Medtronic Issues FY23 Guidance; Plans To Form Independent Kidney Care-focused Medical Device Company

Medtronic plc (MDT) said global supply chain and COVID-19 controls in China created acute impacts to the company's results in the fourth quarter. Looking forward, the company expects recent and upcoming product launches to make a difference across its businesses in the coming fiscal year.

Medtronic expects fiscal 2023 non-GAAP EPS in the range of $5.53 to $5.65. Organic revenue growth is projected in the range of 4% to 5%. The company noted that, if recent foreign currency exchange rates hold, fiscal 2023 revenue would be negatively affected by approximately $1.0 billion to $1.1 billion. Analysts polled by Thomson Reuters expect the company to report profit per share of $5.82. Analysts' estimates typically exclude special items.

Fourth quarter non-GAAP was $1.52, up 2% from prior year. On average, 23 analysts polled by Thomson Reuters expected the company to report profit per share of $1.56, for the quarter.

The company's earnings totaled $1.49 billion, or $1.10 per share compared with $1.36 billion, or $1.00 per share, last year.

Worldwide revenue was $8.09 billion, a decrease of 1% as reported and an increase of 1% on an organic basis. Analysts on average had estimated $8.42 billion in revenue.

The company announced that effective May 25, 2022, the board approved an increase in cash dividend for the first quarter of fiscal year 2023, raising the quarterly amount to $0.68 per ordinary share. This would translate into an annual amount of $2.72 per ordinary share, an 8% increase from the prior $2.52.

Separately, Medtronic plc and DaVita Inc. (DVA) announced the intent to form a new, independent kidney care-focused medical device company. Medtronic will contribute its Renal Care Solutions business including the current product portfolio, product pipeline, and global manufacturing R&D teams and facilities.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Fifth Season is recalling a limited amount of its branded Crunchy Sesame Salad Kits due to undeclared milk and egg, known allergens, the U.S. Food and Drug Administration said. The recall involves Fifth Season branded Crunchy Sesame Salad Kit with UPC Code: 52070008147 and Best By Date of 16-AUG-2022 and 15-AUG-2022. Luxury electric car maker Tesla Inc. has produced more than 3 million vehicles, of which 1 million in Shanghai Gigafactory, according to its founder and Chief Executive Officer Elon Musk. In a tweet on Sunday, Musk said, "Congrats Giga Shanghai on making millionth car! Total Teslas made now over 3M." King's Hawaiian is recalling its Pretzel Slider Buns, Pretzel Hamburger Buns and Pretzel Bites products as they contain one ingredient already recalled by Lyons Magnus, the U.S. Food And Drug Administration said. The Pretzel recall was initiated out of an abundance of caution after one of its supplier Lyons Magnus recently called back various nutritional and beverage products.
Follow RTT