Renishaw plc        

23 September 2025

New reporting segments for FY2026

As previously announced, Renishaw is introducing three new reporting segments in FY2026, which will replace the existing manufacturing technologies and analytical instruments & medical devices segments.  The new segments group together product lines with similar end-user markets, which will more closely align segmental performance with external market data and demand drivers.  They are also aligned to our evolving organisation structure.

The table below sets out how Renishaw's product lines are grouped into both our previous segments and our new segments.  There is a minor change from the preliminary information conveyed at our recent Capital Markets Day: Industrial automation is placed in Industrial Metrology, where there are synergies with our other probing and calibration products.

Notes:

Established                #1 / #2 market share, profitable, growing market

Emerging                   not yet at target share, scale and profitability - focus on rapid growth & share gains in high-growth markets

Non-core                   intention to divest

Each of the new segments contain a mix of established business and emerging product lines as we seek to strengthen our market position and build a coherent range of profitable, growing businesses.

Segment overview

Our Industrial Metrology products are used for measurement and control of precision component manufacturing processes, across a wide range of industries.  Demand for metrology is being driven by tighter tolerances, automated processes and more frugal use of energy and materials across manufacturing industries.  The established product lines are linked to demand for machine tools and various trade associations around the world provide useful historic and forecast data for this market.  By contrast, growth in our emerging metrology systems and software product lines will be driven both by market growth and by market share gains, accelerated by our latest new product introductions. This includes our recently introduced Industrial Automation product line, which provides a new approach to the challenges of robot deployment for precision tasks.

The Position Measurement segment is focused on motion control of precision machinery, robots, defence equipment and factory automation.  Our position encoders are embedded into equipment in a very wide range of industries, and they enable that equipment to move with great speed and precision.  The increasing precision and complexity of modern production processes is a key driver of demand for encoders, with applications such as advanced semiconductor packaging and wafer inspection requiring higher-spec encoders and more axes per machine.  Semiconductor equipment capex is a key external driver that correlates strongly with our contactless encoder demand.  Meanwhile, our emerging enclosed optical and inductive encoders for harsh environments are meeting the needs of greater precision in shop floor and defence applications.  Here our growth will be driven by new product introductions and gaining market share.

Specialised Technologies includes a range of independent product lines, positioned to address high-growth industrial markets.  Our established Spectroscopy business has a strong market position in materials analysis in research and industrial applications.  Our new easy-to-use STRADA^® instrument, which is being introduced in FY2026, will strengthen our offering to industrial customers, and complements the Virsa™ Raman analyser which is suited to process control applications.  Our Additive Manufacturing product line is an emerging business where we continue to invest significantly to move the technology forward.  Our current multi-laser machines have market-leading productivity thanks to recent innovations, and we are investing in a next-generation platform which will provide significantly faster processing and greater automation.  Finally, this segment also includes the non-core Neurological business, which we intend to divest.

Segment financial performance

The following tables set out the performance of the new reporting segments in FY2025 and FY2024:

Industrial Metrology revenue in FY2025 was flat at £430.6m (FY2024: £430.5m).  Good growth in sales of 5-axis co-ordinate measuring machine systems was offset by weaker demand for Equator™ shop floor gauges and machine tool probes. This performance has been achieved against a backdrop of sluggish manufacturing activity in some key territories, with notably weaker demand from the consumer electronics sector as it reacts to changing trade regulations.  The 5-year compound annual growth rate (CAGR) for Industrial Metrology revenue is 6%.  In a period of flat sales and inflationary pressure on fixed costs, adjusted operating profit in FY2025 was 7% lower at £75.5m (FY2024: £80.9m), with operating profit margin down 1.3% to 17.5% (FY2024: 18.8%). 

Position Measurement was the strongest performing segment in FY2025, with revenue growing by 15% to £207.4m (FY2024: £180.7m).  All product lines delivered growth, and we saw particularly strong demand for laser encoders for semiconductor wafer inspection applications, whilst open optical encoders also delivered good growth, driven substantially by semiconductor manufacturing applications.  The 5-year CAGR for Position Measurement revenue is 11%.   Adjusted operating profit in FY2025 grew by 45% to £46.6m (FY2024: £32.1m), with operating profit margin up 4.7% to 22.5% (FY2024: 17.8%).

Specialised Technologies revenue in FY2025 was down 6% at £75.0m (FY2024: £80.0m).  Spectroscopy sales were lower as government research budgets came under pressure, especially in the USA.  Additive Manufacturing (AM) saw weaker demand from key customers following good growth in the prior year.  Neurological sales were higher in FY2025, driven by new and replacement neurosurgical robot sales. The 5-year CAGR for Specialised Technologies revenue is 4%, which includes a reduction in revenue following restructuring of the AM business in FY2021.  Adjusted operating loss in FY2025 increased to £9.9m (FY2024: £4.3m), with operating profit margin 7.8% lower at -13.2% (FY2024: -5.4%).  Profit in this segment will benefit from closure of the loss-making drug delivery aspect of the Neurological product line, which will improve margins by £3m p.a. once implemented in the first half of FY2026.

About Renishaw

We are a world leading supplier of measuring and manufacturing systems. Our products give high accuracy and precision, gathering data to provide customers and end users with traceability and confidence in what they're making. This technology also helps our customers to innovate their products and processes. We are a global business, with customer-facing locations across our three sales regions; the Americas, EMEA, and APAC. Most of our R&D work takes place in the UK, with our largest manufacturing sites located in the UK, Ireland and India.

Further information can be found at www.renishaw.com