Medtronic plc: Q3 FY2026 earnings call

What management said about Q3 FY2026, from the documents filed with the SEC on 17 February 2026: press release. Guidance figures: 4 kept. The quarter’s numbers.

Key takeaways

Revenue grew 6.0% organically: Revenue was $9.017 billion, up 8.7% as reported and 6.0% on an organic basis. Organic growth excludes $242 million of favorable currency impact on the remaining segments and $32 million of other revenue. Source
Non-GAAP EPS of $1.36: Non-GAAP diluted EPS was $1.36 and GAAP diluted EPS was $0.89. Non-GAAP net income was $1.750 billion and GAAP net income attributable to Medtronic was $1.143 billion. Source
Cardiac Ablation Solutions up 80%: Pulsed field ablation drove the increase, with U.S. Cardiac Ablation Solutions revenue up 137%. The company attributes the growth to its PFA portfolio. Source
Cardiovascular Portfolio up 10.6% organic: Cardiovascular Portfolio revenue was $3.457 billion, up 13.8% as reported. The segment's growth was led by Cardiac Rhythm & Heart Failure. Source
Hugo cleared by FDA: The U.S. FDA cleared Hugo robotic-assisted surgery in the quarter. First cases were completed in February 2026, the month of the release. Source
Non-GAAP operating margin 24.1%: Non-GAAP operating profit was $2.177 billion, a 24.1% margin. GAAP operating profit was $1.464 billion, a 16.2% margin. Source
Free cash flow $3.341 billion nine months: Nine-month free cash flow was $3.341 billion, up from $3.116 billion. It equals operating cash flow of $4.757 billion less $1.416 billion of property, plant and equipment additions. Source
Two M&A transactions in quarter: The two transactions were CathWorks, in Coronary and Renal Denervation, and Anteris, in Structural Heart. Source

“Our innovation pipeline and portfolio breadth give us confidence in our ability to sustain long-term growth.”
Geoff Martha, Medtronic chairman and chief executive officer

Guidance

Area	Period	Figure	Against last quarter
FY26 organic revenue growth Source	FY26	approximately 5.5%	Kept
FY26 diluted non-GAAP EPS Source	FY26	$5.62 to $5.66	Kept
Potential tariff impact within EPS guidance Source	FY26	approximately $185 million	Kept
FY26 non-GAAP EPS growth excluding tariffs Source	FY26	approximately 4.5%	Kept

What changed from last quarter

Guidance kept: FY26 organic revenue growth and diluted non-GAAP EPS guidance were reiterated rather than raised, compared with the prior quarter. Source
New: The company reported U.S. FDA clearance for Hugo robotic-assisted surgery in the quarter, with first cases completed in the month of the release. Source
New: The company reported U.S. FDA clearance for the Stealth AXiS Surgical System for spinal procedures. Source
New: The company reported CE Mark for Sphere-360 and the start of a U.S. pivotal trial. Source
New: The company reported two transactions in the quarter: CathWorks, in Coronary and Renal Denervation, and Anteris, in Structural Heart. Source

Results and growth drivers

Revenue grew 6.0% organically: Revenue was $9.017 billion, up 8.7% as reported and 6.0% on an organic basis. Organic growth excludes $242 million of favorable currency impact on the remaining segments and $32 million of other revenue. Source
Non-GAAP EPS of $1.36: Non-GAAP diluted EPS was $1.36 and GAAP diluted EPS was $0.89. Non-GAAP net income was $1.750 billion and GAAP net income attributable to Medtronic was $1.143 billion. Source
Cardiac Ablation Solutions up 80%: Pulsed field ablation drove the increase, with U.S. Cardiac Ablation Solutions revenue up 137%. The company attributes the growth to its PFA portfolio. Source
Enterprise growth highest in 10 quarters: The release headline describes enterprise revenue growth as the highest in 10 quarters. Management presented the quarter as accelerated growth alongside continued R&D investment. Source

Segments and regions

Cardiovascular Portfolio up 10.6% organic: Cardiovascular Portfolio revenue was $3.457 billion, up 13.8% as reported. The segment's growth was led by Cardiac Rhythm & Heart Failure. Source
Cardiac Rhythm and Heart Failure led: Cardiac Rhythm & Heart Failure revenue was $1.856 billion, up 20.1% as reported and 17.0% organic. Structural Heart & Aortic and Coronary & Peripheral Vascular grew in the low- and mid-single digits. Source
Neuroscience grew 2.5% organically: Neuroscience Portfolio revenue was $2.558 billion, up 4.1% as reported. Neuromodulation and Cranial & Spinal Technologies each rose mid-single digits organically, and Specialty Therapies was flat. Source
Medical Surgical grew 2.7% organically: Medical Surgical revenue was $2.173 billion, up 4.9% as reported. Acute Care & Monitoring rose high-single digits organically, and Surgical & Endoscopy rose low-single digits. Source
International revenue up 6.1% organic: International revenue was $4.524 billion, up 11.6% as reported and 6.1% organic. U.S. revenue was $4.493 billion, up 6.0%. Source

