First-half revenue came in at $3.1bn, reflecting underlying growth of 2.3%. Growth of 7.7% in Sports Medicine & ENT more than offset declines in Orthopaedics and Advanced Wound Management.
Trading profit increased 8.1% to $0.6bn supported by productivity savings and a lower-than-expected tariff impact.
Free cash flow fell by $13mn to $231mn, while net debt, including leases, was $3.0bn. Full-year revenue growth guidance has been downgraded to around 4%, with underlying trading profit left unchanged at around 8%.
The group has completed $0.2bn of the $0.5bn share buyback programme, with the interim dividend increasing 4.0% to 15.6 cents per share.
The shares fell 7.5% in early trading.
Our view
HL view to follow.
Smith & Nephew key facts
All ratios are sourced from LSEG Datastream, based on previous day’s closing values. Please remember yields are variable and not a reliable indicator of future income. Keep in mind key figures shouldn’t be looked at on their own – it’s important to understand the big picture.
This article is original Hargreaves Lansdown content, published by Hargreaves Lansdown. It was correct as at the date of publication, and our views may have changed since then. Unless otherwise stated estimates, including prospective yields, are a consensus of analyst forecasts provided by LSEG. These estimates are not a reliable indicator of future performance. Yields are variable and not guaranteed. Investments rise and fall in value so investors could make a loss.
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