annual results
highlights Record Results Sales over $500m Net Profit After Tax (NPAT) 76% Earnings Per Share (EPS) 72% Dividends 71% Over $500m new contracts won since December Capacity increased; workforce over 3,000 >50% Health and Safety performance improved; TCIFR 23% Strong competitive position in booming market Further growth expected in /07
financial highlights Jun 06 Jun 05 % Change Sales Revenue $532.0m $390.6m +36% EBITDA $49.0m $29.0m +68% Net Profit After Tax $29.4m $16.7m +76% Earnings Per Share 36.5 c 21.1 c +72% Total Dividends 33.00 cps ff 19.25 cps ff +71% Operating Cash Flow $66.8m $24.0m +179% Net Cash $61.6m $22.2m +177% Capex $24.2m $18.7m +29% Return on Equity 47.3% 36.1% +31%
strong revenue & profit growth sales revenue $m profit after tax $m CAGR 32.6% 390.6 532.0 CAGR 54.0% 29.4 243.7 220.8 16.7 129.6 154.7 3.4 4.8 7.1 8.5 2001 2002 2003 2001 2002 2003
high earnings & dividend growth 36.50 33.00 EPS CAGR 50% 21.15 19.25 24.00 4.89 2.38 6.51 3.50 9.55 6.25 11.11 7.50 14.25 2001 2002 2003
record operating cash flow EBITDA $m cashflow from operations $m 66.8 49.0 29.0 9.9 12.0 15.3 16.1 3.4 12.4 13.1 6.6 24.0 2001 2002 2003 2001 2002 2003
buoyant market, strong margins EBITDA margin % profit after tax margin % 7.7% 7.7% 6.3% 7.3% 7.4% 9.2% 3.9% 4.3% 5.5% 2.6% 3.1% 2.9% 2001 2002 2003 2001 2002 2003 EBITDA margin 1.8pp to 9.2% PAT margin 1.2pp to 5.5%
exceptional return on equity 47.3% 36.1% 13.2% 17.2% 20.7% 21.7% 2001 2002 2003 ROE at 47.3% historically highest level Five year average return 35.2%pa
strong shareholder returns $8.00 $7.00 5 year share price history $6.00 $5.00 $4.00 $3.00 $2.00 $1.00 $0.00 Jun-01 Dec-01 Jun-02 Dec-02 Jun-03 Dec-03 Jun-04 Dec-04 Jun-05 Dec-05 Jun-06 Total shareholders returns: 1 year 88% 5 years 1226% (68.0%p.a)
safety performance 60 total case injury frequency rate (TCIFR) 40 20 0 2001 2002 2003 TCIFR 23% from previous year Successful implementation of injury reduction initiatives
increased workforce employee numbers 3142 1198 1376 1539 1740 Jun - 02 Jun - 03 Jun - 04 Jun - 05 Jun - 06 Right people recruitment and retention strategy a key focus Overseas recruitment for professional staff ongoing Expanded graduate program Professional development and skill training programs
maintenance & industrial services division sales revenue $m 242.7 111.1 150.8 Revenue 61% from previous year Full year revenues from previous financial year contract wins Rapidly growing Queensland market New major contract wins Strong performances across all operations of the division
M&IS division highlights 100% of major service contracts retained Award & establishment of new service contracts : Comalco s Boyne Smelter, Gladstone, QLD Incitec Pivot shutdown, Gibson Island, QLD Rio Tinto Iron Ore's Tom Price mine, WA Rio Tinto s Cape Lambert operations, WA Important oil and gas services contract secured with ConocoPhillips for Darwin LNG facility Instrumentation and electrical subsidiary (MIE) revenue contribution of $26m Skystar ground handling doubled revenue to $15m
engineering construction division sales revenue $m 239.8 289.3 109.6 Revenue 21% from previous year $500m new contracts secured since December Recorded over two million manhours lost time injury free during the year
EC division highlights Successful progress of major contracts: Iron ore stockyards expansion; Rio Tinto Iron Ore Dampier Port Upgrade project, WA Sulphuric acid plant construction; BHP Billiton's Ravensthorpe Nickel Project, WA Stockpile capacity extension; BHP Billiton Mitsubishi Alliance (BMA) Hay Point Coal Terminal, QLD Iron ore facility expansion; BHP Billiton's Rapid Growth Project (RGP2) at Nelson Point and Finucane Island, WA Iron ore facility expansion; Rio Tinto Iron Ore Yandicoogina mine, WA
EC division highlights $500m of new major contracts secured: Largest ever contract won ($180m) with BHP Billiton Iron Ore for Rapid Growth Project 3 (RGP3),port expansion at Nelson Point and Finucane Island, WA BHP Billiton's Yabulu Nickel Refinery Extension Project, QLD Rio Tinto Iron Ore Dampier Port Upgrade Phase B project, WA Central Queensland Port Authority (CQPA), Rail Receival Station construction at Gladstone Port, QLD Rio Tinto Iron Ore Yandi Junction South East project, WA August, secured another RGP3 contract ($120m) with BHP Billiton Iron Ore for Mining Area C expansion
our strategy Maximise core business concentrate on earnings quality Blue chip customers & long term relationships Larger and longer contracts Growing recurring revenues Leverage capability further into oil and gas, power and water sectors Grow electrical and instrumentation services business Continue to pursue strategic acquisitions Processes and systems to match growth Protect and enhance reputation right people-right culture
outlook Strong and high quality workload expected to deliver further revenue and earnings growth in /07 Core market conditions expected to be strong for two to three years Growth dependent on project timing and industry capacity constraints Focus on earnings quality given continuing skills shortages and overheated supply chain Current extraordinary organic growth rates are not sustainable in the long term