Imdex Limited

Welcome to the Index Limited first half 26 results presentation. Following the formal presentation, there will be a Q&A session for investors and analysts. Participants can ask both text and live audio questions during today's call, and we kindly ask that questions be limited to two per caller. To ask a text question, select the messaging icon. Type your question in the box towards the top of the screen and press the send button. To ask a live audio question, press the Request to Speak button at the top of the broadcast window. The broadcast will be replaced by the audio question screen. Use the dial-in number and access pin provided to ask your question via the phone. Alternatively, for those on a home or personal network, you can ask your questions via the web by pressing Join Queue. If prompted, select Allow in the pop-up to grant access to your microphone. If you have any issues using the platform, dial-in details can be found on the homepage under Asking Audio Questions. Press the Documents icon to see copies of today's announcement and presentation. Select a document to open it. You can still listen to the meeting while you read. Text questions can be submitted at any time, and the audio queue is now open. I will now hand over to MDEC's Managing Director and CEO, Paul House.

Welcome everyone to IMDEX's results for the first half of FY26. Today I am joined by Linda Lim, our Chief Financial Officer, Sean Southwell, our Chief of Exploration and Production, and Michelle Carey, our Chief of Digital Earth Knowledge. The first half has been a record for IMDEX and has featured some outstanding results across all facets of the business, and I'm delighted to be able to share with you the detail that has delivered this result. Throughout this call, we will be referring to the 2026 half-year results presentation released on the ASX this morning. At the conclusion of our presentation, along with Linda and myself, both Sean and Michelle will also be available for questions. Our agenda on slide three outlines the focus areas for today. We will walk you through our record first half performance, we'll provide an operating outlook for our major regions around the world, and we will recap our corporate strategy and the key focus areas as we look ahead. Bringing your attention to slide five. At INDEX, our purpose is to efficiently and sustainably unlock the Earth's value by enabling customers to find, define, and optimize the subsurface environment with confidence and speed. We achieve this through the development and deployment of technology that drives smarter, faster decision-making for our customers. While our heritage is in mining, our technologies are increasingly being applied across the broader Earth science end markets. Critically, our technologies first originate subsurface data and then enrich it by delivering that data to our customers wherever they are in the world through software solutions that allow them to make that next decision. The MindPortal visualization on the slide in front of you demonstrates how we bring our purpose to life, turning complex subsurface data into real-time insights that drive better decisions. So let's turn to slide six where we can speak to the strong financial highlights for the half. Our 1H26 financial performance was the strongest first half in index history.

We delivered record revenue, record EBITDA normalized, and NMPAD A normalized.

147 million was up 16% on 1H25. Importantly, this growth has been led by strong market share gains and supported by an increase in exploration activity on established projects across all regions. Later in the presentation, we'll expand upon where our strategy and our technologies continue to create further opportunities for growth, both within mining and the adjacent earth science markets. Normalised EBITDA increased 22% to $78 million, with margins expanding to 32%, a clear demonstration of the operating leverage that is a feat along the line with 1H25 at $74 million, noting that the 1H25 result included a one-off gain of $9 million. These results reflect positive demand for all products in all regions. They are particularly strong and pleasing results, having regard to the ongoing industry challenges. That includes both geopolitical uncertainty and the rising cost environment I referred to earlier. Turning now to slide 7, Cash discipline remains an ongoing strength of our business. Normalised cash conversion was strong at 86%, evidence of our disciplined working capital management while delivering on the growing demand for our next generation sensors. Net debt increased to $27 million following the completion of the Earth Science Analytics acquisition in August. Our leverage ratio at period end was just 0.2 times We clearly have ample capacity and have used that capacity to fund the DataRock, ALT and MSI completions post the half-year end date. And finally, the Board has declared an interim fully franked dividend of 1.69 cents per share, consistent with our approach to capital management, being a 30% payout of NPAT normalised. This is a record interim dividend for IMDEX shareholders. Turning now to slide eight, and the strategic highlights for the half. Starting with drill site technologies, INDEX continued to strengthen its position as a global leader in drilling optimization and down... ...for $100 of exploration stand, up from $2.10 in 1H25 and $2.20 for FY25, reflecting the continued adoption of INDEX's integrated solutions. Our integrated field services, which is a combination of directional core drilling and index-managed solutions, saw its revenue increase by 28% on PCP. Notably, our operating footprint grew by 12% globally as new customers adopt the integrated field services model. Our HubIQ-connected revenue, which highlights the strong connection between our hardware sensors and our software solutions to form that integrated system, grew by a very pleasing 22%. Our mining production segment continued to scale, with Index Mining Technologies' revenue up 47%. This was led by faster growth in underground applications and extending Index's presence further downstream into that mining lifecycle. With individual Earth knowledge, our DataRock business grew 90% on PCP, reflecting strong demand for AI-enabled geological interpretation. Completion of the Earth Science Analytics acquisition strengthens our overall AI-driven geoscience offering, with the EarthNet platform being highly complementary to our HubIQ and DataRock applications. I'll now hand over to Linda, who will take us through the key financial metrics and performance drivers for the half.

