Strategic Collaboration and Trading Update

11 September 2025

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF REGULATION (EU) 596/2014 (AS IT FORMS PART OF UK DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018).

Strategic Collaboration with Interfloor and trading update

Haydale (AIM: HAYD), the advanced materials group, is pleased to announce a strategic collaboration with Interfloor Limited, which is Europe's largest manufacturer of carpet underlay and flooring accessories, to integrate JustHeat heater inserts into Interfloor's flooring systems, creating a new category of ready-to-install solutions.

This agreement with Interfloor, combined with recent product shipments, the addition of new channel partners, and the successful delivery of a 70% cost reduction, highlights Haydale's transition from certification to early commercialisation and provides the platform to scale revenues in FY26.

Interfloor Collaboration

In April 2025, the Company's first commercial installation of JustHeat was completed at the offices of Interfloor Limited, owner of the Tredaire and Duralay brands. Following successful testing, Haydale has now signed a strategic Collaboration Agreement with Interfloor.

Under the agreement, Haydale and Interfloor will collaborate to integrate JustHeat heater inserts with Interfloor's market-leading underlays and specified coverings, creating a new range of solutions for launch in H2 FY26.

With exports to 400+ customers in over 70 countries and weekly deliveries to more than 2,000 UK outlets, Interfloor provides a powerful route to specification-led adoption of JustHeat through established retail, distributor and contractor networks. Interfloor is part of Victoria plc (AIM: VCP), the international flooring group.

Additional Channel Partners

Initial orders have now shipped to the channel partners announced in June, and further partners are being added to extend geographic and sectoral reach across the UK. Building on the UL certification achieved in June, the Company will shortly begin trials with a new US channel partner, marking an important step in its international expansion.

The current pipeline remains strongest in residential (owner-occupied and social housing) and residential-adjacent sectors (care homes, student accommodation), while the Company also sees opportunities in broader commercial and specialist applications, including modular housing and mobile homes.

Supply Chain

Haydale has established dedicated JustHeat print capacity in Changsha through a processing agreement with Hunan Heidai Graphene Materials, a specialist in printed electronics and conductive inks. Haydale's functionalised graphene inks continue to be manufactured in Wales, with printing undertaken in Changsha under the agreement. With capacity of c.1,000 linear metres per day, the facility is ready to support channel-partner roll-outs - providing scalable production without significant capex investment - while Haydale retains ownership of its IP and materials.

The processing arrangement confers standard processing-trade customs benefits on movement of goods into and out of the facility, reducing logistics cost and lead times. The site has passed a production audit by Underwriters Laboratories (UL), the global safety certification and testing organisation. This follows the UL certification of JustHeat panels announced in June 2025, ensuring that offshore production meets internationally recognised quality standards.

Cost Restructuring

In line with the cost restructuring programme outlined in March 2025 in the Company's interim results, Haydale achieved monthly run-rate costs reduction below £200,000 by the end of FY25. This represents a 70% reduction from FY24 overhead run rates. This leaner cost base, combined with growing commercial traction, underpins the Board's confidence in delivering a capital-light growth model. The Company's unaudited cash balance as at the end of August 2025 was £1.92m.

Simon Turek, CEO of Haydale:

"This collaboration with Interfloor is a transformational step for JustHeat. It places our graphene-enabled heating technology directly into the product lines of one of Europe's most trusted flooring brands, providing a route to scale that few early-stage technologies achieve so quickly. Combined with our streamlined cost base and scalable supply chain, Haydale is positioned to deliver real commercial momentum in the months ahead."

Gary McEwan, CEO of Interfloor:

"Interfloor is always looking for innovations that deliver value to our customers and sustainability to the built environment. Partnering with Haydale allows us to integrate a cutting-edge heating solution into our well-established underlay products. We believe JustHeat has the potential to redefine comfort and efficiency in flooring systems across residential and commercial markets."

For further information

Haydale Graphene Industries plc

Simon Turek, Chief Executive Officer Tel: +44 (0) 1269 842946

Gareth Kaminski-Cook, Non-Executive Chair

Patrick Carter, Chief Financial Officer

www.haydale.com

Cavendish Capital Markets Limited (Nominated Adviser & Broker)

Julian Blunt / Edward Whiley / Trisyia Jamaludin Tel: +44 (0) 20 7220 0500

Corporate Finance

Andrew Burdis, ECM