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Annual Report 2024 Life Unlimited Annual Report 2024 www.smith-nephew.com Smith & Nephew plc Building 5, Croxley Park, Hatters Lane, Watford, Hertfordshire, WD18 8YE, United Kingdom. Tel. +44 (0)1923 477 100 Registered in England and Wales No. 324357. enquiries@smith-nephew.com www.smith-nephew.com 27477_S+N_AR24_Flat_Cover_14mm_Spine_Final_AW.indd 1-1 28/02/2025 20:43

STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION Smith+Nephew Annual Report 2024 289 Financial calendar Annual General Meeting The Company’s Annual General Meeting (‘AGM’) will be held on Wednesday, 30 April 2025 at 12:00pm at Smith+Nephew Academy London, Building 5, Croxley Park, Hatters Lane, Watford, Hertfordshire, WD18 8YE. Please refer to the Notice of Meeting for detailed information on how to vote and submit your questions. The meeting will commence at 12:00pm with doors opening from 11.00am. Registered shareholders have been sent either a Notice of AGM or notification of availability of the Notice of AGM. This report was printed by Park Communications, a certified carbon neutral print company, on Magno Satin an FSC® certified paper. The FSC® label on this product ensures responsible use of the world’s forest resources. Park works to the EMAS standard and its Environmental Management System is certified to ISO 14001. This publication has been manufactured using 100% offshore wind electricity sourced from UK wind. 100% of the inks used are vegetable oil based, 95% of press chemicals are recycled for further use and, on average 99% of any waste associated with this production will be recycled and the remaining 1% used to generate energy. This is a climate neutral print product for which carbon emissions have been calculated and offset by supporting recognised carbon offset projects. 2025 Annual General Meeting 30 April First quarter Trading Report 30 April Payment of 2024 final dividend 28 May Half-year results announced 31 July¹ Third quarter Trading Report 6 November Payment of 2025 interim dividend 7 November 2026 Full year results announced February¹ Annual Report available February/March Annual General Meeting April/May 1 Dividend declaration dates. Contents $5,810m Group revenue 37.5¢ Unchanged Dividend per share +4.7% Reported +5.3% Underlying1 $657m +54.6% Operating profit 11.3% +360bps Operating profit margin $1,049m +8.2% Trading profit1 18.1% +60bps Trading profit margin1 47.2¢ +56.3% Earnings per share (EPS) 84.3¢ +1.7% Adjusted earnings per share1 (EPSA) $1,245m +50.2% Cash generated from operations 7.4% +150bps Adjusted Return on Invested Capital1 (ROIC) 02 03 05 01 04 Strategic Report Our performance IFC At a glance 2 Chair’s statement 6 Chief Executive Officer’s review 10 Our marketplace 14 Our business model 16 Key Performance Indicators 18 Financial review 20 Elevating the standard of care Research & Development 29 Smith+Nephew Academy 32 Manufacturing, Quality & Regulatory Affairs 34 Putting customers first Our business units 37 Orthopaedics 39 Sports Medicine & ENT 43 Advanced Wound Management 47 Delivering Life Unlimited 51 Creating a culture to win 58 Protecting the future Environmental, Social & Governance (ESG) excellence 65 TCFD reporting 69 CO2e strategy, reporting methodology, materiality and scope 76 Risk report 78 Engaging with stakeholders 96 Governance Governance at a glance 102 Board leadership and Company purpose 104 Section 172 statement 116 Nomination & Governance Committee Report 119 Compliance & Culture Committee Report 126 Audit Committee Report 130 Remuneration Committee Report 136 Directors Report 174 Accounts Statement of Directors’ responsibilities 179 Notes to the Group accounts 196 Group Companies 252 Other information Group information 256 Cybersecurity risk management and governance 256 Risk factors 257 Non-IFRS financial information – adjusted measures 265 Shareholder information 272 Cross-reference to Form 20-F 278 SASB reporting 281 Glossary 283 Index 284 References from business unit sections 285 Financial calendar 289 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. CBP029634 27477_S+N_AR24_Flat_Cover_14mm_Spine_Final_AW.indd 2-4 28/02/2025 20:43 Report of Independent Registered Public Accounting Firms 180 Group financial statements 192 The images used throughout the report represent the ways that Smith+Nephew is taking the limits off living and helping patients live Life Unlimited. Images used are not photographs of our patients unless expressly indicated.

Our purpose Together we are delivering Life Unlimited Physical health is never just about our body. It’s our mind, feelings and ambitions. When something holds us back, it’s our whole life on hold. We’re here to change that, to use technology to take the limits off living, and help other medical professionals do the same. So that patients can stare down fear, see that anything is possible, then go on stronger. Inspired by a simple promise. Two words that bring together all we do… Life Unlimited » See pages 51–57 for real-life patient case studies Smith+Nephew Annual Report 2024 1 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 01_SN_AR24_v89.indd 1 28/02/2025 21:33

Smith+Nephew at a glance We are a leading portfolio medical technology company. We exist to restore people’s bodies and their self-belief. Smith+Nephew operates in global markets valued at approximately US50 billion1 annually. These markets are shaped by strong long-term growth drivers and technology advancements as well as the increasing decentralisation of care and stretched healthcare budgets. Through our Strategy for Growth we are transforming to a sustainably higher-growth company with innovation at our core, underpinned by improving productivity and commercial execution. Our Strategy for Growth is based on three pillars: Fixing Orthopaedics Improving productivity Accelerating Sports Medicine and Advanced Wound Management Through our 12-Point Plan we are fundamentally changing the way Smith+Nephew operates. By the end of 2024, the majority of the 12-Point Plan actions were complete, with Key Performance Indicators (KPIs) on track or exceeded. We are seeing the expected financial outcomes across much of the business, with further progress expected in 2025. Fixing Orthopaedics, to regain momentum across hip and knee implants, robotics and trauma, and win share with our differentiated technology. Improving productivity, to support trading profit margin expansion. Further accelerating growth in our already well-performing Advanced Wound Management and Sports Medicine businesses. Annual market value1 $50 billion We hold leading positions in growing markets… » See pages 14–15 » See page 18 » See pages 10–13 Transform Through innovation and acquisition Accelerate Profitable growth through prioritisation and customer focus Strengthen The foundation to serve customers sustainably and simply with a compelling Strategy for Growth… delivered through our transformative 12-Point Plan 1 Data generated by Smith+Nephew based on publicly available sources and internal analysis and represents an indication of market shares and sizes. 2 Smith+Nephew Annual Report 2024 02_SN_AR24_Chair_CEO_Rev_v145.indd 2 28/02/2025 22:44

Key facts 2024 169 year history 14m+ patients treated with our products ~100 around 100 countries served 17,349 employees $289m R&D investment 16 new products We work to improve the quality of healthcare through our investment in new technologies and services, industry-leading medical education and clinical evidence programmes, and efficient and resilient manufacturing and distribution. Together we are focused on: 1. Elevating the standard of care Smith+Nephew Academy The Smith+Nephew Academy network supports the safe and effective use of our products and provides healthcare professionals with opportunities to learn innovative clinical techniques. Global Operations Building resilient manufacturing and supply chains to ensure quality and competitiveness and support new product development. Research & Development Developing new technology through our Research & Development (R&D) programme, and acquiring exciting technologies where we can add value. » See pages 29–31 » See pages 32–33 » See pages 34–35 Smith+Nephew Annual Report 2024 3 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 02_SN_AR24_Chair_CEO_Rev_v144.indd 3 28/02/2025 21:37

Smith+Nephew at a glance continued 2. Putting customers first 3. Delivering Life Unlimited We take our innovation to market through three global business units: Orthopaedics, Sports Medicine & Ear, Nose and Throat (ENT) and Advanced Wound Management (AWM). These business units are responsible for strategy and global marketing, and contain specialist sales and support teams dedicated to serving the specific requirements of our healthcare professional customers. We support healthcare professionals in returning their patients to health and mobility, helping them to perform to their fullest potential. Each year around 14 million patients benefit from treatment with Smith+Nephew products. Smith+Nephew patients come from all walks of life. In this report you can read about knee implant patient Fireman Rob, who set a world record for the furthest distance walked wearing full firefighter gear; Tom Aspinall, who won the UFC Heavyweight Championship in 2024 following a Sports Medicine knee procedure; and Yolanda, a shared-care patient who wanted to be able to change her own dressing. All amazing people living their Life Unlimited. Sports Medicine & ENT Our Sports Medicine & ENT business unit offers advanced products and instruments used to repair or remove soft tissue. It serves growing markets where unmet clinical needs provide opportunities for procedural and technological innovation. Advanced Wound Management Our Advanced Wound Management business unit provides a comprehensive set of products and services to meet broad and complex clinical needs across hard-to-heal wounds, delivering on our mission to shape what is possible in wound care. Orthopaedics Orthopaedics includes an innovative range of hip, knee and shoulder replacement systems, robotics-assisted and digital enabling solutions that empower surgeons, and Trauma & Extremities products used to stabilise severe fractures and correct hard tissue deformities. Our three global business units Percentage of Group revenue 40% Percentage of Group revenue 31% Percentage of Group revenue 29% » See pages 36–50 » See pages 51–57 4 Smith+Nephew Annual Report 2024 02_SN_AR24_Chair_CEO_Rev_v144.indd 4 28/02/2025 21:37

5. Protecting the future We strive to create a culture of belonging where employees can bring their full selves and best ideas, which fosters innovation, delivers business success, and strengthens engagement and personal fulfilment. Our culture is based on our values of Care, Courage and Collaboration. Our Environmental, Social and Governance (ESG) strategy supports our Strategy for Growth and strengthens the foundation to help us serve customers over the long term. Our ESG strategy focuses on three areas: People, Planet and Products. A culture of empathy and understanding for each other, our customers and their patients. A culture of continuous learning, innovation and accountability. A culture of teamwork based on mutual trust and respect. 4. Creating a culture to win » See pages 58–63 Products Innovating sustainably across the value chain. See page 68 People Creating a lasting positive impact on our employees and communities. See page 66 Planet Working to reduce our impact on the environment. See page 67 Smith+Nephew Annual Report 2024 5 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 02_SN_AR24_Chair_CEO_Rev_v144.indd 5 28/02/2025 21:37

Chair’s statement The Plan is working Dear Fellow Shareholder, 2024 is the second full year of the implementation of our three-year 12-Point Plan, and I am pleased to say that we are now seeing tangible progress in Smith+Nephew’s operational and financial performance. Over the two full financial years since Deepak Nath joined as CEO, the Group has delivered sustained revenue growth, up 6% in 2023 and 5% in 2024, while operating profit is up from $450m in 2022 to $657m in 2024, an increase of 46%. Over the same period, trading profit margin1 has increased by 80bps, more than offsetting around -580bps of headwinds from inflation and China. Cash generated from operations has increased from $581 million in the year Deepak joined (2022) to $1,245 million in 2024. In both 2023 and 2024, the team achieved the vast majority of their operating and financial targets, which, given some of the headwinds they have faced, is commendable. 2024 indicates the outcomes we can expect from the turnaround of Smith+Nephew as revenue increases, margins expand and greater operational discipline improves capital productivity and improves cash flow. Revenue grew at 4.7% on a reported basis, or 5.3% on an underlying1 basis; trading margin1 improved by 60bps, leading to trading profit1 increasing faster than revenues; and non-trading items including restructuring costs were sharply lower than the prior year. All of this underlines the fact that the operational improvements of the 12-Point Plan are taking root in the business and delivering improved financial performance. 2025 is, we believe, going to be an inflexion point in the fortunes of Smith+Nephew as revenues continue to grow and margins take a significant step up, which should deliver a sharp improvement in both profits and returns on capital and give us good momentum into 2026. Smith+Nephew still has some way to go before reaching industry-standard levels of margin and return, but we are now headed in the right direction, and I believe that investors will start to recognise the achievements to date, as well as the positive outlook for the future, and reward the Company with a rating which reflects that. Turnarounds of large ships take time and require patience, but the plan Deepak set out when he joined Smith+Nephew shows every indication that it is working and looks set to deliver sustainable and material improvements in operational and financial performance, with further runway for improvement in the years ahead. Alongside improvements in operating performance, we have also been addressing the Group’s structure and organisation. Historically, Smith+Nephew had a centralised, and in some parts, a matrix, reporting structure, but over the last 18 months Deepak and his team have reorganised the business units into direct reporting lines. At the same time, the chart of accounts has been restructured to allow global business-line reporting, which allows operational control and visibility of profit and loss and returns on capital by business unit, aligning responsibility with accountability for financial and operating performance. This reinforces the accountability of line managers’ performance, whilst retaining the valuable synergies arising from the businesses being able to share, and benefit from the scale of, services such as HR, Finance, Procurement and IT as well as Regulatory Affairs, Compliance and Medical Education. 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. 6 Smith+Nephew Annual Report 2024 02_SN_AR24_Chair_CEO_Rev_v144.indd 6 28/02/2025 21:37

