- Convatec reported first-half revenue of $1.18 billion, exactly meeting estimates.
- Advanced Wound Care revenue was slightly above expectations at $367 million versus an estimate of $366.3 million.
- Adjusted gross profit came in at $711.1 million, slightly below the projected $720.6 million.
- Adjusted EBIT was $251.8 million, just under the estimate of $253.1 million.
- Adjusted net income slightly exceeded expectations at $164.6 million, against an estimate of $164 million.
- Adjusted EPS was 8.0 cents per share, surpassing the estimate of 7.9 cents.
- Reported EBIT was $179.2 million, behind the anticipated $188.5 million.
- The interim dividend per share was 1.877 cents, falling short of the estimated 1.967 cents.
- Convatec is confident in meeting the financial guidance set for the full fiscal year 2025.
- The adjusted book tax rate is expected to be around 24%, similar to FY24, with a significantly lower cash tax rate.
- Analyst recommendations for Convatec include 14 buy ratings, 4 hold ratings, and no sell ratings.
A look at Convatec Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 5 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Convatec, a company specializing in the manufacturing of medical and surgical equipment, holds a promising long-term outlook based on Smartkarma’s Smart Scores. With a strong score of 5 in Growth, Convatec is positioned well for future expansion and development. This indicates that the company has good potential for increasing its market presence and enhancing its product offerings in the medical equipment sector.
Additionally, Convatec‘s Momentum score of 4 signifies positive market momentum, suggesting that the company is experiencing favorable trends in its stock performance. While the Value score of 2 reflects some room for improvement in terms of the company’s valuation, the scores for Dividend and Resilience at 3 each show stability and a moderate level of dividend payout. Overall, based on the Smartkarma Smart Scores, Convatec appears to have a solid foundation for sustained growth and market presence in the long run.
### ConvaTec Group PLC manufactures medical and surgical equipment. The Company offers urine meters, dressings, negative pressure wound systems, adhesive removers, and infusion devices. ConvaTec Group markets its products worldwide. ###
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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