The Smith and Nephew Board, having reflected upon the resilience of the business and the strength of their balance sheet, is recommending a Final Dividend of 23.1¢ per share (46.2¢ per ADS). Together with the Interim Dividend of 14.4¢ per share (28.8¢ per ADS), this will give a total distribution of 37.5¢ per share (75.0¢ per ADS), unchanged from 2019 and in line with their progressive dividend policy. Subject to confirmation at their Annual General Meeting, the Final Dividend will be paid on 12 May 2021 to shareholders on the register at the close of business on 6 April 2021.
Other financial highlights include:
Full Year revenue $4,560 million, down -11.2% reported and -12.1% underlying
Trading profit margin 15.0% reflected lower gross margins, negative leverage from SG&A costs and increased R&D investment
Operating profit margin of 6.5% included restructuring costs related to efficiency programmes
Cash generated from operations $972 million (2019: $1,370 million), trading cash flow $690 million (2019: $970 million), trading profit to cash conversion ratio 101% (2019: 83%)
Increased R&D investment, with recent product launches performing well
Delivered acquisitions in extremities, ENT and ASC segments, securing new innovation to support sustainable growth