NYSE$MDT

Medtronic PLC · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Reported strong financial performance in Q1 2022, driven by continued procedure volume recovery and share gains from new product launches.

Medtronic reported a strong start to fiscal year 2022, with Q1 revenue of $8.0 billion, a 23% increase as reported and 19% on an organic basis. GAAP diluted EPS was $0.56, while non-GAAP diluted EPS was $1.41. The company reiterated its FY22 revenue guidance and raised the lower end of its EPS guidance.

  • Revenue of $8.0 Billion Increased 23% Reported and 19% Organic
  • GAAP Diluted EPS of $0.56
  • Non-GAAP Diluted EPS of $1.41
  • Company Reiterates FY22 Revenue Guidance; Raises Lower End of FY22 EPS Guidance by 5 cents

Headline financials

Total Revenue

$7.99B

Previous: $6.51B+22.7%
EPS (adj)

$1.41

Previous: $0.62+127.4%
Organic Revenue Growth

19.0%

No prior period
Capital Expenditures

-$378M

Previous: -$334M-13.2%
Free Cash Flow

$914M

Previous: -$56M+1732.1%
Net Income

$763M

Previous: $487M+56.7%
Operating Income

$859M

Previous: $673M+27.6%
Gross Profit

$5.39B

Previous: $4B+34.7%
Cash & Equivalents

$3B

Previous: $6.5B-53.8%
Total Assets

$91.8B

Previous: $93.9B-2.2%
Stock-Based Comp

$69M

Previous: $70M-1.4%

Revenue & EPS history

Medtronic · Revenue · Quarterly

$7.99B

Q1 2022+22.7%vs Q1 2021
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Medtronic · $7.99B total across 9 segments · Q1 2022

  • Surgical & Endoscopy
    $1.55B+43.9%
  • Cardiac Rhythm & Heart Failure
    $1.48B+18.9%
  • Cranial & Spinal Technologies
    $1.12B+19.0%
  • Structural Heart & Aortic
    $787M
  • Other
    $768M
  • Specialty Therapies
    $641M+41.5%
  • Coronary & Peripheral Vascular
    $620M-20.5%
  • Diabetes
    $572M+1.8%
  • Neuromodulation
    $440M+40.1%

Forward guidance

The company reiterated its revenue growth guidance and raised the lower end of its EPS guidance range for fiscal year 2022. The company continues to expect revenue growth in its fiscal year 2022 to approximate 9% on an organic basis. The company increased its fiscal year 2022 diluted non-GAAP EPS guidance from the prior range of $5.60 to $5.75 to the new range of $5.65 to $5.75.

Tailwinds

  • Revenue growth in fiscal year 2022 to approximate 9% on an organic basis.
  • If current exchange rates hold, revenue growth in fiscal year 2022 would be positively affected by approximately $100 to $200 million.
  • Increased fiscal year 2022 diluted non-GAAP EPS guidance from the prior range of $5.60 to $5.75 to the new range of $5.65 to $5.75.
  • Positive impact from foreign currency exchange versus a 10 to 15 cent positive impact previously.
  • Focused on accelerating long-term revenue growth and generating strong returns for shareholders.

Headwinds

  • No specific negatives were mentioned in the provided text, only reiterating and increasing guidance.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

-0.1%

Avg return

Earnings day

+0.2%

Avg return

5 days after

-1.4%

Avg return

30 days after

58%

38 / 66 earnings

Positive

+6.2%

Q1 2019

Best reaction

-7.3%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+5.3%+9.4%
Q3 2026-2.8%-2.6%-12.7%
Q2 2026+3.9%+5.1%+2.3%
Q1 2026-3.1%-0.1%+3.0%
Q4 2025-2.2%-6.6%-0.0%
Q3 2025-7.3%-3.1%-1.7%
Q2 2025-4.0%-1.6%-8.7%
Q1 2025+3.2%+4.2%+5.5%
Q4 2024-4.0%-4.4%-4.8%
Q3 2024+1.8%+1.5%-1.2%
Q2 2024+4.3%+5.1%+9.0%
Q1 2024+2.5%+0.7%-1.4%
Q4 2023-6.9%-5.7%-0.0%
Q3 2023+0.4%-1.5%-8.5%
Q2 2023-4.0%-3.9%-6.3%
Q1 2023-4.1%-3.9%-10.2%
Q4 2022-6.1%-5.1%-14.5%
Q3 2022+2.4%+5.2%+5.7%
Q2 2022-2.1%-5.0%-12.0%
Q1 2022+4.7%+4.1%+1.7%
Q4 2021+0.3%-0.8%+2.8%
Q3 2021+2.6%+1.1%+0.7%
Q2 2021+2.1%+3.3%+2.8%
Q1 2021+3.9%+7.7%+1.1%
Q4 2020-3.4%-0.9%-4.3%
Q3 2020-3.0%-3.5%-32.5%
Q2 2020+0.5%-0.4%+2.0%
Q1 2020+3.5%+1.8%+6.6%
Q4 2019+4.8%+2.9%+12.0%
Q3 2019+0.6%+1.6%-0.2%
Q2 2019+2.9%+1.8%-0.5%
Q1 2019+6.2%+6.1%+8.3%
Q4 2018+1.2%+0.2%+1.8%
Q3 2018-3.1%-3.5%-6.2%
Q2 2018+4.4%+5.5%+3.3%
Q1 2018-4.5%-5.3%-4.8%
Q4 2017+0.5%+0.2%+5.3%
Q3 2017+0.9%+2.7%+2.5%
Q2 2017-6.0%-6.3%-11.0%
Q1 2017-0.1%+0.2%+1.2%
Q4 2016-1.4%+1.5%+6.2%
Q3 2016-3.6%
Q2 2016+2.7%
Q1 2016-3.6%
Q4 2015+0.2%
Q3 2015+4.3%
Q2 2015+3.7%
Q1 2015+1.1%
Q4 2014-1.0%
Q3 2014-1.2%
Q2 2014-2.4%
Q1 2014-2.6%
Q4 2013+3.3%
Q3 2013-5.0%
Q2 2013+1.6%
Q1 2013+1.2%
Q4 2012+2.1%
Q3 2012+2.0%
Q2 2012-6.5%
Q1 2012-3.2%
Q4 2011+1.5%
Q3 2011+1.4%
Q2 2010-0.2%
Q1 2010+1.5%
Q4 2010+0.7%
Q3 2009+0.6%

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