Imdex lifts profit to $21m

20/08/2018 - 15:04

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Mining equipment company Imdex has attributed a big jump in revenue for the 2018 financial year to improved market conditions in the resources sector and growing interest in the company’s technology offerings.

Bernie Ridgeway says the business has accelerated development of its drill and blast project. Photo: Gabriel Oliveira

Mining equipment company Imdex has attributed a big jump in revenue for the 2018 financial year to improved market conditions in the resources sector and growing interest in the company’s technology offerings.

Bernie Ridgeway-led Imdex reported a 24 per cent increase in revenue to $218.5 million, while net profit lifted to $21.1 million for the period.

The company also recorded earnings before interest, taxes, depreciation and amortisation (Ebitda) of $42.4 million, which was a 35 per cent rise on last year.

“The 24 per cent uplift in revenue was due to positive market conditions, together with growing interest in our leading technologies and ability to provide integrated end-to-end solutions,” Mr Ridgeway said.

“This capability is currently unique to our market and provides us with a significant competitive advantage.

“Ebitda exceeded the prior corresponding period by 35 per cent.

“This result reflected growing revenue and our ability to leverage fixed costs, while continuing to invest in core product development for organic growth and transformational initiatives.

“These initiatives included our internal digital program, which is being undertaken to enhance our systems and processes and enrich our client experience.”

He said the business had also accelerated development of its drill and blast project.

“This project is focused on understanding the quality of the mined material and minimising mining dilution, therefore, improving grade and revenue,” Mr Ridgeway said.

“The blast hole environment is an area of mining that has not progressed significantly for decades and is one of the big operational improvements we see in the future.”

Imdex said the company remained positive in its outlook for 2019 despite the recent softening of commodity prices.

Imdex had a strong start to FY19 and in July 2018, achieved its highest monthly revenue since September 2011,” the company said.

Shares in Imdex finished off 6.43 per cent at $1.16 each today.

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