Thanks, Paul. Turning to slide 10, I'll focus on the quality and sustainability of the first half financial performance. In 1H26, we normalised our results for non-recurring integration and transaction costs associated with the acquisitions of Earth Science Analytics, DataRock and Crux. Before stepping into the detail in the following slides, I'm pleased to highlight three outcomes that reflect the strength of our operating model. First, a record normalised operating cash flow of $67 million. Second, a record interim fully franked dividend of $1.69 per share. And third, a low leverage ratio of 0.2 times following the ESA acquisition. Importantly, had we not acquired ESA... the group would have ended the half in a net cash position, having fully repaid the debt used to fund the Devico acquisition in under three years. Turning to slide 11, as Paul outlined, half-year revenue of $247 million represents a 16% increase on PCP. Continuing indexes track record of outperforming underlying exploration markets. Censors, services and software is up 20%, representing 68% of group revenues. This continues the fast growth of our higher-value, higher-margin solutions. Sale of goods grew 9%, with strong growth influence, which is tracking above-market growth. Over the past five years, IMDEX has delivered a revenue CAGR of 15%, nearly double the growth rate of global exploration budgets, underscoring the resilience, scalability and structural strength of the IMDEX business model through the cycle. Turning to slide 12, our record first half revenue is driven by growth across all regions. Americas are up 20%, driven by strong US activity and expanding operations across South America and Canada. Canada saw the biggest drop during the downturn, and activity there is still around 20% below its prior peak. Funding conditions have improved, and the full benefit of increased activity is still ahead of us. APAC is up 9%, underpinned by strong sensor demand in Western Australia and signs of recovery across Asia. Europe, Middle East and Africa is up 17%, supported by technology-led growth and increasing adoption of integrated field services. Importantly, the Americas and Europe, Middle East and Africa both delivered record first-half revenues. Turning to slide 13, normalised EBITDA increased 22% to $78 million, with margins expanding to 32%. A clear demonstration of the operating leverage that is a feature of our business model and discipline cost management. Our discipline around cost management is in two key areas. First, reorganising our operational spend to make existing operations more efficient and scalable. And second, continuing to invest in the areas that support growth and responding to expanding customer demand. Turning to slide 14, there are three key messages I'd like to highlight on R&D. Firstly, we have continued to invest consistently in R&D through the cycle, and that sustained investment is clearly reflected in the performance delivered this half. Second, our R&D program is strongly customer-led. Projects are prioritised based on customer need, and we retain the flexibility to adjust investment as those needs evolve. And third, our focus in 1H26 has been on Horizon 1 initiatives. Continuing to build out our sensor and digital ecosystem with machine learning solutions increasingly embedded directly into customer workflows. Our disciplined approach to R&D investment and capitalisation remains unchanged. We ensure clear pathways from innovation to commercial outcomes. Moving to slide 15, we are sharing the capital expenditure by half year for the first time. Our intention is to highlight two key things. First, forecast and deliver inter-customer demand for current and next generation sensors that will deliver revenue in the near term. We can clearly see this in the slide with the increase in CapEx for 2H25 and the resulting step-up in revenue realised in 1H26. Second is to show the blend between our capital investment in sensors and capital investment in software. Again, in response to customer demands. This is increasingly important as customers take up STEM. Turning to slide 16, we delivered operating cash flow of $65 million, resulting in a strong normalised cash conversion of 86%. This outcome reflects disciplined working capital management while supporting double-digit revenue growth and increased deployment of next-generation technologies. We closed the period with healthy liquidity and a $49 million cash balance, providing the flexibility to continue investing for growth, fund innovation and acquisitions, and maintain our balance sheet strength. Importantly, this level of cash generation underpins our ability to execute the strategy while preserving capital discipline through the cycle. Turning to slide 17, our balance sheet remains strong. Returns have continued to improve with higher ROE and ROCHI. However, I do note that 2H26 will reflect an increase in acquired intangible assets. This balance sheet strength provides the flexibility to fund growth initiatives, including the completion of the DataRock, ALT, MSI and Crux acquisitions in 2026. Turning to slide 18, our capital management is underpinned by strong operating cash flow, disciplined investment through the cycle and a consistent 30% payout of normalised MPAT. This provides flexibility to reduce debt and reinvest in R&D, capital expenditure and selective M&A whilst balancing growth and shareholder returns. I will now hand back to Paul.

