LaserBond (LBL) H2 2024 earnings summary

Executive summary

• Revenue rose 8.7% year-over-year to $41.98M, with strong Services and Technologies performance, but Products Division lagged.

• EBITDA declined 7.3% to $9.45M due to higher employee costs and planned plant investments.

• NPBT fell 18.1% to $5.22M, and NPAT dropped 26% after a higher tax rate from Gateway acquisition accounting.

• Safety improved significantly, with a 62.5% reduction in LTIs and 65.3% drop in LTIFR.

• Expansion included a 40% stake in Gateway Group (WA) and progress on North American market entry.

Financial highlights

• Reported revenue: $41.98M; would have been $56.6M if Gateway revenue consolidated.

• EBITDA: $9.45M, down 7.3% year-over-year.

• NPBT: $5.22M, down 18.1% year-over-year.

• EPS decreased 27.7% due to lower earnings and increased shares from Gateway acquisition.

• Gross profit margin maintained above 50% despite inflationary pressures.

Outlook and guidance

• Strong demand expected across all sectors, both domestically and internationally.

• North American expansion and modular laser cladding cell rollout to drive future growth.

• Economic headwinds persist, but commodities and exports remain robust.