Medtronic plc (NYSE: MDT) has reported its financial results for the first quarter (Q1) of fiscal year 2025, which ended on July 26, 2024. The company recorded a revenue of $7.9 billion, with adjusted revenue reaching $8.0 billion, marking a 2.8% increase as reported and a 5.3% organic increase. Additionally, the GAAP diluted earnings per share (EPS) stood at $0.80, while the non-GAAP diluted EPS was reported at $1.23.
The cardiovascular portfolio saw revenue of $3.007 billion, reflecting a 5.5% increase as reported and a 6.9% organic increase. This growth was driven by high-single digit growth in cardiac rhythm management and low-double digit growth in cardiac pacing therapies, including low-20s growth in Micra™ transcatheter pacing systems. Furthermore, the structural heart & aortic division experienced low-double digit cardiac surgery and high-single digit structural heart growth, excluding congenital.
In the neuroscience portfolio, revenue amounted to $2.317 billion, up 4.4% as reported and 5.3% organic. Notably, neuromodulation exhibited mid-teens growth in brain modulation due to the continued launch of the Percept™ RC deep brain stimulator with BrainSense™ technology, while pain therapies grew high-single digits, including low-double digit growth in pain stimulation following the U.S. launch of the InFlectiv™ spinal cord stimulator.
The medical surgical portfolio, which includes the surgical & endoscopy and the acute care & monitoring divisions, reported revenue of $1.996 billion, representing a 0.4% decrease as reported and a 1.0% organic increase. This growth was driven by low-single digit growth in both advanced surgical technologies and general surgical technologies.
The diabetes segment recorded revenue of $647 million, marking an 11.8% increase as reported and a 12.6% organic increase. Notably, U.S. revenue grew mid-teens, driven by the continued adoption of the MiniMed™ 780G automated insulin delivery system, including low-thirties continuous glucose monitoring (CGM) growth.
In response to its Q1 performance, Medtronic has raised its fiscal year 2025 organic revenue growth guidance to 4.5% to 5% from the previous range of 4% to 5%. The company has also adjusted its diluted non-GAAP EPS guidance to the new range of $5.42 to $5.50, representing an estimated -5% impact from foreign currency exchange based on recent rates.
These results demonstrate Medtronic's strong performance across its diverse health tech portfolio, driven by product innovation and growth acceleration in key segments. The market has reacted to these announcements by moving the company's shares 0.3% to a price of $84.82. Check out the company's full 8-K submission here.
