Oxford Instruments swings to a loss in the first half

High technology tools and systems provider Oxford Instruments announced its half year results for the six months to 30 September on Tuesday, with revenue up 4.1% to £171.5m compared to the first half of last year.

The company’s adjusted operating profit was down 5%, however, to £19m, while its adjusted profit before tax was off 3.7% at £15.7m.

Oxford made a loss before tax of £0.5m for the period, swinging from a profit of £6.1m before tax at the same time last year.

Its continuing adjusted basic earnings per share were down 1.4% at 21.4p, though the board kept the dividend per share in line with last year at 3.7p.

Operating cash flow was £3.7m for the period, down from £11.7m, with net debt widening to £141.1m from £139.5m.

“In challenging markets, Oxford Instruments has delivered a stable performance,” said chief executive Ian Barkshire.

“NanoTechnology Tools performed strongly, and across the group we made good progress with new product introductions and self-help initiatives.”

Barkshire said the greater role of nanotechnology for use in research and a broad range of industrial applications would continue to yield long-term sustainable growth in demand for Oxford’s high technology solutions and services.

“Our increased focus on enhanced product solutions and services across our existing and new markets will underpin future revenue growth, with margin enhancement supported by the development of operational excellence as a core capability across the group.”