“This quarter, we again delivered accelerated growth while investing decisively in our future,”
Thierry Piéton, Medtronic chief financial officer

Products and pipeline

Hugo cleared by FDA: The U.S. FDA cleared Hugo robotic-assisted surgery in the quarter. First cases were completed in February 2026, the month of the release. Source
Stealth AXiS cleared for spine: The U.S. FDA cleared the Stealth AXiS Surgical System for spinal procedures in the quarter. Source
Sphere-360 CE Mark and U.S. trial: Sphere-360 received CE Mark, and the company initiated a U.S. pivotal trial in the quarter. Source
Diabetes up 8.3% organically: Diabetes revenue was $796 million, up 14.8% as reported and 8.3% organic, led by double-digit growth in International markets. Source

Costs, margins and pricing

Non-GAAP operating margin 24.1%: Non-GAAP operating profit was $2.177 billion, a 24.1% margin. GAAP operating profit was $1.464 billion, a 16.2% margin. Source
Non-GAAP gross margin 64.9%: Non-GAAP gross margin was 64.9%, against a GAAP gross margin of 63.8%. Non-GAAP cost of products sold was $3.166 billion. Source
Non-GAAP SG&A at 32.3% of sales: Non-GAAP SG&A was $2.914 billion, or 32.3% of net sales, after excluding $35 million of acquisition and divestiture-related items. Source
Restructuring and litigation charges rose: GAAP restructuring charges were $77 million, against $43 million a year earlier. Certain litigation charges were $62 million, against $22 million. Source

“Bottom line, we are executing on our roadmap and positioning the business for sustainable growth.”
Thierry Piéton, Medtronic chief financial officer

Cash flow and capital returns

Free cash flow $3.341 billion nine months: Nine-month free cash flow was $3.341 billion, up from $3.116 billion. It equals operating cash flow of $4.757 billion less $1.416 billion of property, plant and equipment additions. Source
Share repurchases lower than prior year: Repurchases of ordinary shares were $600 million for the nine months, against $2.961 billion a year earlier. Dividends to shareholders were $2.731 billion. Source
Debt repaid and new debt issued: The company paid $2.930 billion on long-term debt and issued $1.747 billion of long-term debt in the nine months. Net change in current debt obligations was $173 million. Source
Capital expenditure similar year on year: Additions to property, plant and equipment were $1.416 billion for the nine months, against $1.400 billion a year earlier. Source

Strategy, deals and workforce

Two M&A transactions in quarter: The two transactions were CathWorks, in Coronary and Renal Denervation, and Anteris, in Structural Heart. Source
Diabetes separation pending: Exit-of-business charges in the reconciliation schedules relate primarily to the impending separation of the Diabetes business. Source
Investing in new markets: The CEO said the company is unlocking new markets and investing in high-growth areas, which he said is accelerating performance across the company. Source
Global workforce and reach: The company describes a global team of 95,000+ people across more than 150 countries, with technologies that treat 70 health conditions. Source

Figures management reported

Figure	Reported
Cardiac Ablation Solutions revenue growth Source	80% (137% in the U.S.)

Risks management discussed

External: Guidance includes a potential tariff impact of approximately $185 million, unchanged from the prior guidance. Source

Earlier plans management reported on

Not stated: Management reiterated the FY26 organic growth and non-GAAP EPS guidance from the prior release. Source
Ahead: Q3 revenue was reported 50 basis points ahead of the Q3 guidance. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

Medtronic reports strong third quarter fiscal 2026 results with highest enterprise revenue growth in 10 quarters

Cardiovascular portfolio up 11% year-over-year; Cardiac Ablation Solutions grew 80% on strength of pulsed field ablation portfolio

GALWAY, Ireland - February 17, 2026 - Medtronic plc (NYSE: MDT), a global leader in healthcare technology, today announced financial results for its third quarter (Q3) of fiscal year 2026 (FY26), which ended January 23, 2026.

