Rotork (ROR) Trading Update summary

Trading performance and order intake

• Group order intake rose 8% year-on-year on an organic constant currency basis, with all divisions contributing, led by Water & Power and Oil & Gas.

• Oil & Gas saw strong activity in Upstream Electrification and Downstream, especially in EMEA and Americas, driven by increased gas production and decarbonisation efforts.

• Chemical Process & Industrial revenues increased, with Americas and China returning to growth, supported by chemical, HVAC, marine, and transportation segments.

• Water & Power experienced robust growth, particularly in wastewater treatment in APAC and water infrastructure in Americas and EMEA; Power growth was led by the conventional sector and APAC.

• Full-year expectations remain unchanged, with continued progress anticipated on an OCC basis.

Strategic initiatives and product innovation

• Growth+ strategy is driving momentum across Target Segments, Customer Value, and Innovative Products & Services.

• Significant business wins in target segments, including higher LNG revenues and a major water re-use project in South America.

• Customer Value initiatives included opening a new facility in China, launching a new website, and preparing a manufacturing site in Saudi Arabia.

• Launched integrated ethernet functionality for IQ actuators, enhancing compatibility and data transfer, well received by water industry users.

Financial position and outlook

• Highly cash generative with net cash (including lease liabilities) at £106m as of 27 October 2024.

• Returned approximately £44m to shareholders via interim dividend and ongoing share buyback.

• Actively seeking acquisition opportunities aligned with Growth+ strategy.

• Market expectation for 2024 revenue growth is 7.7% OCC, with a 60 basis point improvement in adjusted operating profit margin; currency headwind estimated at 3%.

• Full-year results to be published on 11 March 2025.