Smith & Nephew Plc Q1 2023 Trading Update

Smith+Nephew First Quarter 2023 Trading Update

26 April 2023

Smith+Nephew (LSE:SN, NYSE:SNN) trading update for the first quarter ended 1 April 2023.

Highlights1,2

· Q1 revenue $1,356 million (2022: $1,306 million), up 6.9% on an underlying basis and up 3.8% on a reported basis (including -310bps foreign exchange impact)

· Continued strong growth from Sports Medicine & ENT and Advanced Wound Management and improved performance from Orthopaedics

–  Sports Medicine & ENT revenue up 10.0% underlying

–  Advanced Wound Management revenue up 7.9% underlying

–  Orthopaedics revenue up 3.9% underlying

· Established Markets revenue up 10.0% underlying as procedure volumes strengthened, offsetting Emerging Markets, where revenue was down -7.3% due to the expected impact in China from volume-based procurement (VBP) and Covid

· Continued cadence of new product launches contributing to growth

· Full year 2023 guidance unchanged, underpinned by ongoing delivery of 12-Point Plan

Deepak Nath, Chief Executive Officer, said:

“I’m pleased with our revenue performance in the first quarter as we delivered growth across all three franchises, including improvement in Orthopaedics.

“We saw strong elective procedure volumes in our Established Markets early in the quarter, which our surgical businesses are now better placed to benefit from. We are consistently seeing accelerated adoption of robotics and the new CORI â—Š Digital Tensioner adds further differentiation to our platform and will support better outcomes for patients.

“We are still in the early phases of the two-year life-cycle of our 12-Point Plan and are focused on driving transformation.”

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