Q3 Key Highlights

Revenue of $9.0 billion, increased 8.7% as reported and 6.0% organic, 50 basis points ahead of Q3 guidance
GAAP diluted EPS of $0.89; non-GAAP diluted EPS of $1.36, three cents ahead of Q3 guidance mid-point
Company reiterates FY26 organic revenue growth and EPS guidance
Cardiac Ablation Solutions revenue increased 80%, including 137% in the U.S., on strength of pulsed field ablation (PFA) portfolio
Secured CE Mark for Sphere-360™ and initiated U.S. pivotal trial
Secured U.S. FDA clearance for Hugo™ robotic-assisted surgery; first cases completed this month
Secured U.S. FDA clearance for Stealth AXiS™ Surgical System for spinal procedures
Diabetes revenue increased 8.3% led by double-digit strength in International markets
Executing M&A strategy with two key transactions in the quarter: CathWorks in Coronary and Renal Denervation and Anteris in Structural Heart

“Q3 marks another strong quarter, delivering 6% organic revenue growth, ahead of guidance, demonstrating the strength of our portfolio,” said Geoff Martha, Medtronic chairman and chief executive officer. “By unlocking new markets and investing in high-growth opportunities, we are accelerating performance across the company. Our innovation pipeline and portfolio breadth give us confidence in our ability to sustain long-term growth. It’s an exciting time for Medtronic.”

Financial Results

Medtronic reported Q3 worldwide revenue of $9.017 billion, an increase of 8.7% as reported and 6.0% on an organic basis. The organic revenue growth comparison excludes:

Other revenue of $32 million in the current year and $32 million in the prior year
Revenue from the Dutch Obesity Clinic (NOK) divestiture with no revenue in the current year and $15 million in the prior year
Foreign exchange benefit of $242 million on the remaining segments

Q3 revenue by segment included:

Cardiovascular Portfolio revenue of $3.457 billion, an increase of 13.8% as reported and 10.6% organic, with high-teens increase in Cardiac Rhythm & Heart Failure, low-single digit increase in Structural Heart & Aortic, and mid-single digit increase in Coronary & Peripheral Vascular, all on an organic basis
Neuroscience Portfolio revenue of $2.558 billion, an increase of 4.1% reported and 2.5% organic, with mid-single digit increase in Neuromodulation, mid-single digit increase in Cranial & Spinal Technologies, and flat result in Specialty Therapies, all on an organic basis
Medical Surgical Portfolio revenue of $2.173 billion, an increase of 4.9% as reported and 2.7% organic, with low-single digit increase in Surgical & Endoscopy, and high-single digit increase in Acute Care & Monitoring, all on an organic basis
Diabetes business revenue of $796 million, an increase of 14.8% as reported and 8.3% organic

Q3 GAAP operating profit and operating margin were $1.464 billion and 16.2%, respectively. As detailed in the financial schedules included at the end of the release, Q3 non-GAAP operating profit and operating margin were $2.177 billion and 24.1%, respectively.

Q3 GAAP net income and diluted earnings per share (EPS) were $1.143 billion and $0.89, respectively. As detailed in the financial schedules included at the end of this release, Q3 non-GAAP net income and non-GAAP diluted EPS were $1.750 billion and $1.36, respectively.

Guidance

The company reiterates its FY26 organic revenue growth of approximately 5.5% and diluted non-GAAP EPS guidance of $5.62 to $5.66. This includes a potential impact from tariffs of approximately $185 million, unchanged from the prior guidance. Excluding the potential impact from tariffs, this guidance represents FY26 diluted non-GAAP EPS growth of approximately 4.5%.

“This quarter, we again delivered accelerated growth while investing decisively in our future,” said Thierry Piéton, Medtronic chief financial officer. “We continued to invest in R&D to strengthen our innovation pipeline, funded significant growth opportunities while driving G&A leverage, and we executed on our M&A and venture strategy with two key transactions in the quarter. Bottom line, we are executing on our roadmap and positioning the business for sustainable growth.”

Video Webcast Information

Medtronic will host a video webcast today, February 17, at 8:00 a.m. EST (7:00 a.m. CST) to provide information about its business for the public, investors, analysts, and news media. This webcast can be accessed by clicking on the Quarterly Earnings icon at investorrelations.medtronic.com, and this earnings release will be archived at news.medtronic.com. Within 24 hours of the webcast, a replay of the webcast and transcript of the company’s prepared remarks will be available by clicking on the Past Events and Presentations link under the News & Events drop-down at investorrelations.medtronic.com.

Financial Schedules

The third quarter financial schedules and non-GAAP reconciliations can be viewed by clicking on the Quarterly Earnings link at investorrelations.medtronic.com.

