ConvaTec Group PLC

ConvaTec Group PLC (LSE: CTEC) is an FTSE 100-listed medical products and technologies company. The company is employed in developing, manufacturing, and selling of medical products. Predominantly, the healthcare entity focuses upon solutions of chronic solutions for the management.

H1 FY24 Interim Results (Released on 30 July 2024)

• Financial Update: During H1 FY24 the adjusted operating profit reached USD 222.8 mn, marking an 8.2% increase from USD 214.1 mn in H1 FY23 when evaluated on a constant currency basis. The reported operating profit also rose to USD 149.2 mn from USD 123.4 mn in the previous year. The adjusted operating margin was recorded at 20.0%, slightly down from 20.3% in H1 2023, but improved to 20.7% on a constant currency basis.
• Strategic Progress: The company's innovation pipeline is successfully driving growth in market shares across several product lines. InnovaMatrix® has demonstrated strong growth, bolstered by favorable real-world evidence. ConvaFoamTM has gained traction, securing over half of its product evaluations in the USA. The introduction of Esteem BodyTM is advancing, showing an increase in new patient starts. GentleCathTM Air for Women, launched in France, is expanding its market share in the female compact segment.
• Outlook: For 2024, the company now expects organic revenue growth to be in the upper half of the 5-7% range, with an adjusted operating profit margin of at least 21.0% on a constant currency basis. It also anticipates double-digit growth in both adjusted earnings per share (EPS) and free cash flow to equity. Over the medium term, the company projects continued organic revenue growth of 5-7% annually, aims for a margin expansion to the mid-20s by 2026 or 2027 and seeks to achieve double-digit compound annual growth in adjusted.

Share Price Chart

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ConvaTec Group PLC (LSE: CTEC) was trading at the current market price of GBX 231.20  (as of 13 August 2024, 08:30 AM GMT+1) 

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance level is 13 August 2024. The reference data in this report has been partly sourced from REFINITIV.

Note 3: ‘Kalkine reports are prepared based on the stock prices captured either from the London Stock Exchange (LSE) and or REFINITIV. Typically, both sources (LSE and or REFINITIV) may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.

Note 4: Dividend Yield may vary as per the stock price movement.