IMDEX has heralded what it says is long-term structural change in the mining industry, as it reported a strong start to the first half of its financial year.
Delivering the company’s half-year results, IMDEX Chief Executive Officer, Paul House, revealed a robust balance sheet with a net cash position of A$47 million ($36 million) in the six months ending December 31, 2020, up 84% on the same time last year.
The company reported EBITDA of A$33.1 million, up 6% on the same time last year and 43% on the second half of 2020, on revenue of A$124.3 million, down 3% on the same time last year, but up 13% on the second half of 2020.
House said the balance sheet strength enabled the company to accelerate targeted research and development in line with demand, and leverage opportunities for growth through acquisitions.
He said IMDEX continued to navigate the impact of COVID-19 on its global operations and had responded to increasing demand for remote working technologies and software, upgrading IMDEXHUB™ and releasing new ioGAS 7.3™ geochemistry data analysis software.
The company has a record number of gyro-related technologies on rent and reached a milestone with a record number of instruments on rent for December and January, it said.
“While the opportunity ahead of us is exciting, we remain watchful and ready,” House said. “We are watchful of the current risks posed by COVID and ready to meet the increasing demand for mining technologies.
“This confluence of risk and opportunities is accelerating long-term structural change in the mining industry.”
House said activity increased in most regions, most notably Canada, the US and West Africa, boosted by strong industry fundamentals.
“Our global reach and unrivalled product offering mean we can grow in all market conditions,” House added.
IMDEX said the positive outlook for mining technology was being driven by investment in metals tied to decarbonisation such as aluminium, cobalt, copper, nickel and lithium; mining’s essential role in the global economic recovery; and the minerals industry embracing new technologies.
The overall industry drivers are being reflected in increased exploration budgets, the company added.
IMDEX also reported in these results that it had signed a joint development agreement with a Tier 1 mining company to accelerate one of its key “rock knowledge sensor” technologies for commercial use. It also has a joint development agreement to accelerate its drilling optimisation tool IMDEX MAGHAMMER™ for commercial use, with ground trials under that agreement having started.
