Interim Results

Strip Tinning Holdings PLC

17 September 2026

 

17 September 2026

Strip Tinning Holdings plc

("Strip Tinning" or the "Company")

     Interim Results

Trading in line with expectations

Foundation set for planned production ramp-up

On track to deliver FY26 Adjusted EBITDA profitability

Strip Tinning Holdings plc (AIM: STG), a leading manufacturer of specialist electrical connection systems, is pleased to announce its unaudited results for the six months ended 30 June 2026.

H1 2026 performance was in line with Board expectations, with continued delivery against the Group’s objectives of delivering serial production for its major nominations, scaling efficiently, and restoring profitability.

Key Financials: 

• Revenue increased 18% to £5.4 million (H1 2025: £4.5 million)
• Battery Technologies revenue increased 62% to £1.9 million (H1 2025: £1.2 million)
• Glazing revenue increased 3% to £3.4 million (H1 2025: £3.3 million)
• Gross profit increased 3% to £2.1 million, with gross margin of 38.3% (H1 2025: £2.0 million and 44.1%). The prior-period margin benefited from the delivery of higher-margin pre-serial prototypes. Moreover, H1 2026 saw increased outsourcing costs as a result of delayed capital expenditure. These extra costs were removed by the end of H1 2026
• Adjusted1 EBITDA loss reduced by 49% to £0.15 million (H1 2025: £0.28 million)
• Operating cash outflow of £0.3 million (H1 2025: inflow of £0.4 million); period-end cash of £0.2 million (H1 2025: £0.1 million), with a further £0.2 million available under the CID facility and subsequently strengthened by a loan of £250k as announced on 7 September The Group also received an R&D tax credit refund of £264k in July 2026
• Basic loss per share2 reduced by 12.3% to 7.05p (H1 2025: 8.04p)

Operational Highlights:

• The Battery Technologies ("BT") division entered serial production in Q2 2026 for its major Cell Contacting System ("CCS") nomination, marking a significant milestone following several years of development
• The first smart-glass PDLC nomination entered serial production in early Q2 2026 on a well-known European SUV
• The second smart-glass PDLC nomination entered serial production in Q2 2026, ahead of the original Q3 schedule; together, the two PDLC nominations have an aggregate lifetime sales value of £18.6 million
• During H1 2026, management focused on launch readiness, capacity expansion, production planning, supply-chain resilience and cost control.
• The Group was awarded a £3.0 million DRIVE35 grant to support UK manufacturing scale-up, specialist skills and global delivery of CCS technology. Phase 1 conditions were satisfied, the Grant Offer Letter was signed with Innovate UK allowing the project to spend £0.6m while Phase 2 sign off is completed.

Outlook:

• With a strong order book, serial production on the major CCS nomination having commenced, and with volumes on the two smart-glass nominations climbing, the Board is expecting growth to ramp up in the second half and remains confident of meeting full-year market expectations3

• Long-term growth drivers remain positive, as the contracted programmes ramp over several years.
• The aggregate lifetime sales value of existing contracts remains above £100 million

Mark Perrins, Chief Executive Officer, commented:

“During H1 2026 we delivered three major programme launches while continuing to strengthen capacity, processes and operational discipline. With these nominations now in serial production and DRIVE35 funding supporting the next stage of scale-up, we enter H2 2026 with a clearer path to deliver sustainable profitable growth and capitalise on an expanding pipeline of opportunities.”

1 Adjusted EBITDA is earnings before interest, tax, depreciation and amortisation, adjusted for FX impacts, share-based payments, restructuring,    loss on disposal of fixed assets, R&D tax credit fees, fair value movements on the derivative CLN liability and fundraise fees, as applicable.

2 Based on weighted average number of shares in the period

3 Strip Tinning understands that, as at the date of this announcement, market expectations for the year ending 31 December 2026 are revenue of £13.2 million and Adjusted EBITDA of £0.6 million (Source: FactSet).

