SDI Group plc

Good afternoon and welcome to the STI Group plc final results investor presentation. Throughout this recorded presentation investors will be in listen only mode. Questions are encouraged and they can be submitted at any time using the Q&A tab situated on the right hand corner of your screen. Simply type in your questions and press send. Before we begin I would like to submit the following poll and I would now like to hand you over to CEO Stephen Brown. Good afternoon.

Good afternoon and a warm welcome to today's final results for the year ended 30th of April 2026. I'm Stephen Brown, CEO of SDI Group and joining me is our CFO Amit Sharma and Group Head of Corporate Development James Dimitriou. Today we'll walk you through our group summary, provide an operational overview, present the financial results for FY26 and discuss the outlook for next year. At the end we will answer any questions you may have. First let me introduce you to the SDI Group. We are a buy and build group with at the year end 18 established businesses with over 550 employees operating from 19 locations worldwide. We operate a decentralized model that fosters autonomy, independence and agility, with our focus being on high growth scientific niche markets. We have a proven strategy of combining organic growth with earnings enhancing acquisitions, having made 21 since 2014. In FY26, we achieved a total group revenue of circa £75 million, and this came from growth from all three of our divisions. This is in fact the highest level in STI's history. Also, with our operations being geographically diverse, we export more than 70% of our highly specialised products to international markets. Our buy and build model relies on a compounding cycle of growth. This cycle focuses on two key pillars, organic and inorganic growth. Organic growth strategies include driving operational excellence and promoting synergies to foster group culture Our model works as cash flow generated from organic activities feeds inorganic growth where we seek to acquire complementary profitable business in niche markets and this all feeds back to create a compounding effect That will provide a bit more detail on what we delivered during the year. This financial year has been one of real momentum for the HDI Group, moving beyond simply proving our resilience to actively delivering growth. This year demonstrates the success of our unwavering focus of the strategy we deployed previously. We delivered solid financial performance with circa 13% increase in group revenues driven by robust demand and an 8% increase in second half organic growth. We are proud to report that we expanded our group level management team and intend to strengthen our capacity for portfolio management and supporting our growth strategy. Our growth is further driven by two acquisitions that perfectly align with our strict criteria. We are proud to welcome Severn Thermal Solutions and PRP Optoelectronics. I would now like to provide a bit more colour on some of our key organic growth initiatives undertaken during the year. We focused on extracting tangible value from a group network, identifying opportunities to improve efficiencies and market access, as well as potential cross-selling opportunities across the portfolio. We invested in modern ERP systems at Fraser, LT and Peak to build a more resilient and scalable infrastructure. We've seen great cross-divisional collaboration, such as MoMA Scientific partnering with Fraser Antistatic to develop a market leading product leveraging individual products from each business. We also saw a second appearance as a collective at Lab Innovations Expo bringing five of our businesses together under a single banner to showcase an integrated product offering at the UK's leading industry event. Also to foster internal talent We've invested strategically in our people, sponsoring five colleagues into level six CMI senior management apprenticeships, ultimately lead to top tier recognised qualifications. This strong initiative will continue to grow into FY27 and beyond and will include a cross section of levels. We do this as part of our goal of continually building a robust and sustainable business. I would now like to give an operational overview of the business at divisional level. First of all, it's worth reiterating that all three of our divisions deliver growth in FY26. Our industrial and scientific sensor segment delivered excellent revenue growth of 23% to £21 million. To pick a few businesses within the segment, Child Instruments enjoyed a phenomenal year expanding in Formula One to supply 10 of the 11 teams and securing aerospace contracts for Tempest and Halospace. Centex successfully secured a multi-million contract with a multinational healthcare client for custom electrochemical blood gas sensors and Peak Sensors had a phenomenal year driven by thermocouple projects in the glass industry. As per usual, we have continued product development across the Group. One example of new products launched in the period is MPB's new long series 1200 flow meter, which is designed for gas and liquid measurement, typically used in the laboratory, industrial, as well as process control environments. The division was further boosted by the addition of PRP optoelectronics, more to follow on PRP. Now to our laboratory equipment segment where revenues increased more than 12% to £27 million. I'd like to highlight a few of the successes within the division. Safelab secured a major £1.3 million government contract to supply over 100 Air One XP4 fume cupboards in the defence industry. Monmouth expanded its capabilities by forming a lucrative exclusive partnership for Marshall Cleanrooms. LTE received a bulk order for flexible bespoke drying cabinets for a major client and several thermal solutions acquired in June 2025 proved their technological capabilities by finishing the pilot program for a new vacuum furnace alongside the UK AEA. Among new product launches in the segment was Safelab's new Air One C700 ductless for circulating a fume cabinet designed for industrial labs, universities, research facilities and higher education environments. Finally, the industrial scientific product division seen solid performance across the division with revenues of 6% to £27 million. Added cameras performed very strongly, securing a $4 million professional astronomy contract and winning a Pivotable Integration into a prestigious Deep Space Observation Telescope project, the world's largest all-lens telescope. InspectVision continued to gain traction in North America, completing installations for key multinational companies across the aerospace, e-commerce and industrial manufacturing sectors and receiving the Best Award 2025 for Innovation at the leading industry conference. Brazier saw increased activity from South Korea. Scientific vacuum systems demonstrated strong customer stickiness, securing a £2.2 million contract with the leading global consumer brand and apply thermal control, releasing new portfolio products to address regulatory changes relating to phase downs, unbalance and F gases, as well as chillers able to survive an increasingly more common temperature extremes. But now I'd like to hand over to James to provide some more detail on the acquisitions undertaken during the period.

Thanks, Stephen. Yes, moving on to our inorganic strategic development. In FY26, we made two earnings enhancing acquisitions, both of which in line with our key criteria. Firstly, seven thermal solutions which we acquired in June 2025 for £4.8 million. They've got 11 employees and are based in Dursley, Gloucestershire and have been positioned into our lab equipment division. Seven are expert designers and manufacturers of specialist furnace systems and environmental chambers. These systems are capable of going from almost absolute zero to over 3000 degrees C. Their focus is on advanced material testing and processing applications, specifically within highly technical and high value markets such as aerospace, semiconductors, and most recently in the nuclear space, as Steve mentioned earlier. They will remain autonomous as part of our decentralized model. Our second and most recent acquisition PRP Octoelectronics was completed in February 2026 for a total consideration of 9.3 million. They're based in Swindon with 33 employees and they're sitting within our industrial and scientific census division. PRP are specialists in the design and manufacture of custom high performance micro LED systems. and whilst they make LED components for optics, industrial printing and purification systems, their core focus is the supply of mission-critical components such as instrumentation, awnings panels and switches for civil and military avionic platforms, including the Eurofighter Typhoon F-16, F-22 and the Airbus A320. PRP will also be kept autonomous as part of our structure. Since joining the Group, the integration of both companies has already gone very well, with the leaders of each business settling in and already exploring synergies across all divisions within the Group. I shall now hand you over to Amitabh for our financial overview of the year. Thank you James. Afternoon everyone.