Revenues hold up at Renishaw as buyers' interest in company grows

Published by

Nicky Godding

Revenues at Renishaw, the global precision manufacturing company based in Gloucestershire, were up four per cent to March 31 at £407.4 million, the company has said in its latest trading update.

The company announced last month that it was putting itself up for sale following a decision by its founders, Sir David McMurtry and John Deer, Executive Chairman and Non-Executive Deputy Chairman, to dispose of their very substantial shareholdings in the company they founded 1973.

In its latest trading update, the company said that it continued to see good momentum in its business and with a strong order book it anticipates that revenue for the full year will be between £540 million and £570 million, and adjusted profit before tax will be between £105 million and £125 million. These ranges are unchanged from the trading update released 26 March 2021.

Revenue in its metrology business for the first nine months was £379 million, up from £365.9 million last year, with growth for many of its metrology products. This growth was most notable in its machine tool product line and optical and laser encoder product lines, driven by continuing strong demand in the semiconductor capital equipment and consumer electronics markets. Revenue from its healthcare business for the first nine months was also up, at £28.4 million, compared with £24 million last year.

Since its foundation in 1973, Renishaw has grown into one of the world’s leading engineering and scientific technology companies, with expertise in precision measurement and healthcare. At the heart of everything is the company’s culture of innovation and a fundamental belief that success comes from patented and innovative products and processes, high quality manufacturing, and the ability to provide local customer support in all its markets around the globe. This has resulted in a long-term track record of strong operational and financial performance.

When Renishaw announced it was up for sale, Sir David McMurtry, Executive Chairman of Renishaw, and John Deer, Non-Executive Deputy Chairman, said: “We are both grateful for our continued good health, however we recognise that neither of us is getting any younger. Now finding ourselves in our 80s, our thoughts have increasingly turned to considering the future of our shareholdings in the company and how we can actively contribute to securing the future success of the business."

The Board is hoping to find a buyer who will respect the unique heritage and culture of the business, its commitment to the local communities in which its operations are based, and who will enable the company to continue to prosper in the long-term.

Nicky Godding

Nicky Godding is editor of The Business Magazine. Before her journalism career, she worked mainly in public relations moving into writing when she was invited to launch Retail Watch, a publication covering retail and real estate across Europe. After some years of constant travelling, she tucked away her passport and concentrated on business writing, co-founding a successful regional business magazine. She has interviewed some of the UK’s most successful entrepreneurs who have built multi-million-pound businesses and reported on many science and technology firsts. She reports on the region’s thriving business economy from start-ups, family businesses and multi-million-pound corporations, to the professionals that support their growth and the institutions that educate the next generation of business leaders.