Medtronic (MDTN) Q1 2027 Earnings Report
MX:MDTN Q1 2027 EPS Results
- Actual EPS
- MXN 27.24
- Consensus EPS
- MXN 26.08
- Beat/Miss
- Beat by +MXN 1.16
- One Year Ago EPS
- MXN 23.67
MX:MDTN Q1 2027 Revenue Results
- Actual Revenue
- MXN 183.28B
- Expected Revenue
- MXN 179.33B
- Beat/Miss
- Beat by +MXN 3.95B
- YoY Revenue Growth
- +13.73%
Earnings Announcement Details
- Quarter
- Q1 2027
- Date
- 09/01/2026
- Time
- Before Open
- Conference Call
- Tuesday, September 1, 2026
MX:MDTN Upcoming Earnings
Medtronic's next earnings date is estimated for November 24, 2026, based on past reporting schedules.
Q1 2027 Earnings Call Audio
MX:MDTN Q1 2027 Earnings Call
0:00 / 0:00
Q1 2027 Earnings Slide Deck
Q1 2027 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive. Medtronic reported broad-based revenue and earnings outperformance, significant growth in Cardiac Ablation Solutions, continued momentum in CRM, CST, Surgical, Pelvic Health and Diabetes, improved operating metrics, stronger cash conversion and raised fiscal 2027 guidance. The principal challenges were business-mix pressure on gross margin, neuromodulation softness, low-single-digit Structural Heart growth, expected moderation in some growth rates, and foreign exchange and tariff headwinds.
Company Guidance
For fiscal year '27, Medtronic raised organic revenue growth guidance to 7.25% to 7.75% and expects roughly 6% organic revenue growth in Q2; foreign exchange is expected to be a roughly $50 million to $150 million headwind for the full year and an approximate $25 million to $75 million headwind in 2Q. The company expects operating profit to grow approximately 10%, with operating margin expanding approximately 50 basis points year-over-year, and raised fiscal '27 EPS guidance to $5.94 to $6, with Q2 EPS expected in the range of $1.32 to $1.34 and a roughly neutral impact from foreign exchange. CAS is expected to grow 2.5x the market for the full year and north of 3x the market in Q2, with the market in the mid-teens; Hugo is expected to surpass 50,000 completed procedures by the end of the fiscal year with procedure growth continuing at more than twice the market rate, while the transradial catheter remains on track to launch in the second half of this fiscal year, Neurovascular is expected to reach mid-single digit growth in the back half of the year, ACM is expected to normalize as Medtronic moves through 2027, acquisitions are expected to contribute over $150 million to inorganic growth in fiscal year '27, and the MiniMed separation is intended to close prior to fiscal year-end.
- Strong First-Quarter Financial PerformanceFiscal 2027 first-quarter revenue was $9.8 billion and adjusted EPS was $1.45, both well ahead of expectations. Organic revenue growth was 13.7%. Excluding the extra selling week, Medtronic delivered its strongest quarterly performance in nearly 8 years, excluding COVID comps.
- Broad-Based Geographic and Portfolio GrowthRevenue grew nearly 16% in the U.S. and 12% internationally. Management said growth was broad-based across operating units, end markets, geographies and procedure volumes rather than concentrated in one therapy or region.
- Cardiac Rhythm Management Growth and Share GainsCardiac Rhythm Management grew 15% worldwide, with strength in high-power and low-power therapies, including EV-ICD, Micra and conduction system pacing. CRM gained 80 basis points of global share, while conduction system pacing added over 200 basis points to CRM growth. Micra continued to grow at a healthy double-digit rate.
- Cranial and Spinal Technologies MomentumCranial & Spinal Technologies grew 13% worldwide, including 14% in the U.S. and 10% internationally. Core Spine grew 14% and Neurosurgery grew 15%. The AiBLE ecosystem continued to resonate with customers, while Stealth AXiS meaningfully outperformed in its first full quarter after launch, with adoption building and customer feedback described as very positive.
- Surgical Growth and Robotics ProgressSurgical delivered 9% global growth, with similar performance in the U.S. and internationally. Hugo procedure growth continued at more than twice the market rate, and Medtronic expects Hugo to surpass 50,000 completed procedures and reach 250 installed units by the end of the fiscal year. The company expects multiple new indications in the fall and is expanding its robotics, visualization, instrumentation and digital ecosystem.
- Cardiac Ablation Solutions Delivered Exceptional GrowthCardiac Ablation Solutions delivered 88% worldwide growth and 139% growth in the U.S. Sphere-9 increased U.S. share by 9 points during the quarter, and the business surpassed $2 billion in trailing 12-month revenue ahead of the promised time frame. The U.S. Affera installed base grew more than 35% sequentially in Q1 after growing 40% sequentially in Q4.
- Expansion of Electrophysiology PlatformElectrophysiology Therapies grew 29%, including 41% in the U.S. and 18% internationally. Medtronic received CE Mark approval for Sphere-9 to treat ventricular arrhythmias, including ventricular tachycardia, and enrollment in the U.S. VT pivotal trial is underway. The company is also expanding its platform across mapping, ICE catheters, focal ablation software and single-shot innovation.
