SN. Smith & Nephew Plc

By Anthony O. Goriainoff

Smith & Nephew PLC said Thursday that revenue for the third quarter of its fiscal year rose, and that it is on track to deliver at the lower end of guidance for the year due to the pandemic.

The U.K. medical-technology company said third-quarter revenue rose 5.5% on a reported basis to $1.27 billion. On an underlying basis revenue rose 2.3%, the company said.

Smith & Nephew said that for the quarter ended Oct. 2, revenue in its orthopaedics division fell 0.7% to $508 million on a reported basis, and fell by 5.9% on an underlying basis. The company said this was a reflection of the effect of the Delta variant of the Covid-19 virus in U.S. as well as supply constraints.

For 2021, the company guided for underlying revenue growth in the 10% to 13% range, with a trading profit margin range of 18% to 19%.

The company said that in terms of reported revenue growth it expects a foreign-exchange benefit of 230 basis points based on exchange rates prevailing on Oct. 29, and completed acquisitions to add around 190 basis points.

Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com

(END) Dow Jones Newswires

November 04, 2021 03:57 ET (07:57 GMT)

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