Smith & Nephew revenue decline slows as markets pick up

Medical technology company Smith & Nephew updated the market on its recent trading on Thursday, reporting that it expects a third quarter underlying revenue decline of around 4%.

The FTSE 100 company said all three of its franchises showed “significant” recovery following an overall underlying revenue decline of 29.3% for the second quarter.

It said the improvement was strongest in its orthopaedics franchise, as global levels of elective surgery continued to recover.

Monthly group growth rates were described as “broadly stable” through the quarter, with some seasonality and monthly variation across both franchises and regions, reflecting the continuing impact of the Covid-19 pandemic.

“Throughout the year, we have been serving our customers, maintaining research and development, continuing with acquisitions, and launching new products, while managing our cost base and protecting employees and their jobs,” the board said in its statement.

Smith & Nephew said further detail of the quarter, including franchise and regional sales performance, would be provided with its third quarter trading report on 29 October.

At 0846 BST, shares in Smith & Nephew were up 2.08% at 1,548p.