FY24 Full Year Results Release

• Revenue of $10.6bn, up 10%
• EBIT of $1,419m, up 20%
• Industrial Services Businesses EBIT up 28%
• NPAT of $850m, up 30%
• Final dividend of 30 cents per share, up 30%

Seven Group Holdings Limited (SGH) has announced its financial results for the year ended 30 June 2024, demonstrating significant earnings growth and strategic progress. Revenue of $10.6 billion was up 10%, driven by growth in customer activity and demand, particularly at WesTrac. A continued focus on disciplined execution and cost control delivered 106bp EBIT margin expansion to 13.4%, resulting in a 20% increase in SGH EBIT to $1.4 billion. NPAT of $850 million was up 30%, while statutory NPAT of $464 million was down 23% due to impairments on production assets at Beach Energy and a mark-to-market impairment of Seven West Media interests. Earnings per share (EPS) increased by 28% to $2.31. Operating cash flow decreased by 16% to $1.3 billion, predominantly due to a $537 million investment in inventory at WesTrac to support increased customer activity and growth in FY25. SGH achieved significant improvement in safety, with a 26% improvement in both Total Recordable Injury Frequency Rate (TRIFR) and Lost Time Injury Frequency Rate (LTIFR). The acquisition of 100% of Boral is strongly aligned with SGH's capital allocation principles, providing access to Boral's strong cash generation and enabling more efficient decision-making. WesTrac, Boral, and Coates all delivered strong earnings growth in FY24, with the Industrial Services segment EBIT up 28%. SGH completed two portfolio transactions during the year, with the sale of the Sykes business and Coates Indonesia, increasing the company's focus on its primary businesses and Australia. SGH's adjusted Net Debt to EBITDA ratio ended the year at 2.2x, down 3%. The company has declared a final, fully franked dividend of 30 cents per share for FY24, representing a 30% increase from the comparative period. Looking ahead, SGH is providing earnings guidance of 'high single-digit EBIT growth expected in FY25'.

SGH is providing earnings guidance of 'high single-digit EBIT growth expected in FY25'.

The robust outlook for each of SGH's core sector exposures, coupled with business-specific growth opportunities and the company's FY24 investment in working capital, supports the guidance of 'high single-digit EBIT growth expected in FY25'.