Smith & Nephew Shares Surge on Strong H1 Results

Smith & Nephew shares jumped as much as 17% to their highest level in over three years after the company reported first-half 2025 earnings that beat market expectations. The company posted an 11% increase in trading profit to $523 million and a 31% rise in operating profit to $429 million, driven by strong demand for hip and knee implants, sports medicine, and wound-care products. A $500 million share buyback was announced for the second half of 2025, reflecting management's confidence in its turnaround strategy and rewarding shareholders. Improved results were attributed to cost-reduction efforts, new product launches, and a recovery in elective surgeries in the U.S., which offset ongoing pricing and bulk-buying pressures in China. Smith & Nephew reaffirmed its full-year 2025 outlook, projecting revenue growth of around 5.5% and a $15–$20 million impact from tariffs. Analysts praised the company's performance and buyback, noting its appeal as a relatively safe investment.