Renishaw plc
15 September 2022
Preliminary announcement of results for the year ended 30 June 2022
Record results and strong strategic progress
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2022
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2021
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Change |
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Revenue (£m) |
671.1 |
565.6 |
+19% |
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Adjusted1 profit before tax (£m) |
163.7 |
119.7 |
+37% |
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Adjusted1 earnings per share (pence) |
185.5 |
132.0 |
+41% |
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Dividend per share (pence) |
72.6 |
66.0 |
+10% |
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Statutory profit before tax (£m) |
145.6 |
139.4 |
+4% |
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Statutory earnings per share (pence) |
165.4 |
153.2 |
+8% |
Performance highlights
Record revenue of £671.1m, 19% higher than FY2021 revenue of £565.6m
Manufacturing technologies revenue2 increased by 20% to £634.6m, with:
- record demand for encoders, driven by sustained semiconductor and electronics capital investment;
- rising sales of flexible gauging and machine tool products for automated machining, notably in the consumer electronics sector; and
- repeat purchases of high-value solutions by key customers in additive manufacturing and 5-axis metrology.
Analytical instruments and medical devices revenue2 increased by 4% to £36.5m, with:
- strong growth in H2 to give record spectroscopy revenues, as backlog of duty-exemption certificates in China eased; and
- reduced neurological revenue during FY2022, though we are talking with multiple large pharmaceutical companies to use our unique drug delivery technology in clinical trials.
Record Adjusted profit before tax of £163.7m (FY2021: £119.7m), an increase of 37%
Return on sales increased to 24% (FY2021: 21%)
Statutory profit of £145.6m compared with £139.4m last year
Strong balance sheet, with net cash and bank deposits of £253.2m at 30 June 2022, compared with £215.0m at 30 June 2021.
1 Note 29, 'Alternative performance measures', defines how Adjusted profit before tax, Adjusted earnings per share, Adjusted operating profit and Revenue at constant exchange rates are calculated.
2 Results relating to sales of additive manufacturing machines to medical and dental customers are no longer recognised in the Analytical instruments and medical devices operating segment. Comparative figures have been reclassified accordingly, see note 2.
Strategic progress
· Successfully launched new products in the year including an ultrasonic probe for REVO, our market-leading measurement system for CMMs
· Gained key customer accounts, including in close-adjacent markets, following the launch of products such as our FORTiS enclosed encoder and the NC4+ Blue tool setter in recent years
· Made more of our products compatible with third-party software, helping to open up new markets
· Committed around £64m to increase the footprint of our production facilities at Miskin, Wales, and are investing in production equipment to increase both capacity and productivity, with a focus on automation
· Focused on the reward, retention and development of our people, including a salary benchmarking exercise that we expect to increase FY2023 labour costs by £19m compared with FY2022
· Agreed our Net Zero commitment, aiming to achieve Net Zero for Scope 1 and 2 emissions by 2028, and no later than 2050 for Scope 3.
Sir David McMurtry, Executive Chairman commented: “Our performance has been built on years of strategic focus. We've developed the innovative products required to meet the challenges faced by manufacturers in growing markets, while ensuring that we have the global infrastructure and skilled people to deliver those opportunities”.
About Renishaw
We're a world leading supplier of measuring systems and production systems. Our products give high accuracy and precision, gathering data to provide customers and end users with traceability and confidence in what they're making. This technology also helps our customers to innovate their products and processes.
We're a global business, with 56 customer-facing locations across our three sales regions; the Americas, EMEA, and APAC. Most of our R&D work takes place in the UK, with our largest manufacturing sites located in the UK, Ireland and India.
We are guided by our purpose: Transforming Tomorrow Together. This means working with our customers to make the products, create the materials, and develop the therapies that are going to be needed for the future.
We believe that our purpose is incredibly relevant in today's environment where the pace of change in technology is faster than ever. We also know that the future will be a world of scarce resources, needing high-performance, intelligent, personalised solutions that make the best use of these resources, and our expertise can help deliver this.