Measuring our performance at the half year

We believe that being a responsible business matters. It helps us to achieve our purpose and contribute positively to society, while balancing the protection of our environment. We assess our performance across a wide range of metrics, from financial to environmental.

Financial performance

In August we issued our half-year financial update to the market, in the first half of 2024 we delivered:

• Organic revenue growth of 8.2%, supported by 14.9% growth in our faster growing segments and 6% growth in the core.
• On operating profit margin¹ was 12.5%, in line with our financial framework
• Earnings per share¹ of 14.7 pence, up 48% up on the prior year
• Our return on invested capital¹ was robust at 19.7%
• Our interim dividend is increased by 0.1 pence to 5.4 pence per share

Our Chief Executive Officer, Pete Raby commented;

"We are continuing to implement our strategy successfully. Whilst our constant currency revenue growth benefitted from the weaker, cyber impacted, prior year comparator, we have seen underlying revenue growth in both our core and faster growing markets.

Our investment in semiconductor capacity, where we continue to see strong demand and have attractive growth opportunities, along with our simplification programme, are both on-track. Our balance sheet remains strong."

Environmental progress

We are committed to a sustainable future and understand our responsibility to ensure that our products and processes are managed in a way which enhances their value to society and limits their impact on the environment.

Our stretching environmental goals and aspirations guide our path and ensure transparency around our environmental impact.

Our environmental performance:

• In the first half we have reduced our CO2e emissions by 11.6% compared with 1H 2023 through a combination of switching to renewable or carbon free electricity and a range of energy reduction projects across the Group.
• In the first half, overall water usage decreased by 8.1% whilst high stress water usage decreased by 4.4% compared with 1H 2023.

We know that our people drive our success, and we value our diverse range of talents and perspectives. We believe that an engaged workforce is an important factor to maintaining long-term success at Morgan, which is why we’ve set goals and aspirations to be a caring organisation where everyone feels valued and appreciated.

Our goal is also to be a welcoming and inclusive organisation where our employees can grow and thrive. Our 2030 target is to attain a top quartile employee engagement score. We survey our employees annually and we will provide an updated engagement score with our preliminary results in 2025.

Our progress:

• Our lost time accident rate in the first half was 0.13, compared with 0.28 for 1H 2023. Safety is our top priority and continues to receive a high level of focus throughout the organisation.
• At 30 June 2024, we have 34% females in our leadership population, compared with 30% at the end of 2023.>>

Outlook

We are cautious on demand in a number of our end-markets and now expect revenue in our second half to be in line with that in our first half. 

We are well-positioned and expect second half revenues to be in line with the first half with margins around 12.5%. 

Find out more

Download our handy two page guide to Morgan’s financial and environmental performance.

1. Definitions of these non-GAAP measures can be found in the glossary of terms on page 43, reconciliations of the statutory results to the adjusted measures can be found on pages 16 to 20. Throughout this report these non-GAAP measures are clearly identified by an asterisk (*) where they appear in text and by a footnote where they appear in tables.