REGISTERED NUMBER: 08660706 (England and Wales)

Strategic Report, Report of the Director and

Financial Statements for the Year Ended 31 December 2025

for

GROWATT NEW ENERGY TECHNOLOGY LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Director

11

Statement of Director's Responsibilities

13

Report of the Independent Auditors

14

Income Statement

18

Other Comprehensive Income

19

Balance Sheet

20

Statement of Changes in Equity

21

Cash Flow Statement

22

Notes to the Cash Flow Statement

23

Notes to the Financial Statements

24

DIRECTOR:

Y Ma

REGISTERED OFFICE:

UNIT 1, THE CROMWELL CENTRE

HAINAULT BUSINESS PARK

ROEBUCK ROAD

ILFORD

IG6 3UG

REGISTERED NUMBER:

08660706 (England and Wales)

AUDITORS:

JAMES TODD & CO LTD, STATUTORY AUDITOR

DRAYTON HOUSE

DRAYTON LANE

CHICHESTER

WEST SUSSEX

ENGLAND

PO20 2EW

As the sole director of GROWATT NEW ENERGY TECHNOLOGY LIMITED, I, Yongbo Ma, am honored to present this strategic report. This comprehensive report delves into the company's business performance and positioning, dissects our strategic management, and meticulously analyzes the current business environment. Our insights are informed by in-depth research, data-driven analysis, and a forward-looking perspective, aiming to provide shareholders with a clear understanding of our past achievements, present challenges, and future aspirations.

BUSINESS PERFORMANCE AND POSITION

A. Industry Background

In 2025, the UK photovoltaic market experienced significant growth. According to Electric Insights, the UK added 2.6 GW of new solar PV capacity throughout the year, marking the fastest growth rate in a decade. Rooftop PV installations accelerated due to substantial declines in component costs and the "PV-ready" policy for new residential buildings. In July 2025, the UK government released the "Solar Road-map," outlining 72 action plans with the goal of increasing solar capacity to 45-47 GW by 2030. Starting in 2025, new residential buildings were mandated to install PV systems, providing a stable incremental demand for the residential market.

B. Financial Performance

Throughout the past year, the Company has consistently striven to achieve operational stability. The following key performance indicators (KPIs) are presented for your reference.

The net loss for the year narrowed significantly by approximately 85.6% compared to the previous financial year. The net loss for FY 2025 amounted to £563,901 (FY 2024: net loss of £3,919,070).The reduction in loss was primarily attributable to two factors: firstly, the effectiveness of cost control measures and improved operational efficiency; and secondly, the decrease in one-off impairment charges from the prior year. The Company achieved revenue of £17,471,188 in FY 2025 (FY 2024: £18,043,164), with revenue primarily derived from the sale of PV inverters and energy storage products. The decline in revenue was mainly driven by sustained market price competition and changes to the ECO4 subsidy scheme, and the Company's market share decreased from approximately 15% in 2024 to approximately 12% in 2025.

Total assets decreased to £6,889,645 (FY 2024: £9,194,921), of which non-current assets amounted to £25,886 (FY 2024: £34,570), primarily comprising office and electronic equipment, warehousing and handling equipment, and transport equipment; current assets amounted to £6,863,759 (FY 2024: £9,160,351), mainly consisting of inventories and trade receivables. Total liabilities amounted to £6,914,701 (FY 2024: £8,656,076), of which current liabilities (mainly trade payables) were £6,134,836 (FY 2024: £7,609,240), and long-term liabilities (mainly provisions) were £779,865.

Shareholders' equity was negative at £25,056 (FY 2024: £538,845), turning from positive to negative primarily as a result of the net loss for the year and asset impairments. As at 31 December 2025, cash and cash equivalents amounted to £1,700,939, remaining broadly stable compared to £1,764,713 at the end of the previous financial year.

C. Market Position

While the market is experiencing rapid growth, the competitive landscape has also undergone significant changes. All-in-one manufacturers such as Anker entered the UK market in 2025, while price competition persists in the inverter and battery sectors, leading to a general price reduction of 20%-30% in these product categories and putting pressure on industry profit margins. Despite short-term market share pressures, the Company has established a differentiated advantage in the energy storage segment. According to regional analysis by industry research firm SunWiz, the Company has secured a strong competitive position in Scotland's energy storage market.