“In both 2023 and 2024, the team achieved the vast majority of their operating and financial targets, which, given some of the headwinds they have faced, is commendable.” Rupert Soames, OBE Chair Dividend Having considered 2024 performance, the Board is recommending a final dividend of 23.1¢ per share. Together with the interim dividend of 14.4¢ per share, this will give a total distribution of 37.5¢ per share, unchanged for 2024. We have a progressive dividend policy, and the Board is aware of the importance of the dividend to shareholders. From 2025 onwards, we aim to increase our distribution towards a payout of around 35% to 40% of adjusted earnings per share (EPSA)1. Board composition, development and evaluation I became Chair in September 2023, in succession to Roberto Quarta, and since then we have seen significant change in Board membership, with four new Directors appointed, one being the Chief Financial Officer (CFO). For a Board of 12 people, the arrival of four new Directors and a new Chair represents a very significant degree of change. In addition, Angie Risley, Chair of our Remuneration Committee has taken on the role of Senior Independent Director, in succession to Marc Owen. Angie is a very experienced Board Director, and, having led the two consultations around our Remuneration Policy, is well known to, and respected by, many of our largest shareholders. Marc continues to serve on the Board, and remains Chair of the Compliance and Culture Committee and a member of the Audit and Nomination & Governance Committees. He has done an outstanding job as Senior Independent Director, and helped navigate the Board through the succession of Roberto Quarta. I and all his colleagues on the Board are very grateful for his continued support and wise counsel. Of the new appointees to the Board, John Rogers joined the Board in the capacity of CFO in April 2024. He is having a material and positive impact, quickly building strong relationships with Deepak, his colleagues on the Executive Committee and the wider management team. Among the Non-Executives, Jez Maiden, the former CFO of Croda plc, joined the Board in September 2023 and Simon Lowth, the CFO of BT Group plc, joined in January 2024. Both of them bring deep experience in finance, operations and strategy. In January 2025, we also announced the appointment of Sybella Stanley to the Board as a Non-Executive Director with effect from 1 February 2025. Sybella is Director of Corporate Finance at RELX Group. She has long experience of corporate transactions, and has been Chair of the Remuneration Committee at two other public companies. She will take over as Chair of our Remuneration Committee at the end of June 2025. We continue our commitment to fostering diversity in its broadest sense and to ensuring that our Board membership draws from a wide range of backgrounds and cultures. In 2024, the percentage of women on our Board decreased to 27% following the departure of Anne-Françoise Nesmes. The addition of Sybella Stanley in 2025 will take us back to 33%. We actively review the composition, skillsets, capabilities and diversity of the Board on a regular basis as part of our Board succession planning process, and selection is based on ensuring we have the best person for the role. Further details of the Board succession and appointment process can be found on page 120. 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. Smith+Nephew Annual Report 2024 7 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 02_SN_AR24_Chair_CEO_Rev_v144.indd 7 28/02/2025 21:37

Chair’s statement continued The Board agendas during the year reflected our focus on strategy, performance, cost and capital management, innovation, risk management and culture, all in the context of our responsibility to evaluate, support and scrutinise the impact of decision making on all stakeholder groups in the best interests of the Company as a whole. On a rotating basis, each Business Unit presents to the Board at least once a year, and most of them twice a year; standing items at each scheduled Board include an operating and finance report from the CEO and CFO, as well as a presentation of our analysis of a competitor. Each year, the Board holds at least one of its meetings at a Smith+Nephew site outside the UK, during which we do a “deep dive” on one of the Business Units; in 2024 we visited our robotics hub in Pittsburgh and reviewed the Orthopaedics business as well as reviewing progress on our robotics-assisted CORI◊ Surgical System. Our triennial external Board evaluation was carried out by Dr Tracy Long, and was complemented by a parallel Executive Committee evaluation, enabling the Board to obtain a holistic overview of both executive and non-executive strengths and opportunities for development and insights to drive enhanced effectiveness moving forward. The evaluations included detailed interviews with all Board and Committee members, as well as the Executive Committee, and covered, among other things, the relationship between the Board and the Executive Committee, and the effectiveness of the Board on strategy and performance, risk and control, and people and culture. I am delighted to say that both reviews provided positive insights and commentary on the effectiveness of the Executive Committee and the Board and its Committees. The evaluation highlighted the current strengths of the Board: dynamic leadership with a strong partnership between Deepak and John and clear roles and responsibilities of the Board and Executive, resulting in a healthy Board culture and contribution. The Board was also pleased to note that the Executive Committee evaluation reflected strong accountability and commitment under Deepak’s leadership, with collegiate and cohesive ways of driving change, engagement and alignment within the organisation, with continued focus on talent development, performance and embedding a winning culture. Further details of the Board evaluation and areas for focus in 2025 can be found on pages 124–125. Adoption of 2024 Remuneration Policy and RSP The Board sought approval from shareholders at the 2024 AGM to implement changes in respect of US Executive Directors, long-term incentives within the 2024 Remuneration Policy and to introduce the Restricted Stock Plan (RSP). The purpose of these changes was to move towards a remuneration approach which better suits a company in which the majority of the executive management live and work in the United States. The resolutions passed with a level of approval below 80%; accordingly, the Board conducted a further shareholder consultation and considered all the feedback received. The Board also took into account the developments in the UK governance community during the 2024 AGM season, which indicated an enhanced understanding of the challenges faced by companies listed in the UK who have a majority of their business and operations in the US. Having full regard to all relevant factors following the post AGM consultation, the Board resolved to adopt and implement the 2024 Remuneration Policy and RSP in August 2024. Further details of our 2024 Remuneration Policy and its implementation can be found on pages 142–173. 8 Smith+Nephew Annual Report 2024 02_SN_AR24_Chair_CEO_Rev_v144.indd 8 28/02/2025 21:37

Sustainability With our new leadership and governance structure in place for the past 12 months, the Board has continued to engage, review and evaluate the sustainability strategy and stakeholder impact of our decisions on environmental, social and governance matters. Board members have also continued to engage with investors on their key areas of focus in this area and have heard and seen in our Board listening sessions how the organisation embeds sustainability into its cultural fabric. Further details can be found on pages 64–77 of this report. Our colleagues In 2024 I had the privilege of visiting sites in Munich, Aarau, Lisbon, San Francisco, Memphis, Colombia, Fort Worth, Pittsburgh, Kuala Lumpur and Penang. Wherever I went, I found teams deeply committed to our purpose of Life Unlimited and to continuous improvement. I am delighted to say that our employee survey results improved yet further, culminating in the Company being awarded the Gallup Exceptional Workplace Award in 2024. I want, on behalf of the Board, to thank each and every one of them sincerely for their work during the year. Outlook: building on stronger foundations The Board believes that the Company is now poised to deliver a further step-up in returns in 2025. For the full year we are guiding to underlying revenue1 growth of around 5%, and significant trading margin1 expansion to 19% to 20%. This will be primarily driven by the continued revenue leverage and cost savings from optimising our manufacturing network. I would emphasise that 2025 is not the endpoint, and we expect continued margin accretion in 2026 and 2027, with many of the components of delivering this already in place. We look forward to welcoming shareholders to our Annual General Meeting in person at our S+N Academy in Croxley on 30 April 2025 and to updating you further on the continued structural and organisational transformation at Smith+Nephew. Yours sincerely, Rupert Soames, OBE Chair Smith+Nephew Annual Report 2024 9 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 02_SN_AR24_Chair_CEO_Rev_v144.indd 9 28/02/2025 21:37

Dear Fellow Shareholder, Smith+Nephew’s transformation remains on track, with the 12-Point Plan increasingly delivering better financial performance. Revenue growth is consistently above historical levels following operational and commercial improvements. Changes to our organisational structure are driving increased accountability at the Business Unit level. Operating leverage and productivity improvements are supporting margin expansion despite significant sector-wide headwinds. Working capital discipline and asset utilisation have driven improved cash flow generation and better returns. We finished the year strongly and US Reconstruction was again sequentially better. Our innovation continued to deliver, with more than 60% of revenue growth in 2024 coming from products launched in the last five years. We have launched nearly 50 new products over the last three years and have an exciting pipeline for 2025. There is much more to be done, but we have made solid progress fixing the foundations and expect a step-up in returns in 2025, including significant margin expansion. We are confident that this will be the year when transformation starts to unlock substantial value for our shareholders. 2024 results Group revenue in 2024 was $5,810 million (2023: $5,549 million), with reported revenue growth of 4.7% and underlying growth of 5.3%1 . Operating profit increased to $657 million (2023: $425 million). Trading profit1 for 2024 was up 8.2% on a reported basis to $1,049 million (2023: $970 million). The trading profit margin1 was 18.1% (2023: 17.5%), a 60bps improvement on the prior year. Over the last two years we have delivered an 80bps uplift in trading profit margin. This was achieved as productivity savings of around 410bps and operating leverage of around 390bps offset major headwinds of around -490bps from input cost inflation and merit, around -140bps from foreign exchange and around -90bps from China. Improving cash flow has been an area of specific focus, with good progress made in 2024. Cash generated from operations was $1,245 million (2023: $829 million). We have also reduced restructuring costs year-on-year to $123 million (2023: $220 million). Free cash flow1 increased to $551 million (2023: $129 million). We have increased visibility and focus on improving our adjusted Return on Invested Capital (ROIC1 ) at the Business Unit level through allocation of central costs and our drive to improve working capital. ROIC based on the closest equivalent IFRS measures was 4.9% (2023: 3.2%). ROIC1 increased by 150bps year-on-year to 7.4% (2023: 5.9%), reflecting the progress made under the 12-Point Plan. Going forward, we will continue to focus on driving further improvement in our ROIC. Transforming Smith+Nephew In 2022, we announced our 12-Point Plan to fundamentally change the way we operate and transform business performance, accelerating delivery of our Strategy for Growth. 2024 was a meaningful step forward on this multi-year journey. There is clear evidence of the expected operational and financial outcomes coming through across the Group. Higher revenue growth Through delivery of the 12-Point Plan we have transformed the revenue growth profile of Smith+Nephew. This progress has been achieved against some major headwinds, including the underperformance in our US Orthopaedics business and the pressures of Volume Based Procurement (VBP) programmes in China across both our Reconstruction and Sports Medicine Joint Repair segments. Our transformation is on track, with a step-up in performance expected in 2025 Chief Executive Officer’s review 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. 10 Smith+Nephew Annual Report 2024 02_SN_AR24_Chair_CEO_Rev_v144.indd 10 28/02/2025 21:37

The progress was underpinned by 12-Point Plan initiatives that addressed a number of key issues that were holding back performance. We have significantly improved product and instrument set availability, which were far below industry standards, and have now exceeded target levels. Overdue orders have improved significantly, falling by 90% since 2022. The percentage of sets that are available reached target at the start of the year, and improved further during 2024. We also made significant progress in simplifying our portfolio, with a third of global hip and knee brands now phased out. We have also improved our commercial execution. We have turned around performance in Trauma, which is now a significant growth driver built upon our new EVOS◊ Plating System, and improved Orthopaedics outside the US. US Orthopaedics is now also on a clear improvement path. Here we have introduced new management, customer service and satisfaction levels have improved, new growth-oriented incentive plans are in place and employee turnover has returned to low levels. We strengthened our position in robotics with a series of new features, and the installed base now exceeds 1,000 systems. Sports Medicine has been outperforming its market for many years, built on sustainable and fundamental factors including commercial excellence, a steady stream of innovation across procedures, new segment development in tissue regeneration and successful integration of acquired assets. While we continued to face significant VBP headwinds in China, the overall trajectory for Sports Medicine remains encouraging. In Advanced Wound Management we have delivered improved performance in recent years based on better commercial execution focused on our differentiated strengths, such as our unique portfolio breadth and evidence-based selling. Performance in 2024 was driven by our leading position in the high-growth Negative Pressure Wound Therapy (NPWT) segment. “We have addressed the structural weaknesses that were holding back the Group. There is much more to be done to drive productivity and asset efficiency to their full potential, with significant additional benefit expected to follow in 2025 and beyond.” Deepak Nath, PhD Chief Executive Officer Strategy for Growth Delivered through our 12-Point Plan Fixing Orthopaedics Improving productivity Accelerating Sports Med and AWM Transform Through innovation and acquisition Accelerate Profitable growth through prioritisation and customer focus Strengthen The foundation to serve customers sustainably and simply Smith+Nephew Annual Report 2024 11 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 02_SN_AR24_Chair_CEO_Rev_v144.indd 11 28/02/2025 21:37

