SMITH & NEPHEW (SNN) Company Report

Analyst Coverage

Research analysts who have asked questions during SMITH & NEPHEW earnings calls.

Richard Felton

Goldman Sachs

3 questions for SNN

Also covers: ALC, FMS, PHG

Sam England

Berenberg

3 questions for SNN

David Adlington

JPMorgan Chase & Co.

2 questions for SNN

Also covers: ALC, FMS, PHG

Dylan van Haaften

Stifel Financial Corp.

2 questions for SNN

Also covers: SOAGY

Graham Doyle

UBS Group

2 questions for SNN

Also covers: ALC, FMS, PHG

Hassan Al-Wakeel

Barclays Investment Bank

2 questions for SNN

Also covers: FMS, PHG

Jack Reynolds-Clark

RBC Capital Markets

2 questions for SNN

Also covers: ALC

Kane Slutzkin

Deutsche Numis

2 questions for SNN

Robert Davies

Morgan Stanley

2 questions for SNN

Also covers: FMS, GNNDY, PHG

Veronika Dubajova

Citigroup

2 questions for SNN

Also covers: ALC, FMS, GNNDY +1 more

Julien Dormois

Jefferies

1 question for SNN

Also covers: PHG

Lisa Clive

Sanford C. Bernstein & Co., LLC

1 question for SNN

Also covers: DVA, FMS, PHG

Sezgi Oezener

HSBC

1 question for SNN

Also covers: PHG

Latest news

Recent press releases and 8-K filings for SNN.

Smith & Nephew Unveils RISE Strategy with Ambitious Growth and Profit Targets

SNN

Guidance Update

Product Launch

New Projects/Investments

Smith & Nephew (SNN) launched its RISE strategy, targeting 6%-7% organic growth and 9%-10% trading profit growth over the next three years, alongside $1 billion in free cash flow by 2028 and 12%-13% Return on Invested Capital (ROIC).
The Orthopaedics business, which grew from 1.9% in 2022 to approximately 5% in 2025, is projected to achieve 300-400 basis points of margin expansion by 2028 and a 20% margin by 2030. This will be supported by new product launches like the Landmark knee and TESSA (spatial surgery arthroscopic platform).
SNN is strategically focusing on Ambulatory Surgery Centers (ASCs), with 35% of its CORI robotic systems placed in ASCs this year. The CORI system offers multi-procedure coverage and efficiency, complemented by new knee and hip platforms designed for a 50% reduction in OR trays.
The company aims to increase its patient reach from 15 million to 20 million by 2028 through its differentiated portfolio. SNN holds leading positions in the $7 billion global sports medicine and $13 billion global wound markets, where it plans to gain further share.

Dec 11, 2025, 2:00 PM

Transcript

Smith & Nephew Outlines New RISE Strategy and Financial Ambitions

SNN

Guidance Update

New Projects/Investments

Revenue Acceleration/Inflection

Smith & Nephew launched its new RISE strategy, aiming to deliver 6%-7% organic growth and 9%-10% trading profit over the next three years, targeting $1 billion in free cash flow by 2028 and 12%-13% ROIC.
The company plans to expand its patient reach from 15 million to 20 million by 2028 through increased investment, innovation, and execution, with over 75 new product launches in the last five years and more planned, including the Landmark knee and TESSA platform.
Smith & Nephew is strategically positioned in the rapidly growing Ambulatory Surgery Center (ASC) market, noting that 80% of US hip and knee replacements are now outpatient and nearly 40% are performed in ASCs by the end of 2025.
The company's CORI robotic system is well-suited for ASCs, with 35% of CORIs placed in ASCs this year, offering procedural breadth and efficiency with a 50% reduction in OR trays for knee and hip platforms.
The Orthopedics business is targeted to accelerate from 1.9% growth in 2022 to 5% in 2025, with a goal to achieve a 20% margin by 2030 through the Ortho 360 operational model and productivity improvements.

Dec 11, 2025, 2:00 PM

Transcript

Smith & Nephew Unveils New RISE Strategy and Financial Targets

SNN

Guidance Update

New Projects/Investments

Product Launch

Smith & Nephew introduced its new RISE strategy, aiming for 6%-7% organic growth and 9%-10% trading profit growth over the next three years, with a target of $1 billion in free cash flow by 2028 and 12%-13% ROIC.
The company plans to expand its patient reach from 15 million to 20 million by 2028 through increased investment, innovation, and execution, including over 75 new product launches in the last five years and upcoming solutions like the Landmark knee and TESSA.
Strategic growth drivers include sports medicine products like REGENETEN, CartiHeal Agili-C, and TESSA, which are collectively projected to generate approximately $400 million in revenue by 2028.
Smith & Nephew is also focusing on the shift to ambulatory surgery centers (ASCs), with 80% of hip and knee replacements in the US done as outpatient by the end of 2025, and aims for 300-400 basis points of margin expansion in Ortho by 2028, targeting a 20% Ortho margin by 2030.

Dec 11, 2025, 2:00 PM

Transcript

Smith & Nephew Launches New RISE Strategy with Ambitious 2028 Financial Targets

SNN

Guidance Update

Revenue Acceleration/Inflection

New Projects/Investments

Smith & Nephew launched its new RISE strategy, targeting 6%-7% organic revenue growth and 9%-10% trading profit growth over the next three years (2025-2028) ,.
The company aims to achieve $1 billion in free cash flow by 2028 and increase Return on Invested Capital (ROIC) to 12%-13% by the same year , ,.
For 2025, the company updated its guidance, expecting around 5% revenue growth, a trading margin of at least 19.5%, and approximately $800 million in free cash flow.
The Orthopaedics business is projected to drive the greatest group margin expansion, with a clear path to over 20% margin over the next five years and 300-400 bps expansion by 2028 ,.
Despite significant headwinds in 2026 including tariffs and inventory revaluation, the company anticipates profit growth to be ahead of revenue growth, supported by circa $150 million in operational savings ,.