As part of the Growatt Group, the Company benefits from the Group's brand reputation and technological expertise in the global inverter market. In 2025, the Group was recognized as a Tier 1 photovoltaic inverter supplier by S&P Global Commodity Insights, an authoritative endorsement of its technological reliability, global service capabilities and financial stability. According to Wood Mackenzie's "Global Solar Inverter Market Share Report 2025", the Group rose to become the world's fourth-largest inverter supplier in 2024.

Additionally, the Group has been awarded the "Top PV Brand" prize by EUPD Research for the eighth consecutive year, with brand influence spanning key markets such as Mexico, Brazil, Germany and Australia. The Group operates in over 180 countries, serving millions of users, providing strong support for the UK Company's brand trust and channel expansion.

In response to intensifying competition, the Company has proactively implemented strategies across both product and service dimensions: accelerating energy storage product iterations and developing policy compliant models tailored to specific needs on the product side, and enhancing installer incentives and local support systems on the service side.

D. Team Resources

In 2025, the Company adjusted its team in response to market changes. As at the end of the year, the Company had a total of 9 permanent employees (including 1 female employee, accounting for 11.11% of the total workforce), and the team structure remained stable. Employee satisfaction for 2025 was 90%. In terms of age profile, employees under 30 accounted for 44.44%, while those aged 30 to 50 accounted for 55.55%, reflecting a young and highly satisfied team. Looking ahead, the Company plans to recruit a pre-sales engineer as and when business needs arise, to further strengthen its market support capabilities.

STRATEGIC MANAGEMENT

Growatt Group has long been deeply rooted in the global distributed PV market, continuously delivering integrated "PV + energy storage" solutions with full-system operation and maintenance to European clients. Our products are applicable to various scenarios, including residential, commercial and industrial (C&I) uses, and are continuously iterated to meet diverse customer needs. We have always regarded product and service differentiation as the cornerstone of the Company's long-term growth. On the product front, we have built a multi-dimensional competitive advantage based on high-efficiency, lightweight, high-protection core hardware, combined with flexible scenario adaptability and convenient operation and maintenance experience. On the service front, we have developed a full-chain service system covering remote support, on-site response and operational support. It is this dual driven differentiation strategy that enables us to provide superior renewable energy solutions to a broader range of users and to steadily advance towards becoming an industry benchmark.

A. Differentiation in Products

The Company has consistently adhered to a product differentiation strategy. Our product portfolio has gained wide recognition in global markets, and our product differentiation advantages are built on three dimensions: product itself, usage scenarios and operational services.

In photovoltaic inverters: the best-selling MIC 750 2000TL X inverter achieved annual sales of 22,271 units in 2025, representing a year on year increase of 83.89% and continuing to lead the UK residential grid connected market. The technical strength of this product has been recognized by an authoritative body: it was rated as a "Tier 1 photovoltaic inverter supplier" by S&P Global affirming its efficiency, reliability and global service capabilities. More specifically, the differentiated advantages of this product are as follows: first, its industry leading inverter efficiency of 97.6% together with a weight of only 6kg - the lightest in its power class - balances power generation benefits with installation convenience; second, its fanless silent design and OLED touch screen reduce operation and maintenance difficulty; third, its wide MPPT voltage range and 99.9% tracking efficiency ensure power generation performance under the UK's low light conditions. The optional AFCI arc fault protection further enhances safety.

In energy storage: the Company carried out a major upgrade of its battery products with the launch of the ALP 5.0L E2 modular stackable lithium battery. Its differentiators are primarily reflected in three aspects. First, its IP rating has been raised to IP66, allowing outdoor installation and complying with the latest UK installation standards. Second, it incorporates heating and fire protection functions, meeting new customer requirements for low temperature operation and fire safety. Third, the battery uses cobalt free lithium iron phosphate cells, supports flexible expansion from 5kWh to 40kWh through modular design, and comes with a 10 year whole product warranty. This battery seamlessly integrates with the SPH3 6KTL BL UP inverter, together forming a high performance, high safety residential energy storage solution.