Thank you, Linda. Turning to slide 20, I'd like to spend some time sharing the current outlook in the major regions around the world. The Americas remain INDEC's strongest engine of growth, delivering record first-half revenue. In North America, activity continues to be supported by extended drilling programs, particularly in the U.S. market, where near-mine and brownfields work remains resilient. The FAST41 program is improving project visibility and demand for integrated solutions that improve drilling productivity, which continues to grow. As Linda mentioned, activity in Canada is improving, yet remains well below its prior peak. However, the improvement in junior funding conditions over recent months is encouraging. Exploration programs are therefore increasingly well funded, and we expect this to translate into higher drilling activity as the year progresses, most likely in the back half of calendar year 26. South America continues to operate at elevated levels, driven primarily by copper. Chile, Argentina and Peru remain very active, supported by long-term energy transition fundamentals, and gold activity is on the rise, although cost pressures are leading to the demand for productivity-enhancing technologies, which is favourable to IMDEX. Overall, the Americas remains the most attractive market for growth as we look forward, driven by a combination of critical metals, government policy and that demand for improved productivity. Moving to slide 21. In Europe, activity is supported by brownfields exploration and policy-led investment, covering defence, resources and infrastructure, and therefore a demand for metals. While Scandinavia remains slightly softer, this is being offset by growth in the Balkan region, where demand for drilling optimisation is leading the majority of conversations with customers. In Africa, near-mine work for major miners, predominantly gold and copper, is driving the growth. While parts of West Africa remain challenging, this continues to be offset by emerging opportunities across Zambia, Eastern Africa and Saudi Arabia. Moving to slide 22, Western Australia continues to show strong gold drilling activity, partially offsetting softer conditions in Queensland and New South Wales. The adoption of index mining technologies remains strong and the pipeline for integrated field services continues to build in this market and has significant headroom ahead of it. Importantly, the focus for Australian customers is a combination of productivity and real-time decision making. This in turn is driving adoption of our next generation sensors and our integrated HubIQ solutions. Outside of Australia, activity in the rest of Asia has been low for a long period of time. Increasingly, the outlook is positive and this presents significant headroom for growth in this part of APAC. Turning now to our strategic outlook on slide 24. Industry signals have continued to improve since our October AGM, with key macro indicators strengthening. The supply-demand imbalance that sets the scene for exploration demand remains firmly in place, as does the overall decline in proven reserves. That in turn is forcing exploration deeper and into more complex ore bodies, structurally increasing the need for advanced subsurface intelligence, most evident in commodities like copper, with suppliers tightening despite the strong demand. M&A activity, including consolidation in the gold sector, is reinforcing industry momentum, and this is expected to act as a catalyst for future exploration activity. That said, overall exploration budgets remain well below prior cycle peaks. However, visibility is increasingly improving. We expect exploration budgets to increase by double digits in the calendar year 2026. Capital raisings have increased significantly across junior intermediate explorers and remembering there is a typical six to nine month lag between funds being raised and drilling activity commencing. We therefore expect a step up in exploration activity through the back half of calendar year 26, subject of course to geopolitical and regulatory constraints. For index, these signals all point towards a continued strengthening in global exploration activity. We would regard 1H26 as the swing period where we have moved from three years of decline in exploration towards a net growth in drilling activity. We are already seeing this uptake on established drilling programs, and at index, our sensors on hire are increasing across all regions. In summary, industry signals continue to align in support of higher market growth ahead. This higher growth in the exploration drilling market from slide 24 connects to the right-hand side of the image on slide 25. Index's ability to deliver growth, regardless of market conditions, has been a strategic priority and a highlight of our progress in recent years. We have achieved that through strong progress in the three levers that we control outside of general exploration market activity. First, our growth in the share of exploration spend by expanding our offering through targeted R&D, complementary M&A, and embedding AI solutions across our physical and digital portfolio, we have been able to increase our share of exploration spend. Second, our market share, driven by having technical leadership in each product family, which is reflected in the uptake of our next generation of sensor technologies. and our ability to deliver fully integrated hardware software solutions. And thirdly, market expansion, both geographically and into the mining production market segment, and further afield into adjacent earth science markets. We continue to expand geographically, with a global network presence continuing to grow to support customers wherever they operate in the world. These three pillars work to drive growth regardless of market conditions. As we look forward, our recent acquisitions complement all three of these growth pillars. Finally, on slide 26, I would like to draw together the key elements that position Index to deliver sustainable returns. First, we have a market-leading, integrated physical and digital system with technologies that work together to meet customer needs and embed Index deeply into their workflows. Second, we deliver high-quality earnings supported by a technology-led capital-light model, delivering structurally higher margins, exhibiting strong operating leverage and consistently high cash conversion. Third, a disciplined investment through the cycle has been a long-standing feature of our business and has again delivered value in the most recent period, while positioning us to benefit further from the multi-year exploration upcycle that is ahead of us. Together, these strengths underpin Index's leadership position and support the continued growth of a high-quality, scalable learning space. That concludes our presentation for today, and I'll hand back to the moderator for Q&A.

