Nanotechnology fuels Oxford Instruments profit rise

High-tech tools maker Oxford Instruments said it made good progress in the first half driven by new product introductions and global demand for Nanotech tools.

"Overall, demand for our products remained strong, despite some softness in the industrial sector," the group said in Monday's interim update.

Adjusted pre-tax profit climbed 23.5% to £23.1m for the six months to September 30th 2012 while revenue increased 7.4% to £170.8m during the period.

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Adjusted EPS rose 20.2% to 33.9p. Oxford has increased its interim dividend payment by 10.1% to 3.05p.

Commenting on the results, Chief Executive Jonathan Flint said: "We have delivered a strong result in the first half in line with our 14 Cubed objectives. We have a broad spread of geographies and technologies, exposure to markets with long term structural growth, a strong pipeline of new products and a focus on improving efficiency."

"These factors should help us to remain resilient against a backdrop of sustained global economic uncertainty. We are continuing our pursuit of acquisitions that have the potential to enhance shareholder value and add to our range of technical capabilities."

Oxford added that it remains confident in its growth prospects as it keeps focus on its research and development programme.

The group held net cash of £37.1m at period end compared to £11.9m at the same time last year.

CJ