Medtronic Plc (NYSE:MDT) on Tuesday reported strong second-quarter 2026 results, with sales hitting $8.96 billion, surpassing the consensus estimate of $8.87 billion. This marks a 6.6% increase year-over-year, with organic growth of 5.5%.
Adjusted earnings of $1.36 per share also beat expectations of $1.31.
Cardiovascular Portfolio revenue reached $3.436 billion, up 10.8% (+9.3% organic), with a mid-teens increase in Cardiac Rhythm & Heart Failure, a high-single digit increase in Structural Heart & Aortic, and a low-single digit increase in Coronary & Peripheral Vascular.
Also Read: Analyst Sees Strong Medtronic Momentum Through 2026 With Buy Rating Intact
Neuroscience revenue increased 4.5% (+3.9%) to $2.562 billion, with a high-single digit increase in Neuromodulation, a mid-single digit increase in Cranial & Spinal Technologies, and flat results in Specialty Therapies.
Medical Surgical sales jumped 2.1% (+1.3%) to $2.171 billion, with low-single digit organic increases in both Surgical & Endoscopy and Acute Care & Monitoring.
Diabetes business revenue of $757 million, an increase of 10.3% as reported and 7.1% organic.
“…Overall, procedure volumes and our end markets are robust, and we’re executing well across the business,” said Geoff Martha, Medtronic chairman and CEO.
“In the second quarter, we drove underlying efficiency gains in our gross margin, significantly increased R&D to fuel our future growth, as well as strategically increased investment in sales and marketing for our growth programs in light of the outsized demand and building momentum for key programs,” said Thierry Piéton, Medtronic’s CFO. “Given our outperformance in the first half of the year and confidence we have in our revenue growth acceleration, we are raising today our full-year revenue and EPS guidance.”
Outlook
Medtronic raised its fiscal year 2026 organic revenue growth guidance to 5.5% from 5%.
The medical devices giant raised adjusted earnings for fiscal 2026 to $5.62-$5.66 per share, versus the prior $5.60-$5.66, and the consensus of $5.63.
The guidance includes a potential impact from tariffs of approximately $185 million, unchanged from the prior guidance.
Excluding the potential impact from tariffs, the guidance represents fiscal 2026 diluted adjusted earnings per share growth of approximately 4.5%.
Price Action: MDT stock was trading higher by 4.28% to $100.40 premarket at last check Tuesday.
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