Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Medtronic's Q1 FY2027 was defined by a 53-week fiscal year, with the extra week falling in the first quarter and adding an estimated $570 million to reported sales. The company attributed the revenue increase to broad growth across most businesses, led by the Cardiovascular portfolio and the U.S. launch of MiniMed Flex with Simplera Sync. Net income and diluted EPS rose substantially, while operating cash flow also improved sharply. The main tensions are ongoing global trade-policy uncertainty, including tariff exposure, and execution risk around the planned separation of the Diabetes business.
Revenue
$9.76B
+13.73% YoY
EPS (Diluted)
$1.14
+40.74% YoY
Operating Income
$1.76B
+22.08% YoY
Source: SEC XBRL
Medtronic (MDT) reported Q1 FY2027 revenue of $9.76B, up 13.7% year over year. Operating margin was 18.1%, up 1.3 points from 16.8% a year earlier. Operating cash flow was $1.79B, up 64.8% year over year. MDT's fiscal Q1 FY2027 corresponds to calendar Q3 2026.
Last 4 quarters: 3 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Sep 2026This filing | 1.45 | 1.40 | Beat +3.4% |
| Jun 2026 | 1.55 | 1.56 | Miss -0.4% |
| Mar 2026 | 1.36 | 1.35 | Beat +0.9% |
| Dec 2025 | 1.36 | 1.33 | Beat +2.4% |
Adjusted (non-GAAP) EPS of $1.45 versus the $1.40 analyst consensus — a +3.4% beat for Sep 2026. Analyst consensus is quoted on the adjusted (non-GAAP) basis the street uses. GAAP diluted EPS for this quarter was $1.14.
5 reported segments · SEC XBRL
Segment revenue totals $9.76B, which is the $9.76B of consolidated revenue on the income statement.
Compiled by AI from 10-Q Item 2 of this filing
Fiscal year 2027 is a 53-week year, with the extra week occurring in the first fiscal month of Q1; management estimates the extra week added approximately $570 million to reported sales growth.
Source: 10-Q Item 2 MD&A
Cardiovascular net sales increased 20% in Q1 FY2027, driven by 30% growth in Electrophysiology Therapies, including the pulsed field ablation portfolio and cardiac rhythm management.
Source: 10-Q Item 2 MD&A
Diabetes net sales increased 17%, driven by the U.S. commercial launch of MiniMed Flex with Simplera Sync and continued international adoption of MiniMed 780G AID.
Source: 10-Q Item 2 MD&A
GAAP diluted EPS was $1.14, while non-GAAP diluted EPS was $1.45 after excluding amortization of intangible assets, restructuring, acquisition/divestiture items, and minority investment gains.
Source: 10-Q Item 2 MD&A
Free cash flow was $1.29 billion, up from $584 million in the prior-year quarter, driven by higher operating cash flow while capital expenditures remained flat.
Source: 10-Q Item 2 MD&A
Compiled by AI from this SEC filing · 0 high, 4 medium, 1 low
Cardiovascular accounted for roughly 40% of segment revenue and grew 19.5% YoY, while most other segments grew around 10%. A slowdown in this segment would materially reduce total company growth.
Source: 10-Q Segment Reporting (XBRL)
Debt-to-equity was 0.85, with total liabilities of $42.5B against equity of $50.2B, indicating moderate leverage that could amplify earnings sensitivity to rate changes.
Source: 10-Q Balance Sheet (XBRL)
Investing cash flow was -$1.62B in Q1 FY2027, reflecting acquisition spending, while restructuring charges and amortization of intangibles remain significant. Failed integration or slower synergy realization could harm results.
Source: 10-Q Cash Flow Statement (XBRL)
Cash and equivalents were $1.69B at quarter-end against current liabilities of $11.80B; the current ratio of 2.07 relies on other current assets. A deterioration in receivables or inventories could tighten liquidity.
Source: 10-Q Balance Sheet (XBRL)
Cost of revenue rose 13.8% and SG&A rose 14.0%, both slightly faster than revenue growth of 13.7%, while operating margin improved only modestly. Persistent cost inflation or tariff effects could compress margins further.
Source: 10-Q Income Statement (XBRL)
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 9.76 $B | 8.58 $B | +13.73% |
Cost of Revenue $B | 3.42 $B | 3.00 $B | +13.83% |
Operating Income $B | 1.76 $B | 1.45 $B | +22.08% |
Net Income $B | 1.47 $B | 1.04 $B | +41.35% |
EPS (Basic) $ | 1.15 $ | 0.81 $ | +41.98% |
EPS (Diluted) $ | 1.14 $ | 0.81 $ | +40.74% |
SG&A Expense $B | 3.20 $B | 2.81 $B | +13.97% |
Answers draw on this SEC filing and the data on this page
In Q3 FY2026, MDT reported a revenue increase of 8.7% but faced declining operating and net income due to rising costs, impacting margins and earnings per share.
Medtronic delivered solid FY2026 results with revenue growing 8.4% to $36.4B and operating cash flow rising 4.1% to $7.3B, though net income growth lagged at 3.0% due to higher operating expenses.
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