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Hardware & electrical equipment

Renishaw reports positive start to year but cautions on weakening market 

The engineering group has seen a weakening in order intake from the semiconductor and electronics sectors

Renishaw PLC (LSE:RSW) said it has made a positive start to the current financial year, in line with its expectations, but sounded a note of caution on the market outlook.

Revenue came in at £179.9mln in the first quarter to 30 September 2022, a rise of 14% in the same period last year, with growth in all regions, the FTSE 250 engineering group said in a trading update.

Adjusted pre-tax profit dropped to £40.0mln from £41.7mln, and was “comparable with our profitability in the final quarter of the previous financial year”, Renishaw said.

The company said its order book remains strong, but noted that it has seen a weakening in order intake from the semiconductor and electronics sectors and that the general market sentiment is becoming more cautious.

“In light of this, we are managing costs carefully and focusing on productivity,” it said.

Net cash and bank deposit balances stood at £258.6mln as of 30 September 2022, up from £253.2mln at the end of June.

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