Mader Group Limited (MAD) Earnings Call Transcript & Summary

Thank you for standing by, and welcome to the Mader Group Half Year Results Announcement. [Operator Instructions]. I'd now like to hand the conference over to Mr. Justin Nuich, Executive Director and Chief Executive Officer. Please go ahead.

Thanks very much, [ Darcy ], and good morning, everyone, and welcome to Mader Group's FY '26 Half Year Results Presentation. Thanks for joining us this morning. And joining me this morning is our Chief Financial Officer, Paul Hegarty. All right. Let's get underway. So with the first half of FY '26 completed, we're proud to have delivered a record half year revenue of $485.2 million, an increase of 18% compared to the first half of FY '25. This result positions us well as we enter the second half of FY '26 and approach our target of $1 billion of annual revenue. These results are a testament to the alignment, hard work and dedication of the Mader team, which has positioned the business well to successfully close out the final year of its 5-year strategic plan. This strategic plan has been a blueprint for our business to deliver continued growth and diversification of revenue base for the last 4.5 years. We enter the final 6 months with confidence that we'll deliver to plan and lay a solid foundation for what lies ahead. I'd like to extend my gratitude to the entire Mader team for their commitment and determination that they have demonstrated day in and day out. Okay. With that said, let's jump into it. For those unfamiliar with our journey, Mader was founded 20-plus years ago in 2005 by our Executive Chairman, Luke Mader, Identifying an underserviced niche in the industry, Luke started providing flexible maintenance solutions to customers with a youth or trust for our North American listeners, some tools and a vision. Today, that vision has led Mader to become a global business, delivering technical services across multiple industries and service lines in 10 countries. Backed by a team of more than 4,100 specialists around the world, we proudly support over 490 customers in more than 685 locations. As you can see, we have successfully evolved into a truly global diversified company with our unique business model replicated across multiple industries and service lines across the world. By launching fully organic start-ups in new markets, expanding geographically and broadening our suite of trades, we have delivered an impressive average compounding annual growth rate of circa 30% over the last 10 years. As I mentioned earlier, this achievement would not have been possible without the hard work and dedication of the Mader team. This leads me to our next slide, a snapshot of our specialized workforce. From the start, a core part of Luke's vision for Mader was to build a workforce where people not only had pride in what they do, but they get the job done while working alongside their mates. This idea has grown from one mechanic into a global business comprised of a highly skilled team of technicians, all with diverse and specialized skill sets. This includes heavy mobile equipment technicians, auto and high-voltage electricians, road transport and light vehicle mechanics, fixed plant trades, welding and fabrication, energy specialists, rail and rolling stock experts and so much more. And while we strive to build meaningful careers for people at any stage of life, as you can see on the screen, more than half of our workforce is under the age of 35, which unfortunately bulls Paul and I out of that bracket these days. This is largely driven by our culture and the flexible and adventurous career pathways that our roles offer. Mader's unique offering typically attracts people who are looking for more than just a job but a career full of endless possibilities. From flexible rosters, site variety and diversity across industries, locations and equipment, we invest heavily in our people so we can deliver opportunities that are truly unrivaled in the industries in which we operate. The 2 core drivers for this are our bespoke culture-led programs, Global Pathways and 3 years. These are both being continuously refined to ensure alignment with the growth of business and the needs of our people and more on these later. This year, Mader also received 2 prestigious awards as WA Large Business of the Year as well as the overall winner of the WA Business of the Year at the Western Australia Business Awards. This is an incredible honor amongst some stiff and worthy competition and great recognition for the entire team who have worked so tirelessly. However, one thing that continues to remain unchanged since day 1 is our commitment to safety. This half year, Mader reported a total recordable injury frequency rate of 3.6 recordable injuries per million hours worked. Mader's strong safety track record was supported by ongoing education, innovation and the investment in our geared for safety programs. This included continued strengthening of Mader's engineered safety controls within its global service vehicle fleet evolving the Mader app as well as hosting safety-focused Mader days across our global operations to further educate our teams on safety-related information. Before we head into the financial review, I'd like to provide a quick snapshot of our half year highlights. We delivered a record half year revenue of $485.2 million, an increase of 18% on the prior corresponding period. This was coupled with a solid NPAT of $30.5 million, up 17% on the PCP. Further, our balance sheet was strengthened with net debt down 57% to just $3.6 million. The labor markets in which we operate continue to exhibit extremely competitive conditions. However, through our multidimensional recruitment pathways, we delivered strong net headcount growth of more than 250 people during the first half. This is evidence of our ability to continually attract and retain the best talent in the industries in which we operate as well as deliver value to our technicians with unrivaled growth and development opportunities. These include our global pathway initiative and trade-up program that unlock career possibilities around the world as well as our Three Gears program that promotes camaraderie and adventure, 2 values that are at the core of everything Mader does. Demand remains strong across all regions with our core mechanical and other industry vertical service offerings consistently meeting customers' needs. The North American segment continued its steady growth profile, delivering its third consecutive half year period of revenue growth, delivering $90 million in revenue. This sets a solid foundation and positive outlook for the remainder of the financial year. And we are more than ever focused to achieve our strategic plan with guidance in line with expectations for FY '26. Now on to a more detailed look into our performance across our core market segments. Our Australian segment continues to move from strength to strength with revenue up 19% on the PCP for the half year. Demand for Mader's ancillary and infrastructure services continues to grow with both areas delivering strong revenue during the period. As mentioned earlier, our North American segment delivered steady growth. Drilling down into the half-on-half performance, this segment is showing positive upticks as our workforce and customer base continues to grow. Our customer profile in this segment is very strong with a large portfolio of blue-chip companies secured across both Canada and U.S. operations. This high caliber of customers supports a stable pipeline of work for the group as we move into the second half of the financial year. In terms of our Rest of the World operations, Mader delivered a 36% increase in revenue for the period. This was achieved through our continued diversification in our global operations, including putting our first boots on the ground in New Zealand. This global growth is supported by Mader's strong reputation for safety and technical excellence. Our team continued to deliver significant value to customers across the globe with bespoke tailor-made solutions designed to improve equipment reliability, safety and upskill local workforces. I will now pass you over to our CFO, Paul Hegarty, to run through the financials in more detail.