Thank you, team. If you have not yet joined the live audio queue, please do so now. A reminder that questions are limited today to two per caller. I will introduce each caller by name and company and ask you to go ahead. You will then hear a beep indicating your microphone is live. Our first question comes from Nicholas Rawlinson from Morgans. Please go ahead.

Hi, Paul and Linda. Thanks for taking my questions and congrats on the results. Census and software revenue is up 15% of the first quarter and it's now up 20% for the half. So that implies around 25% in 2H. Is that a good way to think about the exit rate in tools? And just for fluids, now that we're lapping comps where those large contracts which finished around the picture are,

is that also a useful proxy for fluids growth going forward or are there sort of different dynamics to call out in the fluids business yeah i might uh thanks nick i might start with your second question first uh we've always said that we thought fluids was more directly responsive to changes in um uh actual drilling activity and so i think uh i think you're right now that those we have left those comps where we had a couple of significant contracts come off. I think looking forward the drilling outlook or the drilling optimization outlook looks pretty solid. Of course beyond fluids we think of drilling optimization as including the DCD side of our business which is obviously exhibiting much stronger growth in the half. The census revenue, I think, is a combination of the growth in activity, but also the next generation technologies coming through. And so that pace can be not quite so linear. It can have to do with how quickly the size of projects that are taking on new technologies. But we still expect it to be pretty strong as we look forward. So double digits, pretty safe. So somewhere in between that 15 and 25 that you called out.

The next question is from Evan Karatz from UBS. Evan, please go ahead.

