Oxford Instruments H1 Profit Rises 21.5% on Strong Orders

Oxford Instruments reported a 21.5% increase in operating profit to £30.0 million for the six months ending September 30, 2026, indicating strong momentum driven by a 44.2% surge in order intake. This performance, detailed in the company’s half-year financial report, suggests robust demand across its key markets and underpins confidence in meeting full-year expectations.

The significant increase in order intake was particularly pronounced within the Advanced Technologies (AT) segment, which saw a 126% jump, fueled by high-volume manufacturing customers investing in compound semiconductor processes. This growth is directly linked to the increasing demand for datacentre infrastructure. Group revenue also grew by 9.0%, with AT revenue increasing by 26.6%. This strong revenue growth, coupled with operational efficiencies, drove a 21.5% increase in adjusted operating profit, reaching £30.0 million, despite a £1.7 million foreign exchange headwind.

Improved cash flow, reaching £19.1 million compared to £0.2 million in the same period last year, has enabled the company to continue its share buyback program, with £83.1 million of a £100 million program already completed. The company intends to extend the buyback program by a further £25 million. The strong balance sheet and cash position provide flexibility for continued investment in organic growth, potential M&A activity, and shareholder returns.

The company anticipates revenue growth of approximately 20% for the full year and expects operating margins to move into the 12%-15% medium-term target range. This positive outlook is supported by a fully covered order book for FY27 and improving visibility into FY28. The results demonstrate a clear link between strategic investments in capacity and supply chain resilience, and the ability to capitalize on growing demand in key markets, particularly within the semiconductor industry.