Thanks very much, Justin, and thanks to everyone who's taken the time to join us on the call this morning in what is a very busy results day. I'll be going over the half year financial performance for the group to start with. As Justin mentioned, we delivered $485.2 million in revenue, up 18% on the PCP. This growth rate exceeds the growth rate implied in our annual revenue guidance of circa 15%. Importantly, this revenue growth has been delivered with stable margins with NPAT being delivered at 6.3%, consistent with the PCP and in line with our historical first half versus second half metrics. Our second halves typically deliver a stronger NPAT margin as we scale into the operating base that is established in the first half Importantly, we are comfortable with the margin position as it stands today. There are several margin optimization projects in place as there always are in any services business, which are expected to improve our second half margins in parallel with operating leverage, as I referred to earlier. North America continued its growth trajectory, delivering its third consecutive half-on-half revenue growth with it now representing almost 20% of group revenue. Excitingly, the visible workflow pipeline ahead is encouraging for this segment's second half. EBITDA increased by 9.2% versus PCP, which is a little behind our NPAT growth rate of an increase of 17% versus PCP. The reason for this is with much stronger growth momentum and improved earnings, our annual short-term incentive payments have scaled upwards, which reflects the much stronger position the business is in today compared to 12 months ago. For those shareholders familiar with our performance-driven growth-focused incentives, these payments accelerate in line with NPAT growth. And given NPAT has increased by 17% versus PCP, our incentive payment accruals reflect this. From a shareholder perspective, EPS increased to just over $0.15 per share, reflecting an increase of 16% versus the PCP. Finally, the interim dividend was suspended this half year following the review of the capital management strategy by the Board. Typically, capital management reviews and alterations like this point to something less positive happening in the business. But in our case, it points to something much more exciting ahead, and I'll touch on capital management on the next slide. Let's move on to the financial strength of the business. Cash collection and free cash flow generation improved during the half year and days sales outstanding reduced by 10 days, down to just 50 days compared to 60 days at 30 June 2025. This, in conjunction with an increasingly capital-light service delivery model contributed to a reduction in net debt by 57%, down $4.7 million, which meant we closed out the half year with net debt of just $3.4 million. This translates to net leverage of just 0.03x, which is as close to nil net debt that we can get without actually getting there. We continue to be well supported by our lenders with our primary lender NAB in Australia and also have strong working relationships established in the U.S. and Canada. This leads nicely on to an update to our capital management framework, as I mentioned earlier. The Board has adjusted its capital management framework and elected not to pay an interim dividend for the first half. This action, in combination with improved free cash flow, which I'll expand on in a few minutes, will accelerate the group's pathway to net cash and strengthen our liquidity to support a more aggressive approach to organic and inorganic growth opportunities. In the past, the group's dividend payments have been modest with a dividend yield of circa 1%. Given this, the group's primary focus remains on optimizing capital allocation to fund growth. This approach is intended to enhance overall shareholder value through higher earnings capacity in the future, improved returns on capital and increased financial flexibility, whilst, of course, maintaining a growth-focused business direction. Now on to the cash flow. Our net cash flow from operations was $30.9 million. Our intense focus on EBITDA conversion was maintained throughout the first half of FY '26. Operating cash flows before interest and tax as compared to EBITDA was 98%. This great result reflects the quality of our client base and the trade receivables ledger, as I mentioned earlier. Consistent with a lighter ratio of capital expenditure to revenue growth, free cash flow increased to $15.8 million for the half year. And I'll expand on this point a little further to help paint the picture a little more clearly. This is the sixth consecutive half year period of positive free cash flow and is being made possible by scaling non-vehicle-based service delivery lines, meaning we can grow earnings without having to purchase a [ Highluxlan ] Cruise or a Dodge Ram for every new employee we bring into the business. Whilst we have always considered our business model to be capital-light, it is becoming more so as we scale into new verticals with lower capital requirements. That's probably enough for me on the financials. Justin, back to you.

