Renishaw is ‘cautiously optimistic’

Chairman and chief executive Sir David R McMurtry said there had been improvements in order intake and revenue with the company's order book increasing from £9.7 million at 30 June last year to £17.6 m,illion by 31 December. Revenue for the six months to 31 December 2009 amounted to £73.9 million (2008 £102.7m), which, while contrasting adversely with that achieved for the same period last year (a reduction of 32%), was 8% ahead of the £68.6 million recorded in the second six months of the previous financial year. Pre-tax profit was £7.1 million (2008 £14m). Revenue in Renishaw's traditional Metrology products (probes and accessories for coordinate measuring machines and machine tools, laser calibration systems and linear and angle encoder systems) – the cornerstone of the business – was £65.9 million (2008 £94.2m). Although there was a decline in revenue in most geographic areas, there was growth in the Far East, excluding Japan. Current indications were that growth in China, Korea and Taiwan was likely to continue, particularly in the production of electronic products and in the recovering Japanese machine tool market, McMurtry said. In the smaller healthcare segment, which comprises neurosurgical, dental and spectroscopy products, revenue amounted to £8 million (2008 £8.5m) and there was growth in all geographic markets, notably the Far East. McMurtry said: "After a serious and protracted global downturn we are encouraged by the progress in this first six months, particularly by the performance in this last quarter and the improvements in the rate of order intake. Overall we are cautiously optimistic for the full year and thereafter."