Hi. Morning. Morning. Thanks, Linda, Paul. Can I just ask one around the headcount, please? Pretty impressive keeping that up to just like 2% first back in. Back in June, given the revenue growth you're delivering, I just came to talk through how you're thinking about headcount now for the second half, including obviously the applications that are coming through, just the core index business, that outlook for headcount.

Yeah, okay. So I think we mentioned at the FY25 result that that we had been continuing to be trimming the business, including a slight reorganization to set up for drill site technologies and digital earth knowledge as we finished FY25. And so that headcount discipline is partly a reflection of the work taken at the back end of FY25. We do add heads, of course, as we bring in the recently acquired companies, and I think The previous announcements show what that margin profile looks like. We can provide a bit more guidance later on around the FTEs that are being added from those acquisitions. Within the core business, however, we will continue to add people in customer-facing roles, sales roles, service roles in response to the market demand, but obviously we get good leverage in that business model being predominantly a dry hire business. So Without giving you a specific on the number of heads, we think about it in terms of what is the incremental headcount we need in the core business, what is the additional headcount that comes from M&A, but the rest of the business should have good leverage. Yeah, okay.

Right, that was what I was just trying to get to. You should expect some decent planning that we've got through in the second half. Yes, that's right. Okay, and then just the... Thanks, Paul. Okay, and then just around the juniors, you've obviously made some interesting comments regarding the raisings, but it's also yet to be seen on the ground. Do you want to just run through how you're thinking about the juniors coming into the market over the next six to 12 months and how Index is preparing for that, given it's been a pretty benign environment? You've sort of shifted the business a fair bit away to the majors. Just how you're thinking about their contribution in the next six to 12 months?

Yeah, I might answer that first and we have Sean Southwell on the call and I'll get him to add a further comment at the end if I've missed anything. But certainly we've seen the initial uptake being on established projects where there are clear targets, there's established permitting and adding extra drill rigs onto established projects is slightly easier. The junior capital raisings have set records month on month for a period of time coming through that sort of July, August, September period. Historically, it takes six to nine months for that to go into the ground. And so we haven't really seen a significant uptake in that area yet. A little bit in WA, a little bit in Canada, but really not reflective of the amount of capital raisings. So I think that upside is all ahead of us. Canada today is circa 20% below its prior peak still, if that gives you some indication of the headroom ahead of it. I think the only caution we have around that six- to nine-month lag is simply around a lot of boardrooms are just a little cautious around deploying capital with geopolitical uncertainty. So if they can deploy it closer to home, that's fine. And although there's been a lot of talk about removing – or improving regulations and environmental restrictions. We're not seeing a lot of that play through very quickly. We think the intent is real, but we just think that it's still a bit near term and there's still a little bit of risk that that holds up deploying some of the capital. Other than that, I think it's just that six to nine month lag coming off Q1, Q2 raisings will play through later this year. I probably should have handed over to Sean then in case there was actually another comment you wanted to add. Sean?

Yeah, probably the only other one would be a lot of the junior activity, particularly in Canada, is in B.C., when the raisings came through, they're still waiting for their season. So their season will start as they come into the Canadian summer, where this time of year they don't do a lot of activity in the BC region. So we are seeing those delays, and then you've still got to take into consideration the seasonal timing as well.

Yeah, good point. Thanks, Sean.

Our next question is from Mitchell Sonigan from Macquarie. Mitchell, please go ahead.

Thank you. Good morning, Paul and Linda. Can you hear me all right? Yes. Yes, we can, Mitch. Yep. Hi, guys. Thanks for taking questions and apologies. I've just been jumping between a few, so I missed a few of your comments earlier. Just in terms of the EBITDA margin at 32% there, can you maybe just... Give us a thought of how you're thinking about that in the next six or 18 months or so. Clearly, we're expecting to see a stronger uptick in industry activity, but I guess you've previously talked about maintaining it around these levels here. So, yeah, just came to understand how you're thinking about that in terms of upcycle versus ongoing growth in the business. Thank you.