Enquiries:
Strip Tinning Holdings plc Mark Perrins, Chief Executive Officer Kevin Edwards, Chief Financial Officer
Singer Capital Markets (Nominated Adviser and Sole Broker) Shaun Dobson James Fischer	[phone]

A copy of this announcement will be available to view on the Company’s website at www.striptinning.com

Paul George, Non-Executive Chairman of Strip Tinning

I am pleased to present the unaudited results of Strip Tinning for the six months ended 30 June 2026.

These interim results demonstrate the significant operational and commercial progress made in recent months, supported by the focus of our executive team and employees and the continued support of the Board and key stakeholders. We maintained tight control of cash while preparing the three major programmes won in 2024 for commercial launch. Importantly, the major CCS nomination entered serial production in Q2 2026, the first smart-glass nomination entered serial production in early Q2, and the second smart-glass nomination entered production during Q2, ahead of its original Q3 schedule. The benefit of the planned volume ramp-up is expected to be more fully reflected in the second half of 2026 and beyond.

Following the period end, all phase 1 conditions attached to the £3.0 million DRIVE35 Scale-up grant were satisfied, the Grant Offer Letter was signed, allowing the project to spend £0.6m while Phase 2 sign off is completed. The grant strengthens the Group’s liquidity position, to facilitate higher contracted volumes and provide additional capacity to pursue new business. The loan of £250k announced on 7 September was to support the working capital position while we expand the CID facility. As the Group progresses towards cash generation and profitability, the Board expects pressure on net debt to ease in Q2 2027. The Board will continue to evaluate funding options that could reduce balance-sheet leverage and fund new business opportunities.

Having established the production capability required to support the increased volumes under contracts already won, the Group is now better positioned to pursue further business opportunities while maintaining its focus on execution.

Chief Executive Officer’s Review

Revenue grew by 18% compared with H1 2025, reflecting the successful launch of the three major programmes and the beginning of their volume ramp-up.

Gross margin

Gross profit increased by 3% to £2.1 million, while gross margin reduced to 38.3% from 44.1%, principally effected by a lower proportion of pre-serial pricing in the sales mix and increased outsourcing costs whilst additional capital equipment came online. As production volumes scale, management expects operating efficiencies to improve gross margin to the Group’s target average of 40%.

Operational execution and efficiency

During H1 2026, management focus was on launch readiness, capacity expansion, production planning, supply-chain resilience and cost control. Specific measures implemented during H1 2026 included greater automation; additional die-cutting capacity to reduce reliance on third-party suppliers and increase output; process improvements to support accuracy at higher volumes; additional clean-room infrastructure to improve efficiency and reduce scrap; and 3D automated optical inspection of every part to strengthen quality assurance. Additional die-cutting capacity to reduce reliance on third-party suppliers and increase output was implemented at the end of H1 2026.

These actions increased output across all nominations while maintaining quality, establishing a stronger operational foundation for the planned production ramp-up over the next 18 months. Management expects further output and scrap-reduction benefits as volumes increase.

High-growth product segments

Battery Technologies revenue increased 62% to £1.9 million (H1 2025: £1.2 million), driven by the CCS programme ramp-up and continued investment in electrification and autonomous mobility. The £3.0 million DRIVE35 grant announced on 10 August 2026 is intended to support further scale-up and build on the expansion already under way, including the additional production facility leased in March 2026.

The strategic transition since the 2022 IPO from simpler connectors towards higher-value smart-glass and battery-interconnect products is now well established. On current expectations, revenue from these product segments in 2026 is expected to be approximately seven times that in 2022. This progress has been achieved despite the loss of revenue from the Russian market, US tariffs and significant increases in metal and other input costs. The Group has responded by securing major new nominations and building the capability to deliver them. Successful execution of the contracted ramp-up is expected to return the Group to Adjusted EBITDA profitability in H2 2026.

Order book and outlook

Based on the Group’s order book entering H2 2026 and trading since the period end, the Board remains confident of meeting full-year market expectations. Customer orders received since 30 June 2026 support this confidence.

The automotive sector remains challenging, with tariffs and geopolitical uncertainty continuing to affect the market and feed through to volatility from our customers. Despite this backdrop, demand for the  recently launched programmes remains encouraging, with the group’s targeted market segments of smart glass, battery electrification and autonomous mobility displaying structural growth

With all three major programmes in serial production and volumes ramping, the Group expects 2026 performance to strengthen in H2 2026.

