CAPITAL LIMITED - Q1 Trading Update

Capital Limited delivered a strong Q1 2026 investor update, reporting record company performance with revenue rising 42% year-on-year to $101.7 million, driven by robust growth across all operating divisions. The drilling segment generated $62.8 million (+9%), mining contributed $18 million following new contract mobilisation, and MSA Labs delivered standout growth with revenue of $20.9 million (+55%), reflecting increasing demand for laboratory services. The group’s diversified business model and expanding global footprint across Africa, the Middle East, and the Americas continue to underpin its growth strategy. Margin expansion and improved return on capital were supported by the redeployment of mining assets and increased operational activity, while MSA Labs transitioned into profitability, enhancing overall EBITDA potential. Capital’s order book strengthened with multiple long-term contract wins, including drilling, mining, and laboratory agreements, providing strong revenue visibility. The company reaffirmed full-year revenue guidance of $410–$440 million, supported by a healthy pipeline and favourable commodity market conditions, particularly in gold and copper. With rising industry demand, tightening supply, and increasing pricing power, management expects sustained growth momentum. Trading at a notable discount to peers on an EV/EBITDA basis, Capital Limited highlights significant valuation upside alongside its integrated services platform, strong client base, and disciplined capital allocation, positioning the group for continued earnings growth and shareholder value creation.