New Order in a New Market

New Order in a New

Light Science Technologies Holdings plc (AIM: LST), comprising three divisions: controlled environment agriculture ("CEA"); contract electronics manufacturing ("CEM") and passive fire protection ("PFP"), is pleased to announce that its CEM division, UK Circuits and Electronics Solutions Limited ("UKC"), has received an order from a new client in the sports entertainment market segment. Valued at £130,000 and anticipated for delivery to the customer in April, this venture holds significant potential for follow on revenue in this new segment.

In addition, UKC has secured orders since the start of the current financial year totalling c.£1.4 million in the pest control sector, predominantly due for delivery in Q2 of the current financial year, underpinning management's confidence in current trading within the CEM division.

Highlights

• Positive start to current year
• Broadened customer base
• Positioned to further grow margins and target larger contracts

Following strategic investments totalling c.£150,000 throughout the course of FY23 and continuing in Q1 FY24, UKC has successfully commissioned conveyors, stackers, and a state-of-the-art wave soldering machine. These additions enhance automation and efficiency across its manufacturing lines and are expected to further bolster gross margin and product quality.

UKC continues to supply products to a growing number of customers across a range of market sectors and to target larger contracts which give better financial visibility. Currently, the forward order book for the CEM division stands at c.£4.1m, putting it on track, when combined with orders already invoiced, to meet internal sales expectations for the first half of the current year.

Simon Deacon, Chief Executive Officer of LSTH, commented: "This is a great start to the current financial year for our CEM division as it continues to successfully convert its strong forward order book, which currently stands at over £4m. Last year was this division's best year on record, successfully growing sales and increasing margins while operations were positioned to handle larger volume projects on the back of investment in equipment and staff training.

"We are extremely excited by the move into the sports entertainment market and look forward to further broadening our portfolio of customers. Furthermore, given the significant growth potential of our CEA and PFP divisions, we look forward to providing further updates in the coming months."

Nick Rome / Paul McManus

Controlled Environment Agriculture

The sensorGROW technology enables real-time monitoring of essential air zone growing factors such as carbon dioxide, air humidity, air pressure, air temperature, and light. In development, it aims to extend monitoring to soil temperature, soil moisture, and soil electroconductivity. This empowers farmers to enhance resource management, saving costs on water, nutrients, fertilizers, and energy, while simultaneously increasing yields and cultivating healthier crops. Learn more here https://lightsciencetech.com/sensorgrow/ . The nurturGROW sustainable grow lighting product range, applicable to greenhouses, vertical farming, polytunnels, and medicinal plants, addresses a robust market with an anticipated global worth exceeding US$6.5 billion by 2026. Explore solutions here https://lightsciencetech.com/solutions/greenhouse/

Contract Electronics Manufacturing (https://www.ukcircuits.co.uk/)

Passive Fire Protection (https://injectafirebarrier.com/)

LSTH IFB offers a practical and cost-effective solution to rectify non-compliant public and private buildings, spanning residential, commercial, and industrial sectors, with regard to fire safety regulations-a challenge addressed by a £5.1 billion allocation from the UK government. Serving as the UK's premier independent approved installer, LSTH IFB utilizes the ground-breaking Injectaclad fire-resistant graphite barrier system. This system is retroactively installed within building cavities, reinstating fire-resistant performance and containing the spread of fire and smoke compliant with regulatory requirements. This innovative solution stands out as an appealing alternative to the more costly and disruptive method of removing external facades and installing traditional fire barriers. With a proven track record in the passive fire protection market and a robust sales pipeline, LSTH IFB targets a UK market potentially valued at up to £50 billion.