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Jan 27, 2023
Medtronic Q3 2023 Earnings Report
Medtronic's Q3 2023 financial results were reported, demonstrating top and bottom line performance ahead of expectations, driven by strength in Cardiovascular and Neuroscience portfolios.
Key Takeaways
Medtronic's Q3 2023 revenue reached $7.7 billion, remaining flat as reported but increasing by 4.1% organically, surpassing expectations. GAAP diluted EPS was $0.92, a 16% decrease, while non-GAAP diluted EPS was $1.30, a 4% decrease, also exceeding expectations. The company has raised its FY23 organic revenue growth and EPS outlook.
Revenue of $7.7 billion was flat as reported and increased 4.1% organic, ahead of expectations.
GAAP diluted EPS of $0.92 decreased 16%; non-GAAP diluted EPS of $1.30 decreased 4%, ahead of expectations.
Cardiovascular and Neuroscience portfolios had strong, high-single digit organic growth.
Company increases FY23 organic revenue growth and EPS outlook
Medtronic
Medtronic
Medtronic Revenue by Segment
Medtronic Revenue by Geographic Location
Revenue by Segment
Cardiac Rhythm & HF Revenue
CapyFin.comStructural Heart & Aortic Revenue
CapyFin.comCoronary & Peripheral Vascular Revenue
CapyFin.comCranial & Spinal Technologies Revenue
CapyFin.comSpecialty Therapies Revenue
CapyFin.comNeuromodulation Revenue
CapyFin.comSurgical & Endoscopy Revenue
CapyFin.comAcute Care & Monitoring Revenue
CapyFin.comDiabetes Revenue
CapyFin.comRevenue by Geographic Location
United States Revenue
CapyFin.com Forward Guidance
The company expects fourth quarter organic revenue growth of 4.5% to 5.0% and increased the lower end of its fiscal year 2023 diluted non-GAAP EPS guidance from the prior range of $5.25 to $5.30 to the new range of $5.28 to $5.30.
Positive Outlook
- Expects fourth quarter organic revenue growth of 4.5% to 5.0%.
- Raises company’s full fiscal year organic growth outlook.
- Increased the lower end of its fiscal year 2023 diluted non-GAAP EPS guidance to $5.28 to $5.30.
- Focused on delivering durable topline growth.
- Committed to continued investment in our growth drivers to ensure long-term value creation.
Challenges Ahead
- Fourth quarter revenue would be unfavorably affected by approximately $165 million to $215 million due to foreign currency exchange rates.
- Fiscal year 2023 diluted non-GAAP EPS guidance includes an estimated 21 cent unfavorable impact from foreign currency.
- Navigating through macro headwinds from foreign currency.
- Navigating through macro headwinds from inflation.
- Procedure volumes remaining a little softer in a few markets and volume-based procurement in China.
Revenue & Expenses
Visualization of income flow from segment revenue to net income