Medtronic(US:MDT)2025-05-21 10:47Financial Performance - Q4 revenue reached $8.9 billion, a 3.9% increase as reported and 5.4% organic growth[3] - Q4 GAAP diluted EPS was $0.82, up 67%, while non-GAAP diluted EPS increased 11% to $1.62[3] - FY25 revenue totaled $33.5 billion, reflecting a 3.6% increase as reported and 4.9% organic growth[5] - FY25 GAAP diluted EPS rose 31% to $3.61, with non-GAAP diluted EPS increasing 6% to $5.49[8] - The company reported a total revenue of $33,537 million for FY25, a 3.6% increase from $32,364 million in FY24[44] - Net income for Q4 FY25 was $1,061 million, up from $659 million in Q4 FY24, marking a significant increase[58] - Basic earnings per share for Q4 FY25 were $0.82, compared to $0.49 in Q4 FY24, indicating strong earnings growth[58] - For the fiscal year ended April 25, 2025, total net sales reached $33,537 million, a 3.61% increase from $32,364 million in the previous fiscal year[69] - The diluted EPS for the fiscal year was $5.49, compared to $5.20 in the previous year, marking a 5.58% increase[69] Segment Performance - The Cardiovascular Portfolio generated FY25 revenue of $12.481 billion, a 5.5% increase as reported and 6.3% organic growth[14] - Cardiovascular segment revenue increased by 6.6% to $3,336 million in the fourth quarter of FY25, with organic growth of 7.8%[44] - Cardiac Rhythm & Heart Failure segment saw a revenue increase of 9.2% to $1,733 million in the fourth quarter, with organic growth of 10.3%[44] - Diabetes segment revenue grew by 10.4% to $728 million in the fourth quarter, with organic growth of 12.0%[44] - Neuroscience segment revenue increased by 2.9% to $2,620 million in the fourth quarter, with organic growth of 3.7%[44] - Cardiovascular segment revenue for FY25 reached $5,804 million, with an organic growth of 3.7% from FY24's $5,597 million[49] - Neuroscience segment reported revenue of $6,713 million for FY25, reflecting a 6.5% increase from FY24's $6,305 million[49] - Diabetes segment revenue grew by 8.3% in FY25, totaling $923 million compared to $852 million in FY24[49] Cash Flow and Shareholder Returns - Q4 cash from operations was $7.0 billion, with free cash flow of $5.2 billion[5] - The company returned $6.3 billion to shareholders in FY25, marking the 48th consecutive year of dividend increases[5] - The company reported a free cash flow of $5,185 million for the fiscal year 2025, slightly down from $5,200 million in 2024[85] Future Guidance - FY26 organic revenue growth is projected at approximately 5%, with reported growth expected between 4.8% and 5.1%[26] - FY26 diluted non-GAAP EPS is guided to be in the range of $5.50 to $5.60, considering potential tariff impacts[28] - The company plans to report its FY26 quarterly results on August 19, November 18, February 17, and May 20, 2026[31] - The company plans to separate its Diabetes business into a standalone public company within 18 months[21] Operational Insights - Medtronic's management emphasizes the importance of non-GAAP financial measures for understanding operational performance and trends[38] - Forward-looking statements indicate potential risks related to competitive factors and economic conditions that may impact future performance[35] - Research and development expenses for FY25 were $2,732 million, slightly down from $2,735 million in FY24[58] Balance Sheet Highlights - Cash and cash equivalents increased to $2,218 million as of April 25, 2025, compared to $1,284 million a year earlier[89] - Total assets rose to $91,680 million as of April 25, 2025, up from $89,981 million on April 26, 2024[89] - Current liabilities increased to $12,879 million from $10,789 million year-over-year[89] - Long-term debt increased to $25,642 million from $23,932 million in the previous year[89] - The company experienced a net income of $4,691 million for the fiscal year 2025, compared to $3,705 million in 2024[91] - The company recognized $151 million of accelerated amortization on certain intangible assets related to product line exits within the Cardiovascular Segment[70]