Thanks, Paul. Let's keep it moving on to our next slide, the strategic plan. Almost 5 years ago, the Board laid the foundation for our future by setting out some key areas of focus in our first strategic plan as a publicly listed business. Since then, this has been a blueprint to guide our growth. The strategic plan set growth targets and operational goals in 4 key areas: geographical diversification, service line diversification, expansion of industry verticals and of course, to scale the existing business. Further, targets for NPAT were set out, as you can see detailed on the slide. With that said, we identified the need to establish a series of core building blocks to create a solid foundation for future growth, which leads us on to Slide 13 and 14, our building blocks. Over the years, we've built a strong foundation for growth and one that goes beyond just financial metrics. At the heart of it all is our culture, and our culture is the driving force behind everything that we do. Programs like Global Pathways and Three Gears bring this to light, offering our people incredible opportunities to travel the world whilst working and spending their R&R creating memories with their team and families. These programs are now active across Australia and North America, and I'd also add that these experiences are currently unmatched in our industries. We have worked diligently to expand both programs, so the opportunities are bigger and better than ever before. This has seen more than 160 employees during the first half take on both short- and long-term overseas comments as well as an extensive range of adventures cultivated for our global team. Of course, culture is just one piece of the puzzle. Another key driver of our growth is how we apply our proven business model across different industries. By expanding into new markets, we're creating a compounding effect by diversifying revenue streams and tapping into large addressable markets. Resources and infrastructure maintenance remains a core focus of the business as we continue to demonstrate our quality service delivery offering. Over to Slide 14, we see 2 more large addressable markets, energy and transport and logistics. In the energy market, we have primarily been focused on delivering maintenance for natural gas compressor stations in the United States. In the transport and logistics industry, we have expanded our efforts to provide maintenance for rail and road transport now operating across most of Australia. Given the critical role of transport and logistics in Australia's resources industry, there is significant growth potential that aligns well with our existing operations. Finally, a building block that is key to future growth involves deliberate entry into emerging markets. As necessary, we will conduct market research into new industries and assess the suitability for the Mader business model to be deployed with some very positive due diligence advancing. An evolving business, Slide 15. We have a proven track record of organically replicating our unique business model across multiple industry verticals. Exploring opportunities outside of our core services will allow us to capitalize on extending across industry verticals and geographies, effectively creating more opportunities for our people and diversifying revenue streams for sustainable growth while tapping into new labor and talent pools. In addition to enhancing our service offerings, geographical expansion remains central to our growth strategy. We have multiple geographical beachheads and are always looking to enter new locations and diversify our commodity exposure. The Australian business continues to generate the largest portion of revenue for the group at 79%. We are confident in the stability of this segment and know we will continue to deliver strong results in this area. The North American segment continued gaining momentum and contributed 19% of the group's revenue. There is a significant runway ahead for us in this region with a solid foundation laid, the outlook is really positive for the mid- to long term. Our Rest of the World segment contributed 2% to revenue across the business. And whilst this is still a modest number, it is an important offering for our most specialized technicians. As a business, we continually seek to improve the diversity of our revenue profile. This is a pivotal step towards achieving our FY '26 target of $1 billion in revenue. Through the strategic enhancement of our service offerings, we can tap into new markets that allow us to expand the group's revenue streams. We are constantly assessing addressable markets where we can apply our culture-led business model. This is key to driving future growth and ensuring long-term sustainability of the business. Our diversified operations continue to create sustainable compounding returns for our shareholders with a continuing high-growth agenda ahead. Now if you cast your mind back to Slide 12, where we first touched on our strategic plan. This slide here shows our progress against the NPAT targets set on that plan. As you can see, for the first 4 years of our strategic plan, we have not only achieved but exceeded our NPAT targets. This half year, we have attained 47% of the target to date. We are pleased with this result and remain focused on achieving this goal as we close out FY '26. With low capital intensity, a unique culture-led business model and opportunities identified to drive growth, we are pleased to reaffirm Mader's FY '26 guidance of $1 billion of revenue and an NPAT of at least $65 million. We have delivered a 10-year compounding annual growth rate of around 30%. And as the business continues to mature, we are excited for what lies ahead as we deploy the compounding effect of the Mader business model to existing and new markets. With the first half of FY '26 wrapped up, I'm filled with nothing but confidence as we complete the remainder of this year. For current and prospective investors, Mader presents a robust investment opportunity with many prospects ahead. Backed by a nimble, adaptable business model, we have grown to have a market cap of around $1.8 billion. The resilience and hard work of our team shines through in many areas. And with them behind us, we will continue to deliver a superior service for our customers and value for our shareholders. Okay. That concludes today's presentation. So thanks, everyone, for joining us, and we'd be pleased to take some questions at this time.

