Impressive results for IMDEX

LEADING global mining- tech company IMDEX has delivered its best half- yearly revenue result of $ 127.9m, reflecting the strong interest in tech and exploration industries.

The company develops cloud- connected sensors and drilling optimisation products to improve the process of identifying and extracting mineral resources for drilling contractors and resource companies globally.

The figure was up 2pc on the first half of 2019 and comes after seven consecutive halves of growth.

With a solid balance sheet and strong net cash position of $ 25.5m, the company issued a fully- franked interim dividend of one cent per share declared, up 25pc on the first half.

IMDEX managing director Bernie Ridgeway said the positive performance was largely driven by increased activity within Asia Pacific, a late Christmas shutdown and growing demand for the company’s integrated solutions and cloud- connected technologies, which provided additional value to clients.

“The uplift in earnings reflected an increasing percentage of rental revenue, which yields higher gross margins and our ongoing focus on streamlining operations and managing costs,” he said.

“We have delivered seven consecutive halves of growth and a three- year revenue and EBITDA CAGR of 16pc and 27.5pc respectively.

“This highlights the increasing strength of our core business and our ability to outperform market growth.”

IMDEX chief operating officer Paul House said the firm’s ability to offer leading solutions that delivered clear benefits to all clients in the mining value chain further enhanced the market position.

“We have a robust strategy designed to achieve further growth of our core business, while building more sustainable growth through the addition of our new technologies from FY21 and beyond,” he said.

Demand for IMDEX’s products continued to increase and the company won mandates for new work based on its ability to provide integrated end- to- end solutions.

IMDEX exercised its option to acquire Flexidrill and its drilling productivity technologies, COREVIBE and MAGHAMMER, in December 2019.

Flexidrill has been renamed IMDEX Technology New Zealand.

IMDEX also continues to have strong support from its METS Ignited partners, Anglo American, Teck Resources and Orica, in the development of the BLASTDOG technology.