Spectris PLC on Tuesday said first-half sales slumped amid weaker demand across all regions the company operates in.
The London-based company makes instruments, test equipment, and software for industrial applications.
In the first half that ended June 30, statutory pretax profit multiplied to £235.3 million from £68.5 million the previous year, with the company gaining £210.6 million from disposals.
Revenue declined 16% to £589.7 million from £702.5 million, while cost of sales reduced 12% to £265.7 million from £302.0 million.
The company raised its interim dividend by 5.1% to 26.6 pence per share from 25.3p before.
While Electronics and Semiconductor sales grew, this was offset by fewer sales in other end markets including Pharmaceuticals and in Academia which led to a 15% reduction in order intake.
Sales slumped across all regions with demand in both North America and Europe falling 3%, while Asia fell 12% driven by notably softer markets in China.
Chief Executive Officer Andrew Heath said: ‘We have been very active across the group over the last six months. We have launched a record number of exciting products, completed our portfolio rationalisation programme with the sale of Red Lion [Controls Inc] in April, and in July announced the acquisition of two highly complementary businesses. I am delighted with the addition of SciAps [Inc] and Micromeritics [Instrument Corp] and look forward to them joining the group. Both are high-quality, high-growth businesses, that will further strengthen our customer offering.’
With an order book of £532 million at the end of the period, Spectris has good visibility entering the second half.
Excluding any profit associated with recent acquisitions, management expects to deliver adjusted operating profit for the full year in line with current market expectations of £218.5 million to £231.5 million, down 17% from £262.5 million reported in 2023 at the lower end.
Spectris shares were down 2.3% to 2,932.00 pence each in London on Tuesday morning.
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