Synertec Corporation Ltd (ASX:SOP) notched a 26% increase in revenue and other incomes to bring in $19.7 million this financial year, with the growth mostly driven by expansions to its engineering services and contracts for its standalone micro-grid renewable energy and storage solution, Powerhouse.
SOP rolled out three Powerhouse units in the FY24, adding $1.1 million to group revenue on an annualised asset turnover ratio of 0.4, and is actively engaging with 15 potential customers for future deployments of the units.
The company says its Powerhouse solution continued to deliver superior operational performance compared to fossil fuel systems, with more than 99.9% uptime, and no site visits or maintenance required.
Synertec recently entered into an exclusive partnership with Siemens to support Powerhouse technology development and expanded market exposure.
Revenue up 135% since FY2021
“Synertec continues to deliver strong and consistent revenue growth, having increased our revenue by over 135% since FY21,” Synertec managing director Michael Carroll said.
“The growth in revenue reflects the expanding operational footprint of our engineering business, the breadth of our services and increasing contribution from our Powerhouse technology via multiple, long-term contracts.
“Our recent capital restructure combined with our first ever debt facility provides access to $21 million in working capital at the commencement of FY25.
“This means Synertec has the technology, expertise, systems and balance sheet to deliver on our growth strategy.
“It is particularly satisfying that our investments and our strategy are returning tangible results within the group.
“Both our engineering and technology businesses are at exciting inflection points and are set to deliver significant value for our shareholders over the coming periods."
The company believes its has a strong foundation to grow from this point, having already accelerated both its technology and engineering businesses to “exciting inflection points”.
“We will remain laser focused on strategy execution in the coming year,” SOP’s annual report reads.
“We expect to see results from our increased business development and commercial capacity, we will be disciplined and strategic with our expenditure, and we will continue to be extremely determined, and somewhat impatient, to demonstrate success to our shareholders.”