LaserBond limited (ASX:LBL) uses is a specialist surface engineering company, that uses proprietary capital equipment, component surface engineering technology to value add across a number of capital intensive industries. Its surface technology, improves the working and parts of machinery and equipment in contact, reduces wear on vital components, lowering maintenance and replacement costs, extending equipment life, and can increase operating performance, for plant and machinery life.

LBL’s technology has applications across many industries as more sectors accept that advanced surface engineering technologies can deliver significant cost-effective improvements in productivity and/or lower total costs of ownership. This is seen in industries dependent on complex tools and equipment such as resources and energy, agriculture, advanced manufacturing, defence and infrastructure construction.

Investment summary

Laserbond is a well supported contractor, that uses recurring services and maintenance contracts to maintain income security. It has a strong technological niche, and provides a desirable service and product to the dominant mining and equipment oriented Australian market, which has driven its performance. It pays a consistent dividend and has net cash, however its real value comes through in the form of its consistent growth.

Current operations

Laserbond Limited (ASX:LBL) has three primary divisions:

• Services division: Provides customers repairs and refurbishes for worn or damaged parts and equipment.

• Products division: Manufactures specialised surface engineered components for original equipment manufacturers, and larger companies, utilising its advanced additive manufacturing technologies.

• Technology division: Design, manufacturing, licensing and support of bespoke engineering systems for specific applications.

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