About Medtronic

Bold thinking. Bolder actions. We are Medtronic. Medtronic plc, headquartered in Galway, Ireland, is the leading global healthcare technology company that boldly attacks the most challenging health problems facing humanity by searching out and finding solutions. Our Mission - to alleviate pain, restore health, and extend life - unites a global team of 95,000+ passionate people across more than 150 countries. Our technologies and therapies treat 70 health conditions and include cardiac devices, surgical robotics, insulin pumps, surgical tools, patient monitoring systems, and more. Powered by our diverse knowledge, insatiable curiosity, and desire to help all those who need it, we deliver innovative technologies that transform the lives of two people every second, every hour, every day. Expect more from us as we empower insight-driven care, experiences that put people first, and better outcomes for our world. In everything we do, we are engineering the extraordinary. For more information on Medtronic (NYSE: MDT), visit www.Medtronic.com and follow on LinkedIn.

FORWARD LOOKING STATEMENTS

Forward-looking statements notice

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are subject to risks and uncertainties, including risks related to competitive factors, difficulties and delays inherent in the development, manufacturing, marketing and sale of medical products, government regulation, geopolitical conflicts, changing global trade policies, material acquisition and divestiture transactions, general economic conditions, and other risks and uncertainties described in the company’s periodic reports on file with the U.S. Securities and Exchange Commission including the most recent Annual Report on Form 10-K of the company. In some cases, you can identify these statements by forward-looking words or expressions, such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “forecast,” “intend,” “looking ahead,” “may,” “plan,” “possible,” “potential,” “project,” “should,” “going to,” “will,” and similar words or expressions, the negative or plural of such words or expressions and other comparable terminology. Actual results may differ materially from anticipated results. Medtronic does not undertake to update its forward-looking statements or any of the information contained in this press release, including to reflect future events or circumstances.

NON-GAAP FINANCIAL MEASURES

This press release contains financial measures, including adjusted net income, adjusted diluted EPS, and organic revenue, which are considered “non-GAAP” financial measures under applicable SEC rules and regulations. References to quarterly or annual figures increasing, decreasing or remaining flat are in comparison to fiscal year 2025, and references to sequential changes are in comparison to the prior fiscal quarter. Unless stated otherwise, quarterly and annual rates and ranges are given on an organic basis.

Medtronic management believes that non-GAAP financial measures provide information useful to investors in understanding the company’s underlying operational performance and trends and to facilitate comparisons with the performance of other companies in the med tech industry. Non-GAAP net income and diluted EPS exclude the effect of certain charges or gains that contribute to or reduce earnings but that result from transactions or events that management believes may or may not recur with similar materiality or impact to operations in future periods (Non-GAAP Adjustments). Medtronic generally uses non-GAAP financial measures to facilitate management’s review of the operational performance of the company and as a basis for strategic planning. Non-GAAP financial measures should be considered supplemental to and not a substitute for financial information prepared in accordance with U.S. generally accepted accounting principles (GAAP), and investors are cautioned that Medtronic may calculate non-GAAP financial measures in a way that is different from other companies. Management strongly encourages investors to review the company’s consolidated financial statements and publicly filed reports in their entirety. Reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the financial schedules accompanying this press release.

Medtronic calculates forward-looking non-GAAP financial measures based on internal forecasts that omit certain amounts that would be included in GAAP financial measures. For instance, forward-looking organic revenue growth guidance excludes the impact of foreign currency fluctuations, as well as significant acquisitions, divestitures, or other significant discrete items. Forward-looking diluted non-GAAP EPS guidance also excludes other potential charges or gains that would be recorded as Non-GAAP Adjustments to earnings during the fiscal year. Medtronic does not attempt to provide reconciliations of forward-looking non-GAAP EPS guidance to projected GAAP EPS guidance because the combined impact and timing of recognition of these potential charges or gains is inherently uncertain and difficult to predict and is unavailable without unreasonable efforts. In addition, the company believes such reconciliations would imply a degree of precision and certainty that could be confusing to investors. Such items could have a substantial impact on GAAP measures of financial performance.

FINANCIAL SCHEDULES	Page
World Wide Revenue	8
U.S. Revenue	9
International Revenue	10
Consolidated Statements of Income	11
GAAP to Non-GAAP Reconciliations	12
Consolidated Statements of Cash Flows	16