Improving organisational effectiveness In 2023, we reorganised our global commercial operating model around our three business units of Orthopaedics, Sports Medicine & ENT and Advanced Wound Management in order to drive more agile decision making and greater accountability. In 2024, central costs attributable to business units were directly allocated to each business unit, with the objective of driving greater business unit accountability and efficiency, with each business unit having full profit and loss and capital accountability. These decisions are already driving more informed investment decisions in areas such as IT. A small proportion of the corporate costs continue to be held centrally, reflecting the centralised infrastructure required to support the Group and run a publicly listed company. These changes will support our drive to improve our ROIC at the business unit level through allocation of central costs and improved working capital. Creating value through innovation Smith+Nephew’s innovation pipeline is a significant contributor to our transformation to being a higher growth business. In 2024, more than 60% of underlying revenue growth came from products launched in the last five years. In 2023, new products accounted for around half of our underlying revenue growth. We maintained our recent high cadence of launches, with 16 new products in 2024, bringing our total of new products to nearly 50 over the last three years. Many of these new platforms are driving growth today and have multi-year runways still ahead of them as we expand indication and applications and launch in new markets. For 2024 major launches included the CATALYSTEM◊ Primary Hip System, designed to address the evolving demands of primary hip surgery, including the increased adoption of anterior approach procedures. We moved to full commercial launch of the AETOS◊ Shoulder System in the US, enabling us to compete effectively in the fast-growing $1.7 billion shoulder market, and continued to build out the platform, adding planning software and a stemless anatomic total shoulder option. We announced new CORIOGRAPH◊ Pre-Operative Planning and Modelling Services for the CORI◊ Surgical System, making it the only orthopaedic robotics-assisted system to offer either intra-operative image-free or image-based registration for knee implants. This is one of a number of unique features for CORI◊ , including supporting revision knee procedures, a first-of-its-kind digital tensioner for robotics-assisted knee surgery for soft tissue balancing and offering both burr and saw cutting options. In Sports Medicine, we completed the acquisition of CartiHeal, the developer of the CARTIHEAL AGILI-C◊ Cartilage Repair Implant, a novel sports medicine technology for cartilage regeneration in the knee. We have made good progress on market development activities in the first year of ownership, including clinical strategy and reimbursement milestones. We have shown with REGENETEN◊ that we have the market development and commercialisation expertise to acquire regenerative technologies and successfully establish a new standard of care. In ENT, we launched the ARIS◊ COBLATION◊ Turbinate Reduction Wand. This utilises our advanced COBLATION◊ Plasma Technology to provide a minimally invasive way to reduce hypertrophic turbinates, a significant opportunity in the US. In Advanced Wound Management, we launched the RENASYS◊ EDGE NPWT System. This is designed to reduce inefficiency and complexity and features an improved user interface for enhanced intuitiveness and simplicity and a durable pump built to offer virtually maintenance-free use. We also continued our high cadence of incremental innovation in skin substitutes, with the launch of GRAFIX◊ PLUS in the second quarter, an easier-to-handle new version in our lead product family, targeting the growing post-acute market. In 2025 we expect to launch a number of exciting new products. These include next-generation digital video-based navigation in the arthroscopic tower, a new intramedullary nail and further extensions to the CORI◊ Surgical System and the AETOS◊ Shoulder System. Cost efficiency and margin expansion We have made significant productivity improvements through the 12-Point Plan, delivering around 410bps of incremental costs savings across 2023 and 2024. Our trading profit margin has expanded by 80bps since 2022, driven by revenue leverage from the higher revenue growth and operational efficiencies, successfully making progress despite major headwinds from inflation, foreign exchange and China. Since 2022 we have improved our Sales, Inventory & Operations Planning (SIOP) process. This is a dynamic process that has brought better alignment of production plans and commercial delivery. Further productivity improvements are expected to come through in 2025 as we benefit from cost savings following our decision to shut four smaller Orthopaedics manufacturing facilities and our reductions in workforce. Looking beyond 2025, we expect our work to better align production and commercial delivery along with capacity reduction, and the timing of lower costs passing through inventory, to support further margin expansion. Chief Executive Officer’s review continued 12 Smith+Nephew Annual Report 2024 02_SN_AR24_Chair_CEO_Rev_v144.indd 12 28/02/2025 21:37

We continue to work to make our culture ever stronger, building on our three pillars of Care, Collaboration and Courage. In 2024 we put a particular focus on Courage, challenging the status quo and embracing new ways of working. Many employees from across the business contributed as we identified opportunities to be more courageous, and we look forward to continuing this work in 2025. You can read more about this and other important initiatives on pages 59–63. In 2024, we also made good progress delivering our sustainability objectives. As a manufacturing organisation, we seek to drive efficiency in all we do, which also drives environmental benefits. Waste minimisation and energy efficiency efforts this year have improved our waste diversion away from landfill, and we have further reduced our greenhouse gas (GHG) emissions in support of our net zero carbon journey, all while driving business growth (see pages 64–77). Driving greater value 2024 was a year in which we fundamentally strengthened our Company. As we complete the 12-Point Plan, stronger processes and practices around cost discipline and efficiency, greater customer-centricity and higher levels of courage and accountability position us to make an even greater positive impact on our customers and patients. Much of the 12-Point Plan is complete, and we have addressed the structural weaknesses that were holding back the Group. There is much more to be done to drive productivity and asset efficiency to their full potential, with significant additional benefit expected to follow in 2025 and beyond. In terms of outlook, for 2025 we are targeting another year of strong revenue growth and a significant step-up in trading profit margin.1 For revenue, we expect to deliver underlying1 revenue growth of around 5%. The guidance equates to reported revenue growth of around 4.8% based on exchange rates prevailing on 19 February 2025. We expect to deliver a trading profit margin1 of 19% to 20%. This step up will be driven by operating leverage, cost reductions and the benefits of our network optimisation programme. These benefits are expected to more than offset headwinds from China and cost inflation. Finally, I would like to thank the Smith+Nephew team for their contributions during 2024. I am humbled and inspired by their unwavering commitment to our purpose of Life Unlimited. I feel privileged to be part of a team that is transforming healthcare in innovative and meaningful ways every day. Yours sincerely, Deepak Nath, PhD Chief Executive Officer 13 Improved cash generation and ROIC In 2024 we made good progress improving both our cash generated from operations and free cash flow by reducing our capital expenditure, working capital and restructuring costs, and we expect to make further progress in 2025. Through the 12-Point Plan we have improved our Order to Cash and asset utilisation, and started to address our high inventory. By the end of 2024, we had reduced our Day Sales of Inventory (DSI) by 20 days year-on-year, with DSI down across all business units. Further inventory improvements will be an area of continued focus in 2025 to further enhance working capital and ROIC. As stated earlier, in 2024 Group ROIC increased year-on-year, reflecting progress made under the 12-Point Plan. We anticipate further improvement in 2025. We will continue to prioritise investment in areas where we expect to see the highest incremental ROIC. Culture and sustainability When I joined Smith+Nephew in 2022, I was immediately impressed by the strong culture, with employees who cared deeply about our purpose of Life Unlimited and took pride in their work. In 2024 we were proud to win a 2024 Gallup Exceptional Workplace Award, recognising our high levels of employee engagement. It is a credit to our whole team that we continue to make progress in building a robust, respectful and accountable culture during a period of considerable change. Smith+Nephew Annual Report 2024 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 02_SN_AR24_Chair_CEO_Rev_v144.indd 13 28/02/2025 21:37

Smith+Nephew operates in global markets valued at approximately $50 billion1 annually. Leading positions in attractive markets Long-term growth drivers Shaping the development of innovative treatments and the transformation of healthcare delivery. The medical technology sector is supported by strong long-term growth drivers that make it an attractive market. Demographic shifts, such as an ageing population and increased physical activity among older adults, continue to boost demand for healthcare services. As the global population ages, there is a corresponding rise in chronic and age-related conditions that require consistent medical attention. Additionally, the growing incidence of lifestyle-related health issues, like diabetes and obesity, further drives this demand. Technological advancements in medicine serve as crucial catalysts for long-term growth in healthcare. Innovations in areas such as artificial intelligence (AI) and biotechnology are yielding more effective and personalised healthcare solutions, which not only improve patient outcomes but also create new business opportunities that promote further expansion. Emerging markets Growing healthcare demand presenting both opportunities and challenges for providers. In emerging markets, economic development is enhancing long-term growth factors, particularly through the emergence of a prosperous middle class seeking improved healthcare services and products. As living standards rise, there is an increasing demand for high-quality healthcare, including advanced treatments and medical devices. Moreover, emerging markets may lack mature healthcare infrastructure, necessitating investments in healthcare technology. This situation benefits companies that offer innovative medical solutions, as these markets are generally more open to adopting new and cost-effective healthcare approaches. Decentralised care Facilitating accessible care outside traditional hospital environments. Evolving customer and market dynamics are creating new high-growth opportunities for medical technology companies. Many countries are shifting towards more decentralised care, with an increasing number of procedures being performed in outpatient settings such as Ambulatory Surgery Centers (ASCs) in the US. This trend has been particularly prominent in Sports Medicine, and a growing number of orthopaedic joint replacement procedures are now being carried out in these settings, resulting in cost and time efficiencies for healthcare providers. The move towards outpatient care was accelerated by the Covid pandemic, as providers aimed to minimise hospital visits and address procedure backlogs. 1 Data generated by Smith+Nephew based on publicly available sources and internal analysis and represents an indication of market shares and sizes. 14 Smith+Nephew Annual Report 2024 03_SN_AR24_MktPlace_BusModel_KPIs_v102.indd 14 28/02/2025 23:16

Cost of healthcare A global priority requiring comprehensive strategies for sustainable healthcare delivery. Governments are focused on lowering healthcare costs and are increasingly price-sensitive. In response, medical technology companies are innovating and providing evidence of both the clinical and economic benefits associated with their products. Worldwide, countries are aiming to boost domestic production in critical sectors, including advanced technologies and life sciences, through localisation policies and export restrictions that can disrupt global supply chains. At the same time, many emerging markets are implementing measures to reduce healthcare costs and improve accessibility, including price control policies in government procurement. In China, this has been seen in the introduction of Volume Based Procurement across various segments. » See pages 78–95 for more details on risks in the Risk report High regulation Medical devices regulation is essential for ensuring product safety, efficacy and quality. The medical device sector is among the most heavily regulated globally, creating significant barriers to entry for new market participants. National regulatory authorities oversee the design, development, approval, manufacturing, labelling, marketing and sale of healthcare products, as well as reviewing supporting data to seek to ensure safety and performance. Most countries require prior authorisation and/or registration of products before market entry, which must be maintained thereafter. Regulations and industry codes also dictate how the industry interacts with healthcare professionals and government officials worldwide, including the AdvaMed Code of Ethics and the MedTech Europe Code of Ethical Business Practice. Companies implement global compliance programmes to assist employees and third-party partners in adhering to laws, regulations and industry standards, often accompanied by their own codes of conduct. » See page 127 for more information on our approach to compliance Seasonality Seasonality requires agile business operations to meet demand fluctuations during the year. There is typically a higher volume of orthopaedic and sports medicine procedures during winter months, when accidents and sports-related injuries are more common. Additionally, elective procedures generally decline in the summer due to vacations. Advanced Wound Management is less affected by seasonality due to the nature of its procedures and products. At Smith+Nephew, most of our operations are in the northern hemisphere, with approximately 50% of revenue generated in the US and 20% in Europe. In the US, out-of-pocket costs for health insurance plans are tied to medical expenses within a calendar year. Consequently, households that reach their annual deductible or out-of-pocket cap before year end find it more cost-effective to schedule necessary procedures later in the year rather than postponing them until the following year. Smith+Nephew Annual Report 2024 15 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 03_SN_AR24_MktPlace_BusModel_KPIs_v102.indd 15 28/02/2025 23:16

1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. 2 For details of changes to our product giving please see page 66. People A purpose-driven culture based on authentic values committed to doing business in the right way. R&D Innovation is at the heart of our business and we invest in priority products, technologies and services. Financial strength A robust balance sheet and Capital Allocation Framework balancing short, medium and long-term investment and returns. ESG Addressing the long-term needs of our customers, employees, investors, communities and other stakeholders while aiming to reduce our impact on the environment. Global operations Resilient manufacturing and supply chains to ensure quality and competitiveness. What we need to create value Our business model Through our business model we strive to transform outcomes for the patients we serve, for the clinicians and the healthcare systems we support, for the Company and for our shareholders. Delivering value for stakeholders 18.1% Trading profit margin1 +60bps 11.3% Operating profit margin +360bps $327m Dividend Distribution unchanged $1,049m Trading profit1 +8.2% $657m Operating profit +54.6% $5,810m Group revenue +4.7% reported +5.3% underlying1 Investors Community 380,000+ Patients helped through product donations2 4.24 Gallup engagement score +0.04 16 New products 106,734 Training sessions Employees Customers 16 Smith+Nephew Annual Report 2024 03_SN_AR24_MktPlace_BusModel_KPIs_v102.indd 16 28/02/2025 23:16

How we create value Innovative technology We offer a broad portfolio of differentiated products and services that meet often-complex clinical needs, including digital and robotic technologies, driving procedural innovation. Go to market Three global business units set product strategy and deliver global marketing to drive demand in our markets, supported by clinical evidence to demonstrate efficacy. 2 Customer feedback Building close relationships with customers to ensure a deep understanding of unmet clinical needs and changing financial and sustainability priorities within healthcare systems. 5 Expertise and support Our sales force supports customers and works with healthcare systems to address complex business and reimbursement requirements. 3 Medical education Through the Smith+Nephew Academy, a network of centres and online resources, we provide medical education programmes to support the safe and effective use of our products, skills development and procedural innovation. 4 1 Product development and acquisition R&D model that provides for customer and business unit focused innovation and acquiring technologies needing further development and commercialisation. 6 Customer-centricity Smith+Nephew Annual Report 2024 17 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 03_SN_AR24_MktPlace_BusModel_KPIs_v102.indd 17 28/02/2025 23:16

Key Performance Indicators 7.4% Adjusted ROIC1 Measuring our progress Smith+Nephew uses a number of financial and non-financial Key Performance Indicators (KPIs) to track and evaluate performance and delivery against its Strategy for Growth and other business objectives. Those KPIs in the public domain are consolidated below. A number of other KPIs are commercially sensitive and are not published but are used internally to drive sustainable performance and growth. Revenue growth Reported revenue growth includes a foreign exchange headwind of -60bps. 2024 revenue was $5,810m. Revenue growth allows management and investors to measure our relative performance. The Group is consistently delivering strong revenue growth above historical (pre-Covid) levels. Profit margin Reported profit margin reflects acquisition and disposal-related items, restructuring and rationalisation costs, amortisation and impairment of acquisition intangibles, and legal and other items. Profit margin allows management and investors to determine our relative performance. The 60bps year-on-year increase reflects operating leverage and efficiency savings from the 12-Point Plan offsetting headwinds from inflation and China. Financial Key Performance Indicators The Adjusted ROIC¹ increased year-on-year in 2024 by 150bps to 7.4%, reflecting the progress made under the 12-Point Plan. Adjusted Return on Invested Capital1 Adjusted ROIC1 allows management and investors to measure the return generated on capital invested, providing a metric for long-term value creation. Total distribution of 37.5¢ per share, unchanged from 2023. Dividend per share Dividend payments allow investors to receive a cash return on their investment in Smith+Nephew. 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. 4.7% Reported revenue growth 11.3% Operating profit margin 5.3% Underlying1 revenue growth 18.1% Trading profit margin1 37.5¢ Dividend per share % % ¢ % % % Transforming Smith+Nephew In July 2022 we announced our 12-Point Plan to fundamentally change the way we operate and transform business performance. The 12-Point Plan focused on: – Fixing Orthopaedics, to regain momentum across hip and knee implants, robotics and trauma, and win share with our differentiated technology; – Improving productivity, to support trading profit margin expansion; and – Further accelerating growth in our already well-performing Advanced Wound Management and Sports Medicine & ENT business units. Overall progress against milestones Much of the 12-Point Plan is complete, and we have addressed the structural weaknesses that were holding back the Group. There is much more to be done to drive productivity and asset efficiency to their full potential, with significant additional benefit expected to follow in 2025 and beyond. More details regarding our progress can be found in the Chief Executive Officer’s review on pages 10–13. »See pages 10–13 for more on our 12-Point Plan 0.0 10.3 2022 4.7 2024 5.3 2023 7.2 2022 17.3 2024 18.1 2023 17.5 2022 6.6 2024 7.4 2023 5.9 0.0 14.3 2022 0.1 2024 4.7 2023 6.4 2022 8.6 2024 11.3 2023 7.7 2022 37.5 2024 37.5 2023 37.5 12-Point Plan 18 Smith+Nephew Annual Report 2024 03_SN_AR24_MktPlace_BusModel_KPIs_v102.indd 18 28/02/2025 23:16

