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Business Review – Lucy Controls

STRATEGIC REPORT

consultation with local authorities, contractors and asset owners, it delivers better energy efficiency, improved recyclability and robust performance. Outlook Key strategic priorities for Lucy Controls in 2026 are to: develop core technologies and product ranges; grow sales in addressable markets; drive manufacturing efficiencies; improve customer touchpoints; and integrate Blakley Electrics. Each business has ample opportunities to grow and, following the Blakley Electrics acquisition, Lucy Controls will become a larger contributor to the Group. Much of the anticipated growth will come from placing an even sharper focus on their respective core businesses as they strive to maintain or achieve market leadership.

Lucy Zodion Following a Group-wide strategic review, we have made the decisive move to consolidate our capability in the EV sector, transferring those assets and people to the new EV Infrastructure business within Lucy Electric. This allows Zodion to sharpen its focus exclusively on core streetlighting capabilities. We have completed the site expansion of Sowerby Bridge, from where Lucy Zodion’s street lighting business and Lucy Electric’s EV Infrastructure transition from its former ‘Vision’ technology towards the Flashnet smart city technology platform and from 2026 will be selling exclusively the Flashnet product. This technology shift will provide Lucy Zodion with leading-edge hardware and software to serve the UK market. Our Hawk3 streetlighting photocell is setting new standards for smarter switching and was awarded a ‘Build Back Better Green Award’. This innovation helps councils cut costs and carbon while supporting safer streets. Informed by extensive business now both operate. Lucy Zodion has continued its

While hardware remains the primary revenue driver, we are looking toward a Solution Enablement model. This involves increasing the proportion of recurring revenue through our smart city software platform, with a target to grow this significantly to further expand customer relationships. In terms of CSR, we invested in local youth development and community programmes in Romania, utilising government tax credits where applicable. Lawson Fuses For Lawson Fuses, a solid UK business performance with further growth was offset by a decline internationally. It was a year of continuing to transition the manufacturing base from the UK to India, where we have doubled brought more automation into the manufacturing process, which is having a beneficial effect on costs. The brand remains a vital mark of quality and certification, serving as a barrier to entry for cheaper, uncertified imports. To address the international decline, we are investing in a stronger commercial infrastructure for 2026, ensuring the brand’s reputation for safety-critical reliability is properly resourced in global markets. We launched a new LSPN dual indicator fuse that has two visual indicators to show whether the fuse has blown. Its application is to protect highly sensitive semiconductors from overcurrent and short-circuit conditions, interrupting rapidly to prevent thermal and electrical damage. our footprint while remaining on the same site. We have also

“ Lucy Controls delivered a mixed performance this year, with Flashnet being a notable success, and we added a fourth business to the portfolio.”

Steve Currie

CEO Lucy Controls

The businesses within Lucy Controls are all in core technologies that offer growth potential, both domestically and internationally, within their specific sectors of focus. During the year, we have continued to build on the foundations that will allow these businesses to take advantage of growth opportunities and prosper. We are currently executing a strategic transition to ensure each business is fit for purpose, moving away from fragmented service offerings to focus on core technical strengths and scalable platforms.

and transformer products. An engineering centre is also located at the Harlow site. Flashnet Flashnet performed strongly, maintaining a healthy growth trajectory at both top and bottom line. We continued to leverage our efficient manufacturing base in Romania, taking advantage of enhancements made last year. The real key to success has been our technology and agility, identifying and responding rapidly to business opportunities as they arise. The US was the major growth region in 2025 and will remain a priority in 2026. We were able to extend the key contract won last year with Duke Energy in North Carolina. In addition, wins in other states provide us with strong traction and momentum. To support this, we have established a US company and hired dedicated business development staff to pursue further market penetration.

On top of development in North America, this year we have continued to grow further in Europe and the Middle East, with good opportunities in Asia Pacific and Latin America. The model is to extend commercial partnerships, finding third parties who are keen to work with our technology, who know their markets, and who understand the corresponding certification needs. We then invest up front in meeting these international product certifications.

Acquisition of Blakley Electrics

Steve Currie CEO Lucy Controls 24 March 2026

On 18 December 2025 we acquired Blakley Electrics Ltd., a UK market leader in power distribution systems and industrial lighting equipment. The acquisition strengthens Lucy’s position in the power and industrial lighting sectors and broadens the range of services provided to customers. It widens our infrastructure customer base to include sectors such as construction, rail, military and outdoor events. Blakley Electrics specialises in the design and manufacture of permanent and temporary LV power distribution equipment, protection products, site lighting and transformers. The company operates manufacturing facilities in Crayford, Kent, and Harlow, Essex, drawing on more than 50 years’ experience in specialist sheet metal fabrication and the electrical assembly of distribution, protection

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Lucy Group Ltd Annual Report & Accounts 2025

LUCYGROUP.COM

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