Category: ASX Markets

Macquarie Technology Group is under Algo Engine buy conditions.

Chairman Peter James said, “The Company has delivered twenty consecutive halves of
EBITDA growth. Megatrends in Cloud, Cyber and AI continue to drive our business. We have
maintained strong EBITDA margins despite a period of increased cost pressures. We have a
strong balance sheet with an undrawn debt facility of $450m, plus cash and deposits of
c$91m available to fund further investment.”
Key Points

Capital expenditure for 1H FY25 was $58.9 million (1H FY24: $18.5 million) driven by
Growth Capex of $41.8 million in 1H FY25 (including $39.0 million for IC3 SuperWest),
Customer Related Capex of $6.3 million, and Maintenance Capex of $10.8 million.
Chief Executive David Tudehope said “Construction of IC3 SuperWest is well underway.
Complex ground works are complete, and the building structure is progressing well. Phase 1
of construction is expected to be completed in Q3 2026. Our hybrid design allows for a mix of
traditional cloud and direct to chip cooling technologies, making IC3 SuperWest AI ready.”

Twenty consecutive halves of EBITDA growth – consistent with the outlook provided at
the AGM.

Revenue of $183.6 million in 1H FY25, an increase of 1% on 1H FY24 ($181.3 million).

Earnings before interest, tax, depreciation, and amortisation (Group EBITDA) of $56.2
million, an increase of 6% on 1H FY24 ($53.0 million).

Maintained strong EBITDA margins in a period of increased cost pressures.

Operating cash flow of $40.9 million in 1H FY25. Continued healthy cash conversion
of 105%.

Strong balance sheet with undrawn debt facility of $450m along with cash and
deposits of c$91m available to fund further investment.

Net profit after tax of $17.9 million, an increase of 21% on 1H FY24 ($14.8 million).

Macquarie Technology Group is likely to see buying interest from the current price range.