Sims (SGM) Investor Day 2026 summary

Strategic direction and growth initiatives

• Transitioned from turnaround to scalable growth, focusing on Metal and SLS platforms connected by circularity and operational capability.

• Leveraging complementary metal and SLS businesses for circular economy leadership and exposure to infrastructure and technology investment.

• Acquired and integrated TCT, consolidating operations and freeing up capital through property sales.

• Pursuing bolt-on and larger acquisitions, especially feeder yards, to strengthen supply and processing networks.

• Positioned as a lead consolidator in a fragmented U.S. market, with a disciplined approach to inorganic growth.

Operational performance and market positioning

• NAM and SA Recycling platforms provide broad sourcing, regional exposure, and export/domestic market optionality.

• Acquisitions have expanded both NAM and SAR, with 24 and 72 sites added respectively in the last five years.

• Focus on increasing shredder utilisation, non-ferrous recovery, and integrating acquisitions for network efficiency.

• Investments in logistics, downstream processing, and technology enhance value capture and support scalable growth.

• Operating improvements have reduced costs per tonne by 27% from FY24 to FY26.

Financial management and capital allocation

• FY26 EBITDA: NAM US$213m, SAR US$478.7m (100% basis), ANZ A$117.5m, SLS US$129.1m; ROIC at 11.7%.

• Underlying operating cash flow for FY26 was A$411.3m, with pre-growth free cash flow at A$180.8m.

• Dividend policy targets 25%-35% of pre-growth free cash flow or underlying earnings, balancing shareholder returns and reinvestment.

• Capital allocation prioritizes value creation, balance sheet strength, organic growth, and strategic acquisitions.

• Growth funding is aligned to opportunity size and risk, using operating cash flow, asset recycling, and external capital as needed.