The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 which is part of UK law by virtue of the European Union (withdrawal) Act 2018. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

23 September 2025

Transense Technologies plc

("Transense" or the "Company")

Final results for the year ended 30 June 2025

& notice of investor presentation

Transense Technologies plc (AIM: TRT), the provider of specialist sensor systems, announces its final results for the year ended 30 June 2025.

The Company has made excellent strategic and financial progress during the year, with total revenue rising by 33% and profit before tax increasing by 12%. The Company's two business segments-SAWsense and Translogik-have both shown significant growth, supported by investments in engineering, manufacturing, and product development.

SAWsense has transitioned from a licensing model to a full-service solution, resulting in increased customer engagement and revenue conversion, particularly in robotics, aerospace, motorsport, and electric propulsion markets. A pilot production line and next-generation component development are underway to support future scalability.

Translogik has undergone a transformation, expanding its customer base beyond global tyre manufacturers to include direct sales in the road haulage and transport sectors. This shift has been supported by new software partnerships, subscription models, and improved in-house manufacturing capabilities. The business unit has built a stronger pipeline and revamped its sales structure to accelerate growth in FY26. New product variants and pricing strategies are also expected to enhance competitiveness and market reach.

Royalty income from Bridgestone iTrack increased by 19% to £3.11m, although future income will reduce due to a scheduled royalty rate cut. The Company maintains a strong financial position with growing net assets and distributable reserves, and continues to invest in growth. 

Early trading in the new financial year shows promising momentum in both SAWsense and Translogik, with healthy order books and customer pipelines indicating a positive outlook for sustained strategic value and investor returns.

Financial highlights:

•        Total revenue up 33% to £5.55m (FY24: £4.18m)

•        SAWsense revenue up 149% to £1.12m (FY24: 0.45m)

•        Translogik revenue up 18% to £1.32m (FY24: £1.12m)

•        Bridgestone iTrack royalty income up 19% to £3.11m (FY24: £2.61m)

•        Gross margin up to 89.9% of revenue (FY24: 87.6%)

•           Profit before taxation up 12% to £1.41m (FY24:  £1.26m)

•           Cash and cash equivalents at year end of £1.14m (FY24: £1.28m)

•            Distributable reserves at year end of £4.85m (FY24: £3.44m)

Executive Chairman of Transense, Nigel Rogers, said:

"Excellent progress was made in executing our strategy during the year, and we continue to deliver financial results in line with market expectation.  Since the sale of iTrack in June 2020 the Group has achieved consistent growth from its operating businesses.  SAWsense revenues have increased from £0.1m to more than £1.1m in the year to 30 June 2025, and growth in Translogik in the same period has moved from £0.5m to more than £1.3m.

During these five years the Group's strategy has focused on building the revenue base of both SAWsense and Translogik to maintain profitability at around the current level despite the expected  reduction in Bridgestone royalty income of around £1m in FY26.

The Board remains confident that this can be achieved.  The visibility of future revenues is improving continuously, although does not yet extend to a full year ahead in granular detail.  Accordingly, the directors maintain close attention to short term forecasting to maintain flexibility during each year.

Looking towards the medium to long term, the board are satisfied that the conditions are in place to deliver significant strategic value and investor returns, whilst managing cash headroom and investing in the people, products and equipment that are necessary to capitalise on these exciting opportunities."

Investor Presentation: 4pm, Tuesday 23 September 2025

Nigel Rogers (Executive Chairman), Ryan Maughan (Managing Director) and Melvyn Segal (Chief Financial Officer) will provide a presentation to review the Company's annual results and prospects at 4pm on Monday 23 September 2025. The presentation will be hosted through the online platform Investor Meet Company.

To attend the presentation, investors can sign up to Investor Meet Company for free and select to meet Transense Technologies plc via the following link:https://www.investormeetcompany.com/transense-technologies-plc/register-investor. Investors who have already registered and selected to meet the Company will automatically be invited to the presentation.

Questions can be submitted in real time during the presentation via the "Ask a Question" function.

For further information please visit www.transense.com or contact:

Notes to Editors:

Transense is headquartered in Oxfordshire, UK and its shares are traded on AIM, a market operated by the London Stock Exchange (AIM: TRT). The Company develops and supplies advanced sensor technology and measurement solutions used by some of the world's leading companies to improve performance, efficiency, and safety in demanding, mission critical applications. Transense currently operates through two active business segments:

·      SAWsense - designs, supplies and licences advanced sensor solutions based on proven, patent protected Surface Acoustic Wave (SAW) technology to world leading companies in aerospace, automotive, and industrial machinery (including robotics), enabling improved efficiency and performance of their products. Key customers include GE Aerospace, Parker Meggitt, Motion Applied (formerly McLaren Applied), Airbus and several other confidential Tier One automotive, aerospace and industrial machinery suppliers.

