Financial Highlights
2024 Half Year Results
| H1 2024 | H1 2023 | % change | OCC3 % change | |
| Order intake1 | £374.4m | £386.9m | -3.2% | +0.2% |
| Revenue | £361.4m | £334.7m | +8.0% | +11.6% |
| Adjusted2 operating profit | £76.5m | £65.3m | +17.1% | +22.3% |
| Adjusted2 operating margin | 21.2% | 19.5% | +170bps | +190bps |
| Profit before tax | £69.7m | £60.2m | +15.6% | |
| Basic earnings per share | 6.0p | 5.3p | +13.7% | |
| Adjusted2 basic earnings per share | 6.9p | 5.8p | +18.0% | +26.1% |
| Interim dividend | 2.75p | 2.55p | +7.8% |
Note:
1. Order intake represents the value of orders received during the period.
2. Adjusted5 figures exclude the amortisation of acquired intangible assets and other adjustments (see note 4).
3. OCC5 is organic constant currency results which exclude acquired businesses and are restated at 2023 exchange rates.
4. Year-on-year refers to the first half of 2024 compared to the first half of 2023.
5.Adjusted figures, organic constant currency (‘OCC’) figures, cash conversion and ROCE are alternative performance measures and are used consistently throughout these results. They are defined in full and reconciled to the statutory measures in note 2.
Summary
- The Growth+ strategy is delivering with first half revenue 8.0% higher year-on-year4 on a reported basis and 11.6% ahead OCC3, with Oil & Gas and Water & Power sales well ahead and Chemical, Process & Industrial lower as a result of reduced mining sector project activity
- Orders received were 4% above sales and marginally ahead year-on-year OCC despite the prior period including an unusually high number of large orders. Oil & Gas and Water & Power orders were slightly higher whilst Chemical, Process & Industrial orders were slightly lower
- Our Target Segments approach – a key pillar of Growth+ - is delivering. Strong year-on-year revenue growth was reported in our upstream and midstream electrification sector (8% of first half group sales) as well as in water infrastructure and wastewater treatment
- Adjusted operating margins were 170bps higher at 21.2%, reflecting the increased sales and good drop-through. The reported operating margin was 18.5%
- ROCE5 was 36.9% (H1 2023: 32.7%). We retain a strong balance sheet with closing net cash of £119.3m (December 2023: £134.4m) reflecting 106% cash conversion and £18.1m of share repurchases under the £50m share buyback programme