The Fridley, Minn.-based medical device giant reported profits of $2.02 billion, or $1.48 per share, on sales of $7.05 billion for the three months ended Oct. 27, for a bottom-line gain of 80.9% on a -4.0% sales decline compared with the same period last year.
Adjusted to exclude one-time items, earnings per share were $1.06, 8¢ ahead of The Street, where analysts were looking for sales of $6.93 billion.
“Our second-quarter financial results are very encouraging, when considered in the context of a quarter in which we faced three hurricanes and the California wildfires. Hurricane Maria, in particular, significantly affected our manufacturing operations in Puerto Rico,” chairman & CEO Omar Ishrak said in prepared remarks. “Against this backdrop, we delivered a sequential acceleration in our organic revenue growth, as expected.”
Medtronic reiterated its adjusted earnings and sales outlook for the remainder of fiscal 2018, saying it still expects to put up adjusted EPS of roughly $4.76 to $4.81 on constant-currency sales growth of 4% to 5%
“We are seeing increased revenue momentum from several important new product launches, which we expect to continue into the second half of the fiscal year,” Ishrak said. “The combination of our growth momentum, business and geographic diversification, as well as our scale in markets around the world contribute to our goal of delivering increasingly consistent and dependable results for our shareholders.”