Medtronic plc (MDT) has updated its fiscal 2025 non-GAAP EPS guidance, now forecasting a range between $5.44 and $5.50, compared to the previous estimate of $5.42 to $5.50. This revised forecast reflects an anticipated non-GAAP EPS growth of 4.6% to 5.8%. Additionally, the company has increased its expectations for organic revenue growth to between 4.75% and 5%, up from the earlier range of 4.5% to 5%. When accounting for other revenue streams and the influence of foreign currency exchange—assuming current exchange rates remain stable—adjusted revenue growth is projected to fall between 3.4% and 3.9%.
Gary Corona, the interim CFO, remarked: "With the diminishing impact from foreign currency, we anticipate achieving high-single-digit growth in adjusted EPS during the latter half of our fiscal year. This aligns with our long-term objective to maintain durable, mid-single-digit organic revenue growth with EPS leverage."
**Second Quarter Results:**
For the second quarter, Medtronic reported a GAAP net income of $1.270 billion and earnings per share (EPS) of $0.99, marking increases of 40% and 46%, respectively. In contrast, non-GAAP net income stood at $1.620 billion, with a non-GAAP EPS of $1.26—reflecting a 3% decrease and a 1% increase, respectively. On a constant currency basis, non-GAAP adjusted EPS saw an 8% growth. Analysts, as polled by Thomson Reuters, had on average projected earnings of $1.25 per share, typically excluding special items from their estimates. The company reported worldwide revenue for the second quarter of $8.403 billion, representing a 5.3% increase as reported and a 5.0% rise on an organic basis. This surpassed analysts' average revenue estimate of $8.27 billion.