·      Translogik - develops smart, connected commercial vehicle tyre inspection equipment to many of the world's leading tyre suppliers, fleet operators and service centres.  This enables accurate measurement and digital capture of safety-critical tyre condition data, and is used to reduce operating costs, improve safety and provide audit records for regulatory compliance. Key customers include Bridgestone, Goodyear, Continental and Prometeon (Pirelli), leading independent providers of vehicle fleet maintenance management software, and a growing list of international territory distribution partners.

In addition, Transense earns residual royalty income from Bridgestone iTrack - a tyre monitoring system for off-highway vehicles that was developed by Translogik. The associated sales, support and development infrastructure were sold to Bridgestone Corporation, the world's largest tyre producer, in June 2020, and the intellectual property was licensed exclusively to Bridgestone under a ten-year deal expiring in 2030.

Find out more at: https://www.transense.com/

CHAIRMAN'S STATEMENT

The Company has made excellent progress in the execution of strategy during the year, whilst continuing to deliver financial results in line with market expectation.

Business Strategy

The business strategy of the Company is to commercialise innovative sensing and measurement solutions through its two active business segments: SAWsense and Translogik. 

SAWsense develops and supplies advanced sensor solutions for accurate, non-contact measurement of torque, force, pressure, and temperature. Using patent-protected Surface Acoustic Wave (SAW) sensor technology, SAWsense serves blue-chip customers in Robotics, Aerospace, Electric Motors and Drives (EMD), and Motorsport. The company has a skilled engineering team and is investing in technology and manufacturing process development to support customer demand and future growth.   

Translogik, develops and supplies smart, connected tyre inspection equipment, primarily for the truck and bus market. Translogik has historically sold tyre inspection tools to major tyre manufacturers for their managed tyre operations. The company now resells accompanying software and is investing in new hardware products to expand its solutions to a growing global customer base.

In addition, the Company earns residual royalty income from Bridgestone iTrack, a system developed by the Company for monitoring mining haul tyre performance which was licensed to Bridgestone Corporation for a ten-year period expiring in 2030.

Financial Overview

Total revenue increased 33% to £5.55m and profit before tax was up 12% to £1.41m. 

Operating cash flow of £2.05m represented cash conversion of 145% of operating profit, and this was matched by investment in plant, equipment and development costs of £2.09m. 

The financial position continued to strengthen with net assets increasing to £7.12m or 47 pence per share (FY24: £5.57m and 37 pence respectively), and available cash resources stood at £1.14m (FY24: £1.28m).  The company holds shares for treasury at total cost of £1.03m; an average cost of £0.84p per share. Distributable reserves (net of treasury shares) closed at £4.85m (FY24: £3.44m).

The directors are confident that the Company has the financial resources necessary to continue to fund expected growth in the business, invest for the future, and consider further returns to shareholders.

Business Overview

The financial year ending June 2025 witnessed substantial progress in the development of both the SAWsense and Translogik business units, evidenced in the growth in revenues, order book, and pipeline for these two business units.

SAWsense

SAWsense revenue more than doubled to reach £1.12m (FY24: £0.45m). The net operating loss for the segment reduced by 35% to £0.46m (FY24: £0.71m), as the business unit continues to make progress towards stand-alone profitability. 

The business model for SAWsense has been transformed in recent years.  SAW technology was originally presented by Transense to customers using a licensing model, under which customers were free to develop application engineering and source components in exchange for a licence fee and unit royalty.  Whilst this approach met with some initial success, the high level of risk customers faced due to challenges with application engineering, industrialisation, and supply chains was limiting the potential of the business.

Under current management, SAWsense has addressed these issues by building an engineering and production capability to offer customers a full-service solution, substantially lowering their risk of adopting this "new" technology.  This has generated much higher levels of incoming enquiries and vastly improved conversion to revenue. 

Revenue is generated from production assemblies made at our facility at Weston on the Green in low- to mid-volume, sale of approved components for authorised customers to build into their own assemblies where higher volumes justify their own production capabilities, non-recurring engineering (NRE) charges for application engineering, prototyping and development of future products, as well as securing government grant-support for collaborative development activity with key customers.  

Revenue for each of these categories increased as follows:

SAWsense continues to focus on four market sectors in which there are applications with clear differentiated benefits and strong customer pull: Aerospace, Electric Motors & Drives (EMD), Industrial Machinery (including Robotics) and Motorsport.  There is demonstrable commercial traction in each of these areas, with higher revenues, increased order books and more incoming enquiries across all four.

