Adrad Holdings Ltd
ASX:AHL
Adrad Holdings Ltd
Adrad Holdings Ltd. manufactures and supplies radiators for motor vehicles. The firm designs and manufactures heat transfer solutions for industrial applications and also manufactures, imports, and distributes aftermarket automotive parts for the Australian and New Zealand markets, as well as for OE customers globally. The firm operates through two segments: Aftermarket, and Original Equipment Market (OEM). The Aftermarket segment includes Australian manufacturers, importers, and distributors of radiators and other heat exchange products for the Australian and New Zealand automotive and industrial aftermarket. The Original Equipment Market (OEM) segment includes designers and manufacturers of OEM industrial radiator and cooling systems across a broad range of market sectors. The firm has approximately 16 warehouse locations in Australia, New Zealand, and Thailand.
Adrad Holdings Ltd. manufactures and supplies radiators for motor vehicles. The firm designs and manufactures heat transfer solutions for industrial applications and also manufactures, imports, and distributes aftermarket automotive parts for the Australian and New Zealand markets, as well as for OE customers globally. The firm operates through two segments: Aftermarket, and Original Equipment Market (OEM). The Aftermarket segment includes Australian manufacturers, importers, and distributors of radiators and other heat exchange products for the Australian and New Zealand automotive and industrial aftermarket. The Original Equipment Market (OEM) segment includes designers and manufacturers of OEM industrial radiator and cooling systems across a broad range of market sectors. The firm has approximately 16 warehouse locations in Australia, New Zealand, and Thailand.
Revenue Growth: Revenue rose 7.6% to $73.5 million, at the top end of guidance.
Profitability: Net profit after tax grew 66% to $3.1 million; EBITDA up 7.7%.
Cash Flow: Strong operating cash flow of $11.1 million, more than 100% of EBITDA, driven by inventory reduction.
Dividend: Announced a fully franked dividend of $1.33 per share.
Guidance Reaffirmed: Management remains confident in delivering 5–8% revenue and EBITDA growth for FY24.
Warranty Costs: Warranty expenses rose due to Thailand production issues but are expected to normalize after FY24.
Strategic Initiatives: Ongoing expansion in Thailand, focus on inventory management, and new product development in renewables and data center cooling.
Leadership Change: New CEO Kevin Boyle to start in April.
