Medtronic (MDT) official guidance

By the end of the fiscal year, we expect Hugo to surpass 50,000 completed procedures with procedure growth continuing at more than twice the market rate.

Given the strength in the first quarter, we're also raising our fiscal 2027 guidance range to $5.94-$6.

For the second quarter, we expect EPS in the range of $1.32-$1.34, which includes a roughly neutral impact from foreign exchange at recent rates.

Based on recent FX rates, we expect foreign exchange to be a roughly $50 million-$150 million headwind for the full year, with approximate $25 million-$75 million headwinds in 2Q.

Based on recent FX rates, we expect foreign exchange to be a roughly $50 million-$150 million headwind for the full year, with approximate $25 million-$75 million headwinds in 2Q.

These businesses are demonstrating strong early traction, and while not reflected in our organic growth today, they're expected to contribute over $150 million to inorganic growth in fiscal year 2027.

Taken together, we expect fiscal year 2027 operating profit to grow approximately 10%, with operating margin expanding approximately 50 basis points year-over-year.

Taken together, we expect fiscal year 2027 operating profit to grow approximately 10%, with operating margin expanding approximately 50 basis points year-over-year.

On the top line, we're pleased with the strong performance in the first quarter and are raising our fiscal year 2027 organic revenue growth guidance to 7.25%-7.75%, which represents a 50 basis points increase from our prior guidance.

In the second quarter, we're expecting roughly 6% organic revenue growth.

By the end of the fiscal year, we expect Hugo to surpass 50,000 completed procedures with procedure growth continuing at more than twice the market rate.

In Neurovascular, we see an acceleration here in the back half of the year, getting that business to mid-single digit.

The broader EP space remains healthy, growing in the mid-teens, and we continue to expect CAS to grow at more than 2.5x the market rate this fiscal year.

We expect it to be north of 3x the market in the second quarter.

The company also raised its FY27 diluted non-GAAP EPS guidance to the new range of $5.94 to $6.00 versus the prior $5.90 to $6.00.

For the first quarter, we would expect EPS in the range of $1.38-$1.40, including a 600-700 basis points benefit from the extra selling week, as well as roughly neutral impact from foreign exchange at recent rates.

Including tariffs, we expect fiscal year 2027 gross margin to decrease by roughly 20 basis points.

Moving down the P&L, we expect our fiscal 2027 margin to be roughly in line with the previous year, excluding tariffs.

Overall, we expect our fiscal 2027 operating margin to be up 60 basis points, driven by the absence of Blackstone milestone payments we saw this year and operating leverage.

Today, we're guiding fiscal year 2027 organic revenue growth of 6.75% to 7.25%, including approximately 11.5%-12% organic growth in the first quarter.

We anticipate a tariff impact to COGS of approximately $250 million in total, including $75 million in the first quarter.

We anticipate a tariff impact to COGS of approximately $250 million in total, including $75 million in the first quarter.

These arrangements are not expected to have an impact on Medtronic’s results for fiscal year 2027.

As a result of the foregoing factors related to MiniMed that are expected to have an impact in the fourth quarter of fiscal year 2026, on March 24, 2026, Medtronic announced that it now expects non-GAAP earnings per share (EPS) for fiscal year 2026 to be in the range of $5.50 to $5.54, a revision from the Q3 earnings call EPS guidance of $5.62 to $5.66.

The Company’s guidance for fiscal year 2027 of high single-digit EPS growth remains unchanged, and is based upon the prior guidance from the Q3 earnings call, prior to the MiniMed-related updates announced here.

This will result in an aggregate dilutive impact of $0.04 per share during the fourth quarter of fiscal year 2026, which ends on April 24, 2026.

In addition, as previously disclosed during the Company’s Q3 earnings call, the timing of the March 9, 2026 closing of the initial public offering (IPO) of 10% of MiniMed is expected to result in dilution of approximately $0.02 per share to Medtronic shareholders for each month of the quarter following the IPO. This will result in an aggregate dilutive impact of $0.04 per share during the fourth quarter of fiscal year 2026, which ends on April 24, 2026.

MiniMed is expected to recognize a one-time charge of $157 million in the fourth quarter of fiscal year 2026 related to the series of future payments due to Blackstone, which is expected to result in an $0.08 per share impact to Medtronic’s consolidated results for the fourth quarter of fiscal year 2026, based on Medtronic’s 90% ownership interest in MiniMed.

MiniMed is expected to recognize a one-time charge of $157 million in the fourth quarter of fiscal year 2026 related to the series of future payments due to Blackstone, which is expected to result in an $0.08 per share impact to Medtronic’s consolidated results for the fourth quarter of fiscal year 2026, based on Medtronic’s 90% ownership interest in MiniMed.

And we've also embedded in the guidance, $0.04-$0.05 of dilution coming from M&A activity.

between the moment we do the IPO and the moment we do the split, you should expect some dilution to the tune of $0.01-$0.02 per month.

Including tariffs, we expect fiscal 2026 gross margin decrease of roughly 30 basis points.

Moving down the P&L, we expect our fiscal 2026 gross margin to increase slightly ex tariffs.

In totality, we expect these results to deliver gross margin and operating margin leverage ex tariffs in the H2 of fiscal year 2026, as we stated last quarter.

We expect fiscal 2026 adjusted operating profit to grow approximately 5% or 7% excluding tariffs.

We expect fiscal 2026 adjusted operating profit to grow approximately 5% or 7% excluding tariffs.

Our fiscal 2026 operating margin is expected to be roughly flat, excluding tariffs, and down about 50 basis points, including the tariff impact.

Our fiscal 2026 operating margin is expected to be roughly flat, excluding tariffs, and down about 50 basis points, including the tariff impact.

In totality, we expect these results to deliver gross margin and operating margin leverage ex tariffs in the H2 of fiscal year 2026, as we stated last quarter.

On the top line, we're reiterating fiscal 2026 organic revenue growth guidance of approximately 5.5%.

We have a long runway ahead to expand our footprint and deepen our penetration, and we remain on track to double our revenue in this business, delivering $2 billion trailing in total CAS revenue by H1 of fiscal year 2027.

In the Q4, we expect revenue growth similar to Q3, so around 6% off a stronger Q4 2025 comp.

We anticipate a tariff impact to COGS of approximately $185 million, including $75 million in the Q4.

We anticipate a tariff impact to COGS of approximately $185 million, including $75 million in the Q4.

I think the way to think about that is about $75 million per quarter.

This includes a potential impact from tariffs of approximately $185 million, unchanged from the prior guidance.

For Q3, we expect EPS in the range of $1.32-$1.34.

Based on recent rates, we now see an FX tailwind to fiscal 2026 revenue of $625 million-$725 million, including a $150 million-$200 million tailwind in the third quarter.

Based on recent rates, we now see an FX tailwind to fiscal 2026 revenue of $625 million-$725 million, including a $150 million-$200 million tailwind in the third quarter.

In the third quarter, we're also expecting approximately 5.5% growth, and Q4 will be even stronger.

We anticipate a tariff impact to COGS of approximately $185 million, including $90-$95 million in the third quarter.