The Renishaw Group achieve record half-year results

Total group revenue for the six months to 31 December 2010 was £129.3 million, 75% ahead of the £73.9 million for the corresponding period last year and, more significantly, 26% above the previous highest first half year revenue of £102.7 million reported in 2009, reported Sir David McMurtry (pictured), chairman and chief executive. All geographic areas saw good progress, with growth of 60% in Europe, 66% in the Americas and 103% in the Far East, in particular China which has become the group's largest market. Group profit before tax for the period was £35.5 million, compared with £7.1 million last year, and compared with £15.3 million, being the previous highest first half year profit before tax, in 2006. Earnings per share were 39.0p, an increase of 400% over last year's earnings of 7.8p. The performance of the Metrology business exceeded expectations in the first half year, with revenue of £120.4 million, compared with £65.9 million in the corresponding period last year, an increase of 83%. Demand for all product lines grew compared with last year, with machine tool and encoder products showing particularly high increases. Further to the announcement in July 2010 regarding a new investment in Measurement Devices Limited, the Group acquired, in December 2010, a further 10% of the share capital for an amount of £0.8 million. In January 2011, the shareholding was increased by another 10%, at a cost of £0.8 million, to a total of 49%. Operating profit for this segment was £39.3 million, compared with £9.0 million last year. Revenue from the Healthcare business rose 11% to £8.9 million (December 2009 £8.0 million) but, given the significant set-up costs and continuing research and development costs, an operating loss of £4.2 million was made (December 2009 loss £2.1 million). The Group workforce has grown from 2,099 to 2,280 at the end of December 2010, with 248 outstanding vacancies, of which 161 are in the UK and 87 overseas.