By Joe Hoppe
Smiths Group PLC reported Thursday a fall in pretax profit for fiscal 2020 due to discontinued operations, and declared a final dividend and a delayed interim dividend.
The British engineering group said that for the year ended July 31, pretax profit from continuing operations was 130 million pounds ($165.4 million) compared with GBP304 million for fiscal 2019. The company attributed the difference to the planned separation of its Smiths Medical division, which reported a 4% underlying growth in revenue to GBP918 million.
Revenue was GBP2.55 billion compared with GBP2.50 billion the year before.
The board declared a final dividend of 24 pence a share and a delayed interim dividend of 11 pence, taking the total payment for the year to 35 pence. This compared with a total dividend of 45.9 pence in fiscal 2019.
Chief Executive Andy Reynolds Smith said that the strength of the company's performance in the year, and his confidence in the future supported the reintroduction of the dividends. He added that the restructuring of the group--which would save up to GBP70 million annually by fiscal 2022--was still on track, and confirmed the company was still committed to the separation of Smiths Medical.
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