Thanks, Mitch. So when we came out of the FY25, we did say that FY26 is really a transitional year for us, especially with the cycle turning. So we always say about 30% EBITDA normalised margin is our guide for FY26. We have realised operational leverage uplift for the first half and we'll continue to obviously look at our OPEX cost base and making sure we're making good inroads in terms of keeping that disciplined approach and scaling our business. However, we are really conscious that growth is happening and especially in our integrated field services area, so we will need to invest more as we had alluded to at the end of the last financial year, into our labour resources for that revenue. And also with the acquisitions coming in, there is a bit of margin pressure just purely due to the nature of those businesses.

Yeah, thanks, Nadal. And probably a pretty similar question, really, just for the Americas, revenue up 20%, EBITDA margins were broadly flat. Any colour you can give to the outlook in that region in terms of the revenue growth versus ongoing costs you might have to put into it to support that growth?

Thanks, guys. The cost initiatives and cost discipline occurs across all of our regions, Mitch, and so we are looking to that scalability globally. And with America's growing, obviously, we will be looking for making sure we've got the right resources and the right infrastructure to make sure we can deliver into that high revenue opportunity. And so... Yeah, but there will be scalability opportunities across the whole globe, so I'd be reluctant to guide anything different at this stage.

I think, as I said, I did make a comment on the call, Mitch, that we did see the Americas, and in particular the US, still presents probably one of the most attractive growth markets for us looking forward.

Our next question is a written question from William Park from Citi. Could we get some sense around competitive dynamics across your footprint and businesses as exploration levels continue to trend upward?

Yeah, thank you. Thanks, Will. The broad statement I would make is probably three things. We don't think the overall competitive landscape has shifted too significantly. Importantly, we do continue to win market share and we have some very good internal numbers that support that. But as we look forward, we expect that competitive intensity to remain. I think we are heading into, hopefully, a pretty attractive environment. And certainly, the industry's demands for – or the cost pressures that it faces is going to see a focus on things like productivity. So I expect it'll be – the customer-led side will be seeking – technologies that somehow speak to improved productivity, and that opens up the market for both the index but also its competitors, wherever that could be demonstrated. That's not a bad thing. That's a good thing.

A second question from William Part from Citi. How are you thinking about earnings trajectory with the strengthening AUD for the remainder of FY26?

Yeah, so there's... Thank you, Will. There's definitely headwinds when it comes to FX. So with the strengthening Australian dollar, as I've spoken to before, FX exposure on the revenue side is 50% US dollar or US dollar linked revenue. So that will create quite a headwind for us. Our usual FX management structure remains in place, and we'll continue to monitor it. I think for the second half, the rough exposure for us on AUDUSD revenue exposure is about $1.5 million for 1% movement in the FX rate.

The next question is from Gavin Allen from Eros Hartleys. Gavin, please go ahead.

Thank you very much, guys. Congratulations on the numbers. Look, apologies if you've discussed this. I have been hopping around a little bit as well this morning. But you mentioned growth, and particularly in front of market growth in established projects. I'm just wondering if you could provide some flavour on the opportunity or the headroom available to you outside of established projects How do we think about the go-to-market plan on that front?

Yeah, I think to be very clear, we have a footprint anywhere in the world where our customers might want to go, whether it's Greenfield, Brownfield, et cetera. So our network is well positioned to meet the demand wherever it comes from. The distinction between established projects is really to say that the ease of increasing rig activity on projects that are already drilling targets and you're just adding, already have permitting, already compliant with whatever the regulations are, adding rigs on those projects, established projects, is a little faster.

And so both you and

intermediates and major projects or continuing to increase established projects. And so it really comes down to what the exploration budget focus looks like for intermediates and majors, which we expect S&P to publish some commentary on in the first week in March. And it all comes down to how quickly juniors do deploy what has been a period of record capital raisings. That's the headroom, I think, if that answers your question.

Yeah.

Absolutely. Thanks, guys. Appreciate it.

Cheers, Gab.

Thanks, Gab.

The next question is from Josh Canarakis from Baron Joey. Josh, please go ahead.

Hi, guys. Can you hear me okay?

Yes, we can, Josh.

Yes, hi, Josh.