MEDTRONIC PLC

WORLD WIDE REVENUE

	THIRD QUARTER							YEAR-TO-DATE
	REPORTED				ORGANIC			REPORTED					ORGANIC
(in millions)	FY26	FY25	Growth	Currency Impact	FY26	FY25	Growth	FY26	FY25	Growth		Currency Impact	FY26	FY25	Growth
Cardiovascular	$3,457	$3,037	13.8%	$99	$3,359	$3,037	10.6%	$10,179	$9,145	11.3%		$213	$9,966	$9,145	9.0%
Cardiac Rhythm & Heart Failure	1,856	1,545	20.1	48	1,808	1,545	17.0	5,394	4,659	15.8		107	5,287	4,659	13.5
Structural Heart & Aortic	929	874	6.3	32	897	874	2.6	2,814	2,610	7.8		71	2,743	2,610	5.1
Coronary & Peripheral Vascular	672	618	8.8	18	654	618	5.9	1,971	1,876	5.0		35	1,935	1,876	3.1
Neuroscience	2,558	2,458	4.1	38	2,520	2,458	2.5	7,536	7,226	4.3		81	7,455	7,226	3.2
Cranial & Spinal Technologies	1,310	1,250	4.8	13	1,296	1,250	3.7	3,819	3,632	5.1		31	3,788	3,632	4.3
Specialty Therapies	746	732	1.9	15	731	732	(0.2)	2,191	2,181	0.4		28	2,163	2,181	(0.8)
Neuromodulation	503	476	5.8	10	493	476	3.6	1,527	1,413	8.1		22	1,504	1,413	6.5
Medical Surgical	2,173	2,072	4.9	61	2,112	2,057	2.7	6,428	6,196	3.7		128	6,295	6,164	2.1
Surgical & Endoscopy	1,654	1,596	3.6	51	1,603	1,581	1.4	4,945	4,790	3.2		106	4,834	4,758	1.6
Acute Care & Monitoring	519	476	9.1	10	509	476	7.0	1,483	1,406	5.5		22	1,461	1,406	3.9
Diabetes	796	694	14.8	44	751	694	8.3	2,274	2,027	12.2		90	2,184	2,027	7.8
Total Reportable Segments	8,985	8,260	8.8	242	8,743	8,245	6.0	26,417	24,593	7.4		512	25,901	24,562	5.4
Other	32	32	3.0	-	-	-	-	140	17		NM	4	-	-	-
TOTAL	$9,017	$8,292	8.7%	$243	$8,743	$8,245	6.0%	$26,557	$24,610	7.9%		$516	$25,901	$24,562	5.4%

See description of non-GAAP financial measures contained in the press release dated February 17, 2026.

(1)The data in this schedule has been intentionally rounded to the nearest million and, therefore, may not sum. Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.

(2)Includes the historical operations and ongoing transition agreements from businesses the Company has exited or divested, and for the year-to-date figures, adjustments to the Company's Italian payback accruals resulting from the two July 22, 2024 rulings by the Constitutional Court and the Legislative Decree published by the Italian government on June 30, 2025 for certain prior years since 2015.

(3)Not meaningful (NM).

(4)The currency impact to revenue measures the change in revenue between current and prior year periods using constant exchange rates.

(5)The three months ended January 23, 2026 excludes $275 million of revenue adjustments, including $32 million of inorganic revenue for the transition activity noted in (2) and $242 million of favorable currency impact on the remaining segments. The three months ended January 24, 2025 excludes $47 million of revenue adjustments, including $32 million of inorganic revenue related to the transition activity noted in (2) and $15 million of inorganic revenue related to a sale of business in the Surgical and Endoscopy division.

(6)The nine months ended January 23, 2026 excludes $656 million of revenue adjustments, including $39 million reduction in the Italian payback accruals due to changes in estimates further described in note (2), $101 million of inorganic revenue for the transition activity noted in (2), $5 million of inorganic revenue related to a sale of business in the Surgical and Endoscopy division, and $512 million of favorable currency impact on the remaining segments. The nine months ended January 24, 2025 excludes $48 million of revenue adjustments, including $90 million of incremental Italian payback accruals further described in note (2), $106 million of inorganic revenue related to the transition activity noted in (2), and $31 million of inorganic revenue related to a sale of business in the Surgical and Endoscopy division.

MEDTRONIC PLC

U.S. REVENUE(1)(2)

	THIRD QUARTER						YEAR-TO-DATE
	REPORTED			ORGANIC			REPORTED			ORGANIC
(in millions)	FY26	FY25	Growth	FY26	FY25	Growth	FY26	FY25	Growth	FY26	FY25	Growth
Cardiovascular	$1,589	$1,405	13.1%	$1,589	$1,405	13.1%	$4,660	$4,242	9.9%	$4,660	$4,242	9.9%
Cardiac Rhythm & Heart Failure	953	775	23.0	953	775	23.0	2,708	2,309	17.3	2,708	2,309	17.3
Structural Heart & Aortic	367	372	(1.4)	367	372	(1.4)	1,128	1,129	-	1,128	1,129	-
Coronary & Peripheral Vascular	269	258	4.2	269	258	4.2	824	804	2.5	824	804	2.5
Neuroscience	1,709	1,689	1.2	1,709	1,689	1.2	5,063	4,931	2.7	5,063	4,931	2.7
Cranial & Spinal Technologies	977	943	3.6	977	943	3.6	2,833	2,724	4.0	2,833	2,724	4.0
Specialty Therapies	402	419	(4.0)	402	419	(4.0)	1,204	1,235	(2.5)	1,204	1,235	(2.5)
Neuromodulation	330	327	1.1	330	327	1.1	1,026	972	5.6	1,026	972	5.6
Medical Surgical	929	893	4.1	929	893	4.1	2,756	2,718	1.4	2,756	2,718	1.4
Surgical & Endoscopy	634	623	1.7	634	623	1.7	1,920	1,928	(0.4)	1,920	1,928	(0.4)
Acute Care & Monitoring	295	269	9.5	295	269	9.5	836	790	5.8	836	790	5.8
Diabetes	248	236	4.9	248	236	4.9	695	683	1.7	695	683	1.7
Total Reportable Segments	4,475	4,223	6.0	4,475	4,223	6.0	13,174	12,573	4.8	13,174	12,573	4.8
Other	18	15	23.4	-	-	-	60	51	16.8	-	-	-
TOTAL	$4,493	$4,237	6.0%	$4,475	$4,223	6.0%	$13,234	$12,624	4.8%	$13,174	$12,573	4.8%

