On Friday, the British medical devices company Smith & Nephew Plc., reported a 73% rise in third-quarter net profit and shared the anticipation that the market for replacement hips and knees is stabilizing.

In addition to better than expected growth of 3.5% to a month high of 559 pence, the company reported the increase in market rate of about 5% on year and by 2% worldwide.

With revenue down by 2% at $915 million, the company reports augment in third quarter net profit from $74 million to $128 million a year earlier.

Whipping the analysts’ estimate of 13-14.5 cents earning per share, the company achieved 16.8 cents earnings per share, excluding restructuring, amortization and other costs.

With the arrangement to get trading margin, considered to be costs like acquisitions and amortization, to 24.5% by the end of 2010, the company shifted its production to China and closed some big overseas offices, bringing down cost correspondingly.

Smith & Nephew is content to observe the healthier than probable outcome of the third quarter and maintain elevated belief for the period impending forward.