Non-financial Key Performance Indicators Long-term sustainability targets These KPIs allow management and investors to measure progress against our long-term sustainability targets in the three focus areas of People, Planet and Products. Achieve net zero Achieve net zero Scope 1 and Scope 2 greenhouse gases (GHGs) by 2040 and Scope 3 GHGs by 2045, beginning by achieving a 70% reduction in Scope 1 and Scope 2 GHGs by 2025. Scope 1 and 2 (market-based) 63% Reduction since 2019. Less waste to landfill 95% Total manufacturing waste diverted from landfill. Product donations 380,000+ Patients supported through product donations Please refer to page 76 for our emissions reporting methodology, materiality and scope. Employee engagement The Gallup Global Engagement Survey allows management and investors to assess how engaged our employees are, which is a key driver of business performance. We adopt the industry-standard OSHA system to record incidents of occupational injury and ill health. Performance is expressed as the number of incidents per 200,000 hours worked. Medical education This KPI helps investors understand how we support the safe and effective use of our products through the provision of medical education. »See pages 32–33 106,734 Practitioner training sessions Quality and safety This KPI allows management and investors to verify that we are operating a safe working environment to high standards. Headline safety rate 16 New products This KPI helps us track the number of new products either launched or ready for launch to drive future revenue growth. There were 16 new products in 2024. 1 Acquisition This KPI tracks acquisitions that enhance our portfolio and pipeline, including technology that can change the standard of care and assets in high-growth categories. In January 2024 we completed the acquisition of CartiHeal, the developer of CARTIHEAL◊ AGILI-C◊ , a novel Sports Medicine technology for cartilage regeneration in the knee. Smith+Nephew paid $180 million on completion, with up to a further $150 million contingent on future financial performance. In 2024, approximately 60% of revenue growth came from products launched in the last five years. Investment in innovation This KPI allows management and investors to understand how much is being invested in new innovative products designed to drive future revenue growth and profit. 4.24 Engagement Further improvement in our Grand Mean score to 4.24 (2023: 4.20) positioned us in the top quartile of the Gallup database. 92% of employees participated in the survey. »See pages 58–63 $289m R&D investment »See page 45 »See page 30 2022 0.22 2024 0.12 2023 0.15 2022 345 2024 289 2023 339 »See pages 64–77 for details of how we are meeting our sustainability commitments Smith+Nephew Annual Report 2024 19 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 03_SN_AR24_MktPlace_BusModel_KPIs_v102.indd 19 28/02/2025 23:16

Improving performance and shareholder returns Financial review Driving the top and bottom line As Deepak described earlier in this report, Smith+Nephew finished the year strongly and delivered solid financial results across our key performance metrics. In 2022, we set a goal of transforming Smith+Nephew into a higher growth Company. As 2023 ended, we were proud to report that we delivered higher underlying revenue1 growth. One year later, we have delivered another year of strong underlying revenue1 growth despite the headwinds we have seen in China, demonstrating a clear trend of delivering sustainable higher growth. Revenue grew by 4.7% to $5,810 million in 2024 (2023: $5,549 million) on a reported basis and 5.3% on an underlying basis1 excluding a -60bps headwind from foreign exchange, exceeding our revised Q3 revenue guidance of around 4.5% due to an acceleration in growth towards the end of the year. Operating profit growth was 54.6% to $657 million as a result of improvements described below and lower non-trading1 costs. We also continued to deliver trading profit1 margin expansion, up 60 basis points to 18.1%, which is slightly above our revised Q3 guidance, and trading profit1 growth of 8.2% to $1,049 million. We absorbed headwinds of around -230bps from a combination of input cost inflation and merit increases, China VBP pricing and transactional foreign exchange. Due to our actions under the 12-Point Plan, these were more than offset by approximately 130 basis points of revenue leverage from price and volume, and around 160 basis points of productivity improvements. Productivity improvements have been driven by a meaningful reduction in excess capacity in our network, improved product availability and inventory utilisation, and a near 9% reduction in the workforce since the start of the 12-Point Plan. More than 1,000 of these role reductions were in 2024, with the majority taking place in the final quarter of the year. Strong cash flow Cash generation improved significantly in 2024 due to strong working capital management and reduced restructuring costs. As a result, cash generated from operations improved by more than $400 million. I am a strong believer that free cash flow1 is a key indicator of an organisation’s fundamental health, and I was pleased that we made good progress here in 2024 with free cash flow1 of $551 million (2023: $129 million), and expect further improvement in 2025. As a result of our enhanced cash generation, we have been able to reduce the gearing in our balance sheet and have achieved a better than target leverage ratio. Dear Fellow Shareholder, I am delighted to address you for the first time in the Annual Report as your Chief Financial Officer. Under Deepak’s leadership, Smith+Nephew is going through a multi-year transformation to strengthen the foundations underpinning our business and I am excited to be a part of this journey and play a meaningful role in transforming Smith+Nephew to deliver greater returns over the long-term. 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. 20 Smith+Nephew Annual Report 2024 04_SN_AR24_Financial_Review_v167.indd 20 28/02/2025 21:40

Relentless focus on efficiency We continue to seek opportunities to make our business more efficient. Building on the existing work of the 12-Point Plan, we identified further saving opportunities by applying a zero-based budgeting approach in 2024. As a result, we expect to drive cost savings higher than we initially planned and for longer. Total gross savings are now in the range $325 to $375 million, including the original $200 million announced as part of the 12-Point Plan, and further savings newly identified in this additional review. This will help us get to the 2025 trading profit margin1 guidance, and continues to accumulate through 2026 and 2027. Comprehensive and detailed plans are in place for over 40 initiatives across five work-streams, with specific target savings and timings for each initiative. The largest part will be from manufacturing and procurement, but there are savings across all parts of our business. Much of the work was completed in the second half of 2024, including headcount reductions of more than 500 roles. This important extension of what we can deliver from the 12-Point Plan demonstrates the shift in the way Smith+Nephew is starting to operate, constantly seeking to drive top line growth while also becoming ever more efficient. Improving inventory management During 2024, we made significant progress in improving product availability and inventory utilisation and reached industry standards by improving our production mix and usage of field inventory. We also reduced the cycle time of our Sales, Inventory & Operations Planning (SIOP) process which resulted in improved commercial execution. These improvements continue to translate into further underlying growth1 and trading margin1 improvement. Elevating performance We have made solid progress in implementing the 12-Point Plan which translated into improved financial performance in 2024, with more benefits expected to come through in 2025 and beyond. In terms of outlook, for revenue, we expect to deliver underlying1 revenue growth of around 5.0%, which equates to reported growth of around 4.8% based on exchange rates prevailing on 19 February 2025. We expect to deliver a trading profit margin1 of 19.0% to 20.0%. This step up will be driven by operating leverage, cost reductions and the benefits of our network optimisation programme. See my Financial Commentary below for important disclosures on the drivers and phasing for the 2025 revenue growth, trading profit margin1 and our tax guidance. In conclusion, we are pleased that the operational and commercial actions, combined with our sustained high cadence of innovation, are producing consistently higher growth than in the past, and that margin expansion is beginning to follow driven by operating leverage and productivity improvements. Importantly, better working capital discipline and asset utilisation means that our profitability is also coming with higher cash generation. As Deepak has stated, we are very clear that there is still much more to be done, and more benefits are expected to follow, and we are focused on driving greater shareholder value while continuing to deliver Life Unlimited to patients across the globe. Yours sincerely, John Rogers, Chief Financial Officer Improving inventory has been a priority under the 12-Point Plan and in 2024 we reduced both overall inventory days and the absolute dollar value of inventory. Pleasingly inventory days came down across all three business units. There was still an overall increase in launched products and as a result inventory mix improved, with units of the slowest turning quartile of SKUs down by 17% during the year. We remain highly focused on longer-term improvement, which will be driven by ongoing better alignment of production plans with commercial needs at the SKU level, enabled by the improved SIOP process under the 12-Point Plan. Inventory reduction remains a focus, and we expect further progress in 2025. Driving innovation across the business More than 60% of our 2024 revenue growth came from products launched in the last five years. Smith+Nephew’s long history of delivering innovation that changes clinical practice and improves patient outcomes is impressive. As CFO, I am a strong advocate of driving the innovation mindset across the whole business, including adopting new technologies such as AI to improve our processes and drive greater efficiency. You can read more about our strong innovation track record and our AI agenda on pages 31. Improving accountability and returns Return on Invested Capital (ROIC) improved at the Group level as well as within the business units in 2024, reflecting the progress made under the 12-Point Plan. Earlier in the year we allocated the directly attributable central costs to the business units, with the objective of driving greater business unit accountability. We expect this accountability, alongside increased trading margin1, lower non-trading costs1 and improved capital intensity to drive further improvement in ROIC in 2025 and beyond. 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. Smith+Nephew Annual Report 2024 21 04_SN_AR24_Financial_Review_v167.indd 21 28/02/2025 21:40

Delivering higher revenue growth Revenue grew by 4.7% to $5,810 million in 2024 (2023: $5,549 million) on a reported basis and 5.3% on an underlying basis1 excluding a -60bps headwind from foreign exchange, exceeding our revenue guidance of around 4.5% due to an acceleration in growth towards the end of the year. Revenue growth was driven by most segments and markets. We have made good progress in improving the commercial execution in Orthopaedics resulting in an acceleration in revenue growth towards the end of 2024. Orthopaedics revenue grew by 4.1% on a reported basis (and 4.6% on an underlying basis1 ) driven by strong performance in Other Established Markets2 as well as significant improvement in the US as the year progressed, partially offset by headwinds in China due to lower end-customer demand. We continue to hold a leadership position in Sports Medicine & ENT and delivered reported revenue growth of 5.5% (6.2% underlying1 ), despite the China VBP headwinds, due to strong performance across all categories. Advanced Wound Management delivered reported revenue growth of 4.7% (5.1% underlying1 ) and maintained positive momentum in 2024 with growth accelerating towards the end of the year. We exited the year in a strong position with all three global business units contributing with accelerating revenue growth in the fourth quarter over the first nine months. The 2024 performance built on the good growth delivered in 2023. In 2023, revenue was $5,549 million (2022: $5,215 million), an increase of 6.4% on a reported basis and 7.2% on an underlying basis1 excluding a -80bps headwind from foreign exchange. This revenue growth was due to strong performance across all global business units. Group performance 2024 2023 2022 Change 2024 Change 2023 $m $m $m $m $m Revenue 5,810 5,549 5,215 261 334 Gross Profit 4,046 3,819 3,675 227 144 Operating profit 657 425 450 232 (25) Trading profit1 1,049 970 901 79 69 Profit before tax 498 290 235 208 55 Attributable profit 412 263 223 149 40 EPS 47.2¢ 30.2¢ 25.5¢ 17.0¢ 4.7¢ EPSA1 84.3¢ 82.8¢ 81.8¢ 1.5¢ 1.0¢ Non-IFRS measures The underlying increase in revenue by market reconciles to reported growth, the most directly comparable financial measure calculated in accordance with International Financial Reporting Standards (IFRS), as follows: Reconciling items 2024 2024 2023 Reported growth Underlying growth Acquisition/ Disposals Currency impact $m $m % % % % US 3,123 2,979 4.8 4.8 – – Other Established Markets2 1,707 1,611 6.0 6.7 – (0.7) Total Established Markets 4,830 4,590 5.2 5.5 – (0.3) Emerging Markets 980 959 2.2 4.3 – (2.1) Total 5,810 5,549 4.7 5.3 – (0.6) Reconciling items 2023 2022 Reported growth Underlying growth Acquisition/ Disposals Currency impact $m $m % % % % US 2,979 2,764 7.8 7.8 – – Other Established Markets2 1,611 1,504 7.1 7.3 – (0.2) Total Established Markets 4,590 4,268 7.5 7.6 – (0.1) Emerging Markets 959 947 1.3 5.1 – (3.8) Total 5,549 5,215 6.4 7.2 – (0.8) Trading profit reconciles to operating profit, the most directly comparable financial measure calculated in accordance with IFRS, as follows: 2024 2024 2023 2023 2022 2022 $m % $m % $m % Operating profit 657 11.3 425 7.7 450 8.6 Aquisition and disposal related items 94 1.6 60 1.1 4 0.1 Restructuring and rationalisation costs 123 2.1 220 4.0 167 3.2 Amortisation and impairment of acquisition intangibles 187 3.2 207 3.7 205 4.0 Legal and other (12) (0.2) 58 1.0 75 1.4 Trading profit 1,049 18.1 970 17.5 901 17.3 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. 2 Other Established Markets are Europe, Japan, Australia, Canada and New Zealand. Chief Financial Officer financial commentary Financial review continued 22 Smith+Nephew Annual Report 2024 04_SN_AR24_Financial_Review_v167.indd 22 28/02/2025 21:40