The DRIVE35 funding is intended to support the ramp-up of existing contracts while enabling the Group to deploy resources towards further opportunities.

The Group continues to strengthen its processes and infrastructure to support the planned ramp-up through 2027 and 2028, while pursuing further nominations to support growth from 2028 onwards.

The Board will continue to monitor programme ramp-up and trading conditions closely.

Chief Financial Officer’s Review

Revenue growth and the reduction in Adjusted EBITDA loss demonstrate the improving operating trajectory as the new programmes entered serial production. H1 2026 cash usage reflected investment in working capital and capacity to support the launches. The Group ended the period with cash of £0.2 million and £0.2 million of undrawn availability under the existing CID facility. In July 2026, the Group received an R&D tax refund of £0.27 million from HMRC. Based on its current forecasts and available facilities, the Board believes the Group has sufficient resources to support delivery of its current nominations.

Net debt, defined as borrowings (including term loans, revolving credit facilities, invoice-discounting balances and asset finance less cash and cash equivalents, but excluding IFRS 16 lease liabilities and the principal and accrued interest on the convertible loan notes), was £2.6 million at 30 June 2026 (31 December 2025: £1.1 million). The increase principally reflected a £0.7 million rise in invoice-discounting balances to fund growth in sales and inventory, together with investment in fixed assets to support the programme ramp-up.

On 7 September, the Group announced that it had secured a short term loan of £250k to help with short term cash flow as it transitions to a larger CID facility. Net debt is expected to rise modestly until Q2 2027 and then start to fall as the Group progresses towards cash generation. The Board will continue to evaluate funding options that could reduce balance-sheet leverage and support new business opportunities if required.

KPIs

The Company uses Adjusted EBITDA as a key performance measure. A reconciliation to the statement of consolidated comprehensive income is set out below.

Adjusted EBITDA improved during H1 2026, reflecting disciplined cost control while the Group successfully delivered its major programme launches. As production volumes have increased during H2 2026, the Group has moved into positive Adjusted EBITDA and remains on track to meet the current full-year market expectation of £0.6 million.

	Unaudited Six months ended 30	Unaudited Six months ended 30
	June 2026	June 2025
	£'000	£'000
Adjusted EBITDA	(145)	(282)
Depreciation	(408)	(406)
Amortisation	(116)	(87)
Loss on disposal of fixed assets	(13)	-
Foreign Exchange	-	(3)
R&D tax credit fees	2	(122)
Reorganisation (Staff Exceptionals )	-	(36)
Share Based Payments	(157)	(115)
Fundraise Fees in Income Statement	-	(97)
Operating Loss	(837)	(1,148)
Financing Costs (excluding FX)	(434)	(368)
Foreign Exchange Adjustment on Derivative CLN Liability	(14)	(42)
Tax	-	93
Net Loss	(1,285)	(1,465)

Principal Risks & Uncertainties

The Group’s risk profile has improved since the publication of the Annual Report for the year ended 31 December 2025. In particular, the commencement of serial production on the Cell Contacting System programme and the securing of the DRIVE35 grant have reduced elements of development and funding risk and strengthened the Group’s ability to scale its Cell Contacting System and FPC capabilities.

The transition to higher-volume production nevertheless requires careful management of programme delivery, customer demand, operational performance, liquidity and working capital. The expanded invoice-discounting facility is intended to grow in line with the Group’s working-capital requirements and support its planned progression towards cash generation. The remaining principal risks and uncertainties are otherwise materially consistent with those described in the 2025 Annual Report.