B. Service Differentiation

The Company's strategy remains aligned with that of the Growatt Group: to build a smart energy ecosystem solution centred on energy storage, expanding from individual PV products to integrated PV-storage solutions, PV-storage-charging systems and user-side smart energy management solutions. We are committed to enhancing brand competitiveness through localized services, and have established an online service system that leads the industry in response speed, convenience and service diversity. We build our service differentiation across three dimensions: remote support, on-site service and operational maintenance.

In remote support, the Company has established a digital service system centred on the ShinePhone App, enabling 24/7 remote monitoring. Installers and end users can view real-time equipment status, power generation data and fault alerts via mobile devices; AI-powered analytics optimise charge and discharge strategies based on dynamic electricity tariffs, enhancing system returns. Professional maintenance personnel can perform in-depth data analysis through the ShineServer web platform and conduct online intelligent diagnostics via the OSS system, effectively reducing on-site maintenance costs. In addition, the Company provides technical support to installers and end users by phone, email and dedicated online communities (Facebook installers' group and WhatsApp service group). In 2025, the Company completed 31,750 remote service interactions, with a first-time call answer rate of 93% and a 24-hour email response rate of 93.45%.

In on-site service, the UK service centre has one manager and eight engineers, covering the UK and Ireland. Throughout the year, the Company completed 415 on-site inspections, 684 unit replacements (544 inverters and 140 batteries) and 1,117 warehouse repairs. Leveraging ample stock and spare unit reserves at its UK warehouse, the Company ensures timely unit replacement and on-site service response. The comprehensive product defect rate remained within 1%, unchanged from the previous year.

In operational maintenance, the Company continued to deepen its cooperation with installers and launched an installer points programme - customers could redeem prizes upon product installation - which effectively enhanced channel engagement. A total of 24 online training sessions were held throughout the year (twice per month, with 10 to 30 participants each time), focusing on the installation and maintenance of the SPH-UP, MIN-XH series and ALP batteries. Three offline roadshows (with 30 to 40 participants each) were conducted, combining product display with technical training to enhance installer professionalism. The team conducted 37 internal training sessions. In addition, the Company proactively reserved spare units and arranged prompt repairs to ensure the efficient operation of its maintenance service system.

BUSINESS ENVIRONMENT

Due to the continued presence of potential risks and uncertainties, the business environment remains complex and volatile. The principal risks can be categorized into five areas: organic growth, climate change, people, product quality, and legal and compliance. When assessing each risk, we take into account multiple indicators, including total impact, residual impact, likelihood and risk trend.

a. Total impact measures the maximum potential harm of a risk without any mitigation measures. Higher values indicate greater potential harm.

b. Residual impact refers to the remaining risk impact after applying existing control measures. If no controls exist or existing measures cannot address the risk in a timely manner, the residual impact value is higher.

c. Likelihood denotes the probability of a risk occurring. The higher the likelihood, the more probable the risk.

d. Trend indicates whether the risk is evolving towards stability or uncontrollability. As risks become less controllable, the trend value increases.

The table below sets out the principal risks we faced in 2025. The risk matrix assesses each risk across the four dimensions of total impact, residual impact, likelihood and trend, using a scoring rule of 0-1 interval with a step of 0.1 (i.e. values at 0.1, 0.2…0.9). This method quantifies the performance of each risk in the corresponding dimensions to support risk rating determination.

