# Imdex (IMD.AU)

Canonical: https://gigainvestors.com/s/IMD.AU

Analysis as of: 2026-10-16T07:43:34.657Z. Financial observations: FY1997–FY2026.

Listing currency: AUD. Reporting currency: AUD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: AUD 3.10 per share; close as of 2026-10-15.

Estimated value: low AUD 1.23 per share, central AUD 1.41 per share, high AUD 1.62 per share. Buy at or below the central value AUD 1.41 per share. Valuation as of 2026-10-16T07:43:34.657Z; scenarios are not confidence intervals.

Expected annual return: 6.0% at the stated quote. About 6.0% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; AU 10-year bond 5.2% + 4 points).

## Checklist

### understandable: pass

- 2 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 2

- Years with a net loss: 0

- Operating margin variation: 0.16×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.12×

- FY2018: 0.13×

- FY2019: 0.16×

- FY2020: 0.12×

- FY2021: 0.17×

- FY2022: 0.20×

- FY2023: 0.15×

- FY2024: 0.16×

- FY2025: 0.16×

- FY2026: 0.16×

### moat: fail

- Recent gross margin fell 34.8pp below the typical margin (limit 4pp)

- ROIC, median of available years: 15.4%

- ROIC, second-lowest year: 12.1%

- Typical minus recent gross margin: 34.8 pp

- Typical gross margin (annual median): 65.2%

- Recent gross margin (lower of latest and 3-year median): 30.4%

- Years with nonpositive capital: 0

- Capital spending / revenue: 8.6%

- ROIC including acquisitions, ten-year median: 7.8%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 15.6%

- FY2018: 18.2%

- FY2019: 20.5%

- FY2020: 12.1%

- FY2021: 17.3%

- FY2022: 20.0%

- FY2023: 11.0%

- FY2024: 13.0%

- FY2025: 15.1%

- FY2026: 15.3%

### economics: pass

- Owner earnings / net income, 5-yr: 1.00×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: AUD 246M

- Net income, five-year total: AUD 247M

- Return on incremental invested capital: 65.9%

- Working capital / revenue, annual change: 0.8 pp

- Working capital / revenue, change between three-year averages: 4.8 pp

- Working capital / revenue, final three-year average: 32.8%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: 0.85×

- FY2023: 1.18×

- FY2024: 1.45×

- FY2025: 0.75×

- FY2026: 0.99×

### management: fail

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 18.2% vs 15.1%

- Per-share earnings: 0.01 to 0.10 (three-year endpoint medians)

- five-year and ten-year diluted share growth both above threshold

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 6.2%

- Ordinary dilution, 5-year annual growth: 5.1%

- Market cap gain: AUD 1.9B

- Cumulative retained earnings: AUD 244M

- Diluted shares, 10-year annual growth: 6.2%

- Diluted shares, 5-year annual growth: 5.1%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value growth: 34.9%

- Per-share value change: AUD 0.09

- Per-share value, starting three-year median: AUD 0.01

- Per-share value, ending three-year median: AUD 0.10

- Buybacks concentrated in cheaper years (correlation): 0.80

- Average buyback yield: 6.7%

- Buyback history: 4 years

- Debt-funded buybacks: No

- Acquisition spending: AUD 894M

- Cumulative net income, 10 years: AUD 353M

- ROIC, first three-year median: 18.2%

- ROIC, last three-year median: 15.1%

Chart: Earnings per share; fiscal year observations.

- FY2017: AUD 0.01

- FY2018: AUD 0.05

- FY2019: AUD 0.07

- FY2020: AUD 0.05

- FY2021: AUD 0.08

- FY2022: AUD 0.11

- FY2023: AUD 0.07

- FY2024: AUD 0.06

- FY2025: AUD 0.10

- FY2026: AUD 0.15

### accounting: pass

- Sloan accruals: -4.1%

- Receivables to sales index (DSRI): 1.11×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.59×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.95×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -4.5%

- FY2018: 2.3%

- FY2019: -2.9%

- FY2020: -9.6%

- FY2021: -6.9%

- FY2022: -2.9%

- FY2023: -5.9%

- FY2024: -9.6%

- FY2025: -8.2%

- FY2026: -4.1%

## Holders

## Price story

Down 27% since Feb 2026 · sales +20.6%

Story as of 2026-10-16T10:00:12.761Z; price observation 2026-10-15.

