NOTES TO THE GROUP CONSOLIDATED FINANCIAL STATEMENTS CONTINUED FOR THE YEAR ENDED 31 MARCH 2026
5. Operating segment information continued
5. Operating segment information continued Other segment information
Segment assets and liabilities For the purposes of monitoring segment performance and allocating resources between segments, the Directors monitor the net assets attributable to each segment. Assets and liabilities are allocated to reportable segments, with the exception of the pension liability, tax assets and liabilities, cash, borrowings and overdrafts, central assets (Head Office assets) and central liabilities (Head Office liabilities), as shown below:
Depreciation and amortisation (a)
Additions to non-current assets (b)
2025 (restated) £m
2025 (restated) £m
2026 £m
2026 £m
Magnetics & Controls £m
Sensing & Connectivity £m
2026 Assets and liabilities
Unallocated £m
Total £m 224.6 330.5 555.1
16.2 12.5 0.4 29.1
21.3
Magnetics & Controls Sensing & Connectivity
16.3 11.7 0.4 28.4
12.4 37.0
5.6 0.5
145.3 154.1 299.4
79.3
Segment assets (excluding goodwill and other intangible assets)
Central
0.1
176.4 255.7
Goodwill and other intangible assets
27.4
49.5
a Includes depreciation and amortisation of right-of-use assets, property, plant and equipment, and intangibles. b Magnetics & Controls additions to non-current assets comprised intangible assets £5.4m (2025: £0.5m), goodwill £2.9m (2025: £nil), right-of-use assets £9.6m (2025: £8.0m) and tangible assets £3.4m (2025: £3.9m). Sensing & Connectivity additions to non-current assets comprised intangible assets £0.3m (2025: £11.9m), goodwill £nil (2025: £15.5m), right-of-use assets £2.9m (2025: £6.5m) and tangible assets £2.4m (2025: £3.1m). Central additions to non-current assets comprised right-of-use assets of £0.4m (2025: £0.1m) and intangible assets of £0.1m (2025: £nil). Geographical information The Group’s revenue from external customers based on customer locations and information about its non-current segment assets by geographical location are detailed below:
3.8
3.8
Central assets
125.3
125.3
Cash and cash equivalents Current and deferred tax assets
10.4
10.4
Total assets
299.4 (84.9)
255.7
139.5
694.6 (124.6)
(39.7)
Segment liabilities Central liabilities Pension liability Loans and borrowings
(9.9) (0.2)
(9.9) (0.2)
(205.8) (25.5) (241.4) (101.9)
(205.8)
Revenue from external customers
Non-current assets
(25.5)
Current and deferred tax liabilities
Total liabilities
(84.9) 214.5
(39.7) 216.0
(366.0)
2026 £m
2025 £m
2026 £m 126.2 145.9 123.0 395.1
2025 £m 137.0 135.5 124.4 396.9
Net assets/(liabilities)
328.6
45.2
UK
52.8
Magnetics & Controls £m
Sensing & Connectivity £m
229.0 169.1 443.3
Europe
199.4 170.7 422.9
2025 (restated) Assets and liabilities
Unallocated £m
Total £m 204.1 336.4 540.5
North America, Asia and Rest of world
Segment assets (excluding goodwill and other intangible assets)
123.7 155.1 278.8
80.4 181.3 261.7
Goodwill and other intangible assets
In the year ended 31 March 2026, the Group had no single customer that represented 10% or more of total Group revenue (2025: no customer). 6. Adjusted performance measures These Financial Statements include adjusted performance measures that are not prepared in accordance with IFRS. These alternative performance measures have been selected by management to assist them in making operating decisions as they represent the underlying operating performance of the Group and facilitate internal comparisons of performance over time. Adjusted performance measures are presented in these Financial Statements as management believes they provide investors with a means of evaluating performance of the Group on a consistent basis, similar to the way in which management evaluates performance, that is not otherwise apparent on an IFRS basis, given that certain strategic non-recurring and acquisition-related items that management does not believe are indicative of the underlying operating performance of the Group are included when preparing financial measures under IFRS. The trading results of acquired businesses are included in adjusted performance. The Directors consider there to be the following key adjusted performance measures: Adjusted operating profit “Adjusted operating profit” is defined as operating profit excluding acquisition and disposal-related costs. Acquisition and disposal-related costs include “acquisition and disposal expenses” which comprise transaction costs relating to acquisitions and disposals, fair value adjustment on acquired inventory and costs related to integration and restructuring of acquired businesses into the Group; “contingent consideration relating to the retention of former owners of acquired businesses and adjustments to previously estimated contingent consideration” and “amortisation of acquired intangible assets”.
Central assets
3.6
3.6
Cash and cash equivalents Current and deferred tax assets
139.3
139.3
11.6
11.6
Total assets
278.8
261.7 (49.2)
154.5
695.0
Segment liabilities Central liabilities 1 Pension liability
(66.4)
(115.6)
(8.1) (0.5)
(8.1) (0.5)
Loans and borrowings
(233.6) (29.2) (271.4) (116.9)
(233.6)
Current and deferred tax liabilities
(29.2)
Total liabilities
(66.4) 212.4
(49.2) 212.5
(387.0) 308.0
Net assets/(liabilities)
1 Central liability and segment liabilities for the S&C division have been restated by £5.8m, from £13.9m to £8.1m and from £43.4m to £49.2m, respectively, to correctly present liabilities that relate to the S&C division.
166
167
discoverIE Group plc Innovative Electronics
Annual Report and Accounts for the year ended 31 March 2026
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