just also, in terms of, I know obviously you mentioned in the notes you have that small acquisition as well that you have announced. Just in terms of the XRF stuff, it looks like it is sort of development level. Is that worth talking about at all?

Speaker #5: Just in terms of the XRF stuff, is that just—it looks like it's sort of development level. Is that worth talking about at all?

Speaker #1: Yeah, I think it is very much at the development level. Josh, you would have heard us talk about how we always thought first prize is technologies that can capture data down-hole or top-of-hole.

Paul House: Well, I think it is very much at development level. Josh, you would have heard us talk about, we always thought first prize is technologies that can capture data downhole or top of hole, and that IBERIA Technology is a downhole XRF technology that looks at gathering chemistry data in certain applications. There is not a tool commercially available in the market like that today, and so this is an early TRL or early stage tool that we worked with the inventors on to help develop to a commercial stage. Michelle, did you want to add further to that?

Speaker #1: And that Iberia Technologies are downhole XRF technology that looks at gathering chemistry data in certain applications. There isn't a tool commercially available in the market like that today.

Speaker #1: And so this is an early TRL, or early-stage tool, that we worked with the inventors on to help develop to a commercial stage.

Speaker #1: Michelle, did you want to add further to that?

Speaker #4: Yeah. I mean, I think in terms of the stage we're at now, we're really working with those earlier-stage customers around taking the tool out onto their site and really seeing what it can do within their workflows.

Michelle Carey: Yeah. I think, in terms of the stage we are at now, we are really working with those earliest stage customers around taking the tool out onto their site and really seeing what it can do within their workflows. So certainly encouraging, but still relatively early stage.

Speaker #4: So, certainly encouraging, but still relatively early stage.

Speaker #2: Thank you. We're moving on to a few written questions next. Our first one comes from John Campbell from Jefferies. John asks, "Your share of wallet grew 9% in FY26."

Operator: Thank you. We are moving on to a few written questions next. Our first one comes from John Campbell from Jefferies. John asks, "Your share of wallet grew 9% in FY26. How much of that is market share gain, and how much price, and how much increased scope offering?

Speaker #2: How much of that is market share gain, and how much is price? And how much is increased scope offering?

Speaker #4: So, when we look at the increase in share of wallet, if we just take it up a level and look at revenue growth across the board, the 21% is 8% market and 9% market share gains, and that will be extrapolated across both the share of wallet calculation as well.

Linda Lim: When we look at the increase in share of wallet, if we just take it up a level and we look at revenue growth across the board, the 21% is 8% market and 9% market share gains, and that will be extrapolated across the share of wallet calculation as well.

Speaker #1: I think, John, it's worth remembering that that share of wallet calculation is an extremely raw, honest measure, in that it is index exploration revenue over S&P published exploration spend.

Paul House: I think, John, worth remembering that that share of wallet calculation is an extremely raw, honest measure in that it is Imdex exploration revenue over S&P published exploration spend, and we make no adjustment in that calculation. It is unadjusted for inflation and it is unadjusted for any shift in drilling and non-drilling costs.

Speaker #1: And we make no adjustment in that calculation, so it's unadjusted for inflation, and it's unadjusted for any shift in drilling and non-drilling costs.

Speaker #2: Our next question is another written question from John at Jefferies again: "How has FY27 year-to-date organic revenue growth started?"

Operator: Our next question is another written question from John at Jefferies again. "How has FY27 year to date organic revenue growth started?

Speaker #1: Yes. I mean, I think I'll probably go back to my answer to the first question. July was a record revenue month for Imdex, surpassing June, which itself had been a record revenue month for Imdex.

Paul House: Yes. I think that is probably I will go back to my answer to the first question. July was a record revenue month for Imdex, surpassing June, which in itself had been a record revenue month for Imdex. We have certainly started the year as we exited 2026.

Speaker #1: So, we've certainly started the year as we exited '26.

Operator: We will move back to the audio questions, but just before that, a reminder of the instructions. To ask a text question, select the messaging icon, type your question in the box towards the top of the screen and press the send button. To ask a live audio question, press the Request a Seat button at the top of the broadcast window. Follow the instructions on screen to join the queue. Our next question comes from Lindsey Berriel from GS. Lindsey, please go ahead.

