(Reuters) -Smiths Group said on Friday it expects to meet market expectations for the fiscal year, as the British engineering firm forecast improving trends for the current half on the back of better-than-estimated interim profit.
The company has been restructuring its business, including announcing job cuts, to weather the COVID-19 pandemic and help its margins, as it also had to delay a long-sought separation of its medical unit due to the global health crisis.
The engineering firm said on Friday its plans to separate and list Smiths Medical division were on track to be completed by the fourth quarter. Smiths was involved in making ventilators for Britain and supplying syringes and needles for vaccines through the medical unit and other divisions.
"While economic uncertainty remains ... the Group is confident of meeting market expectations for the full year and delivering long-term sustainable value," Chief Executive Officer Andy Reynolds Smith said.
Headline operating profit of 166 million pounds ($228.20 million) for the six months ended Jan. 31 was ahead of analysts' consensus https://www.smiths.com/investors/sell-side-consensus/sell-side-consensus-information of 151 million pounds. Revenue from continuing operations of 1.15 billion pounds came in line with expectations.
Smiths, whose baggage screening kit and explosive detectors are a common sight in airports across the world, also separately announced an agreement with London's Heathrow airport.
($1 = 0.7274 pounds)
(Reporting by Pushkala Aripaka in Bengaluru, Editing by Sherry Jacob-Phillips)