2nd Nov 2023 14:12
(Correcting forecasted trading profit margin for 2023)
(Alliance News) - Smith & Nephew PLC on Thursday said it appointed a successor to outgoing Chief Financial Officer Anne-Francoise Nesmes.
It also said revenue increased 8.8% in the third quarter, and proclaimed an optimistic outlook for the full year.
The London-based medical technology company, which previously announced in August that Nesmes was to leave, has now appointed John Rogers as her successor.
Smith & Nephew said Rogers will join as CFO-designate on December 1 and following a period of induction, will join the board as CFO in the first quarter of 2024.
Rogers was most recently CFO at WPP PLC, Smith & Nephew noted, where he "successfully led the implementation of their global transformation programme". This was after serving as CFO at J Sainsbury PLC.
"John is a highly regarded chief financial officer with a proven track record operating around the world and across a number of industry sectors. His extensive experience in transformation and capital markets is especially important given Smith & Nephew's focus on driving greater shareholder value," said Chair Rupert Soames.
Smith & Nephew also updated on its third quarter performance. It said revenue rose 8.8% to USD1.36 billion from USD1.25 billion a year earlier, representing underlying revenue growth of 7.7% and reported growth of 8.5% including an 80 basis point foreign exchange tailwind.
Orthopaedics revenue was up 8.3%, which it said was partly due to product launches and strategy improvements driving higher growth from Trauma & Extremities. Sports Medicine & ENT revenue was up 11%, with Smith & Nephew noting continued growth across most markets offsetting weakness in China.
Meanwhile, Advanced Wound Management revenue was up 3.6%, with double-digit growth from Smith & Nephew's negative pressure portfolio but a slower quarter from Advanced Wound Bioactives.
Looking ahead, it expects full-year 2023 underlying revenue growth to be towards the higher end of the guidance range of 6.0% to 7.0%. Its trading profit margin is now expected to be around 17.5%, reflecting headwinds from China.
Shares in Smith & Nephew were up 4.5% to 964.80 pence each in London on Thursday afternoon.
By Greg Rosenvinge, Alliance News senior reporter
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