Speaker #2: We will move back to the audio questions. But just before that, a reminder of the instructions: to ask a text question, select the messaging icon.

Speaker #2: Type your question in the box near the top of the screen and press the send button. To ask a live audio question, press the 'Request a Seat' button at the top of the broadcast window.

Speaker #2: Follow the instructions on screen to join the queue. Our next question comes from Lindsay Burial from GS. Lindsay, please go ahead.

Lindsey Berriel: Hey, guys. Can you hear me?

Lindsay Bettiol: Hey, guys. Can you hear me?

Speaker #5: Hey guys, can you hear me?

Speaker #1: Sure, Ken.

Paul House: Sure can.

Speaker #5: Hey, Ken. Beautiful. Yeah, Paul, I'll maybe go with this July versus June question for a third time, so apologies. But understanding July as ahead of June, but then also there's some seasonality in your business this time of year.

Lindsey Berriel: You can. Beautiful. Paul, I'll maybe go with this July versus June question for a third time, so apologies. But understanding July is ahead of June, but then also there's some seasonality in your business this time of year. Obviously, the acquisitions are still kind of coming through as tailwinds. Just maybe could you unpack it and help us understand how much you see as kind of like genuine, organic improvement, July versus June versus May? If you could unpack it in any way, that'd be helpful.

Lindsay Bettiol: You can. Beautiful. Paul, I'll maybe go with this July versus June question for a third time, so apologies. But understanding July is ahead of June, but then also there's some seasonality in your business this time of year. Obviously, the acquisitions are still kind of coming through as tailwinds. Just maybe could you unpack it and help us understand how much you see as kind of like genuine, organic improvement, July versus June versus May? If you could unpack it in any way, that'd be helpful.

Speaker #5: Obviously, the acquisitions are still kind of coming through as tailwinds. Just maybe, could you unpack it and help us understand how much you see as genuine organic improvement in July versus June versus May?

Speaker #5: If you could expand on that in any way, it would be helpful.

Speaker #1: I can give you a little bit of guidance. So I'd say, if I go back to FY25, June was up on May. We tend to see that the fourth quarter is more heavily weighted towards the last six weeks, because you're in the ascendancy.

Paul House: I can give you a little bit of guidance. I would say if I go back to FY25, June was up on May. The Q4 tends to be heavier weighted towards the last 6 weeks because you are in the ascendancy. We saw the same thing for the end of FY26, where it was the last 6 weeks it was in the ascendancy. It is on trend in a growing market, if that makes sense. We would normally be looking for Q4 and Q1 to be around about the same, with Q1 being slightly above Q4 if we are in a growth phase of sort of 4% or 5%. That would be our historical trend in that place. We are not seeing any of that uplift. None of that uplift in July over June.

Speaker #1: And we saw the same thing for the end of FY26, where in the last six weeks it was in the ascendancy. So it is on trend in a growing market, if that makes sense.

Speaker #1: And we would normally be looking for Q4 and Q1 to be around about the same, with Q1 being slightly above Q4 if we're in a growth phase of sort of 4 or 5 percent.

Speaker #1: That would be our historical trend in that space, so we're not seeing any of that uplift—none of that uplift in July over June.

Speaker #1: I'm sorry, what I should say is that we are comparing apples with apples in July over June, simply because all of the acquisitions happened in earlier months.

Paul House: I am sorry, what I should say is we are comparing apples with apples in July over June, simply because all of the acquisitions happened in earlier months. It is pound for pound comparable.

Speaker #1: And so, it is pound for pound comparable.

Speaker #5: Yeah, brilliant. All right, another one. And it's kind of—I mean, nothing you've seen on the call, so just, this would be the case.

Lindsey Berriel: Yeah, brilliant. All right. Another one, nothing you have said on the call suggests this to be the case, but if we go back to the trading update in May, in your outlook commentary there, I think you said, market feedback is growing to 15% to 20% exploration growth this year. Today you have just said you expect it to increase by double digits. Just trying to understand if I am reading too much into the semantics there, but I have had a few people already question me as to whether or not that is a softening of your language, or is that just a misread completely?

