Engineer Renishaw slumps as strong pound knocks earnings

 
Suzie Neuwirth
ENGINEERING firm Renishaw made one of the biggest losses on the FTSE yesterday, after revealing a nine per cent fall in third-quarter profit, hit by a strong pound.

The company, which is listed on the FTSE 250 index, reported pre-tax profit of £14.4m, but said this would have been £2.2m higher at last year’s exchange rates.

Shares slid 7.5 per cent and closed 138p down at 1,701p.

Total revenue over the period rose three per cent to £81.9m, but revenue for the nine months to 31 March fell three per cent to £256.1m, reflecting a tough comparison with last year when Renishaw won a large one-off electronics order in China.

“Trading continues to improve in the second half with good demand in most of its end markets… However, the third-quarter performance fell below our expectations,” said Numis research.