Smith & Nephew, a U.K. medical-technology company, has reported a significant increase in pretax profit for 2023, driven by strong revenue growth in its sports medicine segment and an enhanced trading margin.

Financial Highlights

  • Pretax Profit: Increased to $290 million from $235 million in the previous year.
  • Revenue: Rose to $5.55 billion from $5.21 billion, surpassing market expectations.
  • Underlying Growth: Stood at 7.2%, exceeding both the company's guidance and market expectations.
  • Sports Medicine Segment: Showed remarkable growth with an underlying growth of 10%.
  • Trading Profit: Rose to $970 million, slightly missing market consensus.
  • Dividend: Declared at 23.1 cents per share, maintaining the total payout at 37.5 cents per share.

Future Outlook

Smith & Nephew anticipates underlying revenue growth for 2024 to be in the range of 5%-6% and aims for a trading profit margin of at least 18%. The company has affirmed its medium-term targets going forward.

Overall, the company's robust financial performance in 2023 showcases its resilience and strong market position.

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