Capital (CAPD) investor relations material

Executive summary

• Achieved record Q1 2026 revenue of $101.7 million, up 42% year-over-year, driven by strong performances across all business units and new contract wins in drilling, mining, and laboratory services.

• Operations span drilling, mining, and laboratory services, with a diversified revenue split: 60% drilling, 20% mining, 20% labs.

• Strategic focus on long-term contracts with Tier 1 and Tier 2+ clients, and expansion into new geographies and services.

• Maintained robust safety standards with a TRIFR of 1.4 per million hours worked.

• Geopolitical tensions impacted investment portfolio and required logistical adaptations.

Financial highlights

• Drilling revenue reached $62.8 million, up 9% year-over-year; mining revenue $18 million, rebounding from a negligible base; laboratory revenue $20.9 million, up 55%.

• Group revenue guidance for FY is $410–$440 million, with MSALABS expected to contribute $85–$95 million.

• CapEx guidance set at $55–$65 million for the year.

• Final dividend of 1.3cps declared for FY25, payable May 12, 2026.

• Investment portfolio cumulative return exceeds 60% since 2019, despite a marginal decline in Q1 due to Middle East market activity and unrealised losses of $3.2 million in Q1 2026.

Outlook and guidance

• Strong growth trajectory expected in 2026 after a flat 2025, with operating margins and return on capital inflecting positively.

• Demand outlook remains robust, supported by high commodity prices and increased capital markets activity.

• Multiple new long-term contracts secured across all business units, including significant mining and laboratory contracts.

• Full run rates expected at both mining contracts later in the year, with continued ramp-up of new drilling contracts and laboratory commissioning.

• Market moving toward supply constraints, supporting potential rate increases.