FOR THE YEAR ENDED 31 DECEMBER 2025
SRA DEVELOPMENTS LIMITED
COMPANY INFORMATION
SRA DEVELOPMENTS LIMITED
CONTENTS
SRA DEVELOPMENTS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2025
In 2025, SRA Developments Ltd., a subsidiary of BOWA-electronic GmbH & Co. KG based in Gomaringen, Germany, continued its involvement in the development, manufacture, and sale of electrical and electronic products. BOWA-electronic GmbH & Co. KG specialises in energy-based medical technology.
The BOWA Group is divided into the business areas of automotive supplier parts and medical technology, whereby BOWA-electronic GmbH & Co. KG, as a legally independent entity, has been operating exclusively in the "Medical Technology" business area since the spin-off and transfer of the "Automotive" sub-operation to BOWA Automotive GmbH, which was founded specifically for this purpose. The core competencies are energy-based surgery with all accessories, hand instruments for open and minimally invasive surgery and systems for laparoscopic ultrasound surgery. These products are manufactured, approved and distributed both as private label and for OEM customers. In addition to the company's own products, medical devices from other manufacturers are also sold through the BOWA sales network.
BUSINESS REVIEW
During 2025, SRA Developments Ltd undertook the planned relocation of its operations to a new custom built site as part of its long-term strategic objectives to support future growth, improve operational efficiency and enhance production capabilities. The relocation process gave rise to a number of anticipated one-off costs, including moving expenses, installation and commissioning costs, professional fees and dual-running costs associated with maintaining continuity of operations throughout the transition period. These exceptional expenditures had a temporary adverse impact on the Company's financial performance during the year but were considered necessary investments to secure the long-term benefits of the move.
A degree of operational disruption was anticipated, arising from the transfer of operations and the subsequent recertification of the new facility in accordance with relevant industry and customer requirements. While these factors affected productivity and output during the transition period, the relocation and successful recertification of the new site have established a stronger platform for future operations, and the Directors expect the resulting efficiencies and increased capacity to deliver benefits in future financial periods.
UK direct sales performance in 2025 reflected a period of market evolution, particularly within laparoscopic surgery as clinical preferences continue to incorporate robotic-assisted techniques. The Company has responded proactively to this shift, refining its sales focus to align with emerging demand patterns and positioning itself to capitalise on both traditional and robotic-integrated energy device opportunities. Reported revenue was also temporarily influenced by planned manufacturing downtime associated with the transition to the new Oak Tree facility, which is expected to support enhanced operational capacity going forward.
OEM sales activity reflected normal product lifecycle dynamics, with key customers progressing through redesign phases that led to short-term order timing variations. These developments are expected to translate into a strengthened and more advanced order pipeline across 2026 and 2027. While broader macroeconomic conditions across the UK and Europe moderated some intercompany and international activity, underlying demand remains resilient, with early indicators supporting a positive outlook as the Company enters 2026.
Procurement conditions remained complex during 2025, driven by elevated energy and material costs and ongoing supply chain constraints. In response, the Company has taken strategic steps to enhance supply chain resilience. The transition to the Oak Tree facility enables increased stockholding of critical components, improved purchasing efficiencies, and greater flexibility in managing supplier relationships, positioning the business for improved cost control and continuity of supply.
Research and development activities continued to expand, reinforcing the Company’s commitment to innovation and long-term growth. BOWA-electronic GmbH & Co. KG maintains active collaborations with academic and research institutions, while development teams support both internal product advancement and co-development initiatives with OEM partners. This integrated approach ensures continued delivery of clinically relevant, market-aligned solutions.
The BOWA Group is divided into the business areas of automotive supplier parts and medical technology, whereby BOWA-electronic GmbH & Co. KG, as a legally independent entity, has been operating exclusively in the "Medical Technology" business area since the spin-off and transfer of the "Automotive" sub-operation to BOWA Automotive GmbH, which was founded specifically for this purpose. The core competencies are energy-based surgery with all accessories, hand instruments for open and minimally invasive surgery and systems for laparoscopic ultrasound surgery. These products are manufactured, approved and distributed both as private label and for OEM customers. In addition to the company's own products, medical devices from other manufacturers are also sold through the BOWA sales network.
