_{Petards Group plc (AIM: PEG), the AIM quoted developer of advanced security, communication and surveillance systems, is pleased to report its interim results for the six months ended 30 June 2026.}

_{Key Highlights:}

• _Financial
  • _{Adjusted EBITDA profit up over 50% to £781,000 (H1 2025: £509,000)¹}
  • _{Revenue £7.7 million (H1 2025: £7.9 million)}
  • _{Increased gross profit margins to 52.2% (H1 2025: 48.7%)}
  • _{Operating profit £14,000 (H1 2025: £185,000 loss)}
  • _{Cash generated from operating activities £894,000 (H1 2025: £860,000)}
  • _{Net debt reduced to £1,155,000 (31 Dec 2025: net debt £1,339,000)²}
  • _{Diluted EPS loss of 0.15p (H1 2025: loss of 0.51p)}
• _Operational
  • _{Improved trading conditions for Rail and Defence continued into 2026}
  • _{QRO trading rebounded from weaker H2 2025}
  • _{Strong contribution from recurring revenues at all Group operations}
  • _{Order book at 30 June 2026 of £9.6 million (31 Dec 2025: £9.2 million)}
  • _{Cash generative operating performance}

_{¹ Earnings before financial income and expenses, tax, depreciation, amortisation and share based payments}

_{² Net debt comprises cash and cash equivalents less interest-bearing loans and borrowings (excluding lease liabilities)}

_{Commenting on the current outlook, Raschid Abdullah, Chairman, said:}

“The upward trend in the Group’s trading performance has continued into 2026, particularly in Rail and Defence where order intake has seen improvements over that of recent years. This in turn has driven greater operational efficiencies in those areas and improvements in gross profit margin.

This has led to the order book at 30 June 2026 increasing to £9.6 million (31 December 2025: £9.2 million) which has been supplemented by the further Rail orders announced in August.

We expect the Group to continue to generate cash in the second half, and for a further reduction in net debt by the year end.

The board remains confident that the Group will perform well over the remainder of the year, and with the benefit of its current order book, it expects to deliver another significant improvement in its results over those achieved in 2025.”

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This announcement contains inside information for the purposes of Article 7 of the UK version of Regulation (EU) No 596/2014 which is part of UK law by virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.

Contacts:

Petards Group plc  | www.petards.com(opens in new tab)
Raschid Abdullah, Chairman  | Mob: 07768 905 004

Zeus Capital Limited, Nomad and Joint Broker  |  Tel: 020 3829 5000
Mike Coe / Darshan Patel (Investment Banking)

Hybridan LLP, Joint Broker  | www.hybridan.com(opens in new tab)
Claire Louise Noyce  | Tel: 020 3764 2341  | claire.noyce@hybridan.com