Capital Markets Day & Retail Investor Presentation

Positioned to build upon H2 net profitability

Light Science Technologies Holdings plc (AIM: LST), the innovative technology and manufacturing business providing real-world solutions targeting issues including global food security and fire safety, is, as previously announced, hosting its Capital Markets Day for analysts and institutional investors this morning.

Building on record Group revenue and gross profit margin for the 12 month period ending 30 November 2024 (unaudited), with increasing quoted pipelines across all divisions worth c.£50m, the Group traded profitably during H2. Management will talk to the changing divisional mix and key growth drivers. This will include deep-dives into the various business segments and product portfolio, highlighting the continued focus on organic and acquisitive growth with the Group targeting net profitability and being operationally self-funded.

The slide deck from the event, which contains no new material information, will be uploaded to the Company's website later today.

Continued growth across the Group

The Group continues to perform in line with management expectations, and with a growing pipeline underpinning management's confidence.

With a growing product suite, incorporating turnkey solutions, software and the development of a full environmental sensor, which enables the Group to provide bespoke solutions to an increasing number of potential end users including broadacre, the Group is renaming its controlled environment agriculture division ("CEA") to AgTech ("AGT"), to better reflect the breadth of its capabilities.

This division continues to provide significant growth opportunities, with a quoted pipeline worth over £40m - significantly boosted by the recently announced partnership with Agrolux. To this end it is commencing a trial in March for a fruit crop which could lead to an order covering over three hectares of lighting, with further projects expected in the near to medium term.

The forward order book within the Contract Electronics Manufacturing ("CEM") division is currently worth over £2.7m, with sports entertainment in particular growing at pace. The Group has also recently been awarded 'Made in Britain' accreditation, which management believes will help drive further demand, with increasing levels of onshoring back to the UK.

The Passive Fire Protection ("PFP") quoted pipeline has grown to c.£15m. As previously highlighted, this high margin growth is underpinned by legislative backing, with the Group benefiting from growing levels of repeat work from existing clients. Additionally, this division continues to receive orders from new clients, with recent projects wins including one in Wakefield and one in Greenwich.

Importantly, there is a significant need for targeted, cost effective and scalable solutions, with 11,000 buildings over 18m high and 33,000 buildings between 11m and 18m high requiring remediation works, underpinning a £50 billion* total estimated market opportunity.

Platform for growth

The continuing trends of increasing levels of order book conversion and growing contributions from AGT and PFP divisions are underpinning enhanced Group margin growth, which is expected to be maintained as the rebalancing of the portfolio and sales mix continues. With AGT and PFP divisional gross margins of 40-50% - approximately double those that are typically achieved within CEM, the Group is well positioned to benefit from scaling of revenues in these divisions as it focuses on building on profitable trading during H2 2024.

Retail Investor Presentation

As previously announced, management will be providing a recording of the Capital Markets Day on the LSTH website following the event and investors are invited to watch this in their own time.

The Company will host a retail investor Q&A session to discuss the Capital Markets Day via the Investor Meet Company ("IMC") platform. This will take place in March, with the date to coincide with the announcement of audited results for the year ended 30 November 2024.

Investors can sign up to IMC for free and register to meet the Company via the following link:

Those investors who have already registered on the IMC platform to meet the Company will automatically be invited once the timing of the event has been finalised.

Simon Deacon, CEO of LSTH commented: "I am delighted with the continued progress across the business. Since joining the market three years ago we have worked hard to position the Group for strong organic and acquisitive growth. We are well positioned across exciting growth markets and have a team in place to build on the strong growth momentum. I very much look forward to presenting to institutional investors and analysts this morning and look forward to presenting to our loyal retail investor base in due course."

* Estimators price cladding replacement at 10 times government budget

Nick Rome / Joe Walker

AgTech

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*.