Renishaw Plc, the scientific measurement and opto-electronic specialist in Wotton-under-Edge, Gloucestershire, says improved demand for its products has helped it to a rise in pre-tax profits of 55.5% to ú4.4m at the half-year stage. But it added that the end of the global recession was not the only reason for its bouyant results: investments in new products and markets, as well as improving manufacturing processes, had played their part in reversing the falling profit levels of a year ago. Renishaw said this investment in improving production technologies and developing new products, as well as obsoleting old ones, would continue. The company added that improving its manufacturing capabilities, while reducing the cost of manufacture but improving the quality of its products, had been a good discipline throughout the recession. The bulk of Renishaw’s market is overseas and improved trading conditions helped Renishaw’s half year turnover rise 17.5% to ú27.4m, with an increase in net profit of 58.5% to ú3.1m. Chairman and chief executive David McMurty said that although growth had been taken place across the globe, the company was particularly pleased with its performance in Asia and Germany, where last year turnover had been falling. The Far East has been a focal point for Renishaw’s efforts and it now has offices in Singapore and Peking, which are supported by the firm’s subsidiary in Hong Kong. The co-ordinate measuring machine and machine tool divisions were strong performers; demand continued to grow for the company’s new scanning products and the Raman microscope. The microscope was originally developed to study diamond film coatings but has since been used in non-traditional areas like forensic science. Renishaw plans to pay an interim dividend of 2.5 pence on April 24, an increase of 10%, after adjustment for the capitalisation issue, which it it carried out last year (CI No 2,513) to shareholders on the register at March 30 this year.
