Smith & Nephew Reports 1Q19 Orthopedic Revenue of $879MM, +0.9% vs. 1Q18

Smith & Nephew reports 1Q19 orthopedic revenue of USD $879MM, +0.9% vs. 1Q18.

• All orthopedic business franchises reached low to mid-single-digit growth before currency exchange headwinds
• Emerging markets performed well, especially China
• Established ex-U.S. markets were challenged, but Europe returned to growth
• JOURNEY II and LEGION products drive knee growth
• The hip segment was impacted by moderate supply issues that will improve throughout the remainder of the year
• Acquisition of Brainlab’s orthopedic digital assets is expected to close in 2Q19
• Company remains highly active in M&A space, with addition of Ceterix Orthopaedics broadening the knee meniscal repair portfolio, Osiris Therapeutics adding biologics and Brainlab’s navigation assets adding to a robotics ecosystem

ORTHOWORLD estimates segment growth on an as-reported basis as follows:

ORTHOWORLD estimates sales by geographic region as follows:

Sources: Smith & Nephew; ORTHOWORLD estimates.

Mike Evers is ORTHOWORLD’s Market Analyst. He can be reached by email.