REG - Oxford Instruments - Half Year Trading Update

Oxford InstrumentsAnnouncement

16/10/2024 07:00

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RNS Number : 3121I  Oxford Instruments PLC  16 October 2024

 

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 (mailto:oxfordinstruments@mhpgroup.com)

 

- Ends -

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 

 

 

 

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