Smith & Nephew PLC (LSE:SN) held full-year guidance as it reported strong growth in its Sports Medicine and Advanced Wound Management businesses had underpinned an improvement in first-quarter revenue.
The Watford-based medical equipment manufacturing company said revenue in the quarter to 31 March 2023 rose 3.8% on a reported basis to US$1.36bn from US$1.31bn or 6.9% on an underlying basis.
Smith & Nephew said underlying revenue in Sports Medicine & ENT rose 10.0%, in Advanced Wound Management by 7.9% and in Orthopaedics by 3.9%.
Established Markets revenue improved 10.0% on an underlying basis as procedure volumes strengthened, offsetting Emerging Markets, where revenue was down 7.3% due to the expected impact in China from volume-based procurement and Covid.
The firm left its financial year 2023 guidance unchanged, underpinned by ongoing delivery of its 12-Point Plan.
The company is targeting 5.0% to 6.0% underlying revenue growth and a trading profit margin of at least 17.5%.