SDI (SDI) H2 2024 earnings summary

Executive summary

• Achieved record FY24 sales/revenue of AUD 111.2 million (up 3.1% year-over-year), with record profit driven by high-margin Aesthetics products and operational efficiencies.

• EBITDA rose 35.5% to AUD 21.9 million, and underlying NPAT increased 51.8% to AUD 11.4 million; reported NPAT up 47.7% to AUD 10.4 million.

• Gross profit margin improved by 530 basis points to 62.1%, supported by product mix shift and cost controls.

• Final dividend increased by 8.6% to AUD 0.019 per share (1.90 cps).

• New site capacity and automation investments are set to drive future sales and operational leverage.

Financial highlights

• Operating cash flow was strong at AUD 14.3 million, with cash at bank AUD 6.3 million and net debt position AUD 16.8 million.

• Operating expenses were AUD 50 million, down 1.9% excluding impairment and currency effects.

• Asset impairment of AUD 968,000–1.0 million related to property write-down and closure of old Brazilian operations.

• Net assets increased to AUD 94.0 million.

• Earnings per share rose 47.6% to 8.77 cents.

Outlook and guidance

• Focus remains on Aesthetics and Whitening products, with 3–4 new product launches and Whitening rebrand planned in the next 12 months.

• Project Montrose expected to expand capacity to over AUD 200 million in sales, with full operational status by December 2027.

• Continued investment in automation, R&D, and operational efficiencies to support growth.

• Peak debt projected at AUD 38 million in FY 2026, reducing to AUD 23 million after property sale in FY 2027.

• Manufacturing operations to be relocated by December 2027, targeting a 20% pre-tax return on capital.