(Reuters) - Medical products maker Smith & Nephew Plc on Thursday forecast annual revenue growth at the top half of its previously estimated range after reporting a 4.4 percent rise in quarterly revenue as it benefits from higher demand in newer markets.
Emerging markets, especially China, have been a bright spot for the company as its mature markets, including the United States, where it gets about half its revenue from, find stable footing after a shaky start to last year.
The company in March bought U.S.-based regenerative medicine maker Osiris Therapeutics for $660 million (£505.7 million), to bulk up in a rapidly growing area of therapy.
Smith & Nephew, which makes hip and knee implants and wound care products for sports injuries, reported revenue of $1.20 billion for the first quarter ended March 30, in line with analysts' expectations, according to a company-compiled consensus http://www.smith-nephew.com/investor-centre/reporting/analyst-consensus.
"Following the growth achieved in the first quarter, we are increasingly confident that we will deliver 2019 underlying growth in the upper half of the guidance range of 2.5 percent to 3.5 percent," the company said.
Sales from the company's emerging markets business grew 15.3 percent in the first quarter, while its sports medicines unit reported a 5.3 percent rise in sales.
Shares of the FTSE 100 company are expected to open 2 percent higher, according to a premarket indicator.
(Reporting by Pushkala Aripaka in Bengaluru; Editing by Saumyadeb Chakrabarty and Shounak Dasgupta)