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Apr 30, 2021

Medtronic Q4 2021 Earnings Report

Medtronic's Q4 2021 financial results reflected a strong recovery with revenue increasing 37% as reported and 32% organically.

Key Takeaways

Medtronic reported a strong end to fiscal year 2021, with fourth quarter revenue of $8.188 billion, a 37% increase as reported and 32% organically. GAAP diluted EPS was $1.00, and non-GAAP diluted EPS was $1.50. The company announced a 9% dividend increase and issued FY22 guidance.

Q4 Revenue of $8.2 Billion Increased 37% Reported and 32% Organic

Q4 GAAP Diluted EPS of $1.00; Q4 Non-GAAP Diluted EPS of $1.50

Quarterly Dividend Increased to $0.63, Annual $2.52 from Prior $2.32; 44th Consecutive Year of Dividend Increases

Company Issues FY22 Guidance

Total Revenue
$8.19B
Previous year: $6B
+36.5%
EPS
$1.5
Previous year: $0.58
+158.6%
Total Organic Revenue Growth
32%
Previous year: -25%
-228.0%
Gross Profit
$5.54B
Previous year: $3.73B
+48.3%
Cash and Equivalents
$3.59B
Previous year: $4.14B
-13.2%
Free Cash Flow
$1.37B
Previous year: $6.02B
-77.3%
Total Assets
$93.1B
Previous year: $90.7B
+2.6%

Medtronic

Medtronic

Medtronic Revenue by Segment

Medtronic Revenue by Geographic Location

Forward Guidance

The company expects revenue growth in its fiscal year 2022 to approximate 9 percent on an organic basis. In fiscal year 2022, the company expects diluted non-GAAP EPS in the range of $5.60 to $5.75, including an estimated 10 to 15 cent positive impact from foreign currency based on current exchange rates.

Positive Outlook

  • Strong organic revenue growth driven by new product launches
  • End market recovery from the impact of the pandemic
  • Investing at the front end of major product launches, including surgical robotics and renal denervation, to fully realize their potential
  • Planning for the largest increase in R&D spend in company’s history
  • Capitalizing on a long list of opportunities

Revenue & Expenses

Visualization of income flow from segment revenue to net income