Smith & Nephew PLC

SNN

Equity

ISIN null / Valor 1111046

CTA NASDAQ OMX Stock Exchange (2025-11-21)

USD 32.99+3.13%

Smith & Nephew PLC
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About company

Smith & Nephew PLC is a global medical technology company that develops and manufactures a wide range of clinical devices and solutions for orthopaedics, advanced wound management, sports medicine, and ear, nose, and throat (ENT) procedures. The company’s orthopaedics division produces implants for hip and knee joint replacements, along with trauma products designed to stabilize fractures and correct bone deformities, while also incorporating robotics-assisted technologies to support surgical precision. Its advanced wound management offerings cover a variety of products for treating both acute and chronic wounds, including conditions such as diabetic and pressure ulcers, burns, and post-operative complications. In addition, the sports medicine and ENT portfolios provide instruments and implants for minimally invasive soft tissue repairs and various ENT procedures. Overall, Smith & Nephew leverages these diversified capabilities to address a broad spectrum of clinical needs within the healthcare sector.

Summarized from source with an LLMView SourceSector: Healthcare

Revenue Growth

In Q2 2025, revenue reached $1,553 million, reflecting an underlying growth of 6.7% and reported growth of 7.8% (benefitting from a 110bps FX tailwind). Over H1 2025, revenue was $2,961 million, corresponding to underlying revenue growth of 5.0% despite FX headwinds and fewer trading days compared to H1 2024.

Improved Profitability

The trading profit for H1 2025 increased by 11.2% to $523 million, with the trading profit margin improving by 100bps to 17.7%. Operating profit saw a robust 30.6% rise to $429 million, underscoring the effectiveness of Smith & Nephew PLC's ongoing operational improvements.

Robust Cash Generation & Free Cash Flow

Cash generation was notably strong, with trading cash flow rising to $568 million in Q2 and significant improvements in H1, where free cash flow surged to $244 million from $39 million in H1 2024. Enhanced working capital movements played a key role in this performance.

Capital Returns & Guidance

The company raised its capital returns by increasing the interim dividend by 4.2% to 15.0¢ and announcing a $500 million share buyback for the second half of 2025. Full year guidance remains unchanged, with expectations for around 5.0% underlying revenue growth and trading profit margins expanding to between 19.0% and 20.0%.

Summarized from source with an LLMView Source

Key figures

31.7%1Y

28.5%3Y

-15.8%5Y

Performance

108%1Y

64.5%3Y

53.3%5Y

Volatility