Smith & Nephew plc (LSE:SN, NYSE:SNN) results for fourth quarter and full year to 31 December 2015:
Fourth Quarter Highlightsi
- Revenue up 5% underlying. 1% reported growth after -6% FX and 2% acquisition impacts
- Established Markets revenue up 6%, our best quarterly performance since 2012 • Emerging Markets revenue growth of 2% with strong growth in most markets offset by China
- Sports Medicine Joint Repair revenue up 9%, driven by US and ArthroCare benefits • Another strong performance in Knee Implants with revenue up 6%
- Advanced Wound Management businesses deliver 8% revenue growth, led by US performance 2015 Full Year Highlightsi • Full year underlying revenue growth of 4%, twice that achieved in 2014. Reported growth flat after -8% FX and 4% acquisition impacts
- Trading profit margin up 80bps at 23.7%, reflecting Group Optimisation and ArthroCare synergies
- $203m accounting charge (before future insurance recovery) taken for metal-on-metal claims
- Proposed full year dividend distribution of 30.8¢ per share, up 4% year-on-year
Olivier Bohuon, Chief Executive Officer of Smith & Nephew, said: “The Group finished 2015 strongly, led by an excellent quarter in the US across Sports Medicine, Knee Implants and our Advanced Wound Management businesses. At the same time, we successfully continued to grow our businesses in Europe and the Emerging Markets.
“For the full year we delivered higher underlying revenue growth, trading profit margin and adjusted earnings year-on-year. Our strategy is producing an improved performance through focused innovation, better commercial execution and greater efficiency.
“We expect to deliver continued good underlying revenue growth in 2016 as we benefit from our investments in existing businesses, acquisitions and pioneering technologies.”
News Analyst conference call
An analyst meeting and conference call to discuss Smith & Nephew’s results will be held at 9.00am GMT / 4.00am EST today, Thursday 4 February. This can be heard live through the Smith & Nephew website at http://www.smith-nephew.com/results and a recording will be available on the site shortly afterwards. For those who wish to dial in to the call, details can be accessed on our website using the same link.
Ingeborg Øie +44 (0) 20 7960 2285 Smith & Nephew Media
Charles Reynolds +44 (0) 20 7401 7646 Smith & Nephew
Ben Atwell / Deborah Scott / Matthew Cole +44 (0) 20 3727 1000 FTI Communications Notes i. Certain items included in ‘Trading results’, such as trading profit, trading profit margin, trading
Published at SNN Investor