Lindsay Bettiol: Yeah, brilliant. All right. Another one, nothing you have said on the call suggests this to be the case, but if we go back to the trading update in May, in your outlook commentary there, I think you said, market feedback is growing to 15% to 20% exploration growth this year. Today you have just said you expect it to increase by double digits. Just trying to understand if I am reading too much into the semantics there, but I have had a few people already question me as to whether or not that is a softening of your language, or is that just a misread completely?

Speaker #5: But if we go back to the trading update in May, in your outlook commentary, I think you said market feedback is guiding to 15 to 20 percent exploration growth this year.

Speaker #5: And then today, you've just said you expect it to increase by double digits. So I'm just trying to understand if I'm reading too much into the semantics there, but I've had a few people already question me as to whether or not that's a softening of your language, or is that just a misread completely?

Speaker #1: No, I think we've always been very clear that the market wants to spend 15%, but in the last year, they only really spent 8% or 9%.

Paul House: I think we have always been very clear that the market wants to spend 15%, but in the last year, they only really spent 8% or 9%. It goes back to my comment that we think the intention to spend is there. We think the ability to spend is being hampered by whether it is geopolitics or supply chains or permitting and the like. I think it is more that language. We are trying to make a distinction between our customer commitment and just tempering that with their ability to get it done. We do not think it changes the intention in any way. We just think what will actually land in the ground in that 12-month window will likely be a little bit less. I hope that clarifies.

Speaker #1: I mean, and it goes back to my comment that we think the intention to spend is there. We think the ability to spend is being hampered by, whether it's geopolitics or supply chains or permitting and the like.

Speaker #1: So I think it's more about the language. We're trying to make a distinction between our customer commitment and just tempering that with their ability to get it done.

Speaker #1: We don't think it changes the intention in any way. We just think that what will actually land in the ground in that 12-month window will likely be a little bit less.

Speaker #1: I hope that clarifies.

Speaker #2: Thank you. The next question we have is from Darcy White from Jordan. Darcy, please go ahead.

Operator: Thank you. The next question we have is from D'Arcy White from Jarden. D'Arcy, please go ahead.

D'Arcy White: Morning, Paul and Linda. Thanks for the opportunity for a question. Just the first one for Paul. On the outlook commentary slides around capacity tightness in APAC that you have seen in the industry, can you just talk whether you have seen any cost inflation come through and perhaps how we should think about the impact on margin into FY27?

Darcy White: Morning, Paul and Linda. Thanks for the opportunity for a question. Just the first one for Paul. On the outlook commentary slides around capacity tightness in APAC that you have seen in the industry, can you just talk whether you have seen any cost inflation come through and perhaps how we should think about the impact on margin into FY27?

Speaker #5: Morning. Morning, Paul and Linda. Thanks for the opportunity for a question. Just the first one for Paul: on the outlook commentary slides around capacity pilots in APAC that you've seen in the industry, can you just talk about whether you've seen any cost inflation come through, and perhaps how we should think about the impact on margin into FY27?

Speaker #1: Yeah. Look, I think rising costs and inflation in various forms were certainly an impact in FY26. And our business model has meant we've been able to combat that fairly well.

Paul House: Well, I think rising costs, inflation in various forms was certainly an impact in FY26. Our business models meant we have been able to combat that fairly well. I do think that there is a continuation of that rising cost environment into FY27. We will have to absorb that as part of our margin guidance outlook, and it is why we are investing in things that make our business more scalable operationally. There is a bit of a relentless discipline or pursuit of continuing to be more efficient to combat some of that rising cost environment. We have to do that to our business in the same way that our customers have to do it to theirs. I do think the ripple effects from Hormuz and some of these other areas are still yet to roll through the industry more globally, including Australia.

Speaker #1: I do think that there is a continuation of that rising cost environment into FY27. We will have to absorb that, and it's part of our margin guidance outlook. That's why we're investing in things that make our business more scalable operationally.

Speaker #1: So, there is a bit of a relentless discipline, or pursuit of continuing to be more efficient, to combat some of that rising cost environment.