Great. Thank you. Thanks for taking my question. First one, just with regard to the split in terms of customers, can you talk a little bit more, especially in North America, about some of the success you've had with regard to going direct with the resource companies, how much that's had to play with some of the growth in that region in terms of taking a broader solution and whether you think that model is replicatable to that extent in other regions of the world over time?

Yes, I might answer that initially, and then I'll hand over to Sean Southwell again. I think it's very important we recognize the drilling customer group as a distinct group and the resource customer group as a distinct group. Our portfolio of solutions can add value to each. Historically, what we have felt we've missed is where we had resource company-specific solutions to unlock value, we had been underweight in that area historically. But all of those integrated solutions that we've been talking about, the IMS portfolio requires a collaboration between index and the driller and the resource company. And that is how we've been looking to advance that market. That started in the US, as you pointed out. Sean and his team have already expanded that to other regions around the world. I think I'll ask Sean to speak to what we've seen out of that 16% top line revenue growth. I think Sean has some guidance on how much of it was that integrated managed solutions offering. But Sean, can I throw to you?

Yeah, thanks, Paul. Yeah, we see activity pretty much in all of our regions around IMS. It's very dependent on the drilling conditions the customer's experiencing, which is why in the Americas, both in North and South, It is a strong business model because of the difficulty in drilling conditions there compared to places like in Australia or in Africa where the complexity of the geology is far less. We've seen a double-digit growth in our field services, I think more than that actually, probably closer to 25% growth in our field services. And we expect that to continue. That's a combined of our IMS and DCD, which is actually when we completely supply all projects with all the technologies.

Yeah, thanks, Sean. I think it was 28% was the integrated field services uplift.

That's great. Thanks for the call, guys. Appreciate it. And second question, just with regard to CapEx, obviously there's a few moving parts given the additional new businesses in there. But Linda, would you be able to give us some context of how we should be thinking about maybe the core index business CapEx profile that you're thinking about into the second half of into 27? Yes.

Sure, Josh. So the CapEx... Guidance we gave remains whole. So we expect to see the second half to be consistent with the first half in terms of that CAPEGAS.

Got it. And just in terms of underlying that, like you mentioned the new products, I guess I'm just trying to understand a little bit more in terms of where you're spending the dollar and how we should be thinking about what's going in terms of new high margin products versus maybe some of the existing core and how much is available, I guess, within the existing fleet that you've got that isn't utilised at the current point in time. Sure.

So the way we think about CapEx at the moment in terms of the spread is we usually have about 20% as general CapEx. Then we say there's about 40%, which is growth CapEx, and the rest is sustaining CapEx on the existing tool fleet.

The next question is from Jacob Kakanas from Jarden. Jacob, please go ahead.

Hi, Paul. Hi, Linda. Just two from me, please. Could you just talk to the earnings skew that you're expecting for FY26, just noting typically you've had a first half waiting at least over the last two years. But if I go back to the prior cycle, you've actually had stronger second halves than your first. Could you just make some commentaries around that? Obviously, M&A will come in for a full contribution in the second half too, please.

Yeah, I'll start and I'll hand over to Linda. You're quite right. So during the three years of exploration down cycle, H1 was stronger than H2, being reflective, I guess, of that down cycle. And you're right, in an up cycle, H2 is normally stronger than H1. And so as we go through, we do think that the H126 is a little bit of a swing period as we come out of that three years of decline. So I think we are sitting here, despite some of the You know, there's still some uncertainties that go through that swing phase, but, you know, we would expect us to resume a period where H2 is stronger than H1.

Yeah. No, consistent. I mean, you know, we still are expecting seasonality, though, as well. We would normally expect to see Q3 to be consistent with Q2 and then Q4 to see that step up as you run into FY27. So our seasonality guidance still holds.

And I think in terms of the acquired businesses, Our focus is always, and we're very consistent about this, our focus is always in year one to not put too many demands on top line revenue growth. The value unlock comes from a very deliberate focused integration of the teams and the products and the networks and that sets the tone then for growth in years two and three onwards.

