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63.3%
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#Business Model/Strategy
Added 6 months ago

IMDEX (IMD)

IMD is a mining technology company which is aiming to change the equation for drilling in the industry forever. (Paul House CEO)

IMD develops cloud-connected devices and drilling optimisation products to improve the process of identifying and extracting mineral resources for drilling contractors and resource companies globally.

IMD states that its unique end-to-end solutions for the mining value chain integrate its leading AMC and REFLEX brands. Together they enable clients to drill faster and smarter, obtain accurate subsurface data and receive critical information in real-time.

“Our vision is to be the leading provider of real-time subsurface intelligence solutions to the global minerals industry.”

According to IMD it does not currently have any viable competitors.

IMD continues to develop new products to improve the efficiency of drilling operations for its worldwide customer base.It spends $10 to $15m per annum on R&D all of which is expensed. It has a number of patents and trademarks which it claims protects 80% of its current and future revenue.

Revenue has increased by 19% CAGR over the last 2 years and 70% is generated abroad (IMD operates in 102 countries). EBITDA has increased 37% CAGR over the same period. 

At June 30, 2019 IMD had net cash of $23m and its ROE was 12%.

Exploration expenditure is still at an early stage in the cycle. In 2012, the peak of the last cycle, exploration expenditure was c$21bn - the forecast for this year is $9.8bn, despite this IMD's revenue for Q1 2020 is at record levels.

 

 

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