Medtronic Earns 88 Cents Per Share

This morning, Medtronic ($MDT) reported fiscal Q1 earnings of 88 cents per share which matched estimates. They reiterated their full-year forecast of $3.80 to $3.85 per share.

Medtronic Inc. (MDT), the world’s biggest maker of heart-rhythm devices, said first-quarter profit rose 10 percent on increasing demand for the company’s stents, pacemakers and other products used during surgery.

Net income in the three months ended July 26 increased to $953 million, or 93 cents a share, from $864 million, or 83 cents, a year earlier, the Minneapolis-based company said today in a statement. Profit excluding one-time items matched the average of 88 cents of 20 analysts’ estimates compiled by Bloomberg. Revenue increased to $4.08 billion from $4.01 billion a year earlier.

Sales of stents, used to prop open heart arteries, were bolstered by demand in Japan where the company’s Resolute device is still in its first year of introduction. Demand for spinal products and implanted devices such as defibrillators to regulate the heart’s electrical activity, two of the company’s biggest units, continued to show signs of stability after several years of decline.

“Medtronic is poised to deliver a sixth consecutive quarter of solid mid-single-digit organic sales growth despite still soft – but largely as expected – MedTech market dynamics more broadly this earnings season,” Danielle Antalffy, an analyst with Leerink Swann Research in New York, wrote in an Aug. 14 note to investors.

No surprises here. The stock is down about 2% today.

Posted by on August 20th, 2013 at 1:56 pm


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