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General Information

Ausdrill Limited
ASL
http://www.ausdrill.com.au
Construction & Engineering
119
312

Current Price Data+

Current Price Open High Low Last Close Volume Price Movement
$0.38 $0.39 $0.39 $0.38 $0.38 370737 - ( No change )
  • +Security prices are delayed by least 20 minutes and are indicative only.

Current Broker Consensus Recommendation

Hold
06/07/2015
3

Company Overview

Business Description
Ausdrill Limited (ASL) is a diversified mining services company with key operations in Australia and Africa. The offered services include drill and blast, grade control, water well drilling and equipment sales, hire and parts. In addition, Ausdrill provides load and haul and crusher feed services as well as specialist underground mining services in Africa. The Australian operations are primarily based in Western Australia and the African operations are primarily located in Ghana.
Strategy Analysis
ASL strategy is to vertically integrate and become 'the complete service company´ to the mining industry in Australia and Africa. ASL has been extremely successful in acquiring businesses and integrating the operations, with the Brandrill operations now achieving similar margins to ASL. Participating in joint ventures has provided significant low-cost opportunities for the company to gain skills and expand operations to include coal seam gas drilling in Australia and underground gold mining in Africa. ASL has developed a strong niche, providing drill and blast contract services to the gold mining industry. But while project work is buoyant, contract renewal and extensions are becoming more difficult due to increasing competition for tenders. The appointment of former Leighton´s CEO Wal King to the Board provides ASL with detailed experience and knowledge of the construction and contract mining industry. Ausdrill reported NPAT down 11.9% to $48.14m for the half-year ended 31 December 2012. Revenues from ordinary activities were $580.16m, up 13.4% from the same period last year. Whilst revenues have increased as a result of increased activity in Africa, the Group's profits were impacted by a number of significant items as well as a general slowdown in activity in the Australian mining sector from September 2012 onwards. Diluted EPS was 15.67 cents compared to 17.97 cents last year. Net operating cash flow was $52.88m compared to $68.32m last year. The interim dividend declared was 6.5 cents in line with 6.5 cents last year. Looking ahead, at an operating level the second half should see the benefit of a full six month contribution from the BTP acquisition as well as the ramp-up at the Syama project.

Financial Summary

Year to Jun NPAT EPS EPS chg (%) PER DPS Yield (%) Franking (%)
2016 F 0.0 3.1 89.0% 12.3 3.0 7.9% 0.0%
2015 F 0.0 1.6 -83.1% 23.2 2.0 5.3% 0.0%
2014 A 29.1 9.7 -69.7% 11.1 4.5 4.2% 100.0%

Peer Comparison

Company Mkt Cap EPS Growth (%) P/E (%) Dividend Yield (%)
2014 A 2015 F 2016 F 2014 A 2015 F 2016 F 2014 A 2015 F 2016 F
Ausdrill (ASL) $119M -0.6973 -0.8313 0.8902 3.9095 23.1707 12.2581 11.84% 5.26% 7.89%
Cardno (CDD) $523M -0.0527 -0.3851 -0.1250 6.2438 10.1542 11.6048 11.39% 4.75% 5.14%
CIMIC Group (CIM) $7,271M 0.0000 0.0000 0.0682 0.0000 15.2319 14.2592 5.82% 4.05% 4.26%
Monadelphous (MND) $831M -0.1184 -0.2246 -0.1945 5.9332 7.6521 9.4995 13.79% 10.17% 9.40%
UGL (UGL) $331M -0.1853 -0.5841 0.0800 4.4033 10.5867 9.8025 0.00% 0.00% 0.86%

Financial Summary

Earnings P/E Ratio P/B Ratio P/E Growth
Company 0.41 23.20 0.16 0.00
Market 0.91 15.90 1.33 1.27
Sector 0.62 10.11 0.68 0.25

Directors

Name Position Start Date
Mr Ronald George Sayers Managing Director 06/03/1987
Mr Terence Edward O'Connor Non-Executive Chairman 03/11/1993
Mr Terrence John Strapp Non-Executive Director 21/07/2005
Mr Donald James Argent Non-Executive Director 25/07/2012
Mr Mark Anthony Connelly Non-Executive Director 25/07/2012
Mr Mark Hine Non-Executive Director 24/02/2015

Management

Name Position
J E Martins Chief Financial Officer
J Kavanagh Chief Operating Officer African Operation
C Tuckwell Chief Operating Officer African Operations
A J McCulloch Chief Operating Officer Australian Operations
Domenic Mark Santini Company Secretary
Efstratios (Strati) Gregoriadis Company Secretary,Group General Counsel
M C Crocker Group Engineering Manager

Substantial Shareholders

Holding Name
36,846,782 (11.80%) Cherry Garden Nominees Pty Ltd
19,118,025 (6.12%) FMR LLC and the entities
17,683,854 (5.75%) Bremerton Group / PM & JL Bartlett
17,505,068 (5.61%) Invesco Australia Ltd

Calendar of Events

Date Event
24 February 2016 Report (Interim)
25 September 2015 Report (Annual)
26 August 2015 Report (Annual)
26 August 2015 Report (Prelim)
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