Medtronic plc (MDT) Earnings History

Medtronic plc - Q3 FY2026 EarningsBeat

Filed at: Feb 17, 2026, 6:48 AM EST|Read from source

EXECUTIVE SUMMARY

Medtronic reported strong third quarter fiscal year 2026 results, driven by robust organic revenue growth and continued investment in innovation and strategic M&A. The company demonstrated broad-based performance across its portfolios, with particular strength in Cardiovascular and Diabetes segments, positioning it for sustained long-term growth.

POSITIVE HIGHLIGHTS

  • •

    Revenue of $9.0 billion increased 8.7% as reported and 6.0% organic, 50 basis points ahead of Q3 guidance.

    positive
  • •

    Cardiovascular Portfolio revenue increased 13.8% as reported and 10.6% organic.

    positive
  • •

    Cardiac Ablation Solutions revenue increased 80%, driven by the pulsed field ablation portfolio.

    positive
  • •

    Diabetes business revenue increased 14.8% as reported and 8.3% organic, led by double-digit strength in International markets.

    positive
  • •

    Company reiterates FY26 organic revenue growth and EPS guidance.

    neutral

CONCERNS & RISKS

  • •

    Neuroscience Portfolio revenue increased only 4.1% reported and 2.5% organic, with a flat result in Specialty Therapies.

    attention
  • •

    Medical Surgical Portfolio revenue increased 4.9% as reported and 2.7% organic, with a low-single digit increase in Surgical & Endoscopy.

    attention
  • •

    The company incurred $77 million in restructuring charges and $62 million in certain litigation charges during the quarter.

    attention

FINANCIAL METRICS

Revenue
Quarterly
$9.02B
+8.7%
Prior year: $8.29B
Annual (YTD)
$26.56B
N/A
Prior year: $24.61B
Net Income
Quarterly
$1.15B
N/A
EPS (Diluted)
Quarterly
$0.89
-11.9%
Prior year: $1.01
Annual (YTD)
$2.76
N/A
Prior year: $2.79
Operating Income
Quarterly
$-121.00M
N/A
EPS (Basic)
Quarterly
N/A
N/A

MARGIN ANALYSIS

Gross Margin
Current Quarter
63.8%
Prior Year
66.5%
YoY Change
-270 bps
Operating Margin
Current Quarter
16.2%
Prior Year
19.9%
YoY Change
-370 bps
Net Margin
Current Quarter
12.7%
Prior Year
15.6%
YoY Change
-294 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

REVENUE BY SEGMENT — Q3 FY2026 2026

VISUAL OVERVIEW

|
Cardiovascular(3 segments)
0.0%
N/A
CC: +10.6%
Neuroscience(3 segments)
0.0%
N/A
CC: +2.5%
Medical Surgical(2 segments)
0.0%
N/A
CC: +2.7%
Diabetes
0.0%
N/A
CC: +8.3%

DETAILED BREAKDOWN

|
SegmentCurrentPrior YrYoY% TotalCC
Cardiovascular
N/A———+10.6%
Neuroscience
N/A———+2.5%
Medical Surgical
N/A———+2.7%
Diabetes
N/A———+8.3%
Total Revenue$0.00M——100.0%—

Segment performance shows business unit health and growth drivers. Constant currency (CC) removes FX impact for like-for-like comparison.

MANAGEMENT GUIDANCE

FY2026

organic revenue growth
$5.5M
"approximately 5.5%"
diluted non-GAAP EPS
$5.62—$5.66
Mid-point: $5.64
"$5.62 to $5.66"

Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.

SPECIAL ITEMS & ADJUSTMENTS

Q3 2026
Restructuring charges, net
+$77M
$0.06 per share
Q3 2026
Certain litigation charges, net
+$62M
$0.04 per share
Q3 2025
Restructuring and associated costs
+$43M
$0.03 per share
Q3 2025
Certain litigation charges, net
+$22M
$0.01 per share
Q3 2025
Medical device regulations
Incremental costs of complying with new European Union (E.U.) medical device regulations.
$0.01 per share
Total Impact
+$204M$0.15 per share

Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.

MANAGEMENT COMMENTARY

Q3 marks another strong quarter, delivering 6% organic revenue growth, ahead of guidance, demonstrating the strength of our portfolio.

— Medtronic plc, Q3 FY2026 2026 Earnings Call

By unlocking new markets and investing in high-growth opportunities, we are accelerating performance across the company.

— Medtronic plc, Q3 FY2026 2026 Earnings Call

Our innovation pipeline and portfolio breadth give us confidence in our ability to sustain long-term growth.

— Medtronic plc, Q3 FY2026 2026 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.

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