Risks and uncertainties

Risk category

Total impact

Residua l impact

Likelih ood

Tren d

Risk rating

Fail to seize market opportunities

Organic growth

0.3

0.3

0.2

0.1

Low

Internal growth has hit a bottleneck

Organic growth

0.33

0.23

0.33

0.23

Low

Tensions in political relations

Organic growth

0.3

0.2

0.2

0.2

Low

Squeeze on market sharefrom intensified market competition

Organic growth

0.5

0.4

0.4

0.4

Medium

Impact of government policies Organic growth

Organic growth

0.5

0.5

0.4

0.1

Medium

Business operations are affectedby government environmentalpolicies

Climate change

0.5

0.2

0.2

0.1

Low

Supply chains are affected byenvironmental factors

Climate change

0.6

0.3

0.3

0.2

Low

Products are affected byenvironmental factors

Climate change

0.3

0.2

0.1

0.1

Low

Employee skills gap

People

0.4

0.4

0.2

0.1

Low

Aging of the workforce

People

0.4

0.3

0.2

0.3

Low

High employee turnover rate

People

0.4

0.4

0.2

0.1

Low

Product recalls and customercomplaints caused by productquality defects

Product quality

0.7

0.7

0.5

0.5

Medium

Inadequate product qualitycontrol

Product quality

0.7

0.7

0.5

0.3

Medium

Delayed product after-salesservice

Product quality

0.5

0.3

0.2

0.2

Low

Illegal business operations

Legal and Compliance

0.8

0.2

0

0

Low

Failure to promptly discloseinformation that shouldbe disclosed

Legal and Compliance

0.8

0.2

0

0

Low

A. Organic Growth

In 2025, the organic growth risks faced by the Company were primarily reflected in two areas: intensifying market competition and the impact of government policies. On the competitive front, with the entry of new players such as Anker, industry competition intensified significantly, and the Company's market share contracted from approximately 15% in the previous year to 12%. On the policy front, the uncertainty surrounding the ECO4 subsidy scheme further affected the market environment. The scheme was originally scheduled to close in March 2026, and although an extension to the end of the year was proposed in 2025, the uncertainty led energy suppliers to generally tighten the approval of new applications towards the end of the year, causing the effective market opportunity window to close earlier than expected and thereby weighing on the Company's sales. In addition, price competition in the inverter and battery sectors continued, with product selling prices falling by a further 20%-30% year-on-year.

In response to these challenges, the Company adopted a two-pronged approach. First, it focused on stabilizing its existing market share by deepening channel operations and enhancing installer loyalty, striving to maintain business stability amid competition. Second, it actively leveraged new policies to offset growth pressures, making early deployments in product development and market resources around the "Warm Homes Plan" to capture policy dividends. Although external factors such as political tensions and government policy changes remain potential disturbances, the Company will continue to monitor them and adjust its strategies as appropriate.

B. Climate Change

Climate change risks are considered from three dimensions: adjustments in government environmental policies, product environmental adaptability and supply chain stability.

On the product use scenario front, the Company proactively adapts to UK environmental policies and climatic characteristics. The new ALP battery is equipped with a built in heating function, enabling normal operation in low temperature environments, and its IP66 ingress protection rating meets outdoor installation standards, aligning with the latest UK installation requirements. At the same time, the Company continues to inspect and refurbish defective products. Throughout the year, 1,117 units were inspected at the warehouse, of which 275 were repaired, effectively reducing the environmental impact of electronic waste.

On the product transport front, the Company relies on its UK warehouse and safety stock reserves to effectively hedge against risks of shipping delays and cross border supply disruptions, ensuring stable delivery of customer orders. Although shipping on European routes in 2025 faced challenges such as an increased frequency of extreme weather events, occasional port congestion and stricter environmental compliance requirements, the Company's forward looking warehousing arrangements have kept the supply chain risk from environmental factors at a low level. The Company will continue to optimize inventory management, explore alternative logistics solutions and further enhance supply chain resilience to ensure consistent and stable business operations.

C. People

In 2025, the Company continued to optimize its human resource allocation in response to the growing demand for after-sales maintenance capabilities for new battery and inverter products. The workforce remained stable throughout the year, with employee numbers decreasing from 10 at the beginning of the year to 9 at the end of the year due to one voluntary resignation. All employees continued to serve the Company. In light of the anticipated market growth driven by policies such as the Warm Homes Plan, the Company timely increased its after-sales technical staffing and enhanced technical training investment, continuously improving employee skills through platforms such as the Cloud Academy.

The Company has established a training system covering the entire career life-cycle, including new employee induction training, after-sales skills enhancement and the attainment of relevant technical certifications. In 2025, a total of 37 internal training sessions were organized, and engineer continuous learning programme were promoted, steadily improving employee professional competence.