Orthopaedics revenue grew by 4.8% on a reported basis (and 5.7% on an underlying basis1 ) mainly driven by improved commercial execution outside the US despite China VBP headwinds. Sports Medicine & ENT revenue grew by 8.8% on a reported basis (10.0% on an underlying basis1 ) driven by a significant increase in ENT revenue as a result of the backlog in the elective procedures market and the impact of the Covid pandemic subsided and good growth in Sports Medicine revenue. Advanced Wound Management revenue grew by 6.2% on a reported basis (7.2% on an underlying basis1 ) as a result of growth across all categories. Improved profitability The gross profit was $4,046 million in 2024 (2023: $3,819 million, 2022: $3,675 million) with gross profit margin of 69.6% (2023: 68.8%, 2022: 70.5%). We continue to maintain strong gross profit margins whilst delivering revenue growth which is resulting in operating efficiencies despite the continued inflationary pressures. The reported operating profit for 2024 was $657 million, a 55% increase from the previous year primarily due to operating leverage and productivity savings across the Group. In addition, research and development expenses decreased by $50 million mainly due to a $20 million reduction in legal and other items and $18m reduction in restructuring and rationalisation incurred in 2023, partially offset by a $58 million, or 2.6% increase, in marketing, selling and distribution expenses as a result of revenue growth. The increase in reported operating profit was also driven by lower non-trading costs1. Costs associated with restructuring and rationalisation and legal and other costs decreased by $97 million and $70 million respectively as a larger proportion of strategic actions under the 12-Point Plan were implemented in 2023. 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. 2 Other Established Markets are Europe, Japan, Australia, Canada and New Zealand. Higher costs were incurred in 2023 in relation to implementing the requirements of the EU Medical Device Regulation and higher charges were incurred in 2023 in relation to ongoing metal-on-metal hip claims. These decreases were partially offset by $34 million increase in costs relating to acquisition and disposal related items in 2024 due to the Group’s decision to continue to optimise its product portfolio. The reported operating profit in 2023 was $425 million, a 6% reduction from 2022 as the costs associated with restructuring and rationalisation and acquisitions and disposals both rose. The restructuring and rationalisation costs increased by $53 million and mainly related to the implementation of the Operations and Commercial Excellence programme and productivity elements of the 12-Point Plan. Acquisition and disposal related costs increased by $56 million and mainly related to the impairment of Engage goodwill. Additionally, marketing, selling and distribution expenses increased by $152 million or 7.4% in line with higher revenue growth. These cost increases were largely offset by operating leverage as a result of higher revenue growth. Smith+Nephew Annual Report 2024 23 04_SN_AR24_Financial_Review_v167.indd 23 28/02/2025 21:40

Trading profit margin expansion In 2024, trading profit1 was $1,049 million (2023: $970 million, 2022: $901 million), with trading profit margin1 of 18.1% (2023: 17.5%, 2022: 17.3%). We continue to deliver year-on-year expansion in our trading profit margin1 reflecting operating leverage, continued benefits from the 12-Point Plan and productivity savings across the Group. In 2024, the reported profit before tax was $498 million (2023: $290 million, 2022: $235 million). The reported profit before tax grew in 2024 mainly due to improvement in operating profit. In 2023, reported profit before tax grew as an impairment loss of $109 million in our investment in associate, Bioventus, was recorded in 2022. The reported taxation charge in 2024 was $86 million (2023: $27 million, 2022: $12 million). The increase in the reported tax charge can principally be attributed to the increases in profit before tax since 2022 and the jurisdictional profit mix. In 2021, we announced a target to achieve trading profit margin1 of at least 21% by 2024. Subsequent to this announcement, a number of headwinds evolved that could not have been anticipated which had impacted our performance. In particular, the economic environment had been more challenging than we expected as a result of higher inflation and global supply chain disruptions. Additionally, the unwind of our excess inventory was slower than expected. These factors resulted in a trading profit1 margin of 18.1% i.e. 290bps lower relative to the initial target we announced when we first issued the 2024 trading profit1 margin guidance back in 2021. Earnings per share In 2024, Basic earnings per share (EPS) were up 56.3% to 47.2¢ and adjusted earnings per share1 (EPSA) were up 1.7% to 84.3¢, reflecting improved trading performance. In 2023, EPS were up 18.2% to 30.2¢ and EPSA1 were up 1.3% to 82.8¢, reflecting improved trading performance. Taxation The Group is subject to various taxes in the many countries in which it operates. Paying tax is an integral part of our commitment to the societies in which we operate and a critical element of our commitment to grow in a sustainable, responsible and transparent way. The Group makes a significant economic contribution to the countries where it operates through taxation, either borne or collected on behalf of and paid to the relevant tax authorities, and through employment of personnel, developing workforce skills, purchasing goods and services from local suppliers and making capital investments. We aim to submit accurate tax returns to the relevant tax authorities on a timely basis, and seek to pay the right amount of tax in accordance with the tax laws in all the territories in which we operate. We manage tax risks and tax costs in a manner consistent with regulatory requirements and shareholders’ best long-term interests, after taking into account reputational and economic factors as well as the interests of our other stakeholders, including governments, our people, customers and suppliers. We are committed to transparent relationships with all relevant tax authorities. Our tax footprint extends beyond corporate income tax, including significant payments of employer social security contributions. The Group also collects taxes on behalf of governments (including employee income taxes and social security contributions, VAT and other sales taxes). During 2024, we made global tax payments of $888 million (2023: $833 million, 2022: $818 million). This comprises $324 million of taxes borne by Smith+Nephew and $564 million of payroll and indirect taxes collected. 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. Chief Financial Officer financial commentary continued Financial review continued 24 Smith+Nephew Annual Report 2024 04_SN_AR24_Financial_Review_v167.indd 24 28/02/2025 21:40

Trade receivables remained flat year-on-year as a result of the Order to Cash initiatives to improve collection as part of the 12-Point Plan. These increases were offset by a $8 million decrease in inventories which represents a significant improvement compared to 2023’s $190 million inventory increase, due to improved demand forecasting, supply planning and efficiencies as a result of the 12-Point Plan. Whilst the trend in inventory reduction is promising, the year-end position was higher than our original expectations. Inventory reduction continues to be a focus area with more work to be done. Non-current liabilities increased by $1,059 million primarily due to two Corporate Bonds issued by the Group in 2024 of $350 million and $650 million bearing an interest rate of 5.15% and 5.4% repayable in 2027 and 2034 respectively. Current liabilities decreased by $740 million primarily due to settlement of Private Placement Debt of $405 million and repayment of the Revolving Credit Facility (RCF) of $300 million. Balance sheet Overall goodwill and intangible assets decreased by $44 million or 1.1% in 2024. Goodwill increased by $34 million as a result of goodwill of $146 million arising from the acquisition of CartiHeal, which was partially offset by impairment of goodwill of $65 million primarily as a result of closure of the Warwick manufacturing site and foreign exchange movements of $47 million. Intangible assets decreased by $78 million mainly because of amortisation and impairment of $246 million being partially offset by acquisition intangibles from CartiHeal of $84 million and other additions of $87 million. Other non-current assets increased by $20 million mainly due to an increase of $76 million of deferred tax assets, partially offset by $48 million decrease in property, plant and equipment and $9 million decrease in investment in associates due to the Group’s share of the Bioventus loss. Current assets increased by $391 million mainly due to a $317 million increase in cash and cash equivalents driven by the increase in cash generated from operations. Additionally, trade and other receivables increased by $81 million in 2024 mainly due to an increase in prepayments and other receivables. Cash flow In 2024, cash generated from operations was $1,245 million after paying out $151 million of restructuring and rationalisation expenses, $36 million for legal and other items and $3 million of acquisition and disposal related items. Cash generated from operations improved by $416 million driven by a significant improvement in working capital compared to 2023. In 2024, restructuring costs totalled $123 million, including costs relating to efficiency and productivity initiatives under the 12-Point Plan. This was a significant reduction from 2023 when restructuring costs were $220 million. We expect restructuring costs to significantly decrease from 2025 onwards. This was a driver behind the step-up in free cash flow1 to $551 million in 2024 (2023: $129 million), and we expect to make further progress in 2025. In 2023, cash generated from operations was $829 million after paying out $124 million of restructuring and rationalisation expenses, $145 million for legal and other items and $16 million of acquisition and disposal related items. Cash generated from operations increased by $191 million driven by better working capital movements compared to 2022. Free cash flow1 increased to $129 million from $56 million in the prior year because of the increase in cash generated from operations partially offset by an increase in capital expenditure, interest paid and income taxes paid. 2024 2023 2022 Change 2024 Change 2023 $m $m $m $m $m Cash generated from operations 1,245 829 581 416 248 Free cash flow1 551 129 56 422 73 2024 2023 Change $m $m $m Goodwill and intangible assets 4,058 4,102 (44) Other non-current assets 1,875 1,855 20 Current assets 4,421 4,030 391 Total assets 10,354 9,987 367 Total equity 5,265 5,217 48 Non-current liabilities 3,558 2,499 1,059 Current liabilities 1,531 2,271 (740) Total liabilities 5,089 4,770 319 Total liabilities and equity 10,354 9,987 367 Net debt2 2,709 2,776 (67) 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. 2 Net debt including lease liabilities is reconciled in Note 15 to the Group accounts. Smith+Nephew Annual Report 2024 25 04_SN_AR24_Financial_Review_v167.indd 25 28/02/2025 21:40

Liquidity and capital resources At 31 December 2024, the Group had access to $617 million (2023: $300 million) in cash net of bank overdrafts. The Group’s debt facilities comprise: – USD $1,000 million corporate bond; – USD $650 million corporate bond; – EUR €500 million corporate bond; – USD $350 million corporate bond; – $1,000 million RCF; and – $625 million private placement debt. The Group had committed available facilities of $4,145 million at 31 December 2024 of which $3,145 million was drawn. The Group’s net debt2, excluding lease liabilities, decreased from $2,577 million at the beginning of 2024 to $2,513 million at the end of 2024, representing an overall decrease of $64 million mainly as a result of a $416 million increase in cash generated from operations partly offset by dividend payments of $327 million. In 2024, the Group issued two Corporate Bonds of $350 million and $650 million bearing an interest rate of 5.15% and 5.4%, repayable in 2027 and 2034 respectively. The Group settled Private Placement Debt of $405 million and repaid RCF of $300 million in 2024. Adjusted leverage ratio1 for 2024 was 1.9x, better than our revised target adjusted leverage ratio of 2x and the 2.1x for 2023, mainly driven by improved profitability. The leverage ratio using the closest equivalent IFRS measures for 2024 was 8.1x (2023: 11.7x). The leverage ratio using closest equivalent IFRS measures is not based on measures used in the calculation of debt covenants and is not used by management internally. Return on Invested Capital Return On Invested Capital (ROIC) is a measure of the return generated on capital invested by the Group. It encourages compounding reinvestment within the business and discipline around acquisitions. Adjusted ROIC1 increased from 5.9% in 2023 to 7.4% in 2024 reflecting the progress made under the 12-Point Plan. ROIC based on the closest equivalent IFRS measures was 4.9% for 2024 (2023: 3.2%). Going concern The Directors have considered various scenarios in assessing the future financial performance and cash flows. Throughout these scenarios, which include a severe but plausible outcome, the Group continues to have headroom on its borrowing facilities and financial covenants. The Directors have a reasonable expectation that the Company and the Group are well placed to manage their business risks and to continue in operational existence for a period of at least 12 months from the date of approval of the financial statements. Accordingly, the Directors continue to adopt the going concern basis in preparing the consolidated financial statements. Capital allocation framework The appropriate use of capital on behalf of shareholders is important to Smith+Nephew. In July 2024, we announced an updated capital allocation framework to prioritise the use of cash and inform our investment decisions as follows: – Invest in the business to drive organic growth and meet our sustainability targets. – Invest in acquisitions, targeting new technologies in high growth segments with a strong strategic fit that meets our financial criteria. – Maintain an optimal balance sheet and appropriate dividend. – Return surplus capital to shareholders. Available debt facilities by maturity date ($m) 2027 490 140 0 75 2025 2026 0 75 350 2028 60 60 2029 1,620 100 2030 1,095 1,000 95 2032 155 520 2034 650 155 1,000 650 EUR Bond USD Bond RCF Undrawn Private placements Maturity by date 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. 2 Net debt including lease liabilities is reconciled in Note 15 to the Group accounts. Chief Financial Officer financial commentary continued Financial review continued 26 Smith+Nephew Annual Report 2024 04_SN_AR24_Financial_Review_v167.indd 26 28/02/2025 21:40

