Source: Sharecast
In the year to the end of December 2025, adjusted operating profit increased 7.3% to £191.5m, while reported pre-tax profit was up 12.4% at £157.9m. Revenue rose 3% from the previous year to £777.3m and the order intake was 5.2% higher at £782.6m.
Rotork noted that each division delivered mid-single digit growth despite mixed end markets, supported by the company’s ‘Growth+ strategy’.
It said revenue was driven by second-half strength in Chemical, Process & Industrial (CPI) and sustained growth in Water & Power, partly offset by customer-driven project delays in midstream Oil & Gas markets.
Chief executive Kiet Huynh said: "For 2026, we expect continued good momentum in CPI and Water & Power, with our Target Segments and Rotork Service supporting performance across the divisions. In Oil & Gas, we expect a stable performance, with a higher second-half weighting.
"Our Target Segment and Rotork Service initiatives continue to ensure we outperform wider end markets, where downstream markets are expected to remain stable, and upstream and midstream are anticipated to remain subdued. While we are mindful of the recent geopolitical uncertainty, we expect further progress on an OCC basis for the group in 2026."
At 1240 GMT, the shares were down 12.1% at 322.20p.
JPMorgan, which rates the stock at 'overweight', cut its price target to 390p from 420p after the results.
It said the soft outlook in the Oil & Gas unit, with downstream stable but upstream and midstream subdued, overshadows positive trends in Chemical, Process & Industrial, and Water & Power.
The bank cuts it adjusted Ebita and adjusted earnings per share estimates by 4%/6% and said it sees consensus declining 3%/4%.