Imdex strong performance and a positive outlook
IMDEX Limited (ASX:IMD) has made a positive start to the current financial year reporting seven consecutive halves of revenue and earnings growth. Incoming Chief Executive Officer, Paul House came in to share the highlights of the announced results.
IMDEX reported strong half-yearly revenue of $127.9 million, up 2 per cent on 1H19, and underlying earnings before interest, tax, depreciation and amortisation of $28.1 million, up 12 per cent on 1H19.
The company has a robust balance sheet with a strong net cash position of $25.5 million, up 24 per cent on the prior corresponding period.
The fundamentals underpinning IMDEX’s business growth continue to be strong. IMDEX noted a positive start to drilling activity in 2H20, and stated that it had generated its highest January revenue so far.
“Our ability to offer leading solutions that deliver clear benefits to all clients in the mining value chain is further enhancing our market position. We have a robust strategy designed to achieve further growth of our core business, while building sustainable growth through the addition of new technologies.” Paul House.
If you are learning about IMDEX, you can listen to our previous interview about IMDEX technologies and how they enable successful cost-effective mining operations: IMDEX A TRUE INNOVATOR – HOW IS TECHNOLOGY LEADING GROWTH?
The Montgomery Small Companies Fund owns shares in IMDEX. This video was prepared 24 January with the information we have today, and our view may change. It does not constitute formal advice or professional investment advice. If you wish to trade Imdex you should seek financial advice.
Gary Rollo is the Portfolio Manager of the Montgomery Small Companies Fund. Gary joined Montgomery in August 2019 after spending three years at MHOR Asset Management in Sydney as a Founder and Portfolio Manager. Prior to this, Gary was a Portfolio Manager at Renaissance Asset Manager in Sydney for six years. Before moving to Australia, Gary spent five years in London running Morgan Stanley’s Technology Sector Equity Research Team, as well as two years covering technology companies for JP Morgan.
This post was contributed by a representative of Montgomery Investment Management Pty Limited (AFSL No. 354564). The principal purpose of this post is to provide factual information and not provide financial product advice. Additionally, the information provided is not intended to provide any recommendation or opinion about any financial product. Any commentary and statements of opinion however may contain general advice only that is prepared without taking into account your personal objectives, financial circumstances or needs. Because of this, before acting on any of the information provided, you should always consider its appropriateness in light of your personal objectives, financial circumstances and needs and should consider seeking independent advice from a financial advisor if necessary before making any decisions. This post specifically excludes personal advice.