Okay. Let's move into the question time. Normally, it's you asking me the [ Kelly ] questions, so I quite like it being on the other foot. Let's start with Joe House from Bell Potter and we'll break this down probably by segment and go around the ground. So what exactly is giving you the confidence in the outlooks for the Australian segment in the sort of second half and moving into FY '27, and then we'll move into the other segments after that. Yes, good stuff.

Yes. Thanks, Joe, and thanks for joining us. I guess, look, starting with Australia, as you can see, that 19% revenue growth in the first half just shows really positive ongoing compounding growth in Australia. We're watching our verticals continue to scale, infrastructure maintenance, road transport, rail and the like, Joe, on top of an ever-growing core business gives us that confidence that there's just a huge runway ahead for us in Australia as time goes by. I think if we look across the rest of the business, North America, some decent growth of 13% there. Really quite, I suppose, a building block half for us there in North America. We're seeing a lot of work come on, watching the flow of people both through global pathways in sort of Jan, Feb and beyond coming into Canada and the U.S. as well as internal recruitment on top of a very good customer demand in that segment. We're really excited about what's happening in North America moving forward. And then rest of the world continues to scale. We had some work come on in New Zealand, some really good conversations in other parts of the world as well. And although it is a small part of our revenue sort of profile, we continue to see adding value in these parts of the world and continuing to get interest from customers to continue to scale in there. So with all those things as well as some of the emerging stuff up and coming, yes, it's a pretty exciting story ahead. I'm feeling excited about where we're at and where we're going, Joe.

Thanks, Justin, for that one.

Question from Matt Joass from Maven Funds. Question around the strategic plan, timing of its release, how are you feeling about all that, Justin?

Matt, it wouldn't be a question time with you about the 5-year strategic plan. But it's coming together really nicely, Matt. We're -- yes, I'd say we're probably a couple of months away from sort of releasing that and mainly just to keep the business really focused on what we're delivering for this financial -- sorry, for this strategic plan. But yes, pretty excited to deliver that when the time comes before end of financial year.

Thanks, Justin. Question from Joe from Bell Potter again. Echoing back to my comments around the EBITDA margin being softer compared to prior years.

And as discussed, Joe, it's really around -- the main driver is around those material annual incentive payments, which have scaled up in line with NPAT growth. They are a really important feature of us sort of driving growth and resetting every year. You only pay that incentive for that growth once because the baseline resets every year. So that's a really positive thing that the business is very comfortable with. Importantly, those bonuses are divided by 12 and amortized or expensed over the 12 months. So you actually get a little bit of operating leverage in the second half as the revenue base grows without obviously the incentive payments scaling up at the same time. So hopefully, that's answered your question on that.

Another question from Joe, probably for you, Justin. Let's talk a little bit more about the organic and inorganic growth opportunities that we've talked about a little bit today. What do they look like? How close are they? And what does it mean for the business moving forward?

