WasteCo Group (WCO) H2 2024 earnings summary

Executive summary

• Transitioned from private to public company, completing first full year on NZX with significant operational and structural changes.

• Achieved 40% revenue growth to $48.2m in FY24, driven by organic growth and acquisitions.

• Integrated three major acquisitions: Cleanways, Bond Contracts, and Central Suction Cleaners, expanding South Island presence.

• Appointed new CEO and CFO, focusing on operational improvements and financial optimisation.

• Implemented new IT and business intelligence systems to enhance reporting and asset utilisation.

Financial highlights

• Revenue increased to $48.2m in FY24 from $34.4m in FY23 (40% growth year-over-year).

• EBITDA for the second half of FY24 was $4.09m, annualised run rate $8.18m.

• Net loss after tax widened to $4.14m from $1.92m in FY23.

• Operating loss of $2.79m in FY24, compared to $1.55m operating profit in FY23.

• Net equity increased by $6.53m, with a $10.06m increase in share capital.

Outlook and guidance

• Targeting $80m annualised revenue in FY25 through continued acquisitions and organic growth.

• Focus on optimising asset utilisation, improving gross margins, and reducing costs.

• Board and CEO prioritising capital management, debt reduction, and operational efficiency.