BUSINESS REVIEW
During 2025, SRA Developments Ltd undertook the planned relocation of its operations to a new custom built site as part of its long-term strategic objectives to support future growth, improve operational efficiency and enhance production capabilities. The relocation process gave rise to a number of anticipated one-off costs, including moving expenses, installation and commissioning costs, professional fees and dual-running costs associated with maintaining continuity of operations throughout the transition period. These exceptional expenditures had a temporary adverse impact on the Company's financial performance during the year but were considered necessary investments to secure the long-term benefits of the move.
A degree of operational disruption was anticipated, arising from the transfer of operations and the subsequent recertification of the new facility in accordance with relevant industry and customer requirements. While these factors affected productivity and output during the transition period, the relocation and successful recertification of the new site have established a stronger platform for future operations, and the Directors expect the resulting efficiencies and increased capacity to deliver benefits in future financial periods.
UK direct sales performance in 2025 reflected a period of market evolution, particularly within laparoscopic surgery as clinical preferences continue to incorporate robotic-assisted techniques. The Company has responded proactively to this shift, refining its sales focus to align with emerging demand patterns and positioning itself to capitalise on both traditional and robotic-integrated energy device opportunities. Reported revenue was also temporarily influenced by planned manufacturing downtime associated with the transition to the new Oak Tree facility, which is expected to support enhanced operational capacity going forward.
OEM sales activity reflected normal product lifecycle dynamics, with key customers progressing through redesign phases that led to short-term order timing variations. These developments are expected to translate into a strengthened and more advanced order pipeline across 2026 and 2027. While broader macroeconomic conditions across the UK and Europe moderated some intercompany and international activity, underlying demand remains resilient, with early indicators supporting a positive outlook as the Company enters 2026.
Procurement conditions remained complex during 2025, driven by elevated energy and material costs and ongoing supply chain constraints. In response, the Company has taken strategic steps to enhance supply chain resilience. The transition to the Oak Tree facility enables increased stockholding of critical components, improved purchasing efficiencies, and greater flexibility in managing supplier relationships, positioning the business for improved cost control and continuity of supply.
Research and development activities continued to expand, reinforcing the Company’s commitment to innovation and long-term growth. BOWA-electronic GmbH & Co. KG maintains active collaborations with academic and research institutions, while development teams support both internal product advancement and co-development initiatives with OEM partners. This integrated approach ensures continued delivery of clinically relevant, market-aligned solutions.
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SRA DEVELOPMENTS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
As a forward-looking employer, BOWA remains focused on employee engagement and organisational development. The new Oak Tree head office provides high-quality facilities that support productivity and wellbeing. Combined with structured training programmes, competitive remuneration, defined career pathways, and enhanced digital HR systems, these initiatives contribute to a positive employee experience.
Environmental performance remained robust in 2025, with no significant issues reported. BOWA-electronic GmbH & Co. KG continues to operate under ISO 14001 certification in Germany, with plans to extend these standards to SRA Developments Ltd. This provides a strong platform for compliance with forthcoming ESG reporting requirements and reinforces the Company’s commitment to sustainable operations.
Environmental performance remained robust in 2025, with no significant issues reported. BOWA-electronic GmbH & Co. KG continues to operate under ISO 14001 certification in Germany, with plans to extend these standards to SRA Developments Ltd. This provides a strong platform for compliance with forthcoming ESG reporting requirements and reinforces the Company’s commitment to sustainable operations.
PRINCIPAL RISKS AND UNCERTAINTIES
The Board has carried out a robust assessment of the principal risks facing the Group, including those that could influence its business model, future performance, solvency, and liquidity. This assessment reflects a dynamic external environment in 2025, including geopolitical developments, evolving macroeconomic conditions, regulatory change, and technological advancement. The Board considers these risks to be typical of the sectors and markets in which the Group operates and confirms that appropriate mitigation strategies are in place.
Geopolitical and Macroeconomic Risk
Ongoing geopolitical developments, including the war in Ukraine and instability in the Middle East, together with persistent inflationary pressures and elevated global interest rates, continue to shape the operating environment across the Group’s markets. These factors may influence customer demand, cost structures, financing conditions, and intercompany transfer pricing in line with OECD arm’s length principles.
