Smiths Group increases its 2016 full year dividend by 2.4%

DividendMax Ltd.

Smiths Group increases its 2016 full year dividend by 2.4%

Highlights

Growth in reported revenue and headline operating profit in four out of five divisions

Group revenue declined 2% on an underlying1 basis; up 2% on a reported basis

53% of Group revenues derived from aftermarket and consumables

Headline operating profit declined 4% on an underlying1 basis, driven by tough global energy market conditions for John Crane

Good margin expansion in Smiths Medical, Smiths Detection and Smiths Interconnect

John Crane margins resilient at 21.9%; Flex-Tek margins stable 

Earnings per share of 85.2 pence fell 1% year-on-year driven by higher finance costs

102% cash conversion drove an underlying reduction in net debt

Proposed final dividend of 28.75 pence per share. Full year dividend growth of 2.4%

$710m acquisition of Morpho Detection expected to complete in early 2017, subject to regulatory clearance

Companies mentioned