Revenue was distributed as follows:

SAWsense has quickly gained traction in the rapidly growing robotics market, winning exciting development programmes with leading global technology businesses and building a strong pipeline of new opportunities.  These programmes are expected to contribute significantly to revenue in the next financial year and represent an opportunity for rapid growth in the near-term if our customers' new products are launched as planned, and are successful in the market.

The Company continues to work with Motion Applied (MA), formerly known as McLaren Applied, in the motorsport market. MA is an excellent partner with a global presence and is the market leader for control electronics and telemetry software solutions working with almost every major racing team and championship in the world.  This partnership has delivered significant revenue growth in FY25 and should be a major driver of growth in the new financial year if opportunities in the pipeline meet expectations.

The Company has made progress in the Electric Motors and Drives (EMD) market, working with leading global tier 1 suppliers of electric propulsion systems for the automotive and eBike markets. Work continues on existing projects and develop new opportunities in this sector. Revenues from engineering will continue to grow in the near-term and there is a significant opportunity for mid-term progress into production.

SAWsense is firmly established in the aerospace market, and the Company is engaged in programmes with leading aerospace businesses.  During the year, the Company has become more deeply engaged as a key supplier to GE Aerospace for the T901 and other engine programmes.  The sector represents a robust longer-term opportunity, and will contribute significantly to revenue in the new financial year, both from engineering development and component sales.

Continued investment has been committed in the development of key SAW components and manufacturing processes to support future customer programmes continues, adding substantial long-term value to the business.

With sales momentum gathering pace, a pilot production line is being installed at the Weston on the Green facility. This line will allow the Company to demonstrate semi-automated, high-volume capable manufacturing processes for the preparation of incoming machined parts, placement of sensing elements, installation of RF couplers and automated calibration of finished assemblies.  The pilot line will help to de-risk adoption by higher volume customers and also provide capacity to significantly improve processes that have historically been performed manually for niche low volume manufacture. It is envisaged that some customers will seek to bring similar capabilities in-house to their own facilities, or those of Tier 1 suppliers, and purchase approved components from SAWsense to fulfil their demand.

In addition to commissioning the pilot line, there are also programmes underway to design and develop a suite of next-generation components including innovative sensing elements and a new Application Specific Integrated Circuit (ASIC).  These investment programmes commenced late in FY24, progressed through FY25 and are due for completion during FY26.

Revenue visibility is gaining strong momentum, with FY25 order intake already outpacing revenues. The year-end order book reached £0.24m (FY24: £0.12m), excluding grant income. With a growing pipeline of larger, higher-quality opportunities, management is investing in SAWsense at record levels to scale rapidly and unlock an exciting growth trajectory.

Translogik

Our range of tyre inspection equipment marketed under the Translogik brand generated revenue of £1.32m; an increase of 18% over the prior year (FY24: £1.12m).  Gross margin improved by 8% to 62% (FY24: 54%) as a result of bringing assembly of the product range in-house in the early part of the financial year.  The segmental overhead increased from £0.22m to £0.45m, reflecting the recruitment of people in operations and product development.  The segmental operating profit for the year was almost unchanged at £0.37m, although the cost base now in place is sufficient to support much higher activity levels as new products are launched and customers are converted.

Historically, the market for Translogik products was with global tyre manufacturers who use the tools in their commercial vehicle businesses to enable rapid and accurate tyre inspection data to be captured. This data is analysed using the customer's own software systems to help manage large fleet tyre usage and deliver traceable records for legislative compliance.

Significant opportunities to grow more direct business in the road haulage and transport sector are now underway, by providing tyre inspection tools and data management software to a wider section of the market.   This includes partnering with software providers, both as resellers of our hardware and as providers of software to bundle and offer our customers on subscription.  It also includes appointing stockholding distributors in key overseas territories to expand geographical reach.

Translogik has undergone transformative change this year. New in-house manufacturing has delivered enhanced throughput, quality, and margins. Significant growth in sales to new customers and through new routes to market reduced dependence on a small group of global tyre manufacturer customers. Revenue opportunities have been created through software partnerships and subscription sales.

The transformation proved timely and would have resulted in stronger revenue growth were it not for a temporary pause in demand from one global tyre major unconnected with our products.  Growth in the business, adjusted to reflect the contribution from this customer, would have been over 50% compared with the prior year.

Revenue by customer type was as follows:

Towards the end of the financial year the sales structure of Translogik was revamped, in order to refocus on the conversion of strategic customer relationships and development of a longer term pipeline with better visibility.  The effects are already evident and are expected to accelerate growth in FY26.

