First Half Trading Update

Strong trading momentum driving earnings upgrade

discoverIE Group plc (LSE: DSCV, "discoverIE" or "the Group"), a leading international designer and manufacturer of customised electronics to industry, today issues a trading update for the first six months of the financial year ending 31 March 2027 ("the Period" or "H1").

Group sales grew by +8% organically(1) for the Period (Q1: +6%, Q2: +10%), led by the Magnetics & Controls division ("M&C": +13%) with strong demand in industrial electrification, renewable energy and security sectors. Organic sales growth in the Sensing & Connectivity division ("S&C") of +1% (+5% higher than H2 last year) reflects longer supply lead times in certain segments and a tougher prior year comparator. With a strong order book, S&C growth is expected to accelerate in the second half. Including contributions from recent acquisitions, total Group sales increased by +13% CER(2) with reported sales increasing by +14%.

Group orders increased by +22% organically (M&C +25% and S&C +18%), and by +30% CER, resulting in a book-to-bill ratio of 1.12 and a strong order book supporting expectations for good growth in H2.

Acquired businesses are performing well and regulatory approval for the acquisition of 3Gmetalworx ("3G") is well progressed.

The positive outlook continues with full year adjusted earnings running ahead of the Board's expectations and driving strong earnings growth over last year.

Good operating cash flow generation has continued with gearing(3) expected to be 1.6x at 30 September 2026. Following the acquisition of 3G, gearing at 31 March 2027 is expected to be c.1.8x leaving good capacity to support our acquisition pipeline.

With strong trading momentum, a healthy order book and pipeline of design wins, and further acquisition opportunities, discoverIE is well positioned to build on the long-term track record of continued compounding growth through the cycle.

The interim results will be released on 2 December 2026.

• 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.
• Growth rates refer to the comparable prior year period unless stated. In calculating CER for the Period, the average Sterling rate of exchange remained stable against the Euro and US Dollar while weakening 3% on average against the three Nordic currencies.
• Gearing ratio is defined as net debt divided by Adjusted EBITDA (annualised for acquisitions).