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Jul 26, 2024

Medtronic Q1 2025 Earnings Report

Product innovation drove growth across diversified health tech portfolio, including Automated Insulin Delivery, Transcatheter Aortic Valve Replacement, Pulsed Field Cardiac Ablation, Pain Stimulation, and Deep Brain Stimulation.

Key Takeaways

Medtronic reported Q1 worldwide revenue of $7.915 billion, an increase of 2.8% as reported and 5.3% on an organic basis. GAAP diluted earnings per share (EPS) were $0.80; non-GAAP diluted EPS of $1.23. The company raised its FY25 organic revenue growth guidance to 4.5% to 5% and diluted non-GAAP EPS guidance to the new range of $5.42 to $5.50.

Revenue of $7.9 billion, adjusted revenue of $8.0 billion, increased 2.8% as reported and 5.3% organic

GAAP diluted earnings per share (EPS) of $0.80; non-GAAP diluted EPS of $1.23

Company increases FY25 organic revenue growth and EPS guidance

Multiple franchises delivering, with growth acceleration in Cardiac Ablation Solutions and Neuromodulation and continued strength in Spine, Structural Heart, and Diabetes

Total Revenue
$7.92B
Previous year: $7.7B
+2.8%
EPS
$1.23
Previous year: $1.2
+2.5%
Total Organic Revenue Growth
5.3%
Previous year: 6%
-11.7%
Gross Profit
$4.71B
Previous year: $5.07B
-7.1%
Cash and Equivalents
$1.31B
Previous year: $1.34B
-2.1%
Free Cash Flow
$466M
Previous year: $521M
-10.6%
Total Assets
$89.7B
Previous year: $90.8B
-1.1%

Medtronic

Medtronic

Medtronic Revenue by Segment

Medtronic Revenue by Geographic Location

Forward Guidance

The company raised its FY25 organic revenue growth guidance to 4.5% to 5% versus the prior range of 4% to 5%. The company raised its FY25 diluted non-GAAP EPS guidance to the new range of $5.42 to $5.50 versus the prior $5.40 to $5.50. This includes an estimated -5% impact from foreign currency exchange based on recent rates, unchanged from the prior guidance.

Positive Outlook

  • Expect to sustain growth from new product introductions
  • Continue to make the investments to support those launches
  • Deliver on our commitment to restore earnings power

Challenges Ahead

  • Estimated -5% impact from foreign currency exchange based on recent rates

Revenue & Expenses

Visualization of income flow from segment revenue to net income