Slide 1: H1 2026 Results Presentation
H1 2026 Results Presentation 7 September 2026
Slide 2: Disclaimer
IQE plc Disclaimer This presentation has been prepared by IQE plc solely for information purposes and should Although IQE plc believes that the expectations, estimates and projections constituting any not be considered to be an offer or solicitation to buy, sell or subscribe for any securities, forw
Slide 3: Welcome
Welcome Jutta Meier Chief Executive Officer
Slide 4: Delivering commercial and strategic progress
IQE plc Delivering commercial and strategic progress Conclusion of MACOM Tower $14m AI and Quintessent Inc. Strategic Technology Semiconductor data centre Purchase agreement for Review Solutions Multi-year Indium order the supply of Quantum Dot Laser epitaxy Phosphide epiwafer £81m total investment
Slide 5: Strong demand across all core markets
IQE plc Strong demand across all core markets Multiple routes into high-growth sectors AI and Consumer Aerospace and Communications Automotive and data centres electronics defence infrastructure industrial InP, GaAs, GaN GaAs, GaN GaN, GaAs, GaSb, InP, InP, GaN, GaAs GaN, GaAs, GaSb InSb • InP and G
Slide 6: Operational excellence
IQE plc Operational excellence Strengthening oversight and continuous improvement • Improving yields, output and operational efficiencies • Matthew Geen appointed as Chief Operating Officer to drive further progress and strengthen operational oversight • New customer engagement model driving supply
Slide 7: Financial review
Financial review H1 2026 Results Presentation
Slide 8: H1 2026 revenue: £64.6m
IQE plc H1 2026 revenue: £64.6m Total Wireless Total Photonics Revenue Up Revenue Up £26.0m 40% £38.5m 45% year-on-year year-on-year • Market share gains and increased sales of wireless mobile • Continued growth in AI and data centre-related markets connectivity solutions across newly qualified cust
Slide 9: H1 2026 financial highlights
IQE plc H1 2026 financial highlights Revenue Adj. EBITDA1,2 Adj. operating cashflow2 Adj. net cash3 £’m £’m £’m 64.6 6.0 6.2 45.3 4.7 £30.2m at 30 June 2026 7% (0.4) 9% (1%) Cash and cash H1 2025 H1 2026 H1 2025 H1 2026 H1 2025 H1 2026 equivalents of • Increased 43% year-on- • Increased as a result
Slide 10: Net cash bridge
IQE plc Net cash bridge £40.0m £3.1m £30.2m £30.0m £65.8m £20.0m £10.0m - (£10.0m) (£20.0m) £8.7m (£30.0m) (£4.0m) (£31.5m) (£3.5m) (£4.2m) (£1.1m) (£40.0m) (£0.8m) (£2.3m) (£50.0m) IQE plc | H1 2026 Results Presentation 10
Slide 11: Current trading and outlook
IQE plc Current trading and outlook • Trading in H1 2026 exceeded management expectations, supported by strong demand across all of the Group’s core segments. • Following the July trading update and upgraded guidance, the Group has continued to see strong momentum in the second half, which is expect
Slide 12: Move to Main Market
IQE plc Move to Main Market • Intention to apply for admission to trading on the Main Market of the London Stock Exchange • Board believes this is the natural progression in IQE's development as a global semiconductor materials business • Targeting admission in H1 2027 IQE plc | H1 2026 Results Pres
Slide 13: A focused strategy for a transformed IQE
IQE plc A focused strategy for a transformed IQE Market expansion Customer alignment Operational excellence • Strong demand across all • Long term agreements with • Efficiency driving yield and core segments strategic customers production improvements • Multiple routes to growth • Strong order book
Slide 14: Appendix
Appendix
Slide 15: Summary financials
IQE plc Summary financials £’million H1 2026 H1 2025* Revenue 64.6 45.3 Sales, general & administrative costs (14.1) (16.3) Adjusted EBITDA1 6.0 (0.4) Adjusted LBIT (3.7) (12.9) Reported LBIT (8.1) (15.3) Reported loss before tax (12.6) (18.3) Reported loss after tax (12.9) (17.9) Adjusted net cashf
Slide 16: Adjusted income statement items
IQE plc Adjusted income statement items H1 2026 H1 2025 £'million Cash Non-cash Total Total Share based payments - 2.2 2.2 1.4 Photonics CGU - - - 7.6 impairment Restructuring 2.2 - 2.2 (6.7) Total 2.2 2.2 4.4 2.3 IQE plc | H1 2026 Results Presentation 16
Slide 17: Balance sheet
IQE plc Balance sheet As at 30 June 2026 £’million H1 2026 H1 2025 Intangible assets 16.8 19.8 Property, plant & equipment 89.5 103.4 Right of use assets 36.8 39.4 Total current assets 95.1 65.6 Current liabilities* (34.2) (33.2) Bank borrowings due within 1 year 0.0 0.0 Convertible loan notes due w
Slide 18: Cashflow bridge
IQE plc £40.0m £50.0m £80.0m £90.0m £70.0m £20.0m £30.0m £10.0m £100.0m £60.0m - Opening cash £15.7m Cash inflow from operations before working capital £5.2m Working capital (£4.0m) Purchase of PPE & intangibles/ Cashflow bridge Proceeds of PPE sale (£1.9m) Repayment of lease liabilities (£2.3m) Pro
Slide 19: Adjusted EBITDA bridge
IQE plc Adjusted EBITDA bridge £8.0m £6.0m £6.0m £4.0m £2.0m - (£2.0m) (£4.0m) (£9.8m) (£6.0m) (£2.2m) (£8.0m) (£2.2m) (£10.0m) (£12.0m) (£4.4m) (£0.3m) (£12.9m) (£14.0m) Adjusted Depreciation & Restructuring Share based Finance costs Taxation Reported after EBITDA amortisation payments and other ta
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