SCOTT CAGEHIN | NUMIS
“The statement was in line with expectations. Smiths has the operational scope to enhance margins, while strong cash generation should support development and acquisition opportunities. However, the firm’s exposure to government spend is not the best place to be at the moment.
MICHAEL BLOGG | INVESTEC
“The results are fractionally better than we expected and the overall shape of the figures is in line. The group generates above-average margins. The special dividend wasn’t anticipated, so you could say that’s what boosted the share price, but I think the reason is a bit broader than that.
RICHARD CURR | PRIME MARKETS
“The defence industry is pretty strong at the moment and the restructuring it has done saves it money, which is what investors want to hear. The exposure to government spend shouldn’t be a huge problem as it’s a sector-wide issue, so the market will have already priced it in.