Adjusted pre-tax profits at Gooch & Housego rose by 11.8% to £6.2m in the six months to the end of March.
Revenues were up 36% at £52.2m and statutory pre-tax profits were up 33% at £4.7m.
The group declared an interim dividend of 3.7p per share - u 12.1%.
Chief executive Mark Webster said: "G&H is well positioned to take advantage of the positive market conditions and has continued to invest in people and infrastructure in order to meet the demands of a strong order book. We remain on track to meet our full year expectations.
"G&H is committed to a strategy of diversification and moving up the value chain. This has been most evident in the A&D sector where our most recent acquisitions, combined with increased investment in R&D have gone some way towards our goal of achieving 'critical mass' in this sector.
"We will continue to invest in our performance improvement programme, which will underpin our future growth."