And I think there's only – can you do a refresh on the number of months where – Yes, so we provided – when we announced ESA and also ALT and MSI, we provided guidance as to FY26 revenue contribution. And so as – also as DataRock and Crux are fully owned, and so we'll see their results actually instead of being in the share of associates line, it'll be throughout the P&L. And so you'll see DataRock will bring five months of contribution and – Crux bringing in three months of contribution going forward.

Thanks, Linda. And just while you've got the mic, just on the working capital swing, I know you're on cash conversion. Does that working capital unwind through the second half and do we get back to kind of levels that you guys see historically, please?

Sorry, Jacob. I missed the first part of that question. Could you please repeat?

Okay, my headphones decided that they'd pick up the Bluetooth again. I was just talking about the cash conversion in the first half. Yes. A little bit less than probably what you thought. There was an uptick in working capital. Do we just assume that that unwinds through the second half and you get back to where you have been historically on cash conversion, please?

So our... So our guidance is 70% cash conversion, and that still stays. I mean, we have disciplined working capital movement to support double-digit revenue growth. So we are still very happy with the way we're managing working capital. We've made a lot of inroads to make sure that's as efficient and effective as it can be, and I think that's reflected in the 86% cash conversion.

Yeah, I think in a growth phase, that 70% rule has been our historical practice. It is better than that in this half in spite of that top-line growth. I think that's a really good feature. A little bit of that will have to do with the shifting portfolio mix of sensors versus fluids. Thank you.

The next question is from Lindsay Batoil from Goldman Sachs. Lindsay, please go ahead.

Hi, guys. Hopefully you can hear me.

Yes, thank you. Hi, Lindsay.

Yep, yep, yep. Very good. Yeah, thanks. Apologies if this question's been asked. I think a lot of mine have, but I was kind of cutting in and out. Just Crux and Datarock. Like, if I have a look at maybe the last update you gave us for FY25, Crux's growth was circa 90%. Datarock was 60-ish. In the update today, it looks like Crux's like 18% growth in Datarock's kind of re-accelerating to 90. So it just feels like the growth rates in both those businesses have taken very different paths in the past six months. Like, firstly, can you just confirm if that's the right read? And if it is, like, maybe just talk about the kind of differing trajectories of crops and data off-place?

Yeah, I mean, happy to answer that, Lindsay. They're two very different... digital businesses, and being startup businesses, their revenue trajectory can be a little bit lumpy. I think the difference being Crux is a much more infield operations-focused business that goes through probably slightly harder sales cycles to get embedded, and Datarock probably spends more of its time at the front end building the platform before it rolls out. And that's what you're seeing, that shift in revenue growth. So I would expect, and Michelle Carey is with me, but I would expect the Datarock business probably continues to compound at a higher rate in the periods ahead and we think that the growth trajectory for Crux starts to benefit from being integrated into the drill site technologies business under Sean. which will happen post-completion. So we still see significant headroom in growth for both of them, but they're just very different products, and as they go through that startup phase, it's a little bit lumpy. But nothing's fundamentally changed in terms of overall expectations of either of those technologies. I might ask Michelle Carey if she wanted to add anything else to the data rock.

No, maybe just the last comment to support what Paul said is, you know, obviously we were also aware from the start that DataRock were a little bit further, not quite as far along in their journey as Crux, and both of them are growing from relatively low bases. So you can see a little bit of that as their growth rates evolve as well.

Okay, brilliant. Thanks, guys. Thanks, Lindsay.

I will now hand back to Paul as there are no further questions.

Wonderful. Thanks, Michelle. In closing, 1H26 has obviously been an important period for index, particularly as we turn the corner on three years of very tough expiration conditions. The result has reinforced the strength of our strategy and the quality of the index operating model. Delivering record above market growth, strong cash generation, and the discipline that we've shown through the cycle has been a pleasing feature of the half. Our global network and our global team both are unrivaled in the marketplace, and so we're very well positioned to benefit from a multi-year exploration cycle ahead and continuing to deliver long-term value to our shareholders. I'd like to extend my thanks to our team, our board, and our shareholders all, and I look forward to speaking with many of you in the week ahead. Thanks very much for your time today.

Thank you.