Volumes, pricing drive 20% profit rise at Smiths

26th Sep 2023 07:02

(Sharecast News) - Engineering group Smiths hailed a 20% rise in annual operating profit, driven by volume growth and higher prices which offset the impact of inflation.

The company on Tuesday said profit for the year to July 31 came in at £501m as revenue jumped 18.3% to £3bn.

Smiths said it now expects organic revenue growth for 2024 within its medium-term target range of 4-6%, with growth weighted towards the second half of the year.

"Our strong orderbooks in John Crane and Smiths Detection, along with our new product pipeline, give us confidence in delivering this growth despite a record comparator, moderating pricing environment, and the challenging market conditions facing parts of Flex-Tek and Smiths Interconnect," it added.

Reporting by Frank Prenesti for Sharecast.com