Smith & Nephew: Q2/H1 2026 results - Guidance cut but an H2 acceleration still needed

研报英文原文证据摘录

10 August 2026

Susannah Ludwig

European Medical Technologies & Services

Smith & Nephew PLC

Estelle Pang, CFA

Rating

Market-Perform

Richard Hombach

Price Target

SN/.LN

1,170.00 GBp

SNN

31.55 USD (31.85 OLD)

Specialist Sales

Christian Moore

Smith & Nephew: Q2/H1 2026 results - Guidance cut but an H2

acceleration still needed

Smith & Nephew provided their Q2/H1 2026 results on August 4th. Q2 sales of $1,597m

grew +1.6% organically, below consensus expectations for +3.7% growth. H1 trading profit

of $566m beat consensus expectations of $551m by +3%.

FY26 sales guidance cut, increasing scrutiny on the H2 recovery. S&N lowered its FY26

organic sales growth guidance to around +4% (from around +6%), while maintaining its

trading profit, free cash flow and ROIC targets. While management remains confident in a

meaningful recovery in H2 driven by new product launches and re-accelerating momentum

across the business, investor skepticism is likely to persist following two weak quarters and

given the significant step-up now required to deliver the revised outlook and support the

company's mid-term growth ambitions.

Close Date

6 Aug 2026

SN/.LN Close Price (GBp)

1,098.00

Price Target (GBp)

1,170.00

Upside/(Downside)

7%

52-Week Range

1,441.50/1,062.50

EDME

1,638.96

FYE

Dec

Div Yield

2.7%

Market Cap (GBP) (M)

9,259

EV (GBp) (M)

15,536

Performance

YTD

1M

6M

12M

Absolute (%)

(11.0)

(3.4) (13.0) (18.0)

Orthopedics continues to be under pressure in the U.S. The lack of a full cementless

EDME (%)

11.5

2.9

6.5

21.3

implant portfolio in the US and tough OUS comps pressured knee performance once

Relative (%)

(22.4)

(6.3) (19.5) (39.3)

again in Q2, while Hips faced temporary CATALYSTEM deployment headwinds. We expect

Source: Bloomberg, Bernstein estimates and analysis.

growth to improve in H2 as Hips recover and LANDMARK begins to contribute, with a more

meaningful benefit from 2027. Sports Medicine strength continues with double-digit

growth in Joint Repair, while AET benefits from China demand ahead of VBP implementation. Price Performance, 1YR

1600p

1800

H2 will be softer as AET is expected to see VBP implementation in China. Advanced

1500p

1700

…