Smith+Nephew on Wednesday lowered its full-year revenue and profit outlook and said talks about combining its orthopaedics business with Johnson & Johnson's implant unit have ended^1,2.

The British medical-device maker, a FTSE 100 company, pointed to slower growth in U.S. hip and knee implants that it expects to continue in the fourth quarter².

AskTraders, citing the company's trading update, said trading profit growth is now expected at about 4 percent rather than about 8 percent, underlying revenue growth at about 3 percent rather than about 4 percent, trading profit at about $1.25 billion rather than $1.3 billion, and free cash flow at about $750 million rather than $800 million².

Third-quarter revenue rose to $1.551 billion from $1.501 billion a year earlier, up 3.4 percent on an underlying basis, according to that account².

Orthopaedics grew 2.5 percent to $590 million, but U.S. knee implants fell 7.3 percent and U.S. hips 1.0 percent, with the company citing earlier lost business, a softer market and a shift toward cementless knees².

Sports Medicine and ENT led with $507 million, up 7.9 percent, while Advanced Wound Management was roughly flat².

Chief Executive Deepak Nath said the company had revised guidance for slower U.S. orthopaedics growth but still expected profit to grow faster than revenue².

Reuters reported that Smith+Nephew confirmed the J&J talks had ended and that an unnamed person had previously described an approach valuing J&J's hip and knee unit at as much as $22 billion, with talks stalling over who would run a combined group; the company did not give a reason on Wednesday¹.

AskTraders said the company confirmed it approached J&J about a possible combination with DePuy Synthes and that the board will keep exploring options for Orthopaedics².

Reuters said shares were down 1.7 percent in early London trading¹. What a sale or other transaction might look like, and on what timetable, was not set out^1,2.