ConvaTec Group, a leading medical products and technologies company, has significantly increased its full-year guidance following an impressive 65% rise in pretax profit for the first half of the year. The company attributes this success primarily to its advanced wound care business.
In the half year ended June 30, ConvaTec recorded a pretax profit of $76.0 million, a substantial increase from $46.1 million in the same period last year. Meanwhile, revenue for the period grew by 1.1%, reaching $1.055 billion. The company experienced growth across all four of its categories, with particularly strong performance in advanced wound care, which saw a revenue increase of 10%.
Given this positive performance, ConvaTec has raised its full-year forecast to between 6.0% and 7.5%, up from the previous forecast of 5.0% to 6.5%. Additionally, the adjusted operating profit margin forecast has been increased to at least 20.5% from 19.7%. In the first half of the year, the adjusted operating profit margin was 20.3%, compared to 19.6% in the same period last year.
ConvaTec’s preferred metric, adjusted operating profit, also showed growth, reaching $214.1 million compared to $204.3 million previously. This metric excludes exceptional and other one-off items.
To reward shareholders for their continued support, the board has raised the interim dividend to 1.769 cents per share, up from 1.717 cents for the first half of 2022.
ConvaTec Group’s strong performance in the first half of the year highlights its commitment to delivering high-quality medical products and technologies. With an increased full-year guidance and a positive outlook, the company is poised for continued success in the market.