Yes. Thanks, Joe. Look, I guess the organic growth profiles, the opportunities continue to grow for us. Every time we sort of expand into a different area, a different region of countries we operate in currently as well as sort of the new ones that we expand into. Yes, those are continuing sort of on a daily basis. Inorganic, we -- again, we're not sort of sitting here and say we're going to turn into this big M&A company. We're not, but we are looking at opportunities that can really springboard us into new industries and areas that we haven't worked and don't have the current specialist sort of knowledge of. So looking at how we potentially do a strategic M&A to push us into large addressable markets that are sort of here and now. So they are coming along really well, Joe. We're having some really positive conversations, probably too earlier to let on more than that, but pretty encouraged by where we're at. And yes, looking forward to the next few months as that unfolds.

Thanks, Matt. A question here from Matt again, probably along the same sort of lines. With the dividend being held back, war chest being built, when we talk about an acquisition, if that is in case -- if that is indeed where the money is spent, is it -- what's the scale like? Is it going into $100 million of debt? Like what does it look like from that point of view?

Yes. I think for anyone that's followed us for a while now, we're not -- we're kind of allergic to debt. We really don't like it. So we want to build that war chest that gives us the optionality to really pursue things aggressively, but pursue it with cash or very low debt. We're not there to put hundreds of million dollars of debt on the balance sheet. We really want to be strategic and deliberate, but take small deliberate steps towards where we want to go next.

Thanks, Justin. A question from [ Khalid from Bluestem ]. Of the 250-plus net headcount globally, how many were field deployed technicians generating revenue versus corporate and support staff? A good ratio there, Khalid, is sort of 7% to 8% of that number is in the support function, workforce coordination, recruitment, et cetera, with the rest being in field technicians. We'll move down to Sam Pittman from Taylor Collison.

Probably just let's circle back to the Rest of World segment, small. How do we think about growth there?

Yes. I mean I think if you have a look at the -- on the slide there showing that the addressable markets in those areas is undeniable. I guess, with the rest of the world, we're quite cautious around how we approach that and where we work. But we do look for Tier 1 clients in safe and stable jurisdictions to deploy our technicians into. And there's plenty of that going on around the world, and we're in sort of various stages of sort of business development as we enter there. So look, it's certainly exciting. It's certainly one that we see a massive sort of growth platform ahead, but we're very cautious, deliberate and just safety and security focused, really pointing our efforts towards Tier 1 global clients where we enter those.

Good stuff. Thanks, Justin. A question here from Mitch from Macquarie.

Can you give us a little more detail or color on the initiatives underway to improve margins? Were there any other factors impacting first half margins, A mix of work, scaling up new regions, et cetera?

I'll grab that one, Justin. There's a couple of things, Mitch. There's always things in a business and a services business like ours where we're looking to optimize margins. Those things include, for example, renegotiating flight discounts with major airlines, which we have completed and is now in place for the second half. It's things like PPE sourcing and other initiatives of that nature. They're not designed to move the needle by 2% or 3% at the NPAT line, but they're incremental optimizations that we're always looking to eke out a little bit of margin. The other factor is operating leverage. We have structured up, particularly in the infrastructure maintenance teams, for example, as one that comes to mind, structured up with an overhead ahead of the revenue profile. And as we move into the second half and revenue continues to expand, we expect we'll get operating leverage for that in the second half. I hope that answers the question there, Mitch. Question from Sam Pittman from Taylor Collison for you, Justin.

With the demand for trades being so high at the moment, are you seeing any change in what employees want from an employer?

Yes. Thanks, Sam. Look, from time to time, Sam, it sort of varies a little bit, but we really stick to the model that we've got sort of down path. And as long as we're paying the teams well and providing these great opportunities sort of around the world and working with their buddies on flexible rosters and different mine sites and working on equipment that they love with their buddies, that's really what we can provide over and above sort of what competitors and essentially sort of owner miners can. So we slot into that position, and that really keeps us as an attractive employment prospect for trades people.

Thanks, Justin. A question from Greg from Fat Tail Investment Research.

Can you just talk us through this not a new truck for every new employee and how that is sort of transitioning or how that is continuing to reduce the capital intensity of the business?

