Spectris reiterates FY guidance

Electronics manufacturer Spectris reiterated full year like-for-like sales growth guidance on Wednesday, citing "continued strong demand" for its products.

Spectris said sales were up 10% on a like-for-like basis in both the third quarter and the year to date, underpinning expectations for "high single digit organic sales growth" for the full year.

The FTSE 250-listed group, which recently completed its acquisition of Dytran Instruments, also said its outlook for full-year adjusted operating profit remained in line with current market expectations and noted that it maintained a "strong" balance sheet, with net cash of £222.2m.

Chief executive Andrew Heath said: "We continue to see strong demand for our products and services, underpinning our expectation for high single digit organic sales growth for the full year. Orders remain ahead of revenue, even when compared to our strong performance in the third quarter last year, supported by our continued focus on R&D investment and new product introductions.

"Our strong balance sheet provides the capacity to invest in growth, with proceeds from the divestment of Omega, received in July, returning the Group to a net cash position. I am very pleased with the progress we continue to make. As we will outline at our Capital Markets Day later today, we have significantly improved the quality of our business, giving me the confidence that we are now more capable of compounding growth in the future and continuing to expand operating margins."

Reporting by Iain Gilbert at Sharecast.com