FY24 Results Investor Presentation

• Performing ahead of expectations with 13.9% increase in revenue and 11.0% increase in underlying EBITDA
• Expanding capabilities through acquisition of Secon Freight Logistics, delivering $59.5 million in revenue
• Achieving strong cash generation with 101.2% underlying free cash flow conversion

Silk Logistics Holdings Ltd has reported a strong financial performance in FY24, with revenue growing by 13.9% to $556.4 million and underlying EBITDA increasing by 11.0% to $95.4 million. The company's results were driven by organic growth from existing and new customers, as well as the effective integration of acquired businesses. Silk has also continued to invest in its people, technology, and operational capabilities, including the expansion of its bulk logistics offerings through the acquisition of Secon Freight Logistics. The company's variable cost model and disciplined yield management have helped to cushion the impact of macroeconomic headwinds, with the Port Logistics segment delivering a 27.6% increase in revenue and the Contract Logistics segment remaining resilient despite a 5.5% decrease in revenue. Silk has maintained a strong balance sheet, with $27.1 million in cash and a focus on asset and working capital management. The company's strategic initiatives for growth include providing a market-leading customer experience, extending its integrated service offering, growing in value-add services and sectors, expanding its site network capability and footprint, and driving operational efficiency improvements.

Silk expects to continue its track record of organic growth in FY25, delivering solid revenue and EBITDA growth, subject to no further adverse changes in economic conditions. The company will focus on driving productivity efficiencies through investment in technology and automation, as well as expanding its recent acquisitions, specifically in the bulk and fulfillment capabilities.

Silk has revised its FY30 revenue target to $1 billion, based on the current run-rate of organic growth and conservatively assuming no further acquisitions. The company is confident in its ability to deliver long-term revenue and profit growth through its strategic initiatives, which include enhancing the customer experience, expanding its service offerings, and driving operational efficiency improvements.