Renishaw lowers guidance after Q3 revenue rise

Renishaw’s Q3 revenue rose but profits fell year-on-year. The company lowered full-year guidance in response.

Renishaw (LSE: RSW) reported a rise in third-quarter revenue but lowered its full-year guidance due to lower profits in the first nine months.

Revenue for the three months ended March 31st reached £172.4 million, a 3.9% increase compared to the previous quarter. However, nine-month revenue of £502.9 million remained 3.7% lower year-on-year.

Profitability also declined. Statutory pretax profit for the nine months fell 26% to £86.8 million, while adjusted pretax profit dropped 22% to the same figure.

In response to these results, Renishaw narrowed its full-year revenue guidance to £680-700 million, down from the previous £675-715 million range. Similarly, adjusted pretax profit expectations were revised down to £122-135 million, compared to the prior £122-147 million forecast.

The company’s share price reflected this lowered outlook, falling 3.2% on Wednesday morning.

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