Statement of Consolidated Comprehensive Income for the six months ended 30 June 2026

	Note	Unaudited   Six months ended 30 June  2026			Unaudited   Six months ended 30 June  2025
		£’000			£’000
Revenue	3	5,354			4,532
Cost of sales		(3,301)			(2,533)
Gross profit		2,053			1,999
Other operating income	4	258			8
Administrative expenses		(3,148)			(3,155)
Operating loss		(837)			(1,148)
Finance costs		(434)			(368)
Revaluation of derivative liability		(14)			(42)
Loss before taxation		(1,285)			(1,558)
Taxation	6	-			93
Loss and total comprehensive expense for the period		(1,285)			(1,465)
Loss per share (pence)
Basic and diluted	7	(7.05)			(8.04)

Consolidated Statement of Financial Position as at 30 June 2026

	Notes		Unaudited 30 June 2026		Audited 31 December 2025			Unaudited 30 June 2025
			£’000		£’000			£’000
ASSETS
Non-current assets
Intangible assets			2,899		2,653			2,505
Right-of-use assets			1,362		728			788
Property, plant and equipment			3,292		3,070			3,231
			7,553		6,451			6,525
Current assets
Inventories			1,406		1,072			1,020
Trade and other receivables			2,333		2,066			2,160
Corporation tax receivable			360		202			572
Cash and cash equivalents			212		617			84
			4,311		3,957			3,336
Total assets			11,864		10,408			10,361
LIABILITIES
Current liabilities
Trade and other payables			(3,192)		(2,557)			(1,643)
Borrowings			(1,966)		(1,129)			(586)
Lease liabilities			(309)		(183)			(164)
			(5,467)		(3,869)			(2,393)
Non-current liabilities
Borrowings			(5,158)		(4,672)			(4,596)
Derivative liability			(734)		(720)			(1,548)
Lease liabilities			(1,109)		(630)			(731)
Provisions			(272)		(265)			(257)
			(7,273)		(6,287)			(7,132)
Total liabilities			(12,740)		(10,156)			(9,525)
Net assets			(876)		252			836
EQUITY
Share capital	8		182		182			182
Share premium account			7,931		7,931			7,931
Merger reserve			(100)		(100)			(100)
Other reserve			(3)		(3)			(3)
Retained earnings			(8,886)		(7,758)			(7,174)
Total equity			(876)		252			836

Consolidated statement of changes in equity

	Share capital		Share premium		Merger reserve			Other reserve		Retained earnings	Total equity
	£’000		£’000		£’000			£’000		£’000	£’000
At 1 January 2025	182		7,931		(100)			(3)		(5,824)	2,186
Loss and total comprehensive expense for the period	-		-		-			-		(1,465)	(1,465)
Share based payment	-		-		-			-		115	115
At 30 June 2025	182		7,931		(100)			(3)		(7,174)	836
Loss and total comprehensive expense for the period	-		-		-			-		(642)	(642)
Share based payment	-		-		-			-		58	58
At 31 December 2025	182		7,931		(100)			(3)		(7,758)	252
Loss and total comprehensive expense for the period	-		-		-			-		(1,285)	(1,285)
Share based payment	-		-		-			-		157	157
At 30 June 2026	182		7,931		(100)			(3)		(8,886)	(876)

Consolidated statement of cash flows for the six months ended 30 June 2026

			Unaudited Six months ended 30 June 2026			Unaudited Six months ended 30 June 2025
			£’000		£’000
Cash flow from operating activities
Loss for the financial period			(1,285)		(1,465)
Adjustment for:
Depreciation of property, plant and equipment			297		321
Depreciation of right-of-use assets			111		85
Amortisation of intangible assets			116		87
Loss on sale of tangible fixed assets			27		-
Amortisation of government grants			-		(8)
Share based payment			157		115
Derivative liability fair value revaluation			14		42
Finance costs			434		368
Taxation credit			-		(93)
Changes in working capital:
Decrease/(increase) in inventories			(334)		290
Increase in trade and other receivables			(333)		(17)
Increase in trade and other payables			636		8
Cash used in operations			(160)		(267)
Income tax receivable/received			(158)		698
Net cash from/(used in) operating activities			(318)		431
Cash flow from investing activities
Purchase of property, plant and equipment			(546)		(142)
Purchase of intangible assets			(362)		(362)
Net cash used in investing activities			(908)		(504)

