Gloucestershire global manufacturer Renishaw has seen strong growth in Asia Pacific throughout the year, with improving sales in Europe, the Middle East and Africa and the Americas in the second half of the year.
Group revenue for the first quarter of the current financial year was £157.8 million, compared to £116.9 million for the corresponding period last year. The company said it had experienced strong revenue growth in all regions following an improvement to global macroeconomic conditions over the last year.
In a separate preliminary announcement of results for the year ended 30 June 2021, the company said that manufacturing technologies (formerly Metrology) revenue increased by 11 per cent to £526.2 million, with record demand for encoders, driven by booming semiconductor and electronics capital investment, rising sales of flexible gauging and machine tool products, especially in the consumer electronics sector; and lower additive manufacturing sales, in line with expectations following restructuring in 2020.
Analytical instruments and medical devices (formerly healthcare) revenue increased by 12 per cent to £39.4 million, with general recovery in spectroscopy investment and growth in neurological products, as the company supported large pharmaceutical customers with clinical trials using its unique drug delivery technology.
Adjusted profit before tax was £119.7m (2020: £48.6 million), an increase of 146 per cent.
Statutory profit was £139.4 million compared with £3.2 million last year.
Renishaw said its fit for the Future initiative drove productivity improvements.
Adjusted profit before tax for the year increased to 21 per cent of revenue (2020: 10 per cent).
Sir David McMurtry, Executive Chairman: “We have recovered well and our employees have shown great resilience in maintaining supply and excellent levels of support to our customers around the world. I am excited about our new products in development and the opportunities presented by global market trends.”
Earlier this year Renishaw’s owners, Sir David McMurtry and John Deer – both in their 80s, began to look to sell their substantial shareholdings in the business. But after a suitable buyer couldn’t be found, they concluded the process.
In a statement issued on July 7, the board of Wootton-under-Edge based Renishaw said it had “carefully reviewed a number of proposals with its advisers and unanimously concluded that none would meet the Board’s objectives of delivering an outcome that satisfactorily met the interests of all stakeholders.”
Sir David McMurtry, Executive Chairman of Renishaw, and John Deer, Non-Executive Deputy Chairman, said at the time: “At the start of this process we made it very clear that, with the Board, we were focused on ensuring that we find the right new owner for our business. Whilst the formal sale process did not result in a new owner for Renishaw, we are satisfied that it ensured a thorough and rigorous process that enabled us to evaluate a wide range of potential buyers.
“We remain fully committed to Renishaw and have indicated to the Board that we have no intention of selling our shares on the market for the foreseeable future. We continue to enjoy good health and as we consider the future of our shareholdings in due course, we intend to follow an orderly process that continues to take into account the interests of all stakeholders.
“Renishaw is a very special business with a highly successful business model and a very exciting future. We would like to thank all our employees for their dedication to the Company.”
Sir David Grant, Senior Independent Non-Executive Director at Renishaw, added: “The Board conducted a formal sale process to investigate whether we would receive a proposal from a potential new owner that would be in the interests of all stakeholders. We received a number of proposals that we considered carefully but the Board has concluded that none of the proposals met our objectives.
“I am pleased that the founders have indicated their continuing commitment to Renishaw. The business is in a strong strategic and financial position. Renishaw and its stakeholders have every reason to look to the future with optimism and confidence. On behalf of the Board, I would like to thank our employees for their continued focus and commitment to Renishaw.”
Since its foundation in 1973, Renishaw has grown into one of the world’s leading engineering and scientific technology companies, with expertise in precision measurement and healthcare. At the heart of everything is the company’s culture of innovation and a fundamental belief that success comes from patented and innovative products and processes, high quality manufacturing, and the ability to provide local customer support in all its markets around the globe. This has resulted in a long-term track record of strong operational and financial performance.