See description of non-GAAP financial measures contained in the press release dated February 17, 2026.

(1)U.S. includes the United States and U.S. territories.

(2)The data in this schedule has been intentionally rounded to the nearest million and, therefore, may not sum. Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.

(3)Includes historical operations and ongoing transition agreements from businesses the Company has exited or divested.

MEDTRONIC PLC

INTERNATIONAL REVENUE

	THIRD QUARTER							YEAR-TO-DATE
	REPORTED				ORGANIC			REPORTED					ORGANIC
(in millions)	FY26	FY25	Growth	Currency Impact	FY26	FY25	Growth	FY26	FY25	Growth		Currency Impact	FY26	FY25	Growth
Cardiovascular	$1,868	$1,632	14.5%	$99	$1,770	$1,632	8.5%	$5,519	$4,904	12.5%		$213	$5,306	$4,904	8.2%
Cardiac Rhythm & Heart Failure	903	770	17.3	48	855	770	11.0	2,686	2,350	14.3		107	2,580	2,350	9.8
Structural Heart & Aortic	562	502	12.0	32	530	502	5.5	1,686	1,482	13.8		71	1,615	1,482	9.0
Coronary & Peripheral Vascular	403	360	12.2	18	385	360	7.1	1,146	1,072	6.9		35	1,111	1,072	3.6
Neuroscience	849	769	10.4	38	811	769	5.4	2,474	2,295	7.8		81	2,392	2,295	4.2
Cranial & Spinal Technologies	333	307	8.4	13	320	307	4.1	985	907	8.6		31	955	907	5.2
Specialty Therapies	343	313	9.7	15	328	313	5.0	987	947	4.3		28	959	947	1.3
Neuromodulation	173	149	16.0	10	163	149	9.1	501	441	13.5		22	478	441	8.4
Medical Surgical	1,244	1,180	5.5	61	1,183	1,165	1.6	3,671	3,478	5.6		128	3,539	3,447	2.7
Surgical & Endoscopy	1,020	973	4.8	51	969	958	1.1	3,024	2,862	5.7		106	2,914	2,831	2.9
Acute Care & Monitoring	224	206	8.5	10	214	206	3.8	647	616	5.0		22	625	616	1.4
Diabetes	548	457	19.8	44	504	457	10.1	1,579	1,344	17.5		90	1,489	1,344	10.9
Total Reportable Segments	4,510	4,038	11.7	242	4,267	4,023	6.1	13,243	12,020	10.2		512	12,726	11,989	6.2
Other	14	17	(14.6)	-	-	-	-	80	(35)		NM	4	-	-	-
TOTAL	$4,524	$4,055	11.6%	$243	$4,267	$4,023	6.1%	$13,323	$11,986	11.2%		$516	$12,726	$11,989	6.2%

See description of non-GAAP financial measures contained in the press release dated February 17, 2026.

(3)Not meaningful (NM).

(4)The currency impact to revenue measures the change in revenue between current and prior year periods using constant exchange rates.

(5)The three months ended January 23, 2026 excludes $257 million of revenue adjustments, including $14 million of inorganic revenue for the transition activity noted in (2) and $242 million of favorable currency impact on the remaining segments. The three months ended January 24, 2025 excludes $32 million of revenue adjustments, including $17 million of inorganic revenue related to the transition activity noted in (2) and $15 million of inorganic revenue related to a sale of business in the Surgical and Endoscopy division.

