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Renishaw scraps final dividend in response to Covid-19 crisis
5th Jun 2020 07:02
(Sharecast News) - Scientific engineer Renishaw scrapped its final dividend in response to the coronavirus crisis as it looked to control costs.
"The board continues with measures to closely manage the group's cost base, particularly in relation to our labour costs," Renishaw said.
The company on Friday said it would review its position with the intention of reinstating the dividend "as soon as it is appropriate to do so", adding that current trading remained in line with expectations with a trading update last month.
Renishaw at the time said it expected profits this year of £45m - £55m after a 60% slump in the third quarter, when the impact of the pandemic was being felt in China, one of its key markets. The company last year made profits of £104m.
The company makes precision instruments for the manufacture and inspection of engine and automation parts in the aerospace, automotive and agricultural sectors. It also supplies technologies in smartphones and the development of 5G telecommunications.
"The board continues with measures to closely manage the group's cost base, particularly in relation to our labour costs," Renishaw said.
The company on Friday said it would review its position with the intention of reinstating the dividend "as soon as it is appropriate to do so", adding that current trading remained in line with expectations with a trading update last month.
Renishaw at the time said it expected profits this year of £45m - £55m after a 60% slump in the third quarter, when the impact of the pandemic was being felt in China, one of its key markets. The company last year made profits of £104m.
The company makes precision instruments for the manufacture and inspection of engine and automation parts in the aerospace, automotive and agricultural sectors. It also supplies technologies in smartphones and the development of 5G telecommunications.