On employee care, the Company continued its Christmas, Spring Festival and annual team building activities, strengthening team cohesion. Employee satisfaction reached 90%. The Company offers competitive welfare benefits, and the workforce has remained stable with continuously growing team cohesion. The age structure is predominantly 30 50 years old (55.55%), with those under 30 accounting for 44.44%, indicating a relatively young team. To further strengthen market support capabilities, the Company plans to recruit a pre sales engineer in 2026 to address business expansion needs.

D. Product Quality

In 2025, the Company operated both established and new product models simultaneously. Industry data shows that inverter faults account for approximately 43% of solar system failures in the UK, and around 34.3% of string inverters experience their first failure within 15 years. Quality challenges during new product iteration are a common issue across the industry. Nevertheless, the Company's comprehensive product defect rate remained within 1%, continuing to maintain an industry-leading level.

According to the risk matrix assessment, product quality defects leading to customer complaints and inadequate quality control (mainly related to product updates and iterations) were classified as medium risks, while delayed product after sales service was classified as a low risk. To continuously improve product quality and service responsiveness, the Company further optimized its product testing and repair systems, established a prompt repair and refurbishment mechanism, reserved spare units in advance and supplemented service personnel. At the same time, through customer feedback channels to precisely identify areas for improvement, the dedicated service group launched for medium to large installers received favourable responses, and service quality continued to improve.

E. Legal and Compliance

Since its incorporation, the Company has always taken legal compliance as its core principle and strictly abides by UK laws and regulations in all its business activities. We are consistently committed to submitting the Company's operating reports and other statutory filings accurately and on time, and strictly following the requirements to standardize the implementation of reporting, registration and approval processes. Through rigorous compliance management, we have laid a solid foundation for the Company's stable development in the UK market. At the same time, we attach great importance to UK legal developments and continuously monitor regulatory policy changes.

In 2025, the Company continued to make progress on compliance under the framework of the already enacted Economic Crime and Corporate Transparency Act. Following the launch of the identity verification mechanism on 8 April 2025, the Company immediately initiated preparatory work, and completed identity verification for existing directors before the mandatory implementation date of 18 November 2025. It will continue to follow up on the requirements for confirmation statements to ensure that all remaining processes are completed before the end of the transitional period in November 2026. In addition, in response to the Employment Rights Act 2025, which received Royal Assent on 18 December 2025, the Company promptly conducted an impact assessment with the Human Resources department, focusing on key provisions such as the shortening of the unfair dismissal qualifying period from two years to six months (effective from 1 January 2027). The Company has completed a review of employment contracts and identified areas requiring optimization, and is progressing in an orderly manner in accordance with the implementation road-map to complete the compliance adjustments to relevant employment policies. Currently, the Company has no significant legal proceedings or regulatory investigations, and routine legal matters remain within normal and controllable limits. The risks of illegal business operations and failure to disclose information as required are low.

Health, safety and environment (HSE) management has always been the cornerstone of the Company's operations. We adhere to a risk based control approach and continuously improve our safety and environmental management systems to ensure that business activities are conducted efficiently and safely. Environmental, social and governance (ESG) concepts have been integrated into the Company's daily operations. Management continued to focus on ESG areas in 2025, actively learning from industry best practices and steadily advancing ESG related work. Looking ahead, the Company will continue to optimize its organizational capabilities and innovation mechanisms, seizing the opportunities presented by the green energy transition while responding to policy and market changes, to drive the Company's steady development.

ON BEHALF OF THE BOARD:

Director

14 September 2026

The director presents his report with the financial statements of the company for the year ended 31 December 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of the supply of parts to solar panel manufacturers.

DIVIDENDS

No dividends will be distributed for the year ended 31 December 2025.

DIRECTORS

The directors who have held office during the period from 1 January 2025 to the date of this report are as follows:

Y Ma - appointed 3 June 2025

X Qiao - resigned 3 June 2025

RESULT

The profit for the year, amounted to -£563,901(2024: -£3,919,070).

