RE: Bottom reached17 Feb 2025 09:38
Buyer down here, market has lot the plot a little!
"Actions in 2025 will underpin positive free cash flow in 2026"
· Positive free cash flow expected in 2026 (before disposals) reflecting:
o Continued improvements in operating cash flow6, which has improved from $(66) million in FY22 to c.$275 million in FY24, helped by working capital improvements, including the absence of the 2025 working capital unwind (c.$70 million)
o Growth in adjusted EBITDA and adjusted EBIT from underlying business growth
o Incremental benefit of cost savings in FY26 (c.$25 million)
o Reduction in cash exceptionals from c.$100 million in FY25 (consisting of asbestos, restructuring costs and advisor fees) to c.$40 million in FY26 (only asbestos)
· Note that legacy claims cash payments are expected to be broadly similar in FY25 and FY26 and will be reported separately to exceptional cash costs