Oxford Instruments reports strong results, sells quantum business

Published 13/06/2025, 07:08
Oxford Instruments reports strong results, sells quantum business

LONDON - Oxford Instruments (LON:OXIG) plc reported annual revenue exceeding £500 million for the first time in its fiscal year ended March 31, 2025, while announcing the sale of its quantum business for £60 million and a £50 million share buyback program.

The high-tech equipment provider posted revenue of £500.6 million, up 6.5% on an organic constant currency basis from £470.4 million the previous year. Adjusted operating profit rose 10.8% to £82.2 million with an operating profit margin of 17.8%, an increase of 70 basis points.

The company reported strong performance in semiconductor and materials analysis segments, which offset continued weakness in healthcare and life science markets. Growth was driven by increased commercial customer revenue, which now represents approximately 50% of total revenue compared to 45% last year.

Oxford Instruments has entered a binding agreement to sell its NanoScience quantum business for £60 million, with £3 million deferred. The company stated this divestment will allow it to focus on businesses with stronger growth and margin characteristics.

"The Group has had a good year, reporting strong revenue, profit growth, and constant currency margin progression," said Richard Tyson, Chief Executive Officer. "The sale is in line with our strategy to focus and invest in the best areas of opportunity to grow the Group and create value for shareholders."

The company’s net cash position stood at £84.4 million as of March 31, compared to £83.8 million a year earlier. Cash conversion improved to 89% from 64% in the previous year.

The board proposed a 6.7% increase in total dividend to 22.2 pence per share.

According to the press release statement, Oxford Instruments expects to commence its share buyback program shortly, utilizing its balance sheet strength and proceeds from the NanoScience business sale.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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