Smith & Nephew reported an increase in second quarter revenue.
Here are eight things to know about the company's financial report:
1. Smith & Nephew reported $1.16 billion in the second quarter, up 5 percent over the same period last year. There was a negative 9 percent impact due to currency headwind, but it was partially offset by a 6 percent benefit from acquisitions.
2. In the first half of the year, revenue was up 4 percent to $2.2 billion. The first half trading profit was $512 million.
3. In the second quarter, the company's business lines performed well:
• Sports medicine joint repair: 6 percent growth to $150 million
• Arthroscopic enabling technologies: 17 percent growth to $142 million
• Trauma and extremities: 3 percent decline to $125 million
• Other surgical business: 69 percent growth to $52 million
• Knee implants: Flat at $221 million
• Hip implants: 8 percent decline to $153 million
4. The United States revenue was up 11 percent to $549 million, while other established markets revenue dropped 11 percent to $426 million. The emerging markets also reported 11 percent growth to $193 million.
5. The company's acquisition of ArthroCare last quarter helped the "other surgical businesses" segment grow 7 percent. The company expects continued growth as a result of the acquisition. The business is performing at expectations and Smith & Nephew expects the acquisition to add $85 million to annual trading profit by 2017.
6. The JOURNEY II Total Knee System drove the 7 percent growth in the U.S. knee market. The marketing campaign for the VERILAST technology for both hips and knees also contributed to the growth.
7. In the first half of the year, trading profit was $512 million and the trading profit margin was 22.5 percent.
8. Reported operating profit for the first half of the year was $439 million after integration and acquisition costs. The company received $99 million in cash in June related to a patent infringement case with Arthrex.