Renishaw shares were down 0.4% to 4,170p in early morning trading on Tuesday after the group cut its adjusted pre-tax profit forecast for 2022 to £155 to £170 million from £157 to £181 million as a result of growing uncertainty linked to lockdowns in China.
The engineering firm reported a 21% increase in total revenue to £492.4 million compared to £407.4 million for the nine months to 31 March.
The company saw a 22% growth in manufacturing technologies to £467.4 million compared to £382.1 million, and a 1% slide in analytical instruments and medical devices to £25 million from £25.3 million.
The firm attributed its uptick in manufacturing sector revenue to strong demand for its encoder product lines driven by increased investment in industrial automation and the semiconductor and electronics capital equipment markets, alongside a rise in demand for machine tool and co-ordinate measuring machine product lines.
Renishaw highlighted a 47% rise in adjusted pre-tax profit to £124 million against £84.4 million, alongside a statutory pre-tax profit growth of 13% to £120.2 million from £106.3 million.
Renishaw confirmed a balance sheet with cash and bank deposit balances of £241.1 million compared to £222 million on 31 December 2021.
The group also announced an interim dividend of 16p per share, which was paid on 11 April 2022 and amounted to a total of £11.6 million.
The company confirmed its withdrawal from Russia, and noted that it was currently in the process of suspending its trading operations in the region.
Renishaw said its Russia and Belarus operations accounted for approximately 1% of total group revenue, with £2 million of impairments linked to its withdrawal noted in its interim results.
However, the group clarified that it expected no further impairments or costs related to its decision in the coming term.
Renishaw added that it recorded strong demand for its product lines, alongside a promising order book, with the firm confident in its long-term prospects due to its positive financial position, innovative pipeline and relevance to high-value manufacturing.