Yes, for sure. Yes, Greg. I guess earlier on in the business, field service operations and a lot of the, I suppose, the core business, the mechanics in trucks fixing sort of yellow and orange equipment was very I suppose, capital intensive around vehicles for -- it was probably 1 to 2 every 2 employees that started there'd be a truck required as we grew those different stores. What we're seeing now, and I guess probably getting back to that, the surge into North America, we saw a high peak or a high sort of peak in capital as we bought those expensive Dodge Ram and Ford F trucks with cranes and welders and heated bodies and all that sort of stuff for the North American teams. What we're seeing now with things like infrastructure maintenance, rail, road transport, they're less capital intensive. Our infrastructure maintenance team had a couple of buses and a couple of dual cab units to sort of bury people around to shutdowns. And so you're sort of seeing hundreds of people come on into the business without a need for that equivalent ratio of capital to be spent on service vehicles. So as we're seeing that, and that probably is true for other different verticals that we're moving into as well. We're just seeing the revenue versus CapEx profile of the business really sort of peel apart in a good way, if that makes sense.

Yes. Thanks, Justin. A question from Gavin Allen from Euroz Hartleys. Thanks for joining us. It wouldn't be a half year results question without a question about North America more specifically. So Gavin has led this one off. We talked about the encouraging pipeline in North America. Can you give us a bit more of some insights into their present short-term opportunities, for example, what are we seeing?

Yes. Thanks, Gav. Look, yes, North America, I think we're seeing I guess it's probably the most encouraging growth profile across the business in North America at the moment. I would hazard a guess that there are close to 100 unfilled roles that we can get after in North America as it stands today, which is as good as it's probably been Gav. So we are really doubling down on both internal recruitment in North America as well as our Global Pathways programs to get people up there and filling those roles and delivering value to our customers and obviously building our revenue profile. But yes, I think the opportunity there, it's just -- I can't remember being as excited as I am about North America as I am sitting here today.

Good stuff. Question from Matt Chen from Moelis. Again, thank you for joining us as well. really, that question around the EBITDA margins in the first half and the incentives. There's not too much around incentives. From a pretax perspective, bonuses or incentives were sort of $6 million, [indiscernible] Was $1.5 million. So there's the sort of the mix of cost in to the business. And then when you get to the NPAT line, obviously, there's about a $1.5 million delta in the interest expense with that net leverage coming down. So hopefully, that reconciles back to all your various models. Just working through a couple of things here. [ Indy ] from Bell Potter. Question on margins, comfortable with Australia at 12% and North America at 18% to 20% and Rest of World circa 15%. I think that's a fair assumption moving forward in the long term. So yes, no changes there. CapEx question, what does that look like for the full year? We're thinking $35 million to $40 million for the CapEx forecast for FY '26, [ Indy ]. And then probably a question around the dividend and holding that interim dividend back. With the focus on growth, does it mean the dividend policy has been reset? I think it just means that it's been -- it's under review. And we've made a change to date, and we'll see how that goes into the future, probably be the only thing I can add to that. A question from Mitch, and this looks like it might be the last question if nothing else comes through. Mitch from Macquarie. Probably back to North America. Market conditions you've talked about. What about customers and commodities, particularly in Canada? How do you see those conditions playing out for us into the future?

Yes. Thanks, Mitch. Yes, Canada, in particular, our expansion, I guess, from the first year or 2 where we were very oil sands dominant to where we sit today, our customer base has expanded incredibly well with both sort of Tier 1 customers as well as a really good variety of commodities. I'd say oil sands would probably be -- if it's not 30%, it's probably there or thereabouts. So from being probably 90% 2 years ago to 30% now. And not that oil sands has shrunk, we've just managed to really grow well over on the East and West Coast. So a lot of gold, a lot of precious metals, copper, there's some coal, there's some phosphates, there's aggregates. The spread of commodity is, I would say, as good as Australia. And then our customer base continues to just get more and more robust. So really, really happy and comfortable with where that sits today.

It's an interesting concept. We get a bit of conversation around the customer base in Canada, and there's probably a misunderstanding in the market out there about how good that customer base actually is. Any thoughts on that?

Look, I mean, I think when you look at a lot of the global miners that operate here in Australia are absolutely our customers over there as well. You look at the likes of the [indiscernible] The ArcelorMittals and the Glencore and all the sort of name dropping, but they are -- I mean we're not sort of sitting there at night worried about an aged debt situation or customers that can't pay. I mean we're really -- we're as comfortable with our Canadian customer base as we are here in [indiscernible]. Good stuff.

I think that's all the questions that I can see on the screen that have come through. We'll wrap it up there and move on to some broker calls. So yes, thanks very much for joining us. I'll hand it back to you, [ Darcy ].

Thank you. That does conclude our conference for today. Thank you for participating. You may now disconnect.