(6)The nine months ended January 23, 2026 excludes $597 million of revenue adjustments, including $39 million reduction in the Italian payback accruals due to changes in estimates further described in note (2), $41 million of inorganic revenue for the transition activity noted in (2), $5 million of inorganic revenue related to a sale of business in the Surgical and Endoscopy division, and $512 million of favorable currency impact on the remaining segments. The nine months ended January 24, 2025 excludes $3 million of revenue adjustments, including $90 million of incremental Italian payback accruals further described in note (2), $55 million of inorganic revenue related to the transition activity noted in (2), and $31 million of inorganic revenue related to a sale of business in the Surgical and Endoscopy division.

MEDTRONIC PLC

CONSOLIDATED STATEMENTS OF INCOME

	Three months ended		Nine months ended
(in millions, except per share data)	January 23, 2026	January 24, 2025	January 23, 2026	January 24, 2025
Net sales	$9,017	$8,292	$26,557	$24,610
Costs and expenses:
Cost of products sold, excluding amortization of intangible assets	3,261	2,779	9,323	8,485
Research and development expense	722	675	2,202	2,048
Selling, general, and administrative expense	2,956	2,717	8,727	8,129
Amortization of intangible assets	441	416	1,364	1,243
Restructuring charges, net	77	43	131	120
Certain litigation charges, net	62	22	89	104
Other operating expense (income), net	35	(5)	126	(38)
Operating profit	1,464	1,646	4,594	4,519
Other non-operating income, net	(121)	(72)	(247)	(403)
Interest expense, net	181	179	539	555
Income before income taxes	1,404	1,540	4,302	4,367
Income tax provision	254	237	724	737
Net income	1,150	1,303	3,578	3,630
Net income attributable to noncontrolling interests	(6)	(9)	(21)	(24)
Net income attributable to Medtronic	$1,143	$1,294	$3,557	$3,606
Basic earnings per share	$0.89	$1.01	$2.77	$2.80
Diluted earnings per share	$0.89	$1.01	$2.76	$2.79
Basic weighted average shares outstanding	1,282.6	1,282.4	1,282.1	1,286.7
Diluted weighted average shares outstanding	1,289.5	1,286.2	1,288.2	1,290.6

The data in the schedule above has been intentionally rounded to the nearest million.

MEDTRONIC PLC

GAAP TO NON-GAAP RECONCILIATIONS

	Three months ended January 23, 2026
(in millions, except per share data)	Net Sales	Cost of Products Sold	Gross Margin Percent	Operating Profit	Operating Profit Percent	Income Before Income Taxes	Net Income attributable to Medtronic	Diluted EPS	Effective Tax Rate
GAAP	$9,017	$3,261	63.8%	$1,464	16.2%	$1,404	$1,143	$0.89	18.1%
Non-GAAP Adjustments:
Amortization of intangible assets	-	-	-	441	4.9	441	360	0.28	18.4
Restructuring and associated costs	-	(89)	1.0	172	1.9	172	141	0.11	18.0
Acquisition and divestiture-related items	-	(6)	0.1	38	0.4	38	33	0.03	13.2
Certain litigation charges, net	-	-	-	62	0.7	62	52	0.04	16.1
(Gain)/loss on minority investments	-	-	-	-	-	8	7	0.01	12.5
Certain tax adjustments, net	-	-	-	-	-	-	14	0.01	-
Non-GAAP	$9,017	$3,166	64.9%	$2,177	24.1%	$2,125	$1,750	$1.36	17.3%
Currency impact	(243)	(52)	(0.4)	(67)	(0.1)			(0.04)
Currency Adjusted	$8,775	$3,114	64.5%	$2,110	24.0%			$1.32
	Three months ended January 24, 2025
(in millions, except per share data)	Net Sales	Cost of Products Sold	Gross Margin Percent	Operating Profit	Operating Profit Percent	Income Before Income Taxes	Net Income attributable to Medtronic	Diluted EPS	Effective Tax Rate
GAAP	$8,292	$2,779	66.5%	$1,646	19.9%	$1,540	$1,294	$1.01	15.4%
Non-GAAP Adjustments:
Amortization of intangible assets	-	-	-	416	5.0	416	339	0.26	18.5
Restructuring and associated costs	-	(4)	-	46	0.6	46	37	0.03	19.6
Acquisition and divestiture-related items	-	(1)	-	28	0.3	28	23	0.02	17.9
Certain litigation charges, net	-	-	-	22	0.3	22	18	0.01	22.7
(Gain)/loss on minority investments	-	-	-	-	-	68	52	0.04	22.1
Medical device regulations	-	(8)	0.1	11	0.1	11	9	0.01	18.2
Certain tax adjustments, net	-	-	-	-	-	-	15	0.01	-
Non-GAAP	$8,292	$2,766	66.6%	$2,169	26.2%	$2,130	$1,787	$1.39	15.7%

See description of non-GAAP financial measures contained in the press release dated February 17, 2026.