FINANCIAL INSTRUMENTS AND CAPITAL RISK MANAGEMENT

Growatt New Energy Technology Limited had payables outstanding at the year end of £5,427,697 (2024: £7,085,670), of which £5,018,336 (2024: £6,460,945) was payable to the parent company and £409,361 (2024: £624,725) was payable to fellow group undertakings.

A detailed description of how the company manages the risks and uncertainties associated with financial instruments, working capital, interest rates and liquidity is set out in note 16 to the financial statements.

GOING CONCERN

The financial statements are prepared on a going concern basis. Further information is provided in Note 2 of these financial statements.

FUTURE DEVELOPMENTS

Directors have conducted strategic review of the business.

Growatt New Energy Technology Limited will continue to resell in the UK market. We are exploring opportunities to increase our operation by more buying and selling parts for use in the manufacture of solar panels and offer customer with the most competitive prices.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

James Todded & Co Ltd, Chartered Accountants are appointed as Auditors for the company.

ON BEHALF OF THE BOARD:

Y Ma - Director

14 September 2026

The director is responsible for preparing the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless he is 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 director is required to:

- select suitable accounting policies and then apply them consistently;

- make judgements and accounting estimates that are reasonable and prudent;

-state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The director is 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 enable him to ensure that the financial statements comply with the Companies Act 2006. He is 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.

Opinion

We have audited the financial statements of GROWATT NEW ENERGY TECHNOLOGY LIMITED (the 'company') for the year ended 31 December 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, 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 our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2025 and of its loss for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the director's 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 director with respect to going concern are described in the relevant sections of this report.

Other information

The director is responsible for the other information. The other information comprises the information in the Strategic Report, the Report of the Director and the Statement of Director's Responsibilities, but does not include the financial statements and our Report of the Auditors thereon.

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.

In connection with our audit of the financial statements, 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 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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Director have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

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 Report of the Director.

In our opinion, based on the work undertaken in the course of our 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.

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page thirteen, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the director is responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

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 auditor's 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.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Identifying potential risks related to irregularities

- We obtained an understanding of the laws and regulations that are applicable to the company and determined those which could reasonably be expected:

" to have a direct effect on the determination of material amounts and disclosures in the financial statements. We determined that the most significant were the Companies Act 2006 and taxation legislation; and

" to not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or avoid a material penalty. We determined that the most significant were marine equipment legislation and regulation, trade compliance, health and safety and employment law.

- We enquired to management as to their own assessment of risks in relation to fraud and irregularities and the internal controls they may have in place to mitigate the risks of fraud or non-compliance with laws and regulations;

- We evaluated management's incentives and opportunity for fraudulent manipulation of the financial statements (including the risks of override of controls)

Audit approach to risks identified

- We reviewed how the company is complying with laws and regulations by making enquiries to management and senior employees. This was corroborated by review of board minutes and correspondence received from regulatory bodies;

- We reviewed the financial statement disclosures and tested to supporting documentation to assess compliance with the Companies Act 2006 and accounting standards;

- We enquired to management as to the basis on which tax calculations had been prepared and the basis of recognition of tax provisions in the financial statements;

- We enquired to management and external legal counsel concerning any actual or potential litigation and claims;

- We performed analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud or non-compliance;

- We enquired whether management had any knowledge of any actual, suspected, or alleged fraud;

- We tested the appropriateness of journal entries and other adjustments to assess whether the judgements made in making accounting estimates are indicative of a potential bias. This included assessing the business rationale of any significant transactions that are unusual or outside the normal course of business;

- We communicated the risks identified and the audit approach to be taken to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

There are inherent limitations in the audit procedures described above. The further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

A further description of our responsibilities is available on the Financial Reporting Council's website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our 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 a Report of the Auditors 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.

