Interim Results Announcement
To 30th September 2015

The Business of Science®

Jonathan Flint – Chief Executive
Kevin Boyd – Group Finance Director© Oxford Instruments 2015

Page 1

AgendaThe Business of Science®

• Business Highlights• Financial Review• Operational Review• Summary and Outlook© Oxford Instruments 2015

Page 2

Business Highlights
The Business of Science®

• High technology business in long term growthmarkets• Growth of order book
• Underlying strength in our NanoTechnology Tools
and Service sectors• Poor macroeconomic backdrop in our IndustrialProducts businesses• Successful implementation of self-help actions• Improved cash performance• Ongoing realignment of portfolio© Oxford Instruments 2015

Page 3

The Business of Science®

Financial Review
Kevin Boyd

© Oxford Instruments 2015

Page 4

Financial Highlights
The Business of Science®

2015/16

2014/15

ChangeRevenues (£m)

164.8

175.0

-5.8%

Operating profit (£m)

20.0

18.7

7.0%

Return On Sales (%)

12.1%

10.7%

+1.4ppAdjusted profit before tax (£m)*

16.3

15.2

7.2%

Adjusted EPS (pence)*

21.3

20.9

1.9%

Dividend (pence)

3.7

3.7

0.0%

Net Debt (£m)

139.5

137.5

2.0*Adjusted numbers are stated to give a better understanding of the underlying business. Details of adjusting items can be found in Note 2 of theInterim Financial Statements.

© Oxford Instruments 2015

Page 5

Sales Bridge
The Business of Science®

£m

4.3

175.0

(3.9)

(1.0)

(6.5)

(3.1)

180.0

164.8

160.0
140.0
120.0
100.0
80.0
60.0
40.0
20.0
2014/15© Oxford Instruments 2015

FxVol

Pricing Wire/Service

M&A

2015/16
Page 6

Segmental Sales
The Business of Science®

£mNanotechnology
Tools

IndustrialProductsServiceTotal*

2014/15

92.8

52.2

30.5

175.0Organic

(0.5)

(3.1)

(0.3)

(3.9)

Pricing

0.0

(1.0)

0.0

(1.0)

FX

1.2

2.4

0.7

4.3

Wire/Service Contract

0.0

(4.5)

(2.0)

(6.5)

Acquisitions

(8.1)

0.0

5.0

(3.1)

2015/16

85.4

46.0

33.9

164.8

Reported-8.0%-11.9%

11.2%

-5.8%

Underlying

-0.5%

-7.9%

-1.0%

-2.8%

Growth* Excluding inter-segmental revenues© Oxford Instruments 2015

Page 7Organic Order Book Growth
The Business of Science®

£m

135.9

+15%
140.0

118.5

112.2

+21%

120.0

100.0

80.0

60.0

40.020.0

0.0
Sep-14© Oxford Instruments 2015

Mar-15

Sep 15

Page 8

Sales by Geography
The Business of Science®

2016 H1

2015 H12%2%
28%37%33%© Oxford Instruments 2015

29%

34%

35%

Page 9Market Segments
The Business of Science®

Nanotechnology
Tools

Group

7%

2%

Industrial
Products

10%

5%

4%
4%

15%

5% 3%3%

38%
4%

39%

21%
62%

40%

12%
9%

13%
6%

© Oxford Instruments 2015

Page 10

Profit Bridge
The Business of Science®

£m 18.0

2.1
15.2

(1.6)

16.0(0.4)
14.0

16.3

3.1(1.0)
(3.1)
2.2

12.0

(0.2)
10.08.0
6.0
4.0
2.00.0© Oxford Instruments 2015

Page 11

Segmental Profit
The Business of Science®

£mNanotechnology
Tools

Industrial
Products

ServiceTotal

2014/15

6.6

5.3

6.8

18.7

Organic

3.7

(4.3)

0.2

(0.4)

FX

(0.9)

0.7

(0.2)

(0.4)

Acquisitions

0.1

0.0

2.0

2.1

2015/16

9.5

1.7

8.8

20.0

2014/15

7.1%

10.2%

22.3%

10.7%

2015/16

11.1%

3.7%

26.0%

12.1%

EBIT Margin© Oxford Instruments 2015

Page 12CashThe Business of Science®

24.7

£m
25.0

(5.3)
(2.2)

20.0
15.0
10.0(3.3)
(3.3)
(1.4)

(2.8)
(3.5)
(1.5)

5.0

(2.1)
(19.9)(20.6)

0.0
-5.0
-10.0
-15.0
-20.0
-25.0

Net Debt/EBITDA = 2.4© Oxford Instruments 2015

Page 13

The Business of Science®

Operational Review
Jonathan Flint© Oxford Instruments 2015

Page 14

Our Businesses
The Business of Science®

Nanotechnology Tools

Industrial Products

ServiceHigh-performancetechnology products

Analytical instruments
and high technology
components

Service, support, training,refurb, consumables,
accessories• NanoSolutions• NanoCharacterisation• Industrial Analysis• Industrial Components• OI Healthcare• OiService - own products© Oxford Instruments 2015

Page 15

NanoTechnology Tools
The Business of Science®

TinAluminium

SiliconLead© Oxford Instruments 2015

Page 16

NanoCharacterisation
The Business of Science®

Our microscopy businesses, serving both physical and life science research anddevelopment. Comprises NanoAnalysis, Andor Technology and Asylum Research.

