Renishaw Plc · LSE:RSW
Renishaw — H1 2024 Earnings Presentation
17 slides from Renishaw's earnings presentation, Feb 6, 2024
Slide 1: Renishaw plc Interim results 6 February 2024
transforming tomorrow together Renishaw plc Interim results 6 February 2024 A solid performance in challenging market conditions with growth opportunities in H2 We apply innovation™
Slide 2: Revenue
Revenue Half-year revenue £m 400 Industrial Metrology growth offset by continued weak 350 demand from the semicon equipment sector 300 67.0 69.1 79.2 83.6 77.9 72.1 250 H1 revenue 5% lower at £330.5m 200 63.6 51.7 54.7 94.6 95.5 110.3 102.4 114.1 97.2 • Revenue down 2% at constant currency 150 89.0
Slide 3: Key metrics – 2024 H1 vs 2023 H1
Key metrics – 2024 H1 vs 2023 H1 Profitability 2024 2023 Change £m £m % Increasing focus on efficiency, whilst maintaining our Revenue 330.5 347.7 (5%) commitment to long-term growth Adjusted profit before tax 56.5 73.5 (23%) Adjusted profit before tax of £56.5m Statutory profit before tax 56.5 77.8
Slide 4: Financial highlights
Financial highlights Revenue £m 2024 2023 Change 800 % 688.6 £m £m 700 671.1 574.0 565.6 600 510.2 Revenue 330.5 347.7 (5) 340.9 500 345.9 277.3 310.5 400 250.8 Adjusted profit before tax 56.5 73.5 (23) 300 200 325.2 347.7 330.5 296.7 259.4 255.1 100 Fair value gains on ineffective FX cash flow 0 -
Slide 5: Income statement
Income statement 2024 2023 Adjusted profit before tax bridge £m £m % £m % Change Revenue 330.5 100 347.7 100 -5% Cost of sales (130.5) (39) (126.4) (36) 3% Engineering (inc. R&D) (45.4) (14) (46.1) (13) -1% Gross profit 154.6 47 175.2 51 -12% Distribution costs (68.9) (21) (66.8) (19) 3% Administrat
Slide 6: Sources and uses of cash
Sources and uses of cash £m Slide 6
Slide 7: Investment in our future
Investment in our future Capital expenditure £m 80 74.0 Capital expenditure 70 56.8 • £40m capex in FY2024 H1, including new production 60 44.6 50 equipment and completion of first phase of 50% manufacturing 25.4 38.7 40.4 40 footprint expansion at Miskin to support planned growth 30 30.8 24.6 5.7 2
Slide 8: Long-term value creation model
Long-term value creation model Targeting high single digit through-cycle organic growth Well positioned in markets growing at >5% 1 p.a. Strategy driving consistent outperformance Manufacturing machine Industrial Growing in Increasing Extending into performance automation existing markets technology
Slide 9: Increase revenue per machine tool
Growing in existing markets Increase revenue per machine tool Increase ‘share of wallet’ with metrology and position sensors Recent enhancements to our machine tool probing range • QE series radio transmission - multi-probe installations and extends probe battery life • New RMP24-micro – miniature w
Slide 10: Win new machine builder customers
Growing in existing markets Win new machine builder customers Enhance our strong position in encoders for motion control INNOVATORS in position measurement Magnetic encoders Optical encoders Laser encoders AkSiM-4™ Big Rings for industrial & CENTRUM™ self-centring disc is easy to fit, RLE fibre lase
Slide 11: Build systems sales
Increasing technology value Build systems sales Build market-leading positions in metrology & additive manufacturing systems New RenAM 500 Ultra super-productive additive manufacturing (AM) machines • Quad-laser RenAM 500Q is already the most productive mid-size metal AM machine • TEMPUS™ technology
Slide 12: Build systems sales
Increasing technology value Build systems sales Build market-leading positions in metrology & additive manufacturing systems Easy-to-use software to support our growing metrology systems business • MODUS™ IM Gauge and Control software enables machine tool users to deploy Intelligent Process Control
Slide 13: Monetise shop floor data
Increasing technology value Monetise shop floor data Accurate, actionable data across the shop floor Renishaw CENTRAL smart manufacturing data platform • Connects Renishaw and 3rd party metrology devices • Identify inefficiencies and reduce waste • Centre-piece of Renishaw stand at EMO Hannover in S
Slide 14: Diversify into adjacent markets
Extending into new markets Diversify into adjacent markets New product lines in high-growth manufacturing technology sectors Apply our proven technology and know-how to Improve robot the large, high-growth, untapped robotics market accuracy and identify root causes of poor • Introduced our Industria
Slide 15: People and planet
People and planet Attracting and retaining talented employees Supporting the drive to Net Zero • Headcount stable at 5,166 • UK electricity now 100% renewable • 100 graduates and 60 apprentices in September • New ESG Steering Committee is developing a comprehensive ESG strategy • £4m p.a. savings fr
Slide 16: Outlook
Outlook Market growth and outperformance strategy targeting high single digit through-cycle organic growth • We have achieved a solid performance in challenging market H2 range conditions, with growth from Industrial Metrology products in 2024 H2 2024 H1 Change APAC being offset by continued weak de
Slide 17: Disclaimer
Disclaimer This document contains statements about Renishaw plc that are or may be forward-looking statements. These forward-looking statements are not guarantees of future performance. They have not been reviewed by the auditors of Renishaw plc. They involve known and unknown risks, uncertainties a