Renishaw PLC

Latest Results (20.05.2026):

Renishaw PLC — summary of H1 FY2026 (six months ended 31 December 2025): Renishaw reported a strong first half with record Q2 revenue and a growing order book. Group revenue was £365.6m (H1 FY2025: £341.4m), adjusted operating profit rose and adjusted profit before tax increased, though statutory profit before tax fell after one‑off restructuring and impairment costs. The Board maintained the interim dividend and reiterated a positive outlook, guiding to full‑year revenue of £740–780m and adjusted profit before tax of £132–157m.

Revenue and quarter performance

Group revenue £365.6m, up 7.1% at actual FX and 11.5% at constant currency. Q2 was a record quarter at £194.8m (14.1% higher than Q1) and the order book strengthened into H2.

Adjusted vs statutory profit

Adjusted profit before tax £64.1m (up 11.5% year‑on‑year). Statutory profit before tax £46.0m (down 20.0%) after £18.0m of restructuring, redundancy, impairment and other one‑off items excluded from adjusted measures.

Margins and operating profit

Adjusted operating profit £57.5m (up 11.4%); adjusted operating margin 15.7% (up 0.6 percentage points). Management cites 4.4ppt of organic margin improvement offset by ~3.8ppt of currency and tariff headwinds.

Earnings per share and dividend

Adjusted EPS 68.8p (H1 FY2025: 63.2p). Statutory (reported) EPS 49.9p. Interim dividend maintained at 16.8p per share, payable 7 April 2026.

Cash, cash conversion and balance sheet

Cash and bank deposits £240.9m at 31 Dec 2025 (30 Jun 2025: £273.6m). Adjusted cash conversion from operations 68% (H1 FY2025: 100%), impacted by higher working capital to support record Q2 sales and a larger order book.

Working capital and capex

Inventories £164.9m (up £5.4m in H1) and trade receivables £126.1m. PP&E additions H1 £17.3m; full‑year capex expected around £40m to boost capacity and productivity.

Segment and regional performance

All three new reporting segments grew: Industrial Metrology £212.1m (+4.3%), Position Measurement £110.5m (+7.4%), Specialised Technologies £43.0m (+22.2%). Regionally, APAC and Americas grew strongly (Americas +16.6% actual, +22.9% constant), while EMEA was weaker (‑5.2%).

Specialised Technologies turnaround

Specialised Technologies moved from an adjusted operating loss of £7.9m (H1 FY2025) to a near‑break‑even adjusted loss of £0.6m, driven by additive manufacturing gains and operating leverage.

Cost actions, restructuring and people

Group headcount reduced from 5,347 to 4,975 during H1, yielding ~£9m H1 savings and expected annualised savings ~£23m. Adjusting items (£18.0m) include redundancy/impairment and closure of parts of the neurological business.

FX, tariffs and pricing

Currency was a material headwind (including an £8.0m reduction in forward contract income); new US tariffs cost ~£5m but were offset by surcharges/pricing (≈1.4% of H1 growth) so no net operating profit impact from tariffs.

Return on invested capital and outlook

ROIC increased to 13.2% (H1 FY2025: 12.6%). Management expects H2 to be stronger and reiterates FY2026 guidance: revenue £740–780m and adjusted profit before tax £132–157m, while noting ongoing geopolitical and macro uncertainty.

Tax and contingent items

Effective adjusted tax rate in H1 ~21.8%. Historical/non‑recurring tax matters remain subject to provisioning (previously recognised liability ~£9.15m plus interest; additional interest of £575k recognised in H1).