Renishaw PLC (LSE:RSW) shares fell Wednesday morning after the technical instruments maker trimmed guidance following a dip in earnings over the first three quarters.
Adjusted pre-tax profit fell 22% to £86.8 million over the nine months to March, the FTSE 250-listed engineer reported on Wednesday.
Revenue dipped 4% to £502.9 million as income from manufacturing technologies and position measurement products fell.
Top-end profit guidance was trimmed back as a result, from £147 million to £135 million, with the bottom end of the range remaining at £122 million.
Revenue guidance was also narrowed, from between £675 million and £715 million to a range of £680 million to £700 million.
“We expect the recent improvement in our trading performance to strengthen in the remainder of the financial year,” the company said, after revenue increased 4% over the third quarter.
“[This is] as market conditions improve and as we continue to realise the benefits from a range of targeted growth opportunities.”
Currency movements and growing employee pay primarily impacted profitability, the company added.
Shares fell 2.7% to 4,041.82p.