EXCELSIOR CAPITAL LTD — Earnings Release 2014

Aug 20, 2014

CMI Limited ABN 98 050 542 553 150 Robinson Road Geebung Qld 4034 Australia Postal address: PO Box 716 Virginia Qld 4014 Australia Telephone: (07) 3865 9969 Facsimile: (07) 3865 3677 Email: corporate@cmilimited.com.au Web: www.cmilimited.com.au

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ASX and Media Release

• 21 August 2014

CMI ANNOUNCES PROFIT OF $3.5 MILLION

CMI Limited (ASX: CMI) today announced a net profit after tax of $3.5 million for the year ended 30 June 2014, which is at the upper end of the range announced in May this year. Key parameters of the results are:

• Revenue for the year of $92 million – a 17.3 percent decrease over FY2013 largely due to the impact of the mining and construction slowdown on the electrical business;

• Net profit after tax of $3.5 million for the year – in line with guidance but a decrease over FY2013;

• A final fully franked dividend of 3 cents per share declared resulting in a full year dividend of 6 cents – equal to FY2013;

• A solid operational cash flow of $6.0 million for the year;

• The balance sheet remains strong with $6.7 million of cash and negligible debt;

• Opportunity for improved performance through operational turnaround of TJM or realisation of investment through strategic options.

Commenting on the results, Mr Andrew Buckley, CMI Executive Chairman said:

“CMI’s profit of $3.5 million was representative of the difficult conditions the company faced with the significant reduction in coal mining and construction activity impacting the Electrical division and ongoing losses in the TJM Products division.

Since joining the CMI Board in April this year as Executive Chairman, my key focus for the current period has been the implementation of operational improvements in TJM and consideration of ways to realise value from this business.

In the medium term, it is the Board’s intention to seek additional business opportunities to grow CMI, potentially through growth and diversification of the Electrical division’s markets and products.”

Mr Buckley also noted that the Company balance sheet is strong and operating cash flow was healthy. As a result the Board has modified its dividend policy to allow up to 60% payment ratio and declare a 3 cent second half dividend, with a record date of 1 September 2014 and payable on 15 September 2014.

Outlook:

The outlook for TJM Products 4WD accessories market remains positive but with some impact from the mining slowdown. Operational improvements should drive a better FY2015 performance.

The outlook for CMI Electrical remains challenged by tough conditions in the coal mining sector and this is not expected to improve until at least FY2015 second half.

Board Changes:

During the year CMI restructured its Board of Directors bringing Mr Andrew Buckley onto the Board as Executive Chairman and Mr Jeffrey Forbes joined the Board as an independent director. Mr Danny Herceg, Mr Ross Rolfe and Ms Sharyn Williams stepped down as directors but Ms Williams remains Company Secretary and CFO. Ms Leanne Catelan remains on the Board as a non-executive director.

Mr Buckley and Mr Forbes worked together as CEO and CFO at Cardno, and bring significant experience to CMI especially in the area of organic growth and acquisitions.

CMI Limited ABN 98 050 542 553 150 Robinson Road Geebung Qld 4034 Australia Postal address: PO Box 716 Virginia Qld 4014 Australia Telephone: (07) 3865 9969 Facsimile: (07) 3865 3677 Email: corporate@cmilimited.com.au Web: www.cmilimited.com.au

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Summary financial metrics are included in the following table:

	FY2014	FY2013$m	Change
	$m
Revenue	92.4	111.8	(17.3%)
EBITDA	6.8	15.4	(56.0%)
EBITDA margin	7.4%	13.8%
**Net profit after tax **	3.5	9.8	(63.9%)
Basic earnings pershare (cents)	10.29	29.05	(64.6%)
Net operating cash flow	6.0	10.7	(44.3%)
Dividendsper share(cents)	6	6	-
Totalassets	68.4	72.0	(4.9%)
Total liabilities	11.5	15.6	(25.9%)

CMI today released its Annual Report for 2014 and Appendix 4E and these are available to download from the company’s website (www.cmilimited.com.au). Shareholders will receive either digital or paper copies of the Annual Report with the notice of Annual General Meeting in mid-September.

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Contacts:

Mr Andrew Buckley Executive Chairman Mobile: +61 (0)412 059 526

Ms Sharyn Williams Chief Financial Officer Phone: +61 (0)7 3865 9969

About CMI (ASX: CMI): Established in 1991, and listed on the ASX in 1993, CMI Limited’s operations include the distribution of electrical cables and components for industrial and mining applications through CMI Electrical and the distribution of 4WD accessories via the TJM 4WD network throughout Australia and around the world.