Our first priority remains investing in the business to drive organic growth and meet our sustainability targets. We have increased visibility and focus on improving our Return on Invested Capital (ROIC) at the business unit level through allocation of central costs and our drive to improve working capital. We will continue to prioritise capital investment in those areas where we expect to see the highest incremental returns. The second priority is also unchanged, and is to invest in acquisitions, targeting new technologies in high growth segments with a strong strategic fit that meet our financial criteria. On 9 January 2024, we completed the acquisition of CartiHeal (2009) Ltd (CartiHeal), the developer of CARTIHEAL◊ AGILI-C◊ that is a novel sports medicine technology for cartilage regeneration in the knee. Upon completion on 9 January 2024, the Group paid $180 million in cash with up to a further $150 million contingent on future financial performance. The third priority is to maintain an optimal balance sheet and appropriate dividend. Here we will continue to target investment grade credit ratings. The adjusted leverage ratio1 is calculated using metrics similar to those used in the debt covenant calculation. The 2023 final dividend of 23.1¢ (2022: 23.1¢) per ordinary share, totalling $202 million (2022: $201 million), was paid on 22 May 2024 (2022: 17 May 2023). The 2024 interim dividend of 14.4¢ (2023: 14.4¢) per ordinary share, totalling $125 million (2023: $126 million), was paid on 4 November 2024 (2023: 1 November 2023). Our final priority remains to return any surplus capital to shareholders, via a share buyback subject to the above balance sheet metrics. For 2025, we are targeting another year of revenue growth above historical levels and a significant step-up in trading profit margin1. For revenue, we expect to deliver underlying1 revenue growth of around 5.0%. Within this, we expect ongoing improvement from US Reconstruction and continued strong growth from Sports Medicine outside of China, ENT and Advanced Wound Management offset by the impact of the anticipated China VBP extension into Arthroscopic Enabling Technologies (estimated $25 million revenue headwind in 2025). There will be one fewer trading day in 2025 than in 2024. The guidance equates to reported growth of around 4.8% based on exchange rates prevailing on 19 February 2025. In terms of phasing, we expect the headwinds from China to continue in Reconstruction for the first quarter, and in Sports Medicine Joint Repair into the second quarter as we lap VBP implementation. We expect that some of the strong finish to 2024, particularly in US Sports Medicine and Advanced Wound Biactives, will normalise in the first quarter. In addition, we have one fewer trading day in each of the first and second quarters versus 2024, then one extra day in the fourth quarter. As a result of these factors, we expect first quarter underlying1 revenue growth to be in the range of 1% to 2% and then be higher across the remainder of the year. We expect to deliver a trading profit margin1 of 19.0% to 20.0%. This significant step-up will be driven by operating leverage, cost reductions and the benefits of our network optimisation programme. These benefits are expected to more than offset headwinds from China and cost inflation. We expect trading profit1 margin to be stronger in the second half than the first as the impact of China headwinds reduce and operational savings are delivered. We expect restructuring costs of around $45 million in 2025. The tax rate on trading1 results for 2025 is forecast to be in the range of 19.0% to 20.0%, subject to any material changes to tax law or other one-off items. 2025 Outlook 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. Smith+Nephew Annual Report 2024 27 04_SN_AR24_Financial_Review_v167.indd 27 28/02/2025 21:40

01 Working to improve the quality of healthcare through our investment in new technologies and services, industry-leading medical education and clinical evidence programmes, and efficient and resilient manufacturing and distribution. Life Unlimited Elevating the standard of care Together we are 28 Smith+Nephew Annual Report 2024 05_SN_AR24_Elevating_v126.indd 28 28/02/2025 21:41

Delivering leadership through innovation Smith+Nephew’s innovation pipeline is a significant contributor to our transformation to being a higher-growth business. In 2024, approximately 60% of revenue growth came from products launched in the last five years. We maintained our recent high cadence of launches, with 16 new products in 2024, bringing our total of new products to around 50 over the last three years. Many of these growth platforms are driving growth today and have multi-year runways still ahead of them as we expand indication and applications and launch in new markets. Since our founding in 1856, Smith+Nephew has had a rich history of transformative innovation. Recently, we have supported advances in clinical practices and fulfilled our mission of delivering a “Life Unlimited” to millions of patients. In Orthopaedics, products such as our kinematic knee, JOURNEY◊II, have brought more natural motion to joint replacement. In Sports Medicine our products have been instrumental in enabling arthroscopic repair where open surgery was previously the standard of care. Research & Development And in wound care, Smith+Nephew’s PICO◊ single-use Negative Pressure Wound Management System (sNPWT) has revolutionised the availability of this important treatment option. Addressing unmet clinical needs Despite advancements in procedures and technology, significant unmet clinical needs remain. Patients seek better clinical outcomes and satisfaction with reduced complications, while healthcare systems face challenges with treatment costs and unaddressed problems. For example, 80% of knee replacement recipients report that their new knee feels “artificial1 ”.In Sports Medicine, the re-tear rate for large full-thickness rotator cuff repairs (RCRs) can be up to 50%2. In ENT, nearly one in 16 children who undergo total tonsillectomies experience post-operative haemorrhages3, and in wound care, surgical site infection treatments cost the US healthcare system more than $3 billion annually4. These challenges inspire us to invest in the next generation of products and services that will enhance clinical practice and improve patient and payer outcomes. We are shaping an innovation environment driven by four key trends: 1 Robotics and digital systems: Enabling unprecedented accuracy and personalisation in procedures. 2 Biologics technology: Rapidly evolving to offer diverse treatment options, including full tissue and function restoration. 3 Procedural innovation: Emphasising less invasive, tissue-sparing methods to enhance recovery times. 4 Value-focused healthcare costs: Prioritising compelling value and health economic benefits. Inspiration for new products arises from observing our customers, collaborating with healthcare professionals during design and development, acquiring technologies that require further refinement and commercialisation, and partnering with co-development teams. Our product development follows a rigorous phase-gate process, starting with business case evaluation and culminating in launch readiness, all while integrating sustainability principles into our design and packaging. Smith+Nephew’s R&D team concentrates on growth segments where we can leverage our expertise to deliver innovative solutions that meet unmet clinical needs.” Vasant Padmanabhan President of Research & Development and ENT Invested in R&D in 2024 $289m New products in 2024 16 » For a full list of references see pages 285–288 Smith+Nephew Annual Report 2024 29 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 05_SN_AR24_Elevating_v126.indd 29 28/02/2025 21:41

We moved to full commercial launch of the AETOS◊ Shoulder System in the US, and announced 510(k) clearance for its use with ATLASPLAN◊ 3D Planning Software and Patient Specific Instrumentation for total shoulder arthroplasty. AETOS◊ will enable us to compete effectively in total shoulder arthroplasty, one of the fastest-growing segments in Orthopaedics, with an estimated 250,000 procedures in the US by 2025.5 We also introduced TOTAL ANKLE◊ Patient-Matched Guides to help surgeons plan and perform total ankle replacement procedures. Total ankle replacements are historically uncommon, but this is a high-growth market bolstered by the rising prevalence of osteoarthritis in adults and influenced by growing patient preference for joint preservation and restoration. For the CORI◊ Surgical System, we announced new CORIOGRAPH◊ Pre-Operative Planning and Modelling Services, making CORI◊ the only orthopaedic robotics-assisted system to offer either intra-operative image-free or image-based registration for knee implants, enabling the surgeon to choose whether or not to perform a pre-operative MRI scan. This is one of a number of distinct features for CORI◊ , including supporting revision knee procedures and offering both burr and saw cutting options. Sports Medicine In Sports Medicine, we completed the acquisition of CartiHeal, the developer of the CARTIHEAL AGILI-C◊ Cartilage Repair Implant, a novel Sports Medicine technology for cartilage regeneration in the knee. We have made good progress on market development activities in the first year of ownership, including clinical strategy and reimbursement milestones. We continued to invest behind in Arthroscopic Enabling Technology. During the second quarter, we introduced the INTELLIO◊ SHIFT System, which combines our leading COBLATION◊ and DYONICS◊ resection technologies into a single controller alongside a multifunctional foot pedal, simplifying the operating room experience for surgeons. We also launched an updated INTELLIO◊ cart, updated software for the INTELLIO◊ Tablet, which serves as both a control device and image storage for the INTELLIO◊ Tower, and introduced the EVO◊ 4K Image Management System. In ENT, we launched the ARIS◊ COBLATION◊ Turbinate Reduction Wand. This utilises our advanced COBLATION◊ Plasma Technology to provide a minimally invasive way to reduce hypertrophic turbinates, a condition that requires 350,000 procedures per annum in the US6. 16 new products in 2024 In 2024 we continued to expand our portfolio with major new platforms and product enhancements that address unmet clinical needs and support our higher-growth ambitions. Orthopaedics In Orthopaedics, new products included implant systems for hips and shoulder, and building out the capabilities of our CORI◊ Surgical System. We announced a major new hip system, the CATALYSTEM◊ Primary Hip System. CATALYSTEM◊ is designed to address the evolving demands of primary hip surgery, including the increased adoption of anterior approach procedures and the expanding role of Ambulatory Surgery Centers (ASCs). We introduced a new OXINIUM◊ option for our LEGION◊ Hinged Total Knee (HK) System, making this proprietary material with its leading wear and corrosion resistance technology available to hinged knee patients for the first time. Research & Development continued Elevating the standard of care continued Award-winning innovation RENASYS◊ EDGE In 2024 we celebrated RENASYS◊ EDGE NPWT System winning the Red Dot Best of the Best Award for Design Concept in the Medical Devices and Technology Category, recognising its intuitive pairing of NPWT housed in a patient-friendly design. The Red Dot Awards celebrate new innovations and groundbreaking designs, with recipients ranging from concepts and prototypes to full ready-for-market products. We were also proud that our CORI◊ Surgical System was nominated for the prestigious US Prix Galien Award that recognises products with the potential to shape the field of medical technology. » See pages 285–288 for references 30 Smith+Nephew Annual Report 2024 05_SN_AR24_Elevating_v126.indd 30 28/02/2025 21:41

Advanced Wound Management In Advanced Wound Management, we launched the RENASYS◊ EDGE NPWT System. This is designed to reduce inefficiency and complexity and features an improved user interface for enhanced intuitiveness and simplicity and a durable pump built to offer virtually maintenance-free use. The launch commenced in the US and expanded into Europe in the second half of 2024. We also continued our high cadence of incremental innovation in skin substitutes, with the launch of GRAFIX◊ PLUS in the second quarter, an easier-to-handle new version in our lead product family, targeting the growing post-acute market. Compelling evidence Clinical, scientific, and real-world evidence continues to play a critical role in our go-to-market strategy, with compelling and differentiating data supporting key brands in 2024. This included the first randomised controlled trial with the REGENETEN◊ Bioinductive Implant,7 market-leading 20-year survivorship data for OXINIUM◊ Technology with highly cross-linked polyethylene among all total hip replacement bearing combinations,8 and early impressive results for the OR3O◊ Dual Mobility Hip,9 LEGION CONCELOC◊ Cementless Knee10,11 and revision total knee arthroplasty using the CORI◊ Surgical System.12 In Advanced Wound Management we also published new data supporting the use of PICO◊ sNPWT to reduce surgical site infections13 and using ALLEVYN◊ LIFE Dressing in a pressure injury prevention protocol14. GRAPHIX◊ PLUS Launched in 2024 to target the fast-growing post-acute market. Bringing artificial intelligence to life Artificial Intelligence (AI) is increasingly important to Smith+Nephew’s strategy, supporting our growth ambitions through our innovation programmes and our drive to improve productivity. Strategic direction is set by our Executive Committee, supported by a newly established collaboration, governance and operating model. AI Champions across the business identify opportunities both within their areas and for potential application enterprise-wide, and drive implementation and adoption, supported by IT and Information Security teams. Our AI Working Group, comprising a cross-functional team including members from Commercial, R&D, Audit, Information Security, Privacy and Legal, oversees governance to ensure that reviews are undertaken to establish appropriate controls across the Group, both for AI projects and for AI-use by employees in their day-to-day work. For customer-facing delivery of products and services, we are strategically positioning AI to enhance personalisation, automation and overall care quality for patients, developing solutions to address unmet clinical needs and support operational efficiencies. Within our R&D team, we have established an AI Centre of Excellence which evaluates opportunities for both generative AI (GenAI) and machine learning to meet different needs: GenAI for personalisation and communication, and machine learning for predictive analytics and optimising workflows. Our CORI◊ Surgical System incorporates Personalised Planning powered by AI and RI.INSIGHTS◊ Data Visualization Platform, two solutions that transform data into contextual intelligence by enabling surgeons to see how pre-operative surgical plans and intra-operative decision making link to post-operative outcomes. Areas for further evaluation in 2025 include: Integrated business planning and forecast accuracy Enhance forecast accuracy by using AI to augment automation and further connect our commercial, financial and demand forecasts. Source to pay and contract adherence Utilise AI to interpret contracts and pricing and systematically review invoices to identify areas of improvement. Customer service and order management Utilise AI to analyse orders received via email or customer portals and automate entry into the enterprise resource planning (ERP) software system. Enhanced automation of non-financial reporting Use AI to collect, analyse and verify non-financial data, streamlining the reporting process to improve accuracy and consistency. Enterprise workflow enhancement Utilise AI natural language processing capabilities to reduce repeat advisory requests and manual processes for enquiries and approvals. RI.INSIGHTS Data Visualization Platform Smith+Nephew Annual Report 2024 31 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 05_SN_AR24_Elevating_v126.indd 31 28/02/2025 21:41

Striving to be a world leader in medical education At Smith+Nephew, we strive to be a world leader in medical education, helping to improve patient outcomes through interactive learning to support appropriate clinical decision making, and to build trust in the safe and effective use of Smith+Nephew technologies. Every year we provide tens of thousands of surgeons and nurses with opportunities to evaluate the latest clinical evidence and learn innovative surgical techniques and the effective use of our products through our Smith+Nephew Academy medical education programmes. We are committed to providing top-tier medical education that empowers healthcare providers with the latest advancements and best practices to improve patient care and clinical outcomes. Smith+Nephew Academy is at the forefront of innovation in education delivery. Our programmes blend hands-on experience with digital education through our AI-enabled Academy Online, surgical simulations, interactive eLearning, live surgery transmission, virtual reality (VR) and podcasts. We provide personalised curriculum and programming specifically designed to meet the needs of the accomplished physician, resident, fellow and allied health professional. In 2024 we have delivered a number of enhancements to the Smith+Nephew Academy aimed at supporting surgeons throughout their careers. For residents, doctors at the start of their career, we have developed a first-of-its-kind fully digital blended learning pathway providing online and simulation education. For fellows, doctors working to become experts in one or more of our areas of surgical sub-speciality, we are working to support academic centres through tailored programmes, including our first fellows programme for Sports Medicine in the Asia Pacific region. We are relentless in our pursuit of building and developing a community of learners and leaders dedicated to continuous improvement and excellence in medical education, embracing new technologies and innovation to provide an engaging blended learner journey fully focused on improving patients’ lives.” Cynthia Walker Senior Vice President Medical Education S+N Academy programmes run by Smith+Nephew in 2024 3,874 Healthcare professional training sessions in 2024 106,734 Through the Smith+Nephew Academy we are working to: – Drive awareness and adoption of new technologies to improve patients’ lives – Expand global reach to advance treatment – Inform healthcare providers of treatment options – Influence standard of care protocols – Deliver a superior customer experience. Our medical education programmes deliver globally consistent curriculums using interactive learning and on-site teaching at our seven Academy centres in the US, Singapore, Germany and the UK. Smith+Nephew Academy Elevating the standard of care continued 32 Smith+Nephew Annual Report 2024 05_SN_AR24_Elevating_v126.indd 32 28/02/2025 21:41

