Straker (STG) investor relations material

Opening remarks and agenda

• The meeting was opened virtually with technology checks, a welcome, and introductions of directors, executives, auditors, and legal representatives.

• The agenda included addresses from the Chair and CEO, a financial update from the CFO, an outlook discussion, a Q&A session, and formal business including voting on resolutions.

Financial performance review

• Revenue declined by 10% to $44.9M, mainly due to macroeconomic headwinds, AI disruption, and the sunset of legacy contracts.

• Gross margin reached a record 67%, up from 63.8% the previous year, driven by a shift to high-margin AI-driven revenues and improved productivity.

• Adjusted EBITDA hit a record $4.8M, with underlying operating expenses dropping 9% and EBITDA margin at 10.6%.

• The company ended the year with $12.9M in cash, no debt, and working capital up 21% to $13.4M.

• Net profit was a loss of $10.2M after tax, impacted by non-cash impairment and amortization charges, including IDEST contract losses.

Board and executive committee updates

• James Johnson resigned and was replaced by Helen Foley, who brings extensive technology investment and governance experience.

• Stephen Donovan is stepping down after over 20 years; Ron Hynes, with deep AI and tech sector experience, will join as a non-executive director.

• Linda Jenkinson chaired the meeting, with Grant Straker as CEO and Managing Director; board includes Amanda Cribb, Steve Donovan, Steve Bayliss, and Helen Foley.