Oxford Instruments sees 'strong' H1 revenue growth

Oxford Instruments said on Thursday that it made good progress in the half year to 30 September, amid continued strong demand for its products and services.

On a constant currency basis, orders were ahead of revenue during the period and ahead of orders for the first half of last year. On a reported basis, the group said it expects "strong" revenue and adjusted operating profit growth for the first six months of the year, supported by a currency tailwind.

Constant currency growth has been tempered in the first half by global supply chain challenges, as well as price rises not yet offsetting inflationary pressures due to phasing of the order book.

"The business continues to see good order growth as we address cost inflation through active price management," it said. "We continue to invest in the business to drive future growth, including new product development, as well as enhancements to operational delivery and service to support our growing business."

Oxford Instruments said its pipeline remains robust across all end markets.

"We anticipate higher production in the second half, combined with the positive impact of recent price increases as we convert our record order book," it said.

"This provides good visibility for an expected improvement in trading in the second half, with full year trading at constant currency remaining in line with expectations."

The company’s half-year results are due on 8 November.