This on-demand tool is accessible anywhere, anytime, through Academy Online – an online accredited platform offering comprehensive educational materials, interactive courses, and valuable resources from world-class surgeons and thought leaders on robotics-assisted surgery. The virtual planning tool aims to shorten the learning curve, reproduce the same functionality found in surgery, and let learners refine skills and practise case planning without the pressure of live surgery. 700+ Modules available on Academy Online 20,840 Healthcare professionals trained on Academy Online in 2024 We also continue to innovate on our course content. In 2024 we delivered the first courses for the recently acquired CARTIHEAL◊ AGILI-C◊ Cartilage Repair Implant, bringing this exciting treatment option to more patients. In Italy, we worked in partnership with a training hospital to enhance skills in hip and knee arthroplasty, including robotics, for fourth- and fifth-year residents. We combined an online educational pathway for self-learning with simulation days for hands-on practice with virtual reality, and provided a feedback mechanism for the teaching team to monitor progress. In early 2025, as the first and only Official Sports Medicine Partner of the UFC, we ran our first Smith+Nephew UFC Combat Sports Medicine Course. Recognition and partnerships We are proud recipients of Royal College of Surgeons of England (RCSEng) Centre Accreditation, awarded to Smith+Nephew Academy. This is the highest level of accreditation given by the RCSEng. It is seen as a kite-mark of excellence and demonstrates external validation of the medical education training Smith+Nephew Academy provides. In 2024 we ran our first courses approved by ISAKOS, the International Society of Arthroscopy, Knee Surgery and Orthopaedic Sports Medicine, commencing with an expert panel for faculty members specialising in Shoulder Sports Medicine at Smith+Nephew Academy Singapore. In the US, select content is accredited by the California Board of Nursing, including multiple elearning modules and our podcast on Advanced Wound Management, now in its third season. Empowering surgeons with interactive training tools CORI◊ Virtual Planner The CORI◊ Virtual Planner provides an interactive, fully functional software tool for surgeons to become familiar with creating a surgical plan on the CORI◊ Surgical System. Smith+Nephew Annual Report 2024 33 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 05_SN_AR24_Elevating_v126.indd 33 28/02/2025 21:41

Transforming global operations to improve product availability and customer service Global Operations has been integral to the delivery of our 12-Point Plan, specifically our activities fixing Orthopaedics and improving productivity. Through implementation of the new S+N Operating System, we are improving product availability and customer service, optimising our material supply base, reducing manufacturing costs and aligning our manufacturing network to ensure supply. Product availability Smith+Nephew has made significant progress in achieving its service optimisation goals, improving product availability while also helping improve profit margin through better inventory utilisation and manufacturing outputs. Line Item Fill Rate (LIFR) is the percentage of order lines completely filled, out of the total number of order lines. The 12-Point Plan diagnostic had identified this as an area of weakness. In 2024, following improvements to our manufacturing production mix, Global Distribution Centres and Orthopaedics Services Centres performance, and better use of our field inventory and performance of our Orthopaedic Services Centres, we reached industry standards. Another area of improvement has been our Sales, Inventory & Operations Planning (SIOP) process. This is a dynamic process in which a company’s operating plan is updated on a regular basis. The plans take into account projections made by the sales and marketing departments, and the resources available from manufacturing, engineering, purchasing and finance, which are directed towards hitting the Company’s objectives. In 2024, we increased efficiency, accountability and stability, and reduced our SIOP cycle time which enabled more agile decision making and improved clarity within our sales, inventory, and operations planning efforts. Across Smith+Nephew, we actively reduced our Excess and Obsolete (E&O) inventory. E&O is a combination of excess stock, obsolete inventories, and shrink inventory (damaged, lost in transit, and so on). The focus is preventing E&O through maturing our SIOP process, which will improve forecasting and reduce bias during the supply planning process. We are also reviewing our Product Lifecycle Management (PLM) process, as well as New Product Introduction (NPI) planning. Our work improving inventory controls, supply planning and centralising consignment stock is instrumental in our E&O prevention efforts. Source materials Smith+Nephew has just over 1,000 direct suppliers across the globe. These suppliers provide products, raw materials and services needed to drive production of our end products. These suppliers’ performances directly impact our manufacturing schedule, with further implications for our commercial colleagues, customers and patients. In 2024 we made a number of improvements to our direct procurement process. We created a standard way of working for site buying activities across the Group, including formalising procedures, purchasing and controls of supplier lead times. We improved inventory/component stability due to a more cohesive buying process, increased our ability to measure supplier performance and enhanced supplier capacity analysis to help resolve potential long-term systemic supplier constraints. Like most global manufacturers, we measure ‘On Time In Full’ (OTIF) delivery with our supplier partners. We have developed a new supplier scorecard to enable us to better measure supplier performance, including OTIF fulfilment, so we can support inventory and raw material needs. This global, standardised scorecard will allow us to measure supplier metrics in terms of quality, cost, risk and delivery. We also developed an enhanced supplier development process that includes an assessment of risk, capacity, lead time, raw material constraints and other elements to support more predictable supply with fewer interruptions and help drive efficiency in the production process. Through developing and deploying the Smith+Nephew Operating System, we are taking a disciplined approach to the way we work founded in continuous improvement across Global Operations.” Paul Connolly President, Global Operations Manufacturing, Quality & Regulatory Affairs Elevating the standard of care continued 34 Smith+Nephew Annual Report 2024 05_SN_AR24_Elevating_v126.indd 34 28/02/2025 21:41

Warehousing and distribution Currently, Smith+Nephew has a warehousing and distribution network that spans across more than 100 global locations. We are working to create efficiencies and processes across our network that will achieve a cost to serve comparable with industry best practices and help offset headwinds such as freight cost increases, inflation and the rising costs of outsourced warehousing. Actions include improving spend management by re-negotiating our rates and leveraging our best carrier capabilities, optimising our network using consolidation at our distribution centres to reduce transportation spend, identifying routes that can be switched from air to ocean to benefit from the improved market price and analysing our current last-mile distribution market dynamic to minimise inefficiencies. Quality & Regulatory Affairs Our Quality & Regulatory Affairs function supports full product life cycle management of our global product portfolio, from design and development through manufacturing and post-market surveillance. It establishes appropriate processes and procedures to facilitate compliance with complex global regulations and laws that govern the design, development, approval, manufacture, labelling, marketing and sale of healthcare products. Throughout the year, our sites hosted 56 Health Authority Audits and Inspections, resulting in no significant inspection findings or regulatory actions. Optimising our network We are continuing execution of our network optimisation strategy, focusing on our core manufacturing capabilities, aligning capacity with customer requirements and leveraging our new high-technology Orthopaedics facility in Malaysia. We have closed Orthopaedics facilities in Lyon (France) and Beijing (China), and announced the exit of facilities in Warwick (UK) and Tuttlingen (Germany). We confirmed plans for a major upgrade to our Advanced Wound Management manufacturing capacity. Building on our long heritage in Hull (UK), we announced updated plans for a new facility in nearby Melton, focused on manufacturing intermediates, the key components of wound care products. This major investment will start operations in 2027 and will significantly contribute to our sustainability goals. Our new S+N Operating System has established standard systems, processes and programmes to deliver improved manufacturing and quality throughout our global network. The application of LEAN principles has improved the capability of our equipment and processes, while providing greater agility and responsiveness to meet demand requirements. The ongoing deployment of digital has allowed real-time performance reporting and is improving material flow, reducing scrap and driving cost efficiency. We are also upgrading our Enterprise Resource Planning (ERP) software system that will standardise our business process and enhance our end-to-end connectivity. The Quality & Regulatory Affairs teams directly support expansion of our global portfolio through the registration of new products and existing products in new markets. The European Union Medical Device Regulation (EU MDR) is a significant regulatory change whereby medical devices carrying a CE mark, confirming conformity with relevant requirements, now face greater scrutiny than ever before to ensure they are effective and safe. We have made good progress with our respective submissions and have officially closed our internal project with all files submitted to the notified bodies, and 95% of respective product lines have received EU MDR certification. The Regulation allows devices certified under previous legislation (Medical Device Directive) to continue to be placed on the market in Europe until 31 December 2027 or 31 December 2028, dependent on risk classification. We closely monitor proposed changes in the regulatory landscape, including, in the EU, the world’s first comprehensive AI law, with compliance for certain AI devices (software or integrated software) required by August 2027. Other significant regulatory landscape changes include changes in UK medical device legislation and UKCA (UK Conformity Assessed) marking. These changes allow CE-marked devices to be placed on the market in Great Britain until June 2030. Additionally, we are closely monitoring international regulatory trends that include an increased focus on cybersecurity in medical technology. Smith+Nephew participates in industry-wide partnerships that address supply chain risk evaluation and mitigation, including MedTech Europe, AdvaMed and regional industry trade associations in geographies where we have a market presence. We follow responsible codes of conduct for sales interactions, including the AdvaMed Code of Ethics on Interactions with Healthcare Professionals in the US and the MedTech Europe Code of Ethical Business Practice. We continue to seek ways to drive efficiencies, and in recent years have moved some work to offshore teams, improving our cost base whilst maintaining an excellent compliance record. Smith+Nephew Annual Report 2024 35 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 05_SN_AR24_Elevating_v126.indd 35 28/02/2025 21:41

02Putting our customers first Our customers are healthcare professionals. They range from orthopaedic surgeons to wound care nurses, general practitioners and other clinicians, but increasingly also economic stakeholders such as purchasing professionals in hospitals and healthcare insurers. Life Unlimited Together we are 36 Smith+Nephew Annual Report 2024 06_SN_AR24_Putting_Orthopaedics_v139.indd 36 28/02/2025 21:42

Smith+Nephew serves its customers through three global business units: Orthopaedics, Sports Medicine & ENT, and Advanced Wound Management. Through this model we ensure that we have subject and market experts leading specialist teams dedicated to serving the specific requirements of our customers. Our business units are responsible for their commercial strategy, determining which products we take to market. They work closely with R&D to ensure that we are developing products that address unmet needs, and with Global Operations to ensure we have appropriate product availability to meet customer needs. We are dedicated to serving the specific requirements of our customers Our sales force Our sales representatives support our customers through their technical knowledge. Depending on their area of specialism, representatives in our surgical businesses not only know the products that they sell and the surgical instruments used to implant them, but are also expected to have an understanding of the various surgical techniques a customer might use. Once a sales representative is trained and certified, they typically spend the majority of their time working directly with and supporting customers in the safe and effective use of our advanced medical technologies, or identifying and contacting new customers. In Advanced Wound Management, sales representatives develop their knowledge of how clinicians seek to prevent and treat wounds, as well as understand the economic benefits of using our products within treatment protocols. We pride ourselves on giving customers a high standard of service and invest in developing our sales and marketing organisation. Our Global Commercial Training and Education team delivers a consistent content and curriculum-based approach, coupled with commercial training specialisation in key markets. A strong portfolio Like many other medical device companies, Smith+Nephew is a global portfolio business. This brings a range of benefits in how we serve our customers. It gives a level of scale, which covers costs and enables us to engage with customers in a cross-business way. The portfolio also gives stability. There are natural product cycles in each area of MedTech, and diversification helps smooth our progress across those cycles. It also supports capital allocation, enabling us to invest in opportunities in particular categories in a way that would be more financially challenging as standalone businesses. At the same time, operating in our global business unit structure means each area also has the focus, the accountability and the ability to move at pace, that comes with dedicated leadership and clear lines of responsibility. Smith+Nephew Annual Report 2024 37 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 06_SN_AR24_Putting_Orthopaedics_v139.indd 37 28/02/2025 21:42

Putting our customers first continued As orthopaedic and sports medicine procedures shift from the hospital to ASC outpatient settings, Smith+Nephew is uniquely positioned to meet the evolving needs of our customers. Meeting changing customer needs – Ambulatory Surgery Centres (ASCs) Many countries are shifting towards more decentralised care, with an increasing number of procedures being performed in outpatient settings, such as ASCs in the US. This trend has been particularly prominent in Sports Medicine, and a growing number of orthopaedic joint replacement procedures are now being carried out in these settings, resulting in cost and time efficiencies for healthcare providers. At Smith+Nephew, we go beyond the product to deliver a comprehensive offering for ASCs. We are uniquely positioned to meet the needs of the market, with procedural solutions spanning sports medicine, hip and knee reconstruction, robotics, trauma, extremities and post-surgical wound care. Under the 12-Point Plan, we have developed a coordinated approach overseen by a dedicated strategic sales team targeting ASCs. Our ASC Partnerships Programme features access to a robust product portfolio, industry partnerships to help customers build, expand and optimise their facility, and training programmes tailored for the unique needs of the ASC. Our flexible and efficient robotics-assisted CORI◊ Surgical System, innovative procedural solutions, and strategic partnerships such as HOPCo and JointVue allow our customers to unlock value in the ASC. The partnership with HOPCo provides a comprehensive technology platform that encompasses all musculoskeletal procedures performed in the ASC segment. The AI-powered myrecovery® platform enhances the clinical experience by utilising patient engagement tools such as remote care management, real-time communications and remote therapeutic monitoring, while providing critical20 quality outcome metrics through proprietary activity-tracking technology, functional outcomes reporting, patient-reported outcomes and longitudinal data integration across a patient’s care journey. HOPCo’s Vitals® platform provides tools, analytics and dashboards to help our customers deliver better, more efficient and coordinated care while also meeting value-based care requirements aiming to reduce cost. We continue to grow our presence in this expanding segment, building on our strong position in Sports Medicine. The pace of cross-business unit deals has more than trebled since 2022, and the total number of deals closed in 2024 was ahead of our target. 38 Smith+Nephew Annual Report 2024 06_SN_AR24_Putting_Orthopaedics_v139.indd 38 28/02/2025 21:42