OLIVER READ FCCA ACA (Senior Statutory Auditor)

for and on behalf of JAMES TODD & CO LTD, STATUTORY AUDITOR

DRAYTON HOUSE

DRAYTON LANE

CHICHESTER

WEST SUSSEX

ENGLAND

PO20 2EW

14 September 2026

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4

17,471,188

18,043,164

Cost of sales

17,436,563

20,166,352

GROSS PROFIT/(LOSS)

34,625

(2,123,188

)

Administrative expenses

823,752

1,795,882

OPERATING LOSS and

LOSS BEFORE TAXATION

(789,127

)

(3,919,070

)

Tax on loss

7

(225,226

)

-

LOSS FOR THE FINANCIAL YEAR

(563,901

)

(3,919,070

)

LOSS FOR THE YEAR

(563,901

)

(3,919,070

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(563,901

)

(3,919,070

)

FIXED ASSETS

Tangible assets

8

25,886

34,570

CURRENT ASSETS

Stocks

9

3,332,387

4,912,653

Debtors

10

1,830,433

2,482,985

Cash at bank

1,700,939

1,764,713

6,863,759

9,160,351

CREDITORS

Amounts falling due within one year

11

6,134,836

7,609,240

NET CURRENT ASSETS

728,923

1,551,111

TOTAL ASSETS LESS CURRENT LIABILITIES

754,809

1,585,681

PROVISIONS FOR LIABILITIES

13

779,865

1,046,836

NET (LIABILITIES)/ASSETS

(25,056

)

538,845

CAPITAL AND RESERVES

Called up share capital

14

1

1

Retained earnings

15

(25,057

)

538,844

SHAREHOLDERS' FUNDS

(25,056

)

538,845

The financial statements were approved by the director and authorised for issue on 14 September 2026 and were signed by:

Y Ma - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2024

1

4,457,914

4,457,915

Changes in equity

Total comprehensive income

-

(3,919,070

)

(3,919,070

)

Balance at 31 December 2024

1

538,844

538,845

Changes in equity

Total comprehensive income

-

(563,901

)

(563,901

)

Balance at 31 December 2025

1

(25,057

)

(25,056

)

Cash flows from operating activities

Cash generated from operations

1

(22,029

)

(1,494,903

)

Warranty Provision

(266,971

)

4,960

Tax paid

225,226

-

Net cash from operating activities

(63,774

)

(1,489,943

)

Cash flows from investing activities

Purchase of tangible fixed assets

-

(35,827

)

Net cash from investing activities

-

(35,827

)

Decrease in cash and cash equivalents

(63,774

)

(1,525,770

)

Cash and cash equivalents at beginning of year

2

1,764,713

3,290,483

Cash and cash equivalents at end of year

2

1,700,939

1,764,713

1.	RECONCILIATION OF LOSS BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

31.12.25

31.12.24

£

£

Loss before taxation

(789,127

)

(3,919,070

)

Depreciation charges

8,684

5,952

(780,443

)

(3,913,118

)

Decrease in stocks

1,580,266

3,819,336

Decrease in trade and other debtors

652,552

31,445

Decrease in trade and other creditors

(1,474,404

)

(1,432,566

)

Cash generated from operations

(22,029

)

(1,494,903

)

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2025

31.12.25

1.1.25

£

£

Cash and cash equivalents

1,700,939

1,764,713

Year ended 31 December 2024

31.12.24

1.1.24

£

£

Cash and cash equivalents

1,764,713

3,290,483

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.1.25

Cash flow

At 31.12.25

£

£

£

Net cash

Cash at bank

1,764,713

(63,774

)

1,700,939

1,764,713

(63,774

)

1,700,939

Total

1,764,713

(63,774

)

1,700,939

1.	STATUTORY INFORMATION

GROWATT NEW ENERGY TECHNOLOGY LIMITED is a private company, limited by shares, registered in England and Wales under the Companies Act. The company's registered number and registered office address can be found on the Company Information page. The company's principal activity is the supply of parts to solar panel manufacturers.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the United Kingdom and the Republic of lreland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the company's accounting policies (see note 3).

The accounts have been prepared in the company's functional currency, pound sterling.

Going concern

The financial statements have been prepared on the going concern basis.

During the year ended 31 December 2025, the company incurred a loss for the financial year of £563k, as at that date, the company had negative retained earnings of £25k.

Notwithstanding the above, the directors have carefully considered the company’s current financial position and future cash flow forecasts. As at 31 December 2025, the company had cash at bank balances of approximately £1.7 million and the directors are satisfied that the company has sufficient financial resources available to continue its operations and to meet its liabilities as they fall due for a period of at least twelve months from the date of approval of these financial statements.

