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Highlights:

  • Smith+Nephew reported Q1 2025 revenue of $1.41 billion, with 3.1% underlying growth led by Orthopaedics and Advanced Wound Management.

  • Product launches and operational improvements offset headwinds from China and FX pressures.

  • Full-year 2025 guidance remains unchanged, with expected 5% underlying revenue growth and margin expansion to 19–20%.

Smith+Nephew plc (LSE:SN, NYSE:SNN) reported growth for the first quarter ended 29 March 2025, driven by operational improvements and new product launches, despite external challenges including continued headwinds from China and one fewer trading day compared to the prior year.

For Q1 2025, the company reported revenue of $1,407 million, representing underlying revenue growth of 3.1% and reported revenue growth of 1.6%, after accounting for a 150 basis points headwind from foreign exchange rates. The performance reflects Smith+Nephew’s ongoing focus on execution and innovation across its business segments.

Segment-wise Performance

Orthopaedics delivered underlying revenue growth of 3.2% (reported growth of 1.8%), led by sustained improvements in the US Hip and Knee Implants business and momentum in Other Reconstruction and Trauma & Extremities.

The Sports Medicine & ENT division posted underlying growth of 2.4% (reported growth of 0.9%). Growth in Sports Medicine Joint Repair and Arthroscopic Enabling Technologies in Established Markets was significant, though partially offset by continued weakness in China.

The Advanced Wound Management segment achieved underlying growth of 3.8% (reported growth of 2.0%), with performance driven by increased sales in foams and Negative Pressure Wound Therapy (NPWT). However, this was tempered by anticipated volatility in the enzyme-based treatment SANTYL◊.

Outlook for 2025

Smith+Nephew reaffirmed its full-year 2025 guidance, maintaining expectations of around 5.0% underlying revenue growth and reported revenue growth of approximately 5.4%. The company also anticipates a significant improvement in trading profit margins, targeting a range of 19.0% to 20.0%.

Management noted that the growth outlook is supported by a higher cadence of product launches, expanding clinical evidence, and sustained execution. The guidance includes an estimated $15 to $20 million net impact from tariffs in 2025 based on currently announced measures and mitigation strategies.

Smith+Nephew remains confident in its strategic direction and committed to delivering value through continued innovation, operational efficiencies, and expansion in key markets. The company’s investment in research, development, and new product introductions continues to enhance its competitive position across core therapeutic areas.