MDT earnings analysis
What we found in MDT's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Medtronic delivered $9.756 billion of revenue and $1.45 of EPS, exceeding consensus estimates of $9.530 billion and $1.39, respectively. Growth was led by Cardiovascular at 19.5%, while free cash flow improved to $1.290 billion from $584 million. Management raised FY27 organic revenue growth guidance to 7.25%-7.75% and non-GAAP EPS guidance to $5.94-$6.00, although the filing continues to show material currency, interest-rate, and geopolitical compliance exposures.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue and EPS exceeded consensus
- Revenue was $9.756 billion, exceeding the $9.530 billion consensus estimate by approximately $226 million, while reported EPS was $1.45 versus the $1.39 estimate.
- Cardiovascular led portfolio growth
- Cardiovascular was the leading disclosed growth contributor, with revenue growth of 19.5% year over year.
- Free cash flow improved materially
- Free cash flow increased to $1.290 billion from $584 million in the comparable prior period, an improvement of $706 million.
- FY27 outlook was raised
- FY27 organic revenue growth guidance was raised to 7.25%-7.75% from 6.75%-7.25%, while non-GAAP diluted EPS guidance increased to $5.94-$6.00 from $5.90-$6.00.
- Share repurchases continued
- The company repurchased 2,765,509 shares during the quarter at an average price of $81.56, leaving $958,184,382 available under the repurchase authorization.
- Disclosure controls remained effective
- Management reported that disclosure controls and procedures were effective as of July 31, 2026, and that there were no changes in internal control that materially affected, or were reasonably likely to materially affect, internal control.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Material foreign-exchange exposure
- Currency derivative notional exposure was $18.8 billion at July 31, 2026, down from $20.3 billion at April 24, 2026. A uniform 10% strengthening or weakening of the U.S. dollar would change the fair value of these contracts by approximately $1.5 billion.
- Interest-rate sensitivity increased
- A hypothetical 50-basis-point change in interest rates would change the fair value of interest-rate-sensitive instruments by approximately $92 million at July 31, 2026, compared with $91 million at April 24, 2026.
- Russia sanctions and compliance risk
- Medtronic Russia filed three notifications with Russia's Federal Security Service during the quarter to comply with local requirements for importing devices with encryption functionality. The activity generated no direct revenue or profit but could create sanctions and geopolitical compliance exposure.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $1.45
- Segment
- Cardiovascular: revenue growth of 19.5% year over year; total segment revenue was not disclosed in the provided filing text.
What they said about what is next.
Management raised FY27 organic revenue growth guidance to 7.25%-7.75% from 6.75%-7.25% and FY27 non-GAAP diluted EPS guidance to $5.94-$6.00 from $5.90-$6.00. Foreign exchange is expected to have a neutral to 1% accretive impact; no absolute revenue guidance was provided.
The filing reads better than the one before it.
What came before.
- 10-K · June 18, 2026
- Medtronic reported strong fiscal year 2026 results with revenue of $36.36 billion, reflecting an 8% increase year-over-year, driven by growth across its Cardiovascular, Neuroscience, and Medical Surgical segments. The…
- 10-Q · February 24, 2026
- Medtronic reported fiscal Q3 net sales of $9,017 million, up 9% year-over-year, while GAAP diluted EPS declined to $0.89 from $1.01 a year ago; non‑GAAP diluted EPS was $1.36. Free cash flow for the nine months ended…
- 10-Q · November 25, 2025
- Medtronic's Q2 earnings for fiscal 2026 showed solid growth with actual revenue of $8.96 billion, exceeding estimates of $8.86 billion. Diluted EPS was reported at $1.36, surpassing the estimate of $1.31, displaying a…
- 10-K · June 20, 2025
- Medtronic reports fiscal 2025 net sales of $33,537 million (up 4% vs FY2024) and GAAP diluted EPS of $3.61 (FY2025 vs $2.76 in FY2024), supported by broad-based growth across Cardiovascular, Neuroscience and Diabetes…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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