OUR BUSINESS MODEL: HOW WE CREATE ENDURING VALUE
Our business model is simple. We design and manufacture niche, customised electronic components for industrial original equipment manufacturers (“OEMs”) operating in growth markets.
We add value by providing our customers with an end-to-end solution for critical components. By acting as an extension of our customers’ engineering teams, we help them create ever-better solutions and guarantee a reliable, long-term supply of the components. This business model is resilient, proven by the Group’s robust and consistent financial track record.
Our resources and key enablers
Our core activities
Sustainable approach
How we do it differently
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The value we create
Our people Many of our c.4,600 colleagues 1 worldwide are long‑serving, providing continuity, deep technical expertise and trusted customer relationships. This stability underpins long‑term relationships and repeat business. We encourage local employment and talent development so teams have a deep understanding of the markets and customers they serve. Our expertise For over three decades, we have built deep expertise and technical know‑how in specialist electronics. Teams of electronic, mechanical and software engineers have strong knowledge of core technologies and experience across a wide range of applications and end markets. This breadth and depth enable close customer collaboration and the development of innovative, reliable solutions. Our intellectual property We retain intellectual property rights for products designed and developed for customers. In addition, we have proprietary technologies applied across many customised products, creating barriers to entry and enhancing customer value. Our manufacturing capability We operate 41 manufacturing facilities in 18 countries, including China, Hungary, India, Mexico, Poland, Slovakia, Slovenia, Sri Lanka, Thailand, the UK and the USA. This global footprint enables consistent, reliable production close to customers. Our financial strength Our robust balance sheet and strong cash generation provide financial flexibility and resilience. It enables us to continue investing in our people, technologies and operational capabilities, whilst supporting expansion into new geographies and markets.
A decentralised model We operate a decentralised operating model. Our portfolio of over 30 operating businesses, each specialising in distinct technologies, is grouped into two divisions – Magnetics & Controls and Sensing & Connectivity – each with two operating units. Supported by Group central resources, each business operates independently under its own brand and management team within a clearly defined control framework aligned with discoverIE’s shared vision and strategic goals. This decentralised approach empowers local leadership teams, fostering a strong sense of ownership, accountability and entrepreneurial decision-making close to customers and markets. Collaboration through clustering
Customers Quality, reliability and efficiency. 100% on-time, in-full delivery target Suppliers Reliable partnerships and shared knowledge Employees Empowering and collaborative culture, and a healthy and safe environment 12% Voluntary employee turnover Shareholders Attractive returns and growth opportunities 267% Ten-year total shareholder return Communities Contribution to local employment, tax revenue, community engagement and decarbonisation £25.8m tax and social security contributions in FY 2025/26 68% reduction in Scope 1 and 2 carbon emissions since CY2021
The demand for energy-efficient, sustainable technologies continues to rise, and we are well positioned to capitalise on the value creation opportunities this shift presents. However, growth is not our only goal. As a company, we recognise our broader responsibility to help shape not just a more connected and intelligent world, but a more sustainable one. Sustainability is embedded throughout discoverIE. We focus on markets that align with the UN Sustainable Development Goals, and we design durable, energy-efficient products that minimise servicing or replacement needs. We understand that sustainability is a collective effort. By collaborating with our customers on their sustainability journeys, we help them meet their sustainability goals, whilst working to achieve our own.
Our core activity is the design and manufacture of specialist electronic components for industrial applications. Our strength lies in the deep understanding of our customers’ design and system challenges, which enables us to engineer customised solutions tailored to specific requirements. We also provide a reliable and consistent supply of products throughout the lifecycle of the end system. Design and customise Our engineers work closely with our customers, primarily OEMs, to develop
Common purpose and strategic goals
Shared knowledge and expertise
better solutions to solve complex technical challenges. This often
requires adapting standard products or designing new, bespoke solutions that are optimised for the customer’s application, performance requirements and operating environment. Manufacture and testing Manufacturing bespoke and low- volume, high-complexity products requires a flexible and technically capable production model. Our technical know-how and in-house manufacturing capabilities give us control over the production process, ensuring both quality and reliability. Products are subject to rigorous testing, often exceeding standard requirements, to meet demanding industrial and
Financial support
ESG guidance and support
Strategic guidance
M&A support
Our Planet Creating a positive
impact on our environment
Economies of scale
Risk management
Our People Keeping our people safe and happy Our Products Ensuring product
To encourage collaboration and knowledge-sharing, businesses with complementary or related technologies within each operating unit are grouped into clusters. These clusters are led by the leadership teams of the largest operating businesses, minimising layers of management and avoiding unnecessary bureaucracy. This flat structure supports faster decision-making and greater agility, enabling businesses to respond effectively to changing customer needs and market conditions. Together, decentralisation and clustering allow our operating businesses to combine the benefits of autonomy and agility with the advantages of scale, collaboration and shared expertise across the Group. Group support and governance Group head office functions, including finance, legal, M&A, IT, HR, communications and sustainability, provide support to enable our businesses to grow and operate efficiently. The Group’s Risk and Internal Audit function ensures compliance and effective controls, as well as robust risk management across the Group.
regulatory standards. Deliver globally
With manufacturing facilities in the Americas, Europe and Asia, we are able to manufacture close to our customers, reducing logistics risk and shortening delivery lead times. This global footprint supports resilient supply chains and enables us to provide customers with a dependable supply of products throughout the lifetime of the end system design.
reliability and sustainability
▶ Read more about our Sustainability priorities and progress on pages 42 to 73
1 Including all full-time and part-time employees, contractors and agency labour.
Empowerment We inspire growth and
Collaboration We work together, trust and respect each other
Positive impact We care about the environment and societies we live in and commit to making a positive impact
Guided by our values These are the fundamental beliefs and principles that guide our decision making:
Integrity We act with honesty and openness, treating our partners and stakeholders fairly
Quality We strive for excellence and make continuous improvements that deliver superior value to our customers
innovation by providing an entrepreneurial environment
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discoverIE Group plc Innovative Electronics
Annual Report and Accounts for the year ended 31 March 2026
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