Intelligent Monitoring Surges with $17m Cash Flow, Plans Share Buy-Back

Strong Finish to FY25

Intelligent Monitoring Group Limited (ASX – IMB) closed out the 2025 financial year on a high note, reporting a net operating cash flow of $17 million in the June quarter. This marks the company’s first "clean" quarter following a significant debt refinancing and a series of acquisitions, underscoring the underlying strength of its cash-generating operations.

The company’s unaudited EBITDA for FY25 came in at $38.6 million, slightly shy of the mid-point of its guidance range of $38-40 million. The shortfall was attributed primarily to timing delays in securing several large service contracts, which are expected to materialize early in FY26. Despite this, Intelligent Monitoring’s underlying earnings, adjusted for acquisitions and prior capitalisation policies, grew by a healthy 8.2% compared to FY24.

Strategic Acquisitions and Operational Integration

The acquisitions of DVL in December and Kobe in March contributed above expectations, bolstering the company’s service capabilities and market reach. Throughout Q4, Intelligent Monitoring also advanced its operational efficiency by uniting its Australian and New Zealand service and installation technician bases under the #techsunite program, creating one of the largest security technician groups in the region.

Additionally, the company refined its go-to-market strategy across its key brands, ADT, Signature, and IMS, while launching new internal service models focused on shared HR, IT, and procurement functions. These moves aim to streamline operations and support scalable growth.

Cash Position and Capital Management

Cash in the bank increased by $11.1 million during the quarter, reaching $24.1 million at period end. Alongside this, Intelligent Monitoring maintains a $35 million acquisition facility, providing ample liquidity for future growth opportunities. The company’s board has responded to this strong cash position by initiating the mechanics for an on-market share buy-back, appointing Morgans Financial to manage the program. This move signals a commitment to optimizing capital allocation and enhancing shareholder value.

Investing cash flow during the quarter was $4 million, predominantly directed towards the peak phase of the New Zealand 4G telephony upgrade program. Capital expenditures outside this initiative remained modest.

Looking Ahead

Intelligent Monitoring’s subsidiary, Intelligent Monitoring Solutions, achieved a significant milestone by securing ASIAL certified A1/R1A redundant grading for its control rooms, positioning it as a leader in security monitoring reliability. The company also highlighted the success of its ADT Guard service, which has contributed to over 30 criminal apprehensions and now protects more than 300 sites across Australia.

With a refinanced balance sheet, positive cash flow momentum, and a clear strategic focus, Intelligent Monitoring is well positioned for growth in FY26. The company plans to provide updated guidance at its AGM in late October, which investors will watch closely for insights into contract awards and the impact of its recent acquisitions.