Mitigation: The Group actively monitors geopolitical and macroeconomic developments, maintains strong financial discipline, and regularly reviews pricing, cost management, and transfer pricing policies to ensure continued resilience.
Supply Chain and Operational Risk
Global supply chains continue to normalise, although they remain sensitive to external developments, including geopolitical events, trade restrictions, and supplier concentration. These factors could influence the timing and cost of component availability and, in certain cases, lead times for key materials.
Mitigation: The Group continues to diversify its supplier base, maintain appropriate inventory levels, and strengthen procurement planning processes to enhance operational resilience and supply continuity.
Market Demand and Customer Concentration Risk
The Group’s OEM customer segment, particularly within robotic-assisted surgery, is influenced by venture capital funding cycles and wider healthcare investment conditions. Variability in customer demand, including timing differences in order placement, may affect short-term revenue phasing and production planning.
Mitigation: The Group is focused on expanding and diversifying its customer base, strengthening commercial capabilities, and aligning production planning closely with demand signals. This approach supports a more balanced and resilient revenue profile over time.
Healthcare Funding and Pricing Risk
Healthcare systems globally continue to evolve, with increasing focus on cost efficiency and value-based procurement models. Continued emphasis on demonstrating clinical and economic value remains important in supporting market access and long-term growth.
Mitigation: The Group continues to invest in product innovation and the development of strong clinical and economic value propositions to support customer adoption and sustainable pricing.
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SRA DEVELOPMENTS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
Technology, Digitalisation and Innovation Risk
Rapid technological advancement, including the increasing adoption of artificial intelligence and software-enabled medical devices, presents both opportunities and areas requiring ongoing focus. Maintaining pace with technological change, alongside effective management of product performance, regulatory approval, and data governance, is important to supporting the Group’s competitive position.
Mitigation: The Group continues to invest in research and development, supported by a responsive sales and distribution network, ensuring ongoing alignment with market and technological developments.
BOWA VALUES
BOWA’s operations are guided by three core values:
Rapid technological advancement, including the increasing adoption of artificial intelligence and software-enabled medical devices, presents both opportunities and areas requiring ongoing focus. Maintaining pace with technological change, alongside effective management of product performance, regulatory approval, and data governance, is important to supporting the Group’s competitive position.
Mitigation: The Group continues to invest in research and development, supported by a responsive sales and distribution network, ensuring ongoing alignment with market and technological developments.
BOWA VALUES
BOWA’s operations are guided by three core values:
∙Team First: We believe collaboration, positivity, and humility are essential to achieving shared goals.
∙Be Curious: We value an open-minded approach that supports innovation, learning, and adaptability.
∙Act with Integrity: We foster trust through respect, reliability, honesty, and accountability.
Revenue, operating profit, and cash flow are key performance indicators. Performance is also measured against strategic objectives and BOWA values.
Revenue for Bowa-electronic GmbH & Co. KG was €47.38 million (2024: €54.95 million). Revenue for SRA Developments Ltd was £6.43 million (2024: £8.35 million).
Revenue for Bowa-electronic GmbH & Co. KG was €47.38 million (2024: €54.95 million). Revenue for SRA Developments Ltd was £6.43 million (2024: £8.35 million).
This report was approved by the board on 17 July 2026 and signed on its behalf.
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SRA DEVELOPMENTS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2025
The directors present their report and the financial statements for the year ended 31 December 2025.
The loss for the year, after taxation, amounted to £1,246,660 (2024: profit £257,941).
The directors do not recommend payment of a final dividend.
The directors who served during the year were:
Exposure to Price, Liquidity, and Cash Flow Risks
Price risk arises from suppliers and macroeconomic factors. The company maintains competitive pricing and monitors exchange rate risks at both company and group levels.
Sales are made to a diverse customer base, including public sector organisations. Strong credit control processes help mitigate credit risk.
The company maintains a healthy cash balance and benefits from ongoing group support. Accordingly, liquidity and cash flow risks are considered low.
Price risk arises from suppliers and macroeconomic factors. The company maintains competitive pricing and monitors exchange rate risks at both company and group levels.
Sales are made to a diverse customer base, including public sector organisations. Strong credit control processes help mitigate credit risk.
The company maintains a healthy cash balance and benefits from ongoing group support. Accordingly, liquidity and cash flow risks are considered low.
