Full Year 2020 Smith & Nephew PLC Earnings Call

With MTN and changes in circumstances.

<unk> results may differ materially from those included in these statements due to a variety of factors more information about these factors is contained in the company's filings with the Securities and Exchange Commission.

Now I would like to hand, the conference over to your speaker today, Roland equal manner, Chief Executive Officer, and Upfronts was named Chief Financial Officer.

Okay.

Thank you very much operator.

Very good morning to all of you.

And as you're well and safe.

Welcome to the Smith <unk> nephew as full year 2020 results.

We're looking forward to when we actually can hold these meetings in person again, but for now and for today.

I'm, calling in from Switzerland, and I'm joined from London.

Our Chief Financial Officer.

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Yeah.

Before we get into the details of the results I'd like to make a few opening comments.

2020 was a year of challenges for the industry of course in contrast to the very high expectations, We had for Smith <unk> nephew.

Back at the start of the year.

Even so.

I've been delighted been priced with a response throughout the year I've seen our teams stay really focused on our purpose continuing to support customers and patients in.

In what proved to be a rapidly changing environment.

So when we get into the detail, it's clear that the work to improve the sustainable growth of our business has also continued.

Recent launches and recently acquired products are performing very well across the entire portfolio.

And there is also increasing evidence that the work undertaken to improve execution is delivering results.

And the resilience of our business has meant that we've been able to maintain our investment in R&D and M&A in 2020, and we will continue to invest in 'twenty one.

We will accelerate our business in the midterm the headwind of Covid Covid excuse me isn't finished of course yet.

But as we saw in quarter three of 2020, our business can really rebound strongly.

So I am excited about our prospects as.

As the world hopefully returns to normal.

Thanks can we cover the 2020 financials I'll I'll take you through.

What's more we're doing over the coming years to deliver enhanced growth and efficiency.

Importantly, this includes an intense periods of new product launches through 'twenty, one and beyond.

So first of all I'll cover the highlights of our full year numbers.

Full year revenue.

Was $4 6 billion.

Which is a 12, 1% underlining declined 11, 2% reported.

That of course reflects the impact of Covid on our business for the year.

With a significant recovery in the second half.

The resulting negative operating leverage led to trading profit of $683 million and a trading margin of 15%.

Adjusted earnings per share were $64 six.

While the Covid pandemic was truly a headwind through the year the resilience.