Investing.com — Smiths Group (OTC:) said in a stock filing on Tuesday that Clare Scherrer will retire as chief financial officer on Jan. 31.
Scherrer, who has been in the role for a relatively short time, will support the company through interim results for the first half of FY25, completing her transition by April 30.
The company has named Julian Fagge, currently chairman of Smiths Interconnect, as his successor. Fagge will assume the position of CFO on February 1, 2025.
The CFO change coincides with improved guidance for FY25, as Smiths Group adjusts its constant currency organic sales growth target upwards to 6%-8%, an improvement from the previous 5%-7%.
This revision reflects strong performance across all segments, particularly in Smiths Detection and Smiths Interconnect, where higher-than-expected second-quarter results bolstered confidence.
Analysts at Jefferies are positive about this upgrade, highlighting its importance amid a broader industry environment struggling with mixed market conditions.
Despite increased revenue targets, EBITA margin guidance remains unchanged with an increase of 40-60 basis points year over year.
Interconnect’s continued positive momentum, despite recent cyclical challenges, led to a slight margin increase, RBC Capital Markets analysts said in a note.
However, the lack of margin increase is not unexpected, given the weaker results of more diluted divisions, the brokerage added.
