Oxford Instruments
plc
Half-year trading update - 16
October 2024
Robust demand and order
intake growth
Full year trading in line with constant currency
expectations
Oxford Instruments plc, a global
provider of high technology products and services to many of the
world's leading companies and scientific research communities, is
today issuing a trading update for the half year ended 30 September
2024.
At constant
currency, we expect
to deliver circa 10% revenue growth for the first half, supported
by order intake circa 3% ahead of the prior year. Adjusted operating profit will be slightly above last
year. Group margin will be lower than last
year, as expected, reflecting the mix effect of stronger revenue growth from
Advanced Technologies.
On a reported basis, the currency
headwind will result in adjusted operating profit and margin below
the comparable period last year.
Imaging & Analysis
We have continued to see good growth
in the first half of this financial year, with strong demand across
our materials analysis and semiconductor markets. This more than
offset softer demand from our healthcare & life science market.
The division recorded a positive book-to-bill in the half
year.
Advanced Technologies
Our compound semiconductor business
continues to perform well, with strong revenue growth in the first
half. In the quantum market, we have begun deliveries of an ongoing
series of orders to a key customer, supporting good progress
towards a return to profitability. The division continues to have
good order book visibility.
Outlook
We expect to deliver our normal
stronger second half trading performance. This will be supported by
the execution of some larger orders in Advanced Technologies, as
well as progress in our operational transformation and business
restructuring projects, delivering efficiency and cost improvements
in the second half of the year. We expect performance for the full
year to be in line with expectations on a constant currency
basis.
Based on prevailing exchange rates,
the appreciation of sterling is expected to increase the currency
headwind on operating profit for the full year by circa £1.5-2.0m
from previous guidance.2
Oxford Instruments' results for the
half year ending 30 September 2024 will be released on 12 November
2024.
Notes:
1.
Adjusted operating profit is before amortisation
and impairment of acquired intangible assets, acquisition items,
restructuring costs and the mark-to-market revaluation of financial
derivatives.
2.
Guidance in our 2024 preliminary full-year results
announcement in June pointed to a headwind of £8.4m to revenue and
£6.2m to profit for the full year.
Enquiries:
Oxford Instruments plc
Richard Tyson, Chief Executive
Officer
Gavin Hill, Chief Financial
Officer
Stephen Lamacraft, Head of Investor
Relations
Tel: 01865 393200
investors@oxinst.com
MHP
Group
Katie Hunt/Tim Rowntree/Eleni
Menikou/Veronica Farah
Tel: 07710 117517
oxfordinstruments@mhpgroup.com
- Ends
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Issued
for and on behalf of Oxford Instruments plc
Notes to Editors
About Oxford Instruments plc
Oxford Instruments provides academic
and commercial organisations worldwide with market-leading
scientific technology and expertise across its key market segments:
materials analysis, semiconductor, and healthcare & life
science.
Innovation is the driving force
behind Oxford Instruments' growth and success, supporting its core
purpose to accelerate the breakthroughs that create a brighter
future for our world. The vigorous search for new ways to make our
world greener, healthier and more productive is driving
unprecedented levels of R&D investment in new materials and
techniques to support productivity and decarbonisation worldwide,
creating a significant opportunity for Oxford Instruments to
grow.
Oxford Instruments holds a unique
position to anticipate global drivers and connect academic
researchers with commercial applications engineers, acting as a
catalyst that powers real world progress.
Founded in 1959 as the first
technology business to be spun out from Oxford University, Oxford Instruments is now
a global company listed on the FTSE250 index of the London Stock
Exchange (OXIG).
For more information, visit
www.oxinst.com