The directors have also considered the expected future trading performance of the business, including continued demand within the UK solar photovoltaic products market and the company’s ongoing ability to manage its working capital requirements.

In addition, the company’s ultimate parent company incorporated in the Cayman Islands has confirmed its willingness to provide continuing financial support to the company for the foreseeable future, should such support be required.

Accordingly, the directors consider it appropriate to prepare the financial statements on the going concern basis.

Turnover

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received, excluding discounts,rebates, value added tax and other sale taxes.

Revenue from the sale of goods is recognised when the significant risk and rewards of ownership of the goods have passed to the buyer.

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that' is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation on other assets is charged so as to allocate the cost of assets less their residual value over their useful economic lives, using the straight line method.

The estimated useful lives range as follows:

Computer equipment - 33% per annum

Motor vehicles -20% per annum

Plant and machinery -20% per annum

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount are recognized within "administrative expenses" in the Income Statement.

At each reporting date the company assesses whether there is any indication of impairment. lf such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognized where the carrying amount exceeds the recoverable amount.

Stocks

Stocks are valued at the lower of cost and net realizable value. Cost is based on the weighted average cost of purchase on a first in, first out basis. Net realizable value is based on estimated selling price less additional costs to completion and disposal.

At each reporting date stocks are assessed for impairment. lf inventory is impaired, the carrying value is reduced to its recoverable amount.

Financial instruments

The company only. enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other account receivable and payable, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares.

Financial assets

Financial assets comprise cash at bank and in hand, trade debtors, amounts owed by group undertakings and other debtors; these are initially recorded at cost on the date they originate and are subsequently recorded at amortized cost under the effective interest method. The company considers evidence of impairment for all individual trade and other debtors, and any subsequent impairment is recognized in the Income Statement.

Financial liabilities

Financial liabilities comprise trade creditors, other creditors and amounts due to group undertakings; these are initially recorded at cost on the date they originate, and are subsequently carried at amortized cost unclear the effective interest method.

Taxation

Current taxes are based on the results shown in the financial statements and are calculated according to local tax rules, using tax rates enacted or substantially enacted by the balance sheet date.

Deferred tax assets and liabilities are recognised where the carrying amount of an asset or liability in the consolidated statement of financial position differs from its tax base.

Recognition of deferred tax assets is restricted to those instances where it is probable that taxable profit will be available against which the difference can be utilised.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Cash and cash equivalent

Cash is represented by cash in hand and deposit with financial institutions repayable without penalty on notice of not more than 24 hours.

Leases

Rentals-paid under operating leases are charged to the Income Statement on a straight-line basis over the term of the lease.

Foreign currency

Foreign currency transactions are translated into sterling al the rates ruling when they occurred.

Foreign currency monetary assets and liabilities are translated at the rates ruling at the Balance Sheet date. Any differences are taken to the Income Statement.

3.	CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCER

ln preparing these financial statements, the director has had to make judgements, estimates and assumptions that effect the application of policies and reported amounts of assets, liabilities, income and expenses.

The estimates and associated assumptions are based on historic experiences and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements about carrying value's of. assets and liabilities and are not readily apparent from other sources. Actual results may differ from these estimates. The judgements, estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are:

Stock provisions

The company has recognized provisions for the impairment of stock. The judgements, estimates and associated assumptions necessary to calculate these provisions are based on historical experience and other reasonable factors. ln the case of the provision for the impairment of stock, this covers obsolescence through technological or customer specific reasons. This provision is based on the assessment of stock value and ageing, quantities on hand, usage, changes in the market, technical developments and warranty periods. The value of stock in note 9 is net of the provision for the impairment of stock.

Bad debt provisions

The company has recognized provisions for bad debts. This is based on an assessment of ageing and due date of receivables and other risk indicators. The judgement of management is then applied to provide for debts which are no longer considered recoverable.

Warranty provisions

ln the case of provisions for the future cost of meeting obligations under product warranties, this covers provisions for the material component element of the future anticipate warranty work. This is based upon a percentage of turnover adjusting for warranty periods and other factors.