Dec 8, 2025, 1:00 PM

Transcript

Smith+Nephew Unveils RISE Strategy with 2028 Financial Targets

SNN

Guidance Update

New Projects/Investments

Share Buyback

Smith+Nephew (SNN) launched its new RISE strategy, targeting 6%-7% organic revenue growth and 9%-10% trading profit growth by 2028.
The strategy aims to deliver $1 billion in free cash flow and 12%-13% Return on Invested Capital (ROIC) by 2028.
Innovation is a key focus, with new products expected to contribute approximately 50% of revenue growth and a pipeline including the new LANDMARK knee system.
The company completed a $500 million share buyback in Q3 2025 and plans to prioritize strategic M&A for high-growth segments.

Dec 8, 2025, 1:00 PM

Transcript

Smith & Nephew Unveils RISE Strategy with Ambitious 2028 Financial Targets

SNN

Guidance Update

New Projects/Investments

M&A

Smith & Nephew launched its new RISE strategy, targeting 6%-7% organic revenue growth and 9%-10% trading profit growth over the next three years. The company aims to achieve $1 billion in free cash flow and a 12%-13% Return on Invested Capital (ROIC) by 2028.
The strategy includes significant operational improvements, such as the Ortho 360 model, which plans to reduce product families by 54% (from 128 to 59) over three to five years, expecting to reduce gross inventory by approximately $500 million. The company also reduced its manufacturing footprint by 33% and headcount by 30%.
Orthopaedics is targeted for substantial margin expansion, aiming for over 20% margin by 2030 and a doubling of ROIC by 2030, with 300-400 basis points of Ortho margin expansion by 2028.
For 2026, the company anticipates headwinds including $60 million in tariffs, approximately 110 basis points from inventory revaluation, 40 basis points from wound pricing, and 20 basis points from ENT VBP in China. Despite these, operational leverage and $150 million in savings are expected to drive profit growth greater than sales growth.
Strategic M&A will prioritize high-growth and high-return businesses, particularly in sports medicine and wound management, to reinforce success.

Dec 8, 2025, 1:00 PM

Transcript

Smith+Nephew Announces New Strategy and Updated Financial Targets

SNN

Guidance Update

Revenue Acceleration/Inflection

New Projects/Investments

Smith+Nephew introduced its new RISE strategy, designed to drive new levels of financial and operational performance by building on the success of its 12-Point Plan.
The company announced 2028 financial targets, including an underlying revenue compound annual growth rate (CAGR) of 6-7%, a trading profit CAGR of 9-10%, and free cash flow of more than $1 billion.
For 2025, full-year guidance was updated, with the trading profit margin now expected to be at least 19.5% and free cash flow upgraded to around $800 million. Provisional 2026 full-year guidance includes underlying revenue growth accelerating to around 6% and free cash flow of around $800 million.
Further portfolio rationalisation opportunities were identified, with an estimated $200 million non-cash inventory provision in 2025 to reduce complexity and capital requirements.

Dec 8, 2025, 11:45 AM

6-K

Smith+Nephew Reports Q3 2025 Results and Raises Free Cash Flow Guidance

SNN

Earnings

Guidance Update

Share Buyback

Smith+Nephew reported Q3 2025 revenue of $1,501 million, representing 5.0% underlying revenue growth.
The company maintains its full-year outlook for around 5.0% underlying revenue growth and expects the trading profit margin to expand to between 19.0% and 20.0%.
Free cash flow guidance was raised to around $750 million for the full year, up from the previous guidance of more than $600 million.
A $500 million share buyback was completed on October 7, 2025.

Nov 6, 2025, 11:54 AM

6-K

Smith+Nephew Reports Q3 2025 Results and Raises Free Cash Flow Guidance

SNN

Earnings

Guidance Update

Share Buyback

Smith+Nephew reported Q3 2025 revenue of $1,501 million, representing 5.0% underlying revenue growth and 6.3% reported growth.
The company reaffirmed its full-year outlook for underlying revenue growth to be around 5.0% and trading profit margin to expand to between 19.0% and 20.0%.
Free cash flow guidance was raised to around $750 million (previously more than $600 million), driven by strong working capital discipline and operational efficiency.
A $500 million share buyback was completed on October 7, 2025.

Nov 6, 2025, 11:00 AM

6-K

Smith & Nephew Reports Q3 2025 Results, Reaffirms Full-Year Guidance, and Raises Free Cash Flow Outlook

SNN

Earnings

Guidance Update

Product Launch

Smith & Nephew reported $1.5 billion in revenue for Q3 2025, with 5% underlying growth and 6.3% reported growth.
The company reaffirmed its full-year guidance for around 5% revenue growth and a trading margin within the range of 19-20%, expressing confidence in achieving the midpoint or slightly above for margin.
Free cash flow guidance for the full year was raised from more than $600 million to around $750 million.
Orthopedics grew 4.1% on an underlying basis, driven by strong performance in US hips, trauma, and extremities, which helped offset softer performance in US knees due to portfolio rationalization. Sports medicine and ENT grew 5.1%, and Advanced Wound Management grew 6%.
For 2026, the company anticipates headwinds from tariffs and Medicare reimbursement changes for skin substitutes, which are expected to have a 25-50 basis point negative impact on group trading profit margin, but still expects overall margin expansion beyond 2025.