Price needs cash profits to grow 11.5% a year for ten years

### Sales · FY2025–2026

sales +20.6%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: AUD 176M 

- FY2018: AUD 219M 

- FY2019: AUD 244M 

- FY2020: AUD 238M 

- FY2021: AUD 264M 

- FY2022: AUD 342M 

- FY2023: AUD 411M 

- FY2024: AUD 445M 

- FY2025: AUD 431M 

- FY2026: AUD 520M 

### Gross margin · FY2026

gross margin 30.4%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: 64.7% 

- FY2018: 63.7% 

- FY2019: 65.6% 

- FY2020: 67.4% 

- FY2021: 68.4% 

- FY2022: 68.6% 

- FY2023: 33.3% 

- FY2024: 31.4% 

- FY2025: 72.4% 

- FY2026: 30.4% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in farm & heavy construction machinery; annual sales are AUD 520.1 million.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2026: revenue 520086000; grossProfit 158150000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); IMD.AU: Imdex Limited, a mining-tech company, provides drilling products, rock knowledge and geophysical sensors, and data and analytics for the minerals industry in the Asia-Pacific, the Middle East, Africa, Europe, and the Americas. The company offers directional drilling solutions, solids removal units, and drilling fluids; and rock knowledge, bench characterization, geoscience, structural geology, and survey technology products. It also provides software products, such as aiSIRIS, a cloud-based mineral-interpretation AI system for portable infrared spectrometer data; Datarock, a production-ready, explainable AI that provides automated, explainable logging and domaining workflows; and EarthNET, a web-based, cloud-native, AI-driven geoscience platform to ingest and integrate large earth data. In addition, the company offers HUB-IQ, a cloud-based portal integrated with industry software for validating field data transmitted from the drill rig; ioGAS, an exploratory data-analysis software application for detecting patterns, anomalies, and relationships in geoscience data; Krux, a drilling analytics software; and REFLEX XRF CONNECT, a systematic data capture application. The company was formerly known as Pilbara Gold NL and changed its name to Imdex Limited in July 1985. Imdex Limited was incorporated in 1980 and is headquartered in Balcatta, Australia.

### Why customers stay

Margins ranged from 30.4% to 72.4% during 2024–26; it earns 15.4% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2024: grossProfit / revenue = 31.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2025: grossProfit / revenue = 72.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2026: grossProfit / revenue = 30.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); 10-year return on capital observations [[2017,0.15578546239091115],[2018,0.18185965911304194],[2019,0.20476758970698378],[2020,0.12051212376166182],[2021,0.1727815377380699],[2022,0.1997009717591569],[2023,0.10993878811911385],[2024,0.13049997006508704],[2025,0.1505444253413968],[2026,0.15299944924147552]]; median 0.15439245581619332. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2017: growth capex 0; upkeep 6211000; owner earnings 8727000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2018: growth capex 3157000; upkeep 13105000; owner earnings 21115000. Growth capex / owner earnings = 0.14951456310679612.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2019: growth capex 687000; upkeep 14261000; owner earnings 27594600. Growth capex / owner earnings = 0.024896175338653216.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2020: growth capex 0; upkeep 23171000; owner earnings 16771600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2021: growth capex 0; upkeep 27139000; owner earnings 27536400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2022: growth capex 1457000; upkeep 36209000; owner earnings 37780800. Growth capex / owner earnings = 0.03856456189387202.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2023: growth capex 0; upkeep 27155000; owner earnings 41368000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2024: growth capex 0; upkeep 29323000; owner earnings 47021000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2025: growth capex 0; upkeep 57396000; owner earnings 41503200. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); FY2026: growth capex 0; upkeep 56101000; owner earnings 78699199. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); Dividend observations: [[2017,17934000],[2018,2385000],[2019,3010000],[2020,17075000],[2021,6740000],[2022,13083000],[2023,15144000],[2024,18380000],[2025,14330000],[2026,13922000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 1.1% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); IMD.AU SharesStats.PercentInsiders = 1.0619999999999998 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 11.5% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:34.657Z); Ten-year compound average after fade. Initial solved rate 0.152451669778486. Price 3.1; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2016 owner earnings/share -0.17144796164050938 → FY2026 0.14641248369819002. Closing-price date 2026-10-15.

