Renishaw profit jump

14th Oct 2010 10:45

Instrumentation supplier Renishaw increased revenues by 85% in the first quarter and this translated into a jump in profit. Revenues rose from £32.5m to £60.1m in the three months to September 2010 and it even beat the record revenues in the three months to September 2008. China has been the main engine of growth and the Far East now accounts for 42% of revenues, up from 35% last year. Most of the growth came from the metrology sector with the healthcare side still building up revenues. First quarter pre-tax profit jumped from £2m to £15.1m. Exchange rates flattered the figure by around £900,000 but it is still an impressive improvement. The comparatives are weak but the latest figure is still better than the £9.8m profit in the first quarter two years ago. Current trends suggest further significant growth this year. Renishaw had net cash of £30.8m at the end of September 2010. That is only slightly lower than three months ago, even though Renishaw has invested a total of £2.6m to buy stakes in two companies.