Renishaw slashes full-year profit and sales forecasts

For the nine months ending on 31 March, the company, which manufactures precision control and measurement equipment, posted an 18.8% fall in adjusted profits before tax to reach £79.6m.

That was alongside topline growth of only 0.3% to £431.1m. Sales in its metrology unit dipped by 0.5% to £404.5m, while at the Healthcare arm they jumped by 14.2% to £26.6m.

At the half-year stage, Renishaw's profits had been down by just 4.3% versus the comparable year ago period.

And now, based on the most recent order trends and feedback from customers, full-year revenue was pegged at between £580-600m, down from a previous range of £635-665m.

In turn, full-year adjusted profits before tax were now seen coming at between £105-120m, down from prior guidance for £146-166m.

The firm´s net cash balance did however improve, rising from £91.2m one year ago or £100.5m as recently as 31 December to £120.5m.

"Notwithstanding the current economic uncertainties, the Board remains confident in the future prospects of the Group," management said in a statement.

Renishaw's latest trading update was published ahead of its annual investor day which was scheduled for later in the day.

Preliminary full-year numbers were due out on 30 June.

As of 0817 BST, shares of Renishaw had crashed by 9.53% to 3,740.0p, but were off their intraday and 52-week low of 3,510.0p.