## Monthly share-price history (AUD per share)

- 2016-10: AUD 0.59 per share

- 2016-11: AUD 0.57 per share

- 2016-12: AUD 0.57 per share

- 2017-01: AUD 0.67 per share

- 2017-02: AUD 0.66 per share

- 2017-03: AUD 0.64 per share

- 2017-04: AUD 0.61 per share

- 2017-05: AUD 0.63 per share

- 2017-06: AUD 0.74 per share

- 2017-07: AUD 0.72 per share

- 2017-08: AUD 0.89 per share

- 2017-09: AUD 0.89 per share

- 2017-10: AUD 0.95 per share

- 2017-11: AUD 0.92 per share

- 2017-12: AUD 1.03 per share

- 2018-01: AUD 1.03 per share

- 2018-02: AUD 1.23 per share

- 2018-03: AUD 1.16 per share

- 2018-04: AUD 1.22 per share

- 2018-05: AUD 1.28 per share

- 2018-06: AUD 1.22 per share

- 2018-07: AUD 1.22 per share

- 2018-08: AUD 1.10 per share

- 2018-09: AUD 1.17 per share

- 2018-10: AUD 1.13 per share

- 2018-11: AUD 1.15 per share

- 2018-12: AUD 1.05 per share

- 2019-01: AUD 1.17 per share

- 2019-02: AUD 1.11 per share

- 2019-03: AUD 1.05 per share

- 2019-04: AUD 1.02 per share

- 2019-05: AUD 1.00 per share

- 2019-06: AUD 1.28 per share

- 2019-07: AUD 1.32 per share

- 2019-08: AUD 1.33 per share

- 2019-09: AUD 1.38 per share

- 2019-10: AUD 1.57 per share

- 2019-11: AUD 1.60 per share

- 2019-12: AUD 1.45 per share

- 2020-01: AUD 1.44 per share

- 2020-02: AUD 1.54 per share

- 2020-03: AUD 0.88 per share

- 2020-04: AUD 1.05 per share

- 2020-05: AUD 1.14 per share

- 2020-06: AUD 1.09 per share

- 2020-07: AUD 1.30 per share

- 2020-08: AUD 1.23 per share

- 2020-09: AUD 1.32 per share

- 2020-10: AUD 1.19 per share

- 2020-11: AUD 1.34 per share

- 2020-12: AUD 1.70 per share

- 2021-01: AUD 1.56 per share

- 2021-02: AUD 1.69 per share

- 2021-03: AUD 1.60 per share

- 2021-04: AUD 1.87 per share

- 2021-05: AUD 1.99 per share

- 2021-06: AUD 2.01 per share

- 2021-07: AUD 2.07 per share

- 2021-08: AUD 2.33 per share

- 2021-09: AUD 2.28 per share

- 2021-10: AUD 2.83 per share

- 2021-11: AUD 2.76 per share

- 2021-12: AUD 2.90 per share

- 2022-01: AUD 2.89 per share

- 2022-02: AUD 2.65 per share

- 2022-03: AUD 2.67 per share

- 2022-04: AUD 2.47 per share

- 2022-05: AUD 2.44 per share

- 2022-06: AUD 1.82 per share

- 2022-07: AUD 1.78 per share

- 2022-08: AUD 1.98 per share

- 2022-09: AUD 1.76 per share

- 2022-10: AUD 2.01 per share

- 2022-11: AUD 2.38 per share

- 2022-12: AUD 2.18 per share

- 2023-01: AUD 2.50 per share

- 2023-02: AUD 2.35 per share

- 2023-03: AUD 2.25 per share

- 2023-04: AUD 2.08 per share

- 2023-05: AUD 1.85 per share

- 2023-06: AUD 1.89 per share

- 2023-07: AUD 1.96 per share

- 2023-08: AUD 1.62 per share

- 2023-09: AUD 1.56 per share

- 2023-10: AUD 1.65 per share

- 2023-11: AUD 1.81 per share

- 2023-12: AUD 1.89 per share

- 2024-01: AUD 1.70 per share

- 2024-02: AUD 2.12 per share

- 2024-03: AUD 2.33 per share

- 2024-04: AUD 2.10 per share

- 2024-05: AUD 2.22 per share

- 2024-06: AUD 2.22 per share

- 2024-07: AUD 2.29 per share

- 2024-08: AUD 2.25 per share

- 2024-09: AUD 2.36 per share

- 2024-10: AUD 2.60 per share

- 2024-11: AUD 2.56 per share

- 2024-12: AUD 2.32 per share

- 2025-01: AUD 2.63 per share

- 2025-02: AUD 3.02 per share

- 2025-03: AUD 2.96 per share

- 2025-04: AUD 2.96 per share

- 2025-05: AUD 2.85 per share

- 2025-06: AUD 2.72 per share

- 2025-07: AUD 3.04 per share

- 2025-08: AUD 3.02 per share

- 2025-09: AUD 3.37 per share

- 2025-10: AUD 3.44 per share

- 2025-11: AUD 3.43 per share

- 2025-12: AUD 3.44 per share

- 2026-01: AUD 3.79 per share

- 2026-02: AUD 4.25 per share

- 2026-03: AUD 3.84 per share

- 2026-04: AUD 4.01 per share

- 2026-05: AUD 4.07 per share

- 2026-06: AUD 4.10 per share

- 2026-07: AUD 3.69 per share

- 2026-08: AUD 3.51 per share

- 2026-09: AUD 3.36 per share

- 2026-10: AUD 3.24 per share

## Annual estimated value (AUD per share)

- FY2019: low AUD 0.39 per share, central AUD 0.43 per share, high AUD 0.50 per share

- FY2020: low AUD 0.54 per share, central AUD 0.62 per share, high AUD 0.71 per share

- FY2021: low AUD 0.79 per share, central AUD 0.89 per share, high AUD 1.01 per share

- FY2022: low AUD 1.00 per share, central AUD 1.13 per share, high AUD 1.30 per share

- FY2023: low AUD 0.97 per share, central AUD 1.09 per share, high AUD 1.25 per share

- FY2024: low AUD 1.01 per share, central AUD 1.14 per share, high AUD 1.31 per share

- FY2025: low AUD 0.98 per share, central AUD 1.10 per share, high AUD 1.27 per share

- FY2026: low AUD 1.19 per share, central AUD 1.36 per share, high AUD 1.57 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:49:12.344Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.