This activity is supported by product initiatives, including more competitive pricing of premium models achieved by passing through savings achieved by in-house assembly and better sourcing of components. There are also new variants and complementary products close to launch in coming months.  The business unit is now well-positioned for future growth, adding new customers, routes to market, and investing in new product development.

iTrack Royalty Income

Royalty income from Bridgestone iTrack generated income of £3.11m during the year, representing an increase of 19% over the prior year (FY23: £2.61m). The underlying volume increase was somewhat greater at 24% but was diluted by a weakening of the US dollar conversion rate in the second half of the financial year. Over the five completed years since the inception of the licence, it has generated more than £10m in royalty income.   New installations in the year ran at the highest rate since inception of the iTrack deal and the closing annualised royalty rate was US$4.03m. This financial year represented the final year at the full royalty rate, which will reduce by 40% in the current financial year in accordance with the licence agreement.

Current Trading and Outlook

Revenues for SAWsense and Translogik combined for the first two months of the current financial year to 30 June 2026 (FY26) are 23% up on the equivalent period last year. The royalty income from Bridgestone iTrack for the same period has reduced by approximately 30% reflecting the reduction in the unit rate effective from the start of July 2025 offset by the volume increase.

The SAWsense open order book currently stands at £0.47m (excluding grant income) having started FY26 at £0.24m. Translogik revenues, which have historically been transactional with minimal forward order book, will now benefit from a significant contracted subscription deal which will impact in FY26, and an expanding pipeline of new customer opportunities.

Since the sale of iTrack in June 2020 the Group has achieved consistent growth from its operating businesses.  SAWsense revenues have increased from less than £0.1m to more than £1.1m in the year to 30 June 2025, and growth in Translogik in the same period has moved from £0.5m to more than £1.3m.

During these five years the Group's strategy has focused on building the revenue base of both SAWsense and Translogik to maintain profitability at around the current level despite the expected reduction in royalty income of around £1m in FY26.

The Board remain confident that this can be achieved.  The visibility of future revenues is improving continuously, although does not yet extend to a full year ahead in granular detail.  Accordingly, the directors maintain close attention to short-term forecasting to maintain flexibility during each year.

Looking towards the medium to long term, the Board are satisfied that the conditions are in place to deliver significant strategic value and investor returns, whilst managing cash headroom and investing in the people, products and equipment that are necessary to capitalise on these exciting opportunities.

Consolidated Statement of Comprehensive Income

For the year ended 30 June 2025

Consolidated Balance Sheet

At 30 June 2025

Consolidated Statement of Changes in Equity

For the year ended 30 June 2025

Consolidated Cash Flow Statement

For the year ended 30 June 2025

NOTES RELATING TO THE COMPANY FINANCIAL STATEMENTS

BASIS OF PREPARATION

The consolidated statement of comprehensive income, the consolidated balance sheet, the consolidated statement of changes in equity, the consolidated cash flow statement and the associated notes for the year ended 30 June 2025 have been extracted from the Group's financial statements upon which the auditor's opinion is unqualified and does not include any statement under section 498 of the Companies Act 2006.

Whilst the financial information included in this preliminary announcement has been computed in accordance with UK adopted international accounting standards, this announcement does not itself contain sufficient information to comply with all IFRS disclosure requirements. The Company's 2024 Annual Report and Accounts will be prepared in compliance with UK-adopted International Accounting Standards (IFRS).

1          SEGMENT INFORMATION

The Company had three reportable segments being the unique trading divisions, SAWsense and Translogik, which make use of technology developed by the Company to measure and record temperature, pressure and torque, and the iTrack royalty activity in respect of income from licensed technology.

Revenue and EBITDA are the Company's key focus and in turn is the main performance measure adopted by management.

The tables below set out the Company's revenue split and operating segments. These disclose information for continuing operations and in view of their relative size, information for discontinued operations. The disposal of iTrack operations will result in future royalty income replacing direct sales income and costs.

Revenue

iTrack Royalty                                                  3,114                2,610

Grant Income                                                      388                   -

Total Revenue                                                  5,550                4,180

Segments        

During the year ended 30 June 2025 there was 1 customer (2024: 1) whose turnover accounted for more than 10% of the Company's total continuing revenue as follows:

2          TAXATION

Recognised in the statement of comprehensive income in respect of continuing operations

Reconciliation of effective tax rate

The applicable UK corporation tax rate is 25% (2024: 25%). The Group has tax losses, subject to agreement by HM Revenue and Customs, in the sum of £19.3m (2024: £20.7m), which are available for offset against future profits of the same trade. There is no expiry date for tax losses. An appropriate deferred tax asset is being recognised as the Group is able to demonstrate a reasonable expectation of sufficient future taxable profits arising in order to utilise the losses.

3          EARNINGS PER SHARE

Basic profit per share is calculated by dividing the profit by the weighted average number of ordinary shares in issue during the year of 15,219,884 (2024: 15,446,993). This excludes treasury shares held by the Company.

There are 1,532,500 share options and no warrants in place at 30 June 2025 (1,532,500 share options at 30 June 2024).