Ahead of its Capital Markets Day, Smith & Nephew has re-iterated this year’s underlying revenue growth guidance of 5%. Trading profit margin is now expected to reach at least 19.5%, the mid-point of previous guidance.
For 2026, the group guided for underlying revenue to grow by around 6%.
The new strategic focus includes reaching more patients and driving differentiated product launches. The group’s also looking to simplify its product range, lowering its stock holding requirements and reducing the capital intensity of the business. As a result, Smith & Nephew expects a one-off hit to profit of $200mn this year.
Between 2025 and 2028, the group is targeting average annual growth of 6-7% for underlying revenue and 9-10% for trading profit.
The shares were broadly flat in early trading.
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HL view to follow
Smith & Nephew key facts
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