Revenue has increased in 2018 by 22% to $183.1 million, compared to $150.1 million in the previous period. Gross margins increased to 28.7%, compared to the previous 27.1%.
According to Boom, part of the increase is attributed to strong growth in the mining and energy sectors, with higher revenues from mining maintenance contracts in line with increased customer activity, and the completion of three Australian wind farm construction projects during the year requiring ongoing maintenance by way of specialised assets and expertise.
The major shutdown completed during the reporting period at BHP Billiton’s Olympic Dam facility in South Australia, which accounted for approximately $10 million in revenue, has also been cited as a reason for the increase.
Outgoing Boom CEO Brenden Mitchell said the current financial results were an important turning point for the company, which was hit hard by a commodities price crash in 2013.
“We have worked hard to transform this business, in light of continued market price pressures, and transitioning it to a more flexible operating model,” Mitchell said.
“We have demonstrated operational leverage in the business and with further growth, we believe we can deliver positive earnings and real value to our shareholders.”
Boom’s pipeline of multiple work opportunities is expected to deliver further revenue growth of around 15% in the 2019 financial year.
The company is planning for greater involvement in the country’s wind farm maintenance market and hopes to win around $30 million a year in wind farm revenue during financial years 2019 and 2020.
It will also investigate tenders for specific infrastructure and civil construction projects where experience in complex lifts and engineering are required.