ConvaTec Share News (CTEC)

(Sharecast News) - Convatec underwhelmed the market with its new 'Accelerate' strategy on Thursday as shares fell after the medical products and technology company unveiled plans on how it expects to deliver 6-8% annual organic revenue growth over the medium term.

Accelerate follows on from Convatec's previous FISBE strategy, which the company said turned it into a "chronic care leader" in each of its end markets of advanced would care, ostomy care, continence care and infusion care.

"Accelerate is the next chapter, underpinned by the strongest pipeline of innovation in Convatec's history and will see accelerating sustainable and profitable growth," the company said at a capital markets day on Thursday.

As part of the plans, Convatec expects mid to high single-digit organic revenue growth across the ostomy care and continence care divisions over the medium term, high single-digit growth in advanced wound care, and double-digit growth in infusion care.

The firm's guidance for 6-8% organic growth across the company as a whole was upgraded from the 5-7% range at the time of its full-year results in February, and compares with the 4.8% growth registered across 2025.

Through Accelerate, Convatec also expects to deliver an adjusted operating margin of 24-26%, up from 22.3% last year, and double-digit growth in adjusted earnings per share per annum.

"Convatec delivers innovative medical solutions to improve the lives of millions of people living with chronic conditions. The opportunity for future growth is substantial. Our Accelerate strategy is how we will deliver the next chapter of Convatec's exciting story," said chief executive Jonny Mason.

The stock was down 0.7% at 223.2p by 0941 GMT.

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