Speaker #1: We have to do that to our business in the same way that our customers have to do it for theirs. So, I do think the ripple effects from Hormuz and some of these other areas are still yet to roll through the industry more globally, including—

D'Arcy White: Perfect. Thanks, Paul. Maybe just two for Linda on the modeling. On the tax front, is the FY26 tax rate the right approach to look at for FY27 or are there any moving parts that we should think about?

Darcy White: Perfect. Thanks, Paul. Maybe just two for Linda on the modeling. On the tax front, is the FY26 tax rate the right approach to look at for FY27 or are there any moving parts that we should think about?

Speaker #5: Perfect. Thanks, Paul. Maybe just proof with Linda on the modeling. On the tax front, is the FY26 tax rate the right approach to look at for FY27, or are there any moving parts that we should think about?

Speaker #3: No, no, Darcy. The normalized effective tax rate is 32%, and we expect that to continue.

Linda Lim: No, D'Arcy. The normalized effective tax rate is 32%, and we expect that to continue.

Speaker #5: Perfect, thank you. And then just last one in line on the acquisitions as well. Can you just remind us of the sensitivities for FX that we should think about for the full year?

D'Arcy White: Perfect. Thank you. Just last one. In light of the acquisitions as well, can you just remind us of the sensitivities for FX that we should think about for the full year?

Darcy White: Perfect. Thank you. Just last one. In light of the acquisitions as well, can you just remind us of the sensitivities for FX that we should think about for the full year?

Speaker #3: Yeah, sure. FX exposure is pretty much unchanged, so 50% of our revenues are still US dollar denominated. As we look forward, a 1% movement in US dollar FX rates is around a $2.5 to $3 million impact, in line with previous guidance.

Linda Lim: Yeah, sure. Our FX exposure is pretty much unchanged. 50% of our revenues are still US dollar denominated. As we look forward, a 1% movement in US dollar FX rate is around $2.5 to $3 million impact, and about 50% of that flows through to the EBITDA line.

Speaker #2: Thanks, everyone. That's all we have time for, so I'll hand back to Paul.

Operator: Thanks, everyone. That's all we have time for, so I'll hand back to Paul.

Speaker #1: Thank you very much. Thanks, everyone, for listening in today. If I could leave you with maybe just some closing thoughts—obviously, FY26 has been a fairly defining year for Imdex, with record revenue and earnings. The strength of our cash generation and the continuation of our market share wins has been a bit of a highlight.

Paul House: Thank you very much. Thanks everyone for listening in today. If I could leave you with maybe just some closing thoughts. Obviously, FY26 has been a fairly defining year for Imdex with record revenue, earnings, the strength of our cash generation, and the continuation of our market share wins has been a bit of a highlight. The continued execution of our strategy and the growing contribution from multiple growth levers that Imdex now has across the business is a feature and a highlight that we expect to capitalize on into FY27. Our FY27 priorities remain absolutely clear and simple. We intend to meet the market where it is as it grows and continue to offer our broader range of technologies and solutions through our global customer network into all the minerals markets around the world. That said, we do think that the industry backdrop is increasingly supportive.

Speaker #1: The continued execution of our strategy, and the growing contribution from multiple growth levers that Imdex now has across its business, is a feature and a highlight that we expect to capitalize on into FY27.

Speaker #1: And finally, our FY27 priorities remain absolutely clear and simple. We intend to meet the market where it is as it grows, and continue to offer our broadest range of technologies and solutions through our global customer network into all the minerals markets around the world.

Speaker #1: That said, we do think that the industry backdrop is increasingly supportive and that, combined with the multiple pathways for growth, positions Imdex very well to continue to deliver shareholder value.

Paul House: That combined with the multiple pathways for growth position Imdex very well to continue to deliver shareholder value. For me personally, I would like to thank our Imdex people around the world, our customers, our board, and our shareholders for their continued support and engagement. I look forward to speaking to many of you over the coming weeks. Thank you very much.

Speaker #1: For me personally, I'd like to thank our IMDEX people around the world, our customers, our Board, and our shareholders for their continued support and engagement.

Speaker #1: And I look forward to speaking to many of you over the coming weeks. Thank you very much.

Operator: Thank you. That concludes today's call. Thank you for joining us. You may now log out.

Browse all earnings call transcripts

Q4 2026 Imdex Ltd Earnings Call

Request TrialDemo

Imdex

Earnings