Sims (OTCPK:SMSM.Y) 2025 Earnings Call Presentation

SA Recycling (SAR) Overview - SAR operates in 19 states with 76 facilities and 15 shredders, complementing NAM's presence in 15 states with 148 facilities and 24 shredders[21] - SAR has a strong metro presence, delivering scale and defensibility across the US, and seeks to capture growth from EAF expansion and rising US scrap demand[22] - SAR's sales volume has grown at a CAGR of +7.5% from FY21 to FY25[33] - SAR has made approximately 66 acquisitions in the last 18 years, with approximately USD$1.5 billion in enterprise value[35] Financial Performance & Dividend - SAR's EBITDA for FY25 was A$459.2 million, with an EBIT of A$259.5 million[25] - SAR's Net Income (US GAAP) was A$201.7 million, adjusted to A$239.9 million under IFRS[25] - The average SAR Dividend to Sims from FY21-FY25 was A$97.7 million[24] - SAR's gearing ratio is 45%[69] Market & Growth Opportunities - EAF capacity additions are expected to drive increased scrap demand[30, 31] - Non-ferrous sales volumes have grown at a CAGR of +10% from FY21-FY25[47] - SAR has a shredder utilization rate of approximately 50%[41] Capital Expenditure - The company spent $127 million on CAPEX in FY21, $404 million in FY22, $171 million in FY23, $165 million in FY24 and $211 million in FY25[62]