Coventry Group's FY24 Financial Performance

Coventry Group (ASX:CYG) has released its FY24 Annual General Meeting results, reporting a 3.4% increase in group revenue to A$370.8 million and a 22.4% rise in EBITDA to A$20.8 million. The company is focusing on organic growth in fragmented markets with significant opportunities, aiming to leverage its small market share to drive expansion.

FY24 AGM Results and Strategic Outlook

Coventry Group (ASX:CYG) has reported positive financial outcomes for FY24, with revenue and EBITDA both showing significant growth. The company's strategy is centered on organic expansion within fragmented markets, such as mining, infrastructure, and manufacturing. Coventry plans to increase its store presence, particularly in New South Wales and Victoria, and complete an ERP upgrade by December 2024 to boost customer service and productivity. With market growth projections in industrial fasteners and fluid power equipment, Coventry is well-positioned to enhance its market share. The company also aims for a 10%+ EBITDA margin, focusing on financial optimization through effective inventory management and cash conversion, while acknowledging macroeconomic challenges and labor shortages.

Executive Commentary on FY24 Performance

We are pleased with our financial performance in FY24, which reflects our strategic focus on organic growth and operational excellence. Our increased revenue and EBITDA demonstrate our ability to capitalize on opportunities in fragmented markets. We remain committed to expanding our store network and enhancing our digital capabilities to better serve our customers.