Cash flow from financing activities
Interest paid		(142)		(112)
Grants received		65		12
Payment of lease liabilities		(140)		(41)
Hire purchase finance received		317		(106)
Invoice discounting finance advanced		708		-
Loan finance received		300		-
Loan repayments		(44)		-
Repayment of capital element of hire purchase contracts		(243)		(108)
Net cash generated from/(used in) financing activities		821		(355)
(Decrease) in cash and cash equivalents		(405)		(428)
Net cash and cash equivalents at beginning of the period		617		512
Net cash and cash equivalents at end of the period (all cash balances)		212		84

Notes to the interim consolidated financial statements for the six months ended 30 June 2026

1. Corporate information

Strip Tinning Holdings plc is a public company incorporated in the United Kingdom. The registered address of the Company is Arden Business Park, Arden Road, Frankley, Birmingham, West Midlands, B45 0JA.

The principal activity of the Company and its subsidiary (the ‘Group’) is the manufacture of automotive busbar, ancillary connectors and flexible printed circuits.

2. Accounting policies

Basis of preparation

This unaudited condensed consolidated interim financial information has been prepared using the recognition and measurement principles of UK-adopted international accounting standards and accounting policies consistent with those applied in the Group’s annual financial statements for the year ended 31 December 2025. It has not been prepared in full compliance with IAS 34, Interim Financial Reporting. The accounting policies applied by the Group are consistent with those set out in the financial statements for the year ended 31 December 2025 and those expected to be applied in the financial statements for the year ending 31 December 2026. No standards, interpretations or amendments that are not yet effective are expected to have a material effect on the Group’s future financial statements.

The financial information does not contain all of the information that is required to be disclosed in a full set of IFRS financial statements. The financial information for the six months ended 30 June 2026 and 30 June 2025 is unreviewed and unaudited and does not constitute the Group’s statutory financial statements for those periods.

The comparative financial information for the full year ended 31 December 2025 has, however, been derived from the audited statutory financial statements for Strip Tinning Holdings plc for that period. A copy of those statutory financial statements has been delivered to the Registrar of Companies. The auditor’s report on those accounts was unqualified and did not contain a statement under section 498(2)-(3) of the Companies Act 2006.

These policies have been applied consistently to all periods presented, unless otherwise stated.

The interim financial information has been prepared under the historical cost convention, except for items required to be measured at fair value, including share-based payments and the derivative liability. The financial information and accompanying notes are presented in thousands of pounds sterling (‘£’000’), the functional and presentation currency of the Group, except where otherwise indicated.

Going concern

After making appropriate enquiries, the directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for at least twelve months from the date of approval of the financial information.

In reaching this conclusion, the directors have considered the Group’s base-case going concern model, its available financing arrangements and the realistic mitigating actions available to management if required. The directors have also taken account of the Group’s improved financial and operational position, which provides an increasingly solid foundation for the business, while remaining mindful of the uncertainties inherent in forecasting future trading and cash flows.

Based on this assessment, the directors are satisfied that the Group has adequate resources to meet its obligations as they fall due and therefore continue to adopt the going concern basis in preparing the Group’s financial information.

3. Segmental and geographical destination reporting

IFRS 8, Operating Segments, requires operating segments to be identified on the basis of internal reports regularly reviewed by the Company’s chief operating decision maker. The chief operating decision maker is considered to be the executive Directors.

Operating segments are monitored by the chief operating decision maker, and strategic decisions are made using adjusted segment operating results. All assets and liabilities are located in the United Kingdom, and all revenues are derived from UK operations. Separate management information is prepared at revenue and gross-profit level for the Glazing and Battery Technologies segments, as follows:

	Glazing	BT	Total
6 months ended 30 June 2026	£’000	£’000	£’000
Revenue	3,429	1,925	5,354
Cost of sales	(2,449)	(852)	(3,301)
Gross profit	980	1,073	2,053

	Glazing	BT	Total
6 months ended 30 June 2025	£’000	£’000	£’000
Revenue	3,344	1,188	4,532
Cost of sales	(2,200)	(333)	(2,533)
Gross profit	1,144	854	1,999

Revenue from the largest customers, including customer groups, each representing more than 10% of total revenue in the period, was as follows (three customers in 2026; four customers in 2025):

			Six months ended 30 June 2026		Six months ended 30 June 2025
			£’000		£’000
Customer A			1,670		647
Customer B			644		-
Customer C			644		-
Customer D			-		647
Customer E			-		419
Customer F			-		344