What We Do

Market Features

Imaging and analysis software andhardware for use with Microscopes

Strong competitive position
Leading market share

Current Performance••••

NanoAnalysis experiencing recovery in Japan, still facing challenges in Russia
Andor delivering growth in all segments after slow start to year
Asylum increasing orders, with strong growth in Asia, particularly ChinaLaunch of key new products from each part of the sector© Oxford Instruments 2015

Page 17

NanoSolutions
The Business of Science®

Characterised by low volume, high value, often bespoke products selling to thescientific research community in both academia and industry. Comprises
NanoScience (NS), Plasma Technology (PT) and the Scienta-Omicron JV (SO).

What We Do

Market Features

High value customised scientificsolutions for research andspecialised production

NS, SO – strong in constrained market
PT – cyclical semiconductor market

Current Performance••••

PT see improvement in Japan. Continued impact of the sanctions on exports to Russia
Reorganisation in PT to establish better alignment with market needs
Continued high level of investments in Quantum Information Processing expected
Scienta-Omicron joint venture progressing in line with expectations© Oxford Instruments 2015

Page 18

Industrial Products
The Business of Science®
© Ashmolean Museum, Universityof Oxford© Oxford Instruments 2015

Page 19

Industrial Analysis
The Business of Science®

Designs and sells a range of products that make material analysis easy andreliable, combining sophisticated nano-scale analysis with ruggedness andsimplification.

What We Do

Market Features

Analytical ScientificInstruments

Best performing hand held XRF productUnique Laser and X-ray technology in one
Portfolio
Second tier share in large market

Current Performance•••••

Declining scrap metal and oil prices impact sales
X-MET8000 continues to gain market share
Sales and distribution networks strengthened
New product to address specific needs of customers in China
Production relocation for both Roentgenanalytik and RMG products© Oxford Instruments 2015

Page 20

Industrial Components
The Business of Science®

A group of US based businesses providing key technological components to otherparts of OI and third party. Comprises our Superconducting Wire, X-Ray
Technology and Austin Scientific businesses.

What We Do

Market Features

Key scientific components forour own and third party
instruments

MRI market dominates supercon demand
Efficient niche position for X-Ray
Technology
Austin subscale in market

Current Performance•••••Contracts for superconducting wire with CERN for $6 million
Decline in demand for superconducting wire from OEM MRI customers
Increasing market interest in our integrated X-ray sources
X-Ray Technology challenged by strong US dollar
Austin Scientific held as business for sale

© Oxford Instruments 2015

Page 21

ServiceThe Business of Science®

© Oxford Instruments 2015

Page 22

ServiceThe Business of Science®

Comprises the Group’s maintenance service contracts, spare part sales of Oxford
Instruments equipment and the servicing of third party MRI and CT machines
under the OIHealthcare brand

What We Do

Market Features

Service of own products world
wide and third party MRI and CTmachines in US and Japan

Significant growth opportunities
Third party service leverages brandCurrent Performance•••••

NanoTechnology tools service saw increase in sales and profits
Industrial Analysis service impacted by the economic slowdown in China
Completion of Siemens service contract
MERS outbreak in South Korea
Acquisition, Medical Imaging Resources, performing ahead of expectation© Oxford Instruments 2015

Page 23

SummaryThe Business of Science®

• First half performance in line with AGM statement• Profits and margins have improved• Good performance from NanoTechnology Tools andService• Industrial Products affected by macroeconomic headwinds• Cost reduction programme has delivered as expected© Oxford Instruments 2015

Page 24

Outlook
The Business of Science®

• Nanotechnology offers potential to yield long-term growth• Focused on strategy to be the world’s leading
nanotechnology tools provider• Order book and first half results support our confidence that
performance for the Group for the full year will be in linewith expectations© Oxford Instruments 2015

Page 25

The Business of Science®

Questions?
© Oxford Instruments 2015

Page 26

Disclaimer
The Business of Science®

This presentation is prepared for and addressed to authorised persons within the meaning of the Financial Services andMarkets Act 2000 (FSMA). The information contained in this presentation is not for publication, distribution or reproduction,in whole or in part, to any persons outside the jurisdiction of this Act. The Company, its Directors, employees, agents oradvisers do not accept or assume responsibility to any other person to whom this presentation is shown or into whose
hands it may come and any such responsibility or liability is expressly disclaimed.
Statements contained in this presentation are based on the knowledge and information available to the Company'sDirectors at the date it was prepared and therefore the facts stated and views expressed may change after that date. By
their nature, any statements concerning the risks and uncertainties facing the Company in this presentation involve
uncertainty since future events and circumstances can cause results and developments to differ materially from thoseanticipated. To the extent that this presentation contains any statement dealing with any time after the date of its
preparation such statement is merely predictive and speculative as it relates to events and circumstances which are yet tooccur. The Company undertakes no obligation to update these forward-looking statements.
The information in this presentation shall not constitute or be deemed to constitute any offer or invitation to invest in orotherwise deal in shares or other securities of Oxford Instruments plc.
All information in the presentation is the property of Oxford Instruments plc.

© Oxford Instruments 2015

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