Medtronic Reports $9.76 Billion Revenue, Raises FY2027

Medtronic has raised its fiscal 2027 revenue-growth forecast and increased the lower end of its adjusted earnings outlook after reporting strong first-quarter demand across its cardiovascular portfolio. The medical technology company said on September 1 that it now expects organic revenue growth of 7.25% to 7.75%, compared with its previous forecast of 6.75% to 7.25%.

The company also raised its fiscal 2027 diluted non-GAAP earnings-per-share guidance to $5.94 to $6.00, from the earlier range of $5.90 to $6.00. The change lifts the lower end while keeping the upper end unchanged.

First-quarter performance supports higher guidance

For the quarter ended July 31, 2026, Medtronic reported worldwide revenue of $9.756 billion, an increase of 13.7% on both a reported and organic basis. GAAP net income was $1.470 billion, while diluted GAAP EPS reached $1.14. Adjusted net income was $1.860 billion, and adjusted diluted EPS was $1.45.

The quarter contained an extra fiscal week, which Medtronic estimated contributed about $570 million to revenue. Because fiscal 2027 is a 53-week year, the company’s headline growth rate should be read with that timing benefit in mind.

Cardiovascular portfolio leads growth

Cardiovascular was Medtronic’s largest reported portfolio during the quarter. Sales rose 19.5% on a reported basis to $3.927 billion, while organic growth was 18.9%. The company reported broad strength across electrophysiology, interventional cardiology, cardiovascular surgery and peripheral vascular health.

Two heart-device businesses stood out. Cardiac Rhythm Management recorded 15% organic growth, supported by products including EV-ICD, Micra and conduction-system pacing technologies. Cardiac Ablation Solutions grew 88% organically, reflecting demand for the company’s pulsed field ablation portfolio used in the treatment of irregular heart rhythms.

Key first-quarter figures:

• Total revenue: $9.756 billion, up 13.7% reported and organic
• Cardiovascular revenue: $3.927 billion, up 19.5% reported and 18.9% organic
• Adjusted diluted EPS: $1.45, up 15.1%
• New organic revenue-growth outlook: 7.25%–7.75% for fiscal 2027

Growth extends beyond heart devices

Although cardiovascular devices were the main growth driver highlighted in the outlook, Medtronic also reported gains in other businesses. Neuroscience revenue rose 10.3% on a reported basis to $2.678 billion. Medical Surgical revenue increased 10.0% to $2.279 billion, while the Diabetes business generated $843 million in revenue, up 16.9% as reported.

Management said the revised forecast reflects broad performance across the company, not a single product line. Medtronic expects about 6% organic revenue growth in the second quarter and adjusted EPS of $1.32 to $1.34. Full-year guidance continues to include the Diabetes business through the fiscal year-end, although Medtronic has stated that it intends to complete the MiniMed separation before then.

Investments add to the strategic picture

Alongside the earnings update, Medtronic announced an investment of up to $80 million in Pi-Cardia, a developer of technology for heart-valve procedures. Reuters reported that the agreement includes an option to acquire Pi-Cardia for up to $210 million if specified milestones are met.

Medtronic also announced a $700 million strategic partnership with Cornerstone Robotics. The arrangement gives Medtronic rights to distribute Cornerstone’s Sentire robotic surgery system in selected markets outside the United States. This investment is separate from the heart-device demand that drove the quarter, but it supports the company’s wider strategy of investing in higher-growth medical technology platforms.

Outlook and risks

The higher forecast indicates stronger management confidence following the first quarter. However, the outlook remains forward-looking and may change with market conditions, product demand, foreign-exchange movements, tariffs, regulatory developments and the timing of portfolio transactions. Medtronic said recent currency rates could have a neutral to 1% positive impact on adjusted EPS guidance. It expects foreign exchange to be a $50 million to $150 million headwind to full-year revenue.

The first-quarter results show that newer cardiac technologies are becoming an increasingly important part of Medtronic’s growth profile. The sustainability of that momentum will depend on continued clinical adoption, commercial execution and performance across the remainder of fiscal 2027.