All revenue is recognised at a point in time and relates to the sale of automotive busbars, ancillary connectors and flexible printed circuit products. Revenue by geographical destination is as follows:

	Six months ended 30 June 2026			Six months ended 30 June 2025
	£’000			£’000
UK	324			625
Rest of Europe	2,251			1,891
Rest of the World	2,779			2,015
	5,354			4,532

4. Other operating income

	Six months ended 30   June 2026			Six months ended 30 June 2025
	£’000			£’000
Government revenue development grants	100			-
Research and Development Expenditure Credit (‘RDEC’) income	158
Amortisation of capital grants	-			8
	258			8

The Group was awarded a £0.835 million UK innovation development grant in respect of revenue expenditure. Of this amount, £100,000 was recognised in the first half of 2026 and £31,000 in the second half of 2025. The remaining grant income is expected to be recognised by the end of the first half of 2028.

5. Exceptional costs

	Six months ended 30 June 2026				Six months ended 30 June 2025
	£’000			£’000
Reorganisation (Staff Exceptionals)	-			36

No redundancy costs were incurred in the first half of 2026. The prior-period charge related to the redundancy of seven direct manufacturing employees and was treated as exceptional because it represented a significant proportion of the direct manufacturing workforce.

6. Income tax

	Six months ended 30 June 2026			Six months ended 30 June 2025
	£’000			£’000
Current tax:
UK corporation tax	-			93
Adjustments in respect of prior periods	-			-
Total current tax credit	-			93
Deferred tax:
Origination and reversal of temporary differences	-			-
Total deferred tax credit	-			-
Total tax credit	-			93

The credit for the period can be reconciled to the loss for the period as follows:

			Six months ended 30 June 2026		Six months ended 30 June 2025
			£’000		£’000
Loss before taxation			(1,271)		(1,558)
Income tax calculated at 25% (2025: 25%)			(318)		(390)
Expenses not deductible including derivative liability fair value movements			(220)		40
Enhanced research and development allowances			(115)		(108)
Deferred tax not recognised			528		225
Surrender of losses for R&D Credit			125		140
Effect of differing deferred tax and current period tax rates			-		-
Total tax credit			-		(93)

The tax rate used to calculate deferred tax is 25% at 30 June 2026 (2025: 25%), being the rate at which the timing differences were expected to unwind based on enacted UK corporate tax legislation at each balance sheet date.

A deferred tax asset has not been recognised in respect of losses carried forward because it is not yet considered sufficiently probable that those losses will be utilised in the short term.

7. Earnings per share

The calculation of the basic and diluted earnings per share is based on the following data:

Earnings		Six months ended 30 June 2026					Six months ended 30 June 2025
		£’000					£’000
Loss for the purpose of basic and diluted earnings per share being net loss attributable to the shareholders		(1,285)					(1,465)
	Six months ended 30 June 2026							Six months ended 30 June 2025
Number of shares
Weighted average number of ordinary £0.01 shares for the purposes of basic and diluted loss per share	18,225,089							18,225,089

There were options in place over 3,178,416 shares at 30 June 2026 (2025: 1,697,741) that were anti-dilutive at the period end but which may dilute future earnings per share.

8. Share capital

There have been no movements in share capital in the period or comparative period.

	Number of £0.01 shares			Nominal		Share premium
				£’000		£’000
At 1 January 2025 and at 30 June 2025 and 2026	18,225,089			182		7,931

9. Post balance sheet events

On 10 August 2026, the Group announced that it had secured grant funding of up to £3.0 million under the DRIVE35 programme to support the expansion of its Cell Contacting System and flexible printed circuit capability. The award remains subject to the conditions and phased approvals described in the grant documentation. At the date of approval of these interim financial statements, the Group had authority to incur eligible expenditure of up to £0.6 million pending approval of the final phase.

In July 2026, the Group received an R&D tax refund of £264,000 relating to 2025 Year end claim.

Except as disclosed above, there were no material events after the reporting date requiring disclosure or adjustment in these interim financial statements.

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END