Smith+Nephew Q1 revenues beat forecasts as elective surgeries resume

Medical products maker Smith+Nephew beat first quarter revenue forecasts as elective surgery volumes from the impact of the Omicron Covid variant at the start of the year.

The company on Thursday said revenue for the three months to April 2 rose 5.9% to $1.31bn on an underlying basis, above analysts' forecasts of a 2.8% rise to $1.27bn.

"Our Q1 performance puts us on track to deliver our guidance for this year," said newly-appointed chief executive Deepak Nath.

Smith+Nephew makes orthopaedic implants and prosthetics, along with wound dressings and other surgical technologies, which recorded strong performance in the quarter.

The company said revenue in its established markets rose 4.1% on an underlying basis as elective surgery volumes recovered from Omicron impact at the start of the quarter.

Emerging markets revenue wasup 14.3% underlying, with double-digit growth across India, the Middle East and Africa, and Latin America.

The company has been improving its internal networks and moving logistics to a third-party provider to address supply snags, while targeting 2022 underlying revenue growth of 4%-5%.