The strong pound knocked £3.5m off steam equipment group Spirax-Sarco during the first half of this year, with more of the same expected by the full year.
The company, which makes more than 80% of its sales overseas, achieved an increase in operating profit margin, partly because of the lower cost of imports.
Pre-tax profits before exceptional items were down 10% from £22.4m to £20.1m.
One-off costs related to an £11.6m charge for moving a factory in the US. The relocation resulted in lower volumes and profits, but should achieve annual sales of about £3m, said chief executive Marcus Steel. He said that in constant currency terms, profits would have risen 3% during the period.
Steel added that profits in Asia were down significantly during the period.