R&D efforts continue in both the UK and Germany, focusing on the next generation of products to be designed and manufactured in the UK.
There have been no significant events afecting the Company since the year end.
The auditors, Bishop Fleming Audit Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
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SRA DEVELOPMENTS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
This report was approved by the board and signed on its behalf.
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SRA DEVELOPMENTS LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2025
The directors are responsible for preparing the Strategic report, the Directors' report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Company's financial statements and then apply them consistently;
∙make judgments and accounting estimates that are reasonable and prudent;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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SRA DEVELOPMENTS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SRA DEVELOPMENTS LIMITED
We have audited the financial statements of SRA Developments Limited (the 'Company') for the year ended 31 December 2025, which comprise the Statement of comprehensive income, the Statement of financial position, the Statement of cash flows, the Statement of changes in equity and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
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SRA DEVELOPMENTS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SRA DEVELOPMENTS LIMITED (CONTINUED)
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Directors' report.
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SRA DEVELOPMENTS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SRA DEVELOPMENTS LIMITED (CONTINUED)
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non compliance with laws and regulations, we considered the following:
∙the nature of the industry and sector, control environment and business performance.
∙the results of our enquiries of management about their own identification and assessment of the risk of
irregularities.
irregularities.
∙any matters we identified having obtained and reviewed the Company’s documentation of their policies
and procedures relating to: identifying, evaluating and complying with laws and regulations and whether
they were aware of any instances of non-compliance; detecting and responding to the risks of fraud and
whether they have knowledge of any actual, suspected or alleged fraud; the internal controls established
to mitigate risks of fraud or non-compliance with laws and regulations; and
and procedures relating to: identifying, evaluating and complying with laws and regulations and whether
they were aware of any instances of non-compliance; detecting and responding to the risks of fraud and
whether they have knowledge of any actual, suspected or alleged fraud; the internal controls established
to mitigate risks of fraud or non-compliance with laws and regulations; and
∙the matters discussed among the audit engagement team regarding how and where fraud might occur in
the financial statements and potential indicators of fraud.
the financial statements and potential indicators of fraud.
As a result of these procedures, we considered the opportunities and incentives that may exist within the
organisation for fraud, which included incorrect recognition of revenue and management override of controls
using manual journal entries, and these were identified as the greatest potential area for fraud.
In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to
the risk of management override.
organisation for fraud, which included incorrect recognition of revenue and management override of controls
using manual journal entries, and these were identified as the greatest potential area for fraud.
In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to
the risk of management override.
We also obtained an understanding of the legal and regulatory frameworks that the Company operates in,
focusing on provisions of those laws and regulations that had a direct effect on the determination of material
amounts and disclosures in the financial statements. The key laws and regulations we considered in this context
included the UK Companies Act, FRS 102, and tax legislation.
focusing on provisions of those laws and regulations that had a direct effect on the determination of material
amounts and disclosures in the financial statements. The key laws and regulations we considered in this context
included the UK Companies Act, FRS 102, and tax legislation.
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Company’s ability to operate or to avoid a material penalty. These included data protection regulations, health and safety regulations, employment legislation and quality management systems including ISO13485 safety and quality of medical devices.
Our procedures to respond to risks identified included the following:
∙reviewing the financial statement disclosures and testing to supporting documentation to assesscompliance with provisions of relevant laws and regulations described as having a direct effect on thefinancial statements;
∙reviewing the financial statement disclosures and testing to supporting documentation to assess the recognition of revenue;
∙audit procedures to gain assurance that these financial statements are materially correct in relation to the Company’s compliance with laws and regulations;
∙performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;
∙reading minutes of meetings of those charged with governance; and
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SRA DEVELOPMENTS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SRA DEVELOPMENTS LIMITED (CONTINUED)
∙in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias.
We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team
members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout
the audit.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.
This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Chartered Accountants
Statutory Auditors
Brook House
Winslade Park
Manor Drive
Exeter
EX5 1GD
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SRA DEVELOPMENTS LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2025
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SRA DEVELOPMENTS LIMITED
REGISTERED NUMBER:01385171
STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2025
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 17 July 2026 .
The notes on pages 15 to 27 form part of these financial statements.
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