- Symplicity and Ardian Market DevelopmentManagement described Symplicity as another strong quarter and said real-world outcomes continued to improve, supported by recently presented 3-year data. The SPYRAL AFFIRM trial was accepted as a late-breaker at TCT. Clinician and hospital discussions are shifting from awareness to access, more hospitals are approaching Medtronic about establishing Ardian programs, and the transradial catheter remains on track to launch in the second half of fiscal 2027.
- Pelvic Health and Altaviva ProgressPelvic Health grew 15% globally. Altaviva procedures doubled sequentially, with demand building as physician training, reimbursement support and patient awareness expand. Management said Altaviva performance is now more than offsetting sacral neuromodulation market softness.
- Medical-Surgical and Acute Care StrengthMedical Surgical grew 10% globally. Advanced Energy and Wound Management benefited from share gains in LigaSure vessel sealing and V-Loc barbed sutures. Endoscopy grew high single digits, driven by Endoflip 300 and PillCam. Acute Care and Monitoring grew 14% globally, including high-teens U.S. growth, with mid-40s growth in McGRATH, high-30s growth in Microstream capnography and high-single-digit growth in Nellcor pulse oximetry.
- Cardiovascular and Peripheral Vascular GrowthCardiovascular revenue grew 19%, including 25% growth in the U.S. and 14% internationally. Cardiovascular Surgery grew 8% globally and Peripheral Vascular Health grew 11%. Coronary and Renal Denervation grew 13% globally, while CathWorks contributed nearly 300 basis points of organic growth.
- Neuroscience Portfolio Growth and Product ExpansionNeuroscience grew 9% worldwide, including 11% in the U.S. and 7% internationally. ENT grew 7% globally, driven by low-double-digit U.S. growth. Onyx 12 received U.S. FDA approval for MMA embolization to treat subdural hematomas, and all three Onyx viscosities are now approved for a 1-minute shake time versus the conventional 20 minutes. The Scientia acquisition advanced navigation capabilities, and SPR Therapeutics and the Merit Medical distribution agreement strengthened the pain portfolio, with both associated segments growing over 20% annually.
- Diabetes Business Growth and InnovationThe Diabetes business grew 15%, driven by U.S. acceleration and robust international growth. Management said every launch was happening ahead of schedule and described the business as having significant innovation favorability. The MiniMed separation plan remains unchanged, with the separation intended to close before fiscal year-end.
- Gross Margin and Operating Profit ImprovementAdjusted gross margin was 65.2%, up 10 basis points year over year. Pricing provided a 30-basis-point benefit, while cost-down initiatives contributed 50 basis points through COGS efficiency programs and execution across operations and supply chain. Adjusted operating profit was $2.3 billion, up 15%, and adjusted operating margin was 23.7%, up 10 basis points.
- Portfolio Simplification and Cost EfficiencyMedtronic rationalized more than 9,000 SKUs in the quarter to streamline its product portfolio, enhance supply chain performance and deliver cost efficiencies. Management said portfolio simplification, SKU rationalization, cost-out and supply chain initiatives were beginning to deliver structural efficiencies.
- Investment in Innovation and Growth PlatformsAdjusted SG&A increased 14% year over year and adjusted R&D increased 6% as Medtronic continued investing in commercialization, innovation and recent acquisitions. Acquisitions including SPR Therapeutics and Scientia are expected to contribute over $150 million of inorganic growth in fiscal 2027. Medtronic also announced strategic investments in Cornerstone Robotics and Pi-Cardia and said investment in innovation and acquisitions had increased from approximately $2.8 billion of R&D and $0.5 billion of acquisitions to almost $3 billion of R&D and $2 billion of acquisitions or investments over the last 12 months.
- Raised Fiscal 2027 GuidanceMedtronic raised fiscal 2027 organic revenue growth guidance to 7.25% to 7.75%, a 50-basis-point increase from prior guidance. Full-year adjusted EPS guidance was raised to $5.94 to $6. The company expects operating profit to grow approximately 10% and operating margin to expand approximately 50 basis points year over year.
- Improving Cash Flow and Balance Sheet CapacityFirst-quarter free cash flow performance was described as very strong, with cash conversion at 70% and a stated path to 80%. Management said the company has a strong balance sheet and significant capacity to continue deploying capital.
MX:MDTN Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Nov 24, 2026 | 2027 (Q2) | 25.06- | 25.55 | ― | ― |
| Sep 01, 2026 | 2027 (Q1) | 26.0827.24 | 23.67 | 15.08% (+3.57) | |
| Jun 03, 2026 | 2026 (Q4) | 28.9329.12 | 30.43 | -4.32% (-1.32) | |
| Feb 17, 2026 | 2026 (Q3) | 25.1225.55 | 26.11 | -2.16% (-0.56) | |
| Nov 18, 2025 | 2026 (Q2) | 24.6825.55 | 23.67 | 7.94% (+1.88) | |
| Aug 19, 2025 | 2026 (Q1) | 23.0923.67 | 23.11 | 2.44% (+0.56) | |
| May 21, 2025 | 2025 (Q4) | 29.7030.43 | 27.43 | 10.96% (+3.01) | |
| Feb 18, 2025 | 2025 (Q3) | 25.5526.11 | 24.42 | 6.92% (+1.69) | |
| Nov 19, 2024 | 2025 (Q2) | 23.4823.67 | 23.48 | 0.80% (+0.19) | |
| Aug 20, 2024 | 2025 (Q1) | 22.5223.11 | 22.54 | 2.50% (+0.56) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat Missed