AGM Trading Update

15 January 2026

AB Dynamics plc

AGM Trading Update

AB Dynamics plc ("AB Dynamics", the "Company" or the "Group"), the designer, manufacturer and supplier of advanced testing, simulation and measurement products to the global transport market issues the following trading update, to coincide with the Company's Annual General Meeting taking place later today.

Current trading

The positive trading momentum in the final quarter of FY25 has continued during the four months to 31 December 2025, with order intake in the period of £46m (four months to 31 December 2024: £48m).

The delivery phasing from order intake in the final quarter of FY25 and in early FY26 is expected to result in a trading performance weighted approximately 40% / 60% towards the second half of the current year, set against the context of a greater first half bias in FY25 than typically expected.

Financial position and cash flow

The Group's financial position remains robust with net cash at 31 December 2025 of £35.5m (31 December 2024: £23.2m / 31 August 2025: £41.4m), which provides significant flexibility for the Group to take advantage of its active pipeline of potential acquisition targets. Operating cash generation in FY26 is expected to have a similar second half bias to revenue, reflecting the investment in working capital on orders received through the turn of the year.

Outlook

The Group is geographically diversified, OEM and powertrain agnostic, selling into R&D and testing functions, providing resilience against short-term automotive industry production headwinds. Future growth prospects remain supported by strengthening long-term structural and regulatory growth drivers in active safety, autonomous systems and the automation of vehicle applications, underpinning our medium-term financial objectives. We are continuing to invest in new product development and have the capacity to accelerate progress with further value creating acquisitions.

Underlying demand drivers remain strong, and the increased customer activity seen towards the end of the last financial year has continued into FY26. As a result, the Group carries forward £50m (31 December 2024: £42m) of orders, which together with revenue already delivered provides c50% cover of FY26 expected revenue. The order book includes £14m expected to be delivered in FY27, building visibility into the medium term.

Whilst mindful of any short-term macroeconomic disruption driven by geopolitical events, the Board remains confident that the Group will make further financial and strategic progress this year and expects to deliver FY26 adjusted operating profit in line with current expectations1.

Commenting, Sarah Matthews-DeMers, Chief Executive Officer said:

"Encouragingly, underlying demand drivers remain strong, and the increased customer activity seen towards the end of the last financial year continued into FY26.

"Whilst mindful of any short-term macroeconomic disruption driven by geopolitical events, the Board remains confident that the Group will make further financial and strategic progress this year and expects to deliver FY26 adjusted operating profit in line with current expectations1."

1 Company compiled analyst expectations is for a mean adjusted operating profit for the year ended 31 August 2026 of £24.5m.

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About AB Dynamics plc

AB Dynamics is a leading designer, manufacturer and supplier of advanced testing, simulation and measurement products and services to the global transport market.

AB Dynamics is an international group of companies headquartered in Bradford on Avon. AB Dynamics currently supplies all the major automotive manufacturers, Tier 1 suppliers and service providers, who routinely use the Group's products to test and verify vehicle safety systems and dynamics.