London, UK--(Marketwire - August 2, 2007) - Smith & Nephew Interim Results - Focus on attractive growth segments is
delivering strong performance
2 August 2007
Smith & Nephew plc (LSE: SN, NYSE: SNN), the global medical technology business,
announces its results for the second quarter and first half ended 30 June 2007.
Quarter Quarter 2 Half Half year
2 year
$m Underlying $m Underlying
increase % increase %
Revenues 1 813 12 1,557 12
Trading profit 167 22 315 18
EPSA (cents) 2 12.4 19 23.6 19
Business Unit Revenues 1
Orthopaedic - Reconstruction 291 15 553 15
- Trauma & CT 150 15 286 17
Endoscopy 178 11 355 12
Advanced Wound Management 194 6 363 4
- Orthopaedic Reconstruction significantly outperformed the
market with particularly strong growth in hip revenues
- Clinical Therapies has grown to become global number 1 in
bone stimulation treatments
- Endoscopy generated revenue growth in double digits
benefiting from new product introductions
- Advanced Wound Management improved performance as US
continued to perform well
- Earnings Improvement Programme on track with tangible
benefits coming through in enhanced margins
- Integration of Plus Orthopedics and BlueSky going well
- Reported results
- Reported revenue growth Q2 up 19%, H1 17%
- Reported profit before tax Q2 up 17%, H1 12%
- EPS Q2 11.8 cents up 16%, H1 21.5 cents compared with 54.5 cents in the
comparable
period which included 35.3 cents from the gain on sale of BSN Medical
Commenting on the second quarter, David Illingworth, Chief
Executive of Smith & Nephew, said:
"The second quarter has seen strong revenue growth across the
business. Our focus on innovation in the attractive growth
market segments in each business is delivering excellent
results. This is particularly so in Orthopaedic Reconstruction,
where the BIRMINGHAM HIP* Resurfacing System drove growth well
above market rates. Margin improvement across the businesses
shows that our Earnings Improvement Programme is working well."
Analyst presentation
An analyst presentation and conference call to discuss the
Company's second quarter results will be held at 1.00pm BST /
8.00am EST today, Thursday 2 August. This will be broadcast
live on the web and will be available on demand shortly
following the close of the call at
http://www.smith-nephew.com/
Q207. A podcast will also be available at the same address. If
interested parties are unable to connect to the web, a
listen-only service is available by calling +44 (0)20 7806 1960
in the UK or +1 (718) 354 1389 in the US. Analysts should
contact Samantha Hardy on +44 (0)20 7960 2257 or by email at
samantha.hardy@smith-nephew.com for conference details.
Notes
1 Unless otherwise specified as 'reported', all revenue
increases throughout this document are underlying increases
after adjusting for the effects of currency translation and
acquisitions. See note 3 to the financial statements for a
reconciliation of these measures to results reported under
IFRS.
2 EPSA growth is reported, not underlying, and is stated before
restructuring and rationalisation costs, acquisition related
costs, amortisation of acquisition intangibles and taxation
thereon, and in 2006 the gain on the disposal of the joint
venture and the related fair value adjustment. See note 2 to
the financial statements.
3 Percentage of new products to revenue is based on products launched within the
last three years.
4 Comparisons are against restated numbers, see note 1 to the financial
statements.
Enquiries
Investors
Adrian Hennah +44 (0) 20 7401 7646
Chief Financial Officer
Smith & Nephew
Liz Hewitt +44 (0) 20 7401 7646
Group Director Corporate Affairs
Smith & Nephew
Media
Jon Coles +44 (0) 20 7404 5959
Justine McIlroy
Brunswick - London
Cindy Leggett-Flynn +1 (212) 333 3810
Brunswick - New York
To view the full announcement click on the following link
http://www.rns-pdf.londonstockexchange.com/rns/3877b_-2007-8-2.pdf
This information is provided by RNS
The company news service from the London Stock Exchange