Return on Capital Employed 21% and Operating Margin 21.75%.
Renishaw plc and subsidiary undertakings
Preliminary announcement of results for the year ended 30th June 2017
HIGHLIGHTS
• Record revenue of £536.8m, with an underlying growth of 14%
• Strong growth in encoder, measurement and automation, calibration and coordinate measuring machine product lines in our metrology business
• Revenue growth in all healthcare product lines
• 25% increase in adjusted profit before tax
• Capital expenditure of £42.6m, providing for future growth
• Headcount increase of 244, including 91 graduates and apprentices
• Strong balance sheet, with cash of £51.9m, compared with £21.3m last year
• Dividend increased by 8.3% to 52.0p
I bought in 2011 at 869p and have enjoyed a compound annual growth rate above 30%. The dividend yield was about 4.5% when purchased but that's now down to 1.3% despite the dividend increasing over 35% since purchase. I would not initiate a new position, but will continue to hold. For long term investors, even at these prices I would expect a good result.
Best wishes
Mark.