Results & Reports

• Revenues up 3.5% CER and orders up 5% CER
  • Organically⁽¹⁾, sales grew 1% in Q2 and 0.5% in H1
  • Organically, orders grew 8% in Q2 and 0.5% in H1

• Adjusted operating profit up 5% CER to a record £30.2m
  • Adjusted operating margin of 14.0%, up 0.3ppt at CER
  • Adjusted EPS up 6% to 19.5p

• Excellent cash flow with strong conversion rates over the last 12 months
  • Free cash conversion⁽²⁾ of 104%, well ahead of target
  • Cash conversion rates averaging above 100% over the last decade

• Accretive bolt-on acquisition signed after the Period end for £5.5m

• Revolving credit facility of £240m extended to May 2030
  • Period-end gearing⁽³⁾ of 1.3x

• Growth drivers remain strong with the Group well positioned
  • Order book provides good visibility for second half and beyond
  • Strong pipeline of design wins and new opportunities
  • Active pipeline of acquisition opportunities
  • Group will benefit from recovering cyclical demand and reducing interest rates

• On track to deliver full year adjusted earnings in line with the Board’s expectations

⁽¹⁾ Organic growth for the Group compared with last year is calculated at CER and is shown excluding the first 12 months of acquisitions post completion (Hivolt was acquired in August 2024 and Burster in January 2025).

⁽²⁾ Free cash flow is cash flow available for the payment of dividends and investment in acquisitions. Free cash conversion is free cash flow divided by adjusted profit after tax. See definitions in note 7 of the attached condensed consolidated interim financial statements.

⁽³⁾ Gearing ratio is defined as net debt divided by Adjusted EBITDA (annualised for acquisitions).

⁽¹⁾ ‘Adjusted operating profit’, ‘Adjusted operating margin’, ‘Adjusted EBITDA’, ‘Adjusted profit before tax’, ’Adjusted EPS’, ‘Adjusted operating cash flow’ and ‘Free cash flow’ are non-IFRS financial measures used by the Directors to assess the performance of the Group. These measures exclude acquisition and disposal related costs (amortisation of acquired intangible assets of £8.2m less net acquisition and disposal credits of £0.3m) totalling £7.9m. Equivalent adjusting items within the H1 2024/25 adjusted results totalled £8.0m. ‘Adjusted EBITDA’ also excludes IFRS 16 leases adjustments, non-cash share-based payments cost and IAS19 pension costs in line with the Group’s banking covenants. For further information, see note 7 of the condensed consolidated interim financial statements.
⁽²⁾ Growth rates at constant exchange rates (“CER”). In calculating CER for the Period, the average Sterling rate of exchange strengthened 5% against the US Dollar but weakened 1% against the Euro and weakened 2% on average against the three Nordic currencies resulting in a 1% sales reduction for the Period.