ALS Limited H1 FY25 financial results

ALS Limited (ASX: ALQ) has released its financial results for the first half of the fiscal year 2025, demonstrating a resilient performance despite varying market conditions. The company achieved a 14% increase in underlying revenue, primarily driven by its Life Sciences division. However, the Commodities sector experienced softer growth.

ALS Limited H1 FY25 summary and outlook

ALS Limited reported a 14% increase in underlying revenue to $1,464.2 million for H1 FY25, mainly fueled by the Life Sciences division's robust growth. The underlying EBIT rose by 2.1% to $250.4 million, though operating margins were impacted by acquisitions and reduced mineral volumes. The underlying NPAT decreased by 3.9% due to foreign exchange impacts and higher interest costs. The company declared an interim dividend of 18.9 cents per share. ALS plans to focus on organic revenue growth, margin improvements in Life Sciences, and resilience in its Minerals sector. The company aims to continue integrating acquisitions to boost efficiencies and maintain leverage within its targeted range.

Executive insights on ALS's performance

The strong performance of our Life Sciences division, despite challenges in the Commodities sector, underscores our strategic focus on growth and market expansion. Our recent acquisitions, while impacting margins in the short term, are expected to deliver substantial medium-term returns and operational improvements. We remain committed to disciplined capital allocation and leveraging our acquisitions to enhance operational efficiencies.