Matrix Composites & Engineering Ltd
ASX:MCE
Matrix Composites & Engineering Ltd
Matrix Composites & Engineering Ltd. engages in the design, engineering, and manufacture of composite and material technology solutions for the oil and gas, civil and infrastructure, resources, defense, and transportation industries. The company is headquartered in Perth, Western Australia. The company went IPO on 2009-11-16. Its principal activities include manufacture and supply of capital drilling equipment, subsea umbilical risers and flowline (SURF) ancillary equipment and associated services, well construction products, including centralizers and conductors. The company is also engaged in the supply of vortex-induced vibration (VIV) suppression equipment for rigid pipelines, supply of Epoxy based coating system and consultancy for, and manufacture of, advanced composite materials, products and solutions for the defense, energy, resource and transport sectors. Its subsidiaries include Specialist Engineering Services Pty Ltd, Matrix Henderson Property Pty Ltd, Matrix Coating Technologies Pty Ltd and Matrix Composites & Engineering Inc.
Matrix Composites & Engineering Ltd. engages in the design, engineering, and manufacture of composite and material technology solutions for the oil and gas, civil and infrastructure, resources, defense, and transportation industries. The company is headquartered in Perth, Western Australia. The company went IPO on 2009-11-16. Its principal activities include manufacture and supply of capital drilling equipment, subsea umbilical risers and flowline (SURF) ancillary equipment and associated services, well construction products, including centralizers and conductors. The company is also engaged in the supply of vortex-induced vibration (VIV) suppression equipment for rigid pipelines, supply of Epoxy based coating system and consultancy for, and manufacture of, advanced composite materials, products and solutions for the defense, energy, resource and transport sectors. Its subsidiaries include Specialist Engineering Services Pty Ltd, Matrix Henderson Property Pty Ltd, Matrix Coating Technologies Pty Ltd and Matrix Composites & Engineering Inc.
First Half Weakness: Matrix reported first half revenue of $26.9 million, which was lower than expected due to project timing, with major revenue pushed into the second half.
Second Half Rebound: The company expects a strong second half, with secured work of over $50 million and full year revenue projected to exceed $80 million, implying year-on-year growth.
EBITDA Outlook: Despite a first half EBITDA loss of $4.1 million, management expects a return to positive EBITDA for the full year, though EBITDA margin will be slightly lower compared to last year.
Strong Cash Position: Cash on hand at period end was $18 million, with net cash of $10.4 million, supporting the ramp-up in activity.
Market Opportunities: Matrix highlighted ongoing success and pipeline growth in subsea, mining, and defence markets, with recovery in the drilling sector and longer-term opportunities in mining consumables and defence.
