Smiths Group shares (LON: SMIN) tumbled on Wednesday’s after the group reported a 26% fall in pre-tax profits.
In the 12 months to the end of July, pre-tax profits at the industrials conglomerate tumbled from £376m last year to £278m.
Revenue at Smiths Group ticked up 2% to £2.54bn and the group said it would pay a final dividend of 24p per share.
“The strength and flexibility we have built into the business, and the benefits of the group’s strategic positioning, underpinned a robust performance in challenging market conditions,” said chief executive, Andy Reynolds Smith.
“We have continued to enhance the group’s strategic positioning, through execution of the restructuring programme, completion of three further bolt-on acquisitions and our unchanged commitment to separate Smiths Medical.We are seeing a stabilisation of recent trends; but we are not complacent and are continuing to strengthen the business to deliver sustainable outperformance in the future,” he added in a statement with the results.
The company is carrying out cost-cutting savings, which is expected to save the group £70m by 2022.
Smiths Group has not provided financial guidance for the full-year due to uncertainties around the pandemic.
Smiths Group shares (LON: SMIN) are trading -7.82% at 1.320,00 (1415GMT).
