- Medical technology company Smith+Nephew has reported a 42% fall in trading profits as consequences of the pandemic lead to a decreased revenue across the group as well as lower gross margins.

Trading profits fell to $683 million (£493.2 million) from $1,169 million (£844 million)

Roland Diggelmann, chief executive officer, said: ‘We start 2021 with three clear priorities: to return to top-line growth and recapture momentum; to drive further operational improvement and to continue to respond effectively to COVID-19.

‘We will build on the progress we are starting to make in areas where we have recently invested and introduced innovation. We will again invest more in R&D and I am excited by the pipeline of new technologies approaching launch, and by the potential of our recent acquisitions.’

The group also reported an increased R&D investment, with recent product launches performing well.

Each franchise saw lower year-on-year profits but the impact was greatest in our orthopaedics and sports medicine franchises as they were more exposed to lockdowns

2020 dividend distribution maintained 2019 levels of 37.5¢ (27.0p) per share, reflecting confidence in the business and strength of the balance sheet.

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