Driving procedural innovation Orthopaedics Our Orthopaedics business unit offers a leading portfolio of hip and knee implants, robotics and digital enabling technologies driving procedural innovation and a strengthened Trauma & Extremities portfolio. Smith+Nephew’s Orthopaedics vision is to improve mobility and outcomes, with unique and differentiated technologies that allow patients to live a Life Unlimited. Our innovative implants are designed to mimic natural movement and are manufactured using materials with a track record of longevity and performance. The addition of our CORI◊ Surgical System robotics platform delivers accuracy, performance and efficiency to the surgical procedure. We are well positioned as the supplier of choice for surgeons across the globe. Orthopaedics includes an innovative range of hip, knee and shoulder implants used to replace diseased, damaged or worn joints, robotics-assisted enabling technologies that improve accuracy and facilitate precision during the surgical procedure, and trauma products used to stabilise fractures and correct bone deformities. In Orthopaedic Joint Reconstruction, which includes our Hip and Knee Implants and Other Reconstruction segments, we have a broad, clinically proven and differentiated portfolio that allows us to compete effectively across a market worth around $16.8 billion annually. This portfolio includes our proprietary OXINIUM◊ Technology and our CORI◊ Surgical System, which is strongly positioned to take advantage of the trends towards robotics-assisted surgery and outpatient joint replacement seen across the segment. The Trauma & Extremities market is worth over $14.6 billion annually, and we are well positioned to compete effectively in this segment. The simplicity and efficiency of our complete EVOS◊ Plating System gives us an advantage in the largest segment in Trauma, and our TRIGEN◊ INTERTAN◊ Intertrochanteric Nail is backed by the clinical and economic data to position it as the standard of care for hip fracture,1,2 the second-largest segment. In Extremities, we launched our next-generation shoulder implant, the AETOS◊ Shoulder System, in 2024. Strategy Our Orthopaedics business unit has an innovative portfolio that allows us to compete in joint reconstruction, robotics-enabled procedures and Trauma & Extremities markets. Our areas of focus include advancing innovative surgical solutions and optimising the use of working capital. Our initiatives are designed to drive growth across the Orthopaedic business unit. In joint reconstruction and robotics, we aim to accelerate growth by focusing on robotically enabled knee and hip procedures using the CORI◊ Surgical System. Additionally, we will continue to leverage the unique material properties of our OXINIUM◊ Technology across the knee and hip platform. For Trauma & Extremities, Smith+Nephew expects to globally scale the EVOS◊ Plating System portfolio to compete more broadly in Trauma centres. Following the launch of our AETOS◊ Total Shoulder System, we expect to expand our footprint in the shoulder replacement market. Integrated solutions for fracture fixation EVOS◊ Plating System The EVOS◊ Plating System, an evolutionary approach to simplifying and unifying into one plating system, offers surgeons the simplicity of one comprehensive plating system that addresses all of their small-, mini- and large- fragment surgical needs. “Through the 12-Point Plan, we strengthened our Orthopaedics commercial delivery model to enhance our ability to better serve our customers and accelerate growth in our core global markets.” Craig Gaffin President Global Orthopaedics »For a full list of references see pages 285–288 Smith+Nephew Annual Report 2024 39 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 06_SN_AR24_Putting_Orthopaedics_v139.indd 39 28/02/2025 21:42

2024 performance Orthopaedics full year 2024 revenue growth was 4.1% on a reported basis, including an FX headwind of -50bps. On an underlying1 basis, revenue growth was 4.6%. The business unit finished the year strongly as we continued to make progress delivering against the 12-Point Plan priority to Fix Orthopaedics. Knee and Hip Implants growth was driven by Other Established Markets and a significant improvement in the US over the course of the year. This reflected the operational progress in product supply and sharper commercial execution following the 12-Point Plan. Performance was held back by China, where we saw reduced end-customer demand in the second half of the year, resulting in orders from our distribution partners significantly slowing as they reduced stock levels in response. 2024 Knee Implants growth was driven by our JOURNEY II◊ Total Knee System and by our cementless and revision systems. Hip growth was led by our POLAR3◊ Total Hip Solution and R3◊ Acetabular System. Other Reconstruction's double-digit growth in 2024, principally reflecting sales of our robotics-assisted CORI◊ Surgical System and consumables. We strengthened CORI◊ with a series of new features during 2024, and the installed base exceeded 1,000 systems at year end. Progress was built upon our investment to build out the EVOS◊ Plating System. We also continued to roll out the launch of the AETOS◊ Shoulder System, entering a high-growth category. Orthopaedics trading profit1 was up 5.5% in 2024, with a 20bps increase in trading profit margin1 to 11.5%. This represents a step in the right direction following a period of fundamental operational and commercial improvements in the business. We expect that these improvements will translate into better financial outcomes in 2025 and beyond. The recent trading performance of the Orthopaedics business has been considered as part of the financial outlook to ensure that our future performance estimates reflect our best estimate and have accordingly been reflected in the Orthopaedics impairment assessment. 2023 performance Orthopaedics revenue increased 4.8% on a reported basis in 2023, including a 90bps headwind from foreign exchange. Underlying revenue growth1 was 5.7%. Knee and Hip Implants performance outside the US benefited from improved product supply and execution, which remained challenges in the US. Other Reconstruction grew strongly as we expanded CORI◊ . Trauma & Extremities performed well in the US where we improved availability of EVOS◊ . 2023 trading profit1 declined -34.4% with a trading profit margin1 of 11.3%, As noted above, the 2022 segment profit was not restated, and as a result of the allocation of corporate costs in 2023, the trading segment profit decreased by $147 million. Excluding this, the profitability of the segment improved by 3.9% in 2023, driven by operating leverage. Orthopaedics continued Putting our customers first continued Global market sharea In our Orthopaedics business unit, we are one of four leading players, competing against US-based companies Stryker, Zimmer Biomet and DePuy Synthes. Hip and Knee Implants $16.8bn +5% 2023: $15.9bn +8% A Smith+Nephew 10% B Zimmer Biomet 31% C Stryker 25% D DePuy Synthesb 19% E Others 15% Trauma & Extremities $14.6bn +7% 2023: $13.6bn +7% A Smith+Nephew 4% B DePuy Synthesb 24% C Stryker 24% D Zimmer Biomet 11% E Others 37% a Data used in 2023 and 2024 estimates generated by Smith+Nephew are based on publicly available sources and internal analysis and represent an indication of market shares and sizes. b A division of Johnson & Johnson. Performance 2024 Revenue 2023 Revenue 2022 Revenue 2024 Reported growth 2023 Reported growth 2022 Reported growth 2024 Underlying growth1 2023 Underlying growth1 2022 Underlying growth1 Orthopaedics $2,305m $2,214m $2,113m 4.1% 4.8% (2.0%) 4.6% 5.7% 1.9% Knee Implants $947m $940m $899m 0.7% 4.7% 2.5% 1.3% 5.5% 6.8% Hip Implants $619m $599m $584m 3.2% 2.5% (4.4%) 4.0% 3.8% (0.2%) Other Reconstruction $131m $111m $87m 18.2% 27.8% (5.6%) 18.5% 28.0% (1.8%) Trauma & Extremities $608m $564m $543m 7.9% 3.7% (5.7%) 8.1% 4.4% (2.6%) 2024 2023 2022 2024 Reported growth 2023 Reported growth Segment trading profit2 $265m $251m $383m 5.5% (34.4%) 1 These non-IFRS financial measures are explained and reconciled to the most directly comparable financial measure prepared in accordance with IFRS on pages 265–271. 2 In 2024, the Group changed the segment trading profit measure presented to the ExCo by allocating directly attributable corporate costs to business units. Accordingly, 2023 operating segment results have been restated for comparative purposes. Corporate costs for 2022 have not been restated on the basis that the cost and effort to develop such corresponding information would be excessive. E A B C E A B C D D 40 Smith+Nephew Annual Report 2024 06_SN_AR24_Putting_Orthopaedics_v139.indd 40 28/02/2025 21:42

Best-in-class just got better CATALYSTEM◊ Primary Hip System Building on the clinical success of our POLARSTEM◊ Hip System,11 the CATALYSTEM◊ System is designed to address the changing demands of primary hip surgery (including the growth of Ambulatory Surgery Centers (ASCs) and increased adoption of anterior approaches), introducing distinct implant innovation. Precise: Designed to address the global patient population,33 the CATALYSTEM◊ System provides uniform proximal loading*34 and a reduced distal stem geometry, minimising the risk of undersizing and distal potting, and is designed to help minimise the risk of calcar fractures.34–37 Confident: Achieve proven broach to implant reproducibility using proprietary ACCUBROACH◊ Technology, giving you the confidence of predictable stem seating.12,39 Efficient: A single modular tray, tailored to your approach, can provide efficiencies in facilitating more shelf space and reduced sterilisation costs.38 Key products by segment Reconstruction & Robotics Knee Implants In Knee Implants, Smith+Nephew’s specialised systems include leading products for total primary replacement and revision, as well as partial and patellofemoral joint resurfacing procedures, offering surgeons and patients the benefits of many proprietary technologies. These include a unique kinematic knee, the JOURNEY◊ II Total Knee Arthroplasty System, which features OXINIUM◊ Technology and has been shown to replicate normal knee shape, position and motion.*3,4, 47–49 Our LEGION◊ CONCELOC◊ Cementless Total Knee System uses innovative 3D-printed cementless technology to achieve biological fixation, bringing efficiency and versatility to the operating room (OR).5, 50 Hip Implants The Hip Implants portfolio is headlined by the POLAR3◊ Total Hip Solution which has among the lowest revision rates in total hip arthroplasty.*6–10 Our OR3O◊ Dual Mobility System is the first system to use the latest OXINIUM◊ DH Advanced Bearing Technology. Dual mobility hip implants are used in primary as well as revision procedures. In addition, we offer a full breadth of stems to address surgical needs, including the ANTHOLOGY◊ Hip System. For revisions, the REDAPT◊ Revision Hip System features CONCELOC◊ Technology. Further strengthening our Hip Implant portfolio, we launched the CATALYSTEM◊ Primary Hip System in 2024. Building on the clinical success of our POLARSTEM◊ Hip System,11 the CATALYSTEM◊ System is designed to address the changing demands of primary hip surgery. The CATALYSTEM◊ Primary Hip System optimises performance with patent-pending ACCUBROACH◊ Technology for reproducible12 implant seating in just one modular tray. It is the only cementless stem of its kind to feature OXINIUM◊ Technology bearing material. Other Reconstruction Our Other Reconstruction business includes the CORI◊ Surgical System, one of the most advanced and efficient***13 handheld robotics solutions. CORI◊ is a smaller,****14 portable solution capable of performing robotics-assisted knee and computer-guided hip surgery on a single platform. In robotics-assisted knee procedures, CORI◊ utilises handheld precision milling which allows surgeons to execute Total Knee Arthroplasty and Unicondylar Knee Arthroplasty procedures with reproducible accuracy.*****15–19 The proprietary smart mapping feature creates a 3D image of the patient’s anatomy in surgery, eliminating the time, costs and radiation exposure19 associated with pre-operative CT scans. In 2024, we launched the CORIOGRAPH◊ pre-operative planning and modelling service that delivers the unique surgical planning solution desired by some surgeons. The addition of pre-operative planning makes the CORI◊ Surgical System even more versatile and flexible than before. The proprietary software of CORI◊ 3.0 allows CORI◊ to utilise our proven image-free surface mapping and image-based planning solutions for the right indications. RI.HIP◊ NAVIGATION further expands indications on the CORI◊ Surgical System. When combined with Smith+Nephew Hip Implants, like the CATALYSTEM◊ Primary Hip System, POLAR3◊ Total Hip Solution and OR3O◊ Dual Mobility System, as well as complementary tools to assess spinopelvic mobility (RI.HIP◊ MODELER), RI.HIP◊ on CORI◊ delivers a comprehensive solution for navigated total hip arthroplasty. RI.HIP◊ NAVIGATION and RI.HIP◊ MODELER are designed to help maximise accuracy and reproducibility by delivering patient-specific component alignment.51 The CORI◊ Surgical System is currently the only solution indicated for robotics-enabled knee procedures across the full continuum of care – partial, total and revision knee arthroplasty. In addition, Personalised Planning guided by RI.INSIGHTS◊ enables surgeons to set the initial implant placement within the total knee arthroplasty procedure based on AI-guided reference values and the surgeon’s planning preferences for specific implants and patient-specific deformities. » For a full list of references see pages 285–288 Smith+Nephew Annual Report 2024 41 STRATEGIC REPORT GOVERNANCE ACCOUNTS OTHER INFORMATION 06_SN_AR24_Putting_Orthopaedics_v139.indd 41 28/02/2025 21:42