# Renishaw reports strong H1 growth with record Q2 and rising order book

- Link: https://www.directorstalkinterviews.com/renishaw-reports-strong-h1-growth-with-record-q2-and-rising-order-book/4121239318
- Published: 2026-02-11T07:48:21+00:00
- Author: Amilia Stone

**Renishaw plc** (LON:RSW), a world leader in measuring and manufacturing systems,
has announced its interim results for the six months ended 31 December 2025 (H1 
FY2026).

_Strong H1 performance and a growing order book_

> **Will Lee, Renishaw Chief Executive Officer, commented:**
> “We have made strong progress in the first half, with a notable pick-up in revenue
> and order intake in Q2 and improving profitability. It is pleasing to see revenue
> growth in all three business segments, with significant progress in our emerging
> product lines. Our markets present significant structural growth opportunities,
> and we are excited about the prospects for the innovative products that we have
> recently launched. We enter H2 with momentum and we expect to achieve strong revenue
> and profit growth in the remainder of the year.”

**Performance highlights**

|  | Adjusted* (see note 12) |  | Statutory |   | 
|  | H1FY2026 | H1FY2025 | Growth | Constant FX growth |  | H1FY2026 | H1FY2025 | Growth |   | 
|  |  |  |  |  |  |  |  |  |   | 
| Revenue (£m) | 365.6 | 341.4 | 7.1% | 11.5% |  | 365.6 | 341.4 | 7.1% |   | 
|  |  |  |  |  |  |  |  |  |   | 
| Operating profit (£m) | 57.5 | 51.6 | 11.4% | 49.6% |  | 40.1 | 51.6 | (22.3%) |   | 
| Operating profit margin (%) | 15.7% | 15.1% | 0.6%pt |  |  | 11.0% | 15.1% | (4.1%pt) |   | 
|  |  |  |  |  |  |  |  |  |   | 
| Profit before tax (£m) | 64.1 | 57.5 | 11.5% |  |  | 46.0 | 57.5 | (20.0%) |   | 
|  |  |  |  |  |  |  |  |  |   | 
| Earnings per share (pence) | 68.8 | 63.2 | 8.9% |  |  | 49.9 | 63.2 | (21.0%) |   | 
| Dividend per share (pence) | 16.8 | 16.8 | – |  |  |  |  |  | 
|  |  |  |  |  |  |  |  |  | 
| Return on invested capital (%) | 13.2% | 12.6% | 0.6%pt |  |  |  |  |  | 
| Adjusted cash flow conversion from operating activities (%) | 68% | 100% | (32%pt) |  |  | Note:%pt = percentage points |

·      Strong revenue growth: 7.1% at actual exchange rates, 11.5% at constant currency*.

·      Record Q2 revenue, 14.1% higher than Q1, with further strengthening of the
order book.

·      Revenue growth in all segments, with strong growth in the Americas and APAC
regions.

·      Strong growth in defence and semiconductor sectors.

·      Emerging product lines continue to gain traction, notably co-ordinate measuring
machine and gauging systems, additive manufacturing (AM) systems, and enclosed optical
encoders.

·      1.4% of H1 growth is attributable to higher pricing to wholly offset tariff
duties in the USA.

·      Average through-cycle revenue growth rising to 7.8% (5-year CAGR since H1
FY2021).

·      Adjusted operating profit margin* rose 0.6%pt to 15.7%.

·      4.4%pt of organic margin improvement from fixed cost reduction, productivity
initiatives and operational leverage, offset by (3.8%pt) of headwinds from currency
and tariffs.

·      Adjusted profit before tax* growth: 11.5%.

·      Statutory profit before tax was 20.0% lower, including £18.0m of redundancy
and impairment costs relating to previously announced restructuring activities, 
and other one-off costs.

·      Adjusted cash flow conversion from operating activities*: 68% (H1 FY2025:
100%), with lower capital expenditure offset by higher working capital to support
record Q2 sales and a growing order book.

·      Strong balance sheet with cash and deposit balances of £240.9m (FY2025: £
273.6m), reflecting full-year dividend, working capital investment and restructuring
outflows.

·      Return on invested capital* increased by 0.6%pt to 13.2%.

·      Interim dividend maintained at 16.8 pence per share

* Refer to note 12, which defines how alternative performance measures are calculated.

**Outlook for FY2026**

We expect the market backdrop in the remainder of FY2026 to continue to be mixed,
with ongoing strong demand across specific sectors and product lines offsetting 
more subdued conditions in general industrial markets. We built strong momentum 
through the first half of FY2026, with positive contributions from our emerging 
products, delivering growth in each segment and a significant further growth of 
our order book. Whilst we are mindful of ongoing economic and geopolitical uncertainties,
our positive momentum has continued in the early part of Q3, and we are confident
of achieving strong growth for the year as a whole.

Our second half is normally stronger than H1 and that pattern is likely to continue
this year. We currently expect to deliver FY2026 full-year performance in the following
ranges: 

·      Revenue:                                        £740m to £780m

·      Adjusted profit before tax*:             £132m to £157m

**Results webcast**

Will Lee, Chief Executive Officer, and Marc Saunders, Director of Group Strategic
Development, will host a results presentation and Q&A session at 08:30 GMT today,
which will be broadcast live via a webcast. Details of how to register for this 
webcast are available at: https://stream.brrmedia.co.uk/broadcast/6968c43021449c0013b7966c

A recording of the presentation and Q&A session will be made available by 12 February
2026 at: www.renishaw.com/investors

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