Smith & Nephew PLC (LSE:SN) said it expects its full-year results to come in at the low end of guidance, after the impact of the COVID-19 Delta variant and supply chain disruptions hit revenue in its Orthopaedics business.
The company said it is implementing a range of actions to address the supply chain challenges.
Revenue rose by 2.3% to $1.26bn on an underlying basis in the third quarter to 2 October 2021, with Orthopaedics revenue falling 5.9%.
Sports Medicine & ENT underlying revenue rose by 6.5%, driven by continued strong joint repair performance and gradual recovery of ENT.
The group’s Advanced Wound Management revenue rose 10.9% to $379mln and saw all its sub-franchises growing.
Smith & Nephew said two out of three franchises, representing 60% of group revenue, reported underlying revenue growth compared with pre-COVID 2019.
The group also announced plans to strengthen its commercial model by bringing its Orthopaedics and Sports Medicine franchises under one leadership team.
Shares rose 3.21% to 1,334.00p at midday.