Announcement of Half Year Results for six months to 30 September 2017
14 November 2017

Oxford Instruments plc, a leading provider of high technology products and systems for industry and research, today announces its Half Year Results for the six months to 30 September 2017.

 

 

Half year to

30 September 2017

Half year to

30 September 2016

 

% change

 

£m

£m

 

Revenue1

132.1

132.4

-0.2%

Adjusted* operating profit1

18.8

16.4

+14.6%

Adjusted* profit before tax1

16.3

13.1

+24.4%

Profit/(loss) before tax1

12.7

(0.6)

 

Adjusted* basic earnings per share1

22.3p

18.0p

+23.9%

Dividend per share (interim)

3.7p

3.7p

 

Operating cash flow1

4.1

2.0

 

Net debt

45.5

141.1

 

1Continuing operations

Financial Highlights:

Reported orders up 6.0% to £148.5 million (2016: £140.1 million), an increase of 1.8% at constant currency
Reported revenue in line with previous year, down 4.5% at constant currency
Adjusted profit before tax from continuing operations up 24.4% to £16.3 million (2016: £13.1 million)
Adjusted operating margin up 180 basis points primarily reflecting currency benefits
Profit before tax from continuing operations of £12.7 million (2016: loss of £0.6 million)
Constant currency order book of £141.8 million up 3.3% and 11.8% against September 2016 and March 2017 respectively
Significantly strengthened balance sheet with proceeds from sale of Industrial Analysis leading to reduction in net debt to £45.5m (2016: £141.1 million) 
Interim dividend maintained at 3.7 pence

 

Operational Highlights:

Implementation of Horizon Strategy is progressing, repositioning the Group for long term growth and margin improvement, building on our world-class nanotechnology expertise 
Building management, leadership and core capabilities across the Group 
Portfolio management progress with sale of Industrial Analysis completed in July 2017
New market focused structure to align the Group’s management and reporting sectors with our customer and application focus, and to deliver synergies and benefits across the Group:
Materials & Characterisation: focuses on applied R&D and commercial customers, enabling the fabrication and characterisation of materials and devices down to the atomic scale 
Research & Discovery: advanced solutions that create unique environments and enable measurements down to the molecular and atomic level, used in fundamental and applied research
Service & Healthcare: provides customer service and support for our own products and the service, sale and rental of third party healthcare imaging systems
Continued investment in innovation with R&D spend maintained at 9.8% of revenue
Appointment of Steve Blair as Senior Independent Director 

 

Ian Barkshire, Chief Executive of Oxford Instruments plc, said:

“Our customers recognise us as key enablers of their strategies.  As such, we are enjoying increasingly collaborative commercial relationships, delivering solutions that enable them to succeed at the frontiers of science and within applied R&D and commercial applications.

“Our new reporting structure enhances our focus on the growth drivers of our markets and the evolving demands of our customers and will drive cross-business synergies.

“Our expectations for the current financial year remain unchanged, supported by growth in constant currency orders and order book, the timing of new product introductions, our normal second half seasonal bias and favourable currency effects.

“I am encouraged by the progress we have made in the early stages of implementing the Horizon strategy, providing confidence in the longer term delivery of sustainable revenue growth and margin improvement.”

 

Enquiries:

Oxford Instruments plc                                                         
Tel:  01865 393200
Ian Barkshire, Chief Executive
Gavin Hill, Group Finance Director

MHP Communications                                                          
Tel:  020 3128 8100
Rachel Hirst / Luke Briggs