Medtronic Plc
Q1 2027 Earnings
Market Reaction
Did MDT Beat Earnings? Q1 2027 Results
Medtronic plc kicked off fiscal 2027 with a convincing first quarter, posting adjusted non-GAAP EPS of $1.45 against a consensus estimate of $1.39, a beat of 4.51% that extended the company's streak of exceeding Wall Street's EPS expectations to five consecutive quarters. Revenue of $9.76 billion climbed 13.7% year-over-year and topped the $9.54 billion consensus by 2.21%, landing roughly 200 basis points above the company's own guidance midpoint. The standout driver was the Cardiovascular Portfolio, which expanded 18.9% organically to $3.93 billion, led by a 29.1% organic surge in Electrophysiology Therapies and 88% growth in Cardiac Ablation Solutions, reflecting strong commercial momentum behind the company's Affera Mapping and Ablation System. Operating cash flow more than doubled year-over-year to $1.79 billion, reinforcing the financial strength that has drawn attention from investors ahead of Medtronic's ongoing Diabetes segment separation. On the heels of the strong print, management raised its full-year organic revenue growth outlook to 7.25%-7.75% and tightened non-GAAP diluted EPS guidance upward to a range of $5.94 to $6.00.
- Broad-based portfolio performance across all four segments
- Electrophysiology Therapies grew 29.5% reported, driven by 88% growth in Cardiac Ablation Solutions and 15% growth in Cardiac Rhythm Management
- Extra fiscal week contributed approximately $570 million to Q1 organic growth
- Cranial & Spinal Technologies grew with low-20s growth in enabling technology
- Altaviva meaningfully contributed to 15% growth in Pelvic Health
- Diabetes grew 14.9% organically driven by insulin pump and CGM demand
“We are off to a strong start in fiscal 2027. What gives us confidence is not simply the strength of the quarter, but importantly, the breadth of performance across our businesses and the increasing contributions from newer growth platforms.”
Medtronic CEO, on the earnings call
Forward Guidance & Outlook
Medtronic raised its FY27 guidance. Organic revenue growth guidance was increased to 7.25% to 7.75%, up from the prior range of 6.75% to 7.25%. Diluted non-GAAP EPS guidance was raised to $5.94 to $6.00, up from the prior range of $5.90 to $6.00. Guidance includes an estimated neutral to 1% accretive impact from foreign currency exchange based on recent rates.
MDT YoY Financials
MDT Revenue by Segment
MDT Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.