(1)The data in this schedule has been intentionally rounded to the nearest million or $0.01 for EPS figures, and, therefore, may not sum.

(2)The Company recognized $30 million of accelerated amortization on certain intangible assets within the Cardiovascular Portfolio.

(3)The charges primarily relate to employee termination benefits, facility related and contract termination costs, and asset write offs.

(4)The charges primarily include business combination costs, changes in fair value of contingent consideration, exit of business-related charges, and gains related to certain business or asset sales. Exit of business-related charges primarily relate to the impending separation of the Diabetes business. For the three months ended January 23, 2026, charges also include costs associated with the Company's June 2021 decision to stop the distribution and sale of the Medtronic HVAD System.

(5)We exclude unrealized and realized gains and losses on our minority investments as we do not believe that these components of income or expense have a direct correlation to our ongoing or future business operations.

(6)The charges represent incremental costs of complying with the new European Union (E.U.) medical device regulations for previously registered products and primarily include charges for contractors supporting the project and other direct third-party expenses. We consider these costs to be duplicative of previously incurred costs and/or one-time costs.

MEDTRONIC PLC

GAAP TO NON-GAAP RECONCILIATIONS

	Nine months ended January 23, 2026
(in millions, except per share data)	Net Sales	Cost of Products Sold	Gross Margin Percent	Operating Profit	Operating Profit Percent	Income Before Income Taxes	Net Income attributable to Medtronic	Diluted EPS	Effective Tax Rate
GAAP	$26,557	$9,323	64.9%	$4,594	17.3%	$4,302	$3,557	$2.76	16.8%
Non-GAAP Adjustments:
Amortization of intangible assets	-	-	-	1,364	5.2	1,364	1,110	0.86	18.6
Restructuring and associated costs	-	(105)	0.4	251	1.0	251	202	0.16	19.5
Acquisition and divestiture-related items	-	(21)	-	96	0.4	96	73	0.06	24.0
Certain litigation charges, net	-	-	-	89	0.3	89	73	0.06	19.1
(Gain)/loss on minority investments	-	-	-	-	-	145	137	0.11	5.5
Other	(39)	-	-	(39)	(0.1)	(39)	(30)	(0.02)	20.5
Certain tax adjustments, net	-	-	-	-	-	-	-	-	-
Non-GAAP	$26,518	$9,197	65.3%	$6,356	24.0%	$6,209	$5,122	$3.98	17.2%
Currency impact	(513)	(48)	(0.5)	(170)	(0.2)			(0.10)
Currency Adjusted	$26,005	$9,149	64.8%	$6,185	23.8%			$3.88
	Nine months ended January 24, 2025
(in millions, except per share data)	Net Sales	Cost of Products Sold	Gross Margin Percent	Operating Profit	Operating Profit Percent	Income Before Income Taxes	Net Income attributable to Medtronic	Diluted EPS	Effective Tax Rate
GAAP	$24,610	$8,485	65.5%	$4,519	18.4%	$4,367	$3,606	$2.79	16.9%
Non-GAAP Adjustments:
Amortization of intangible assets	-	-	-	1,243	4.9	1,243	1,017	0.79	18.3
Restructuring and associated costs	-	(24)	0.1	154	0.6	154	124	0.10	19.5
Acquisition and divestiture-related items	-	(17)	-	15	0.1	15	3	-	73.3
Certain litigation charges, net	-	-	-	104	0.4	104	86	0.07	17.3
(Gain)/loss on minority investments	-	-	-	-	-	41	14	0.01	61.0
Medical device regulations	-	(27)	0.1	38	0.2	38	30	0.02	21.1
Other	90	-	0.2	90	0.4	90	70	0.05	22.2
Certain tax adjustments, net	-	-	-	-	-	-	49	0.04	-
Non-GAAP	$24,700	$8,417	65.9%	$6,162	24.9%	$6,051	$4,999	$3.87	17.0%

See description of non-GAAP financial measures contained in the press release dated February 17, 2026.

(1)The data in this schedule has been intentionally rounded to the nearest million or $0.01 for EPS figures, and, therefore, may not sum.

(2)The Company recognized $121 million of accelerated amortization on certain intangible assets within the Cardiovascular Portfolio.

(3)The charges primarily relate to employee termination benefits, facility related and contract termination costs, and asset write offs.

(4)The charges primarily include business combination costs, changes in fair value of contingent consideration, exit of business-related charges, and gains related to certain business or asset sales. Exit of business-related charges primarily relate to the impending separation of the Diabetes business and costs associated with the Company's June 2021 decision to stop the distribution and sale of the Medtronic HVAD System.

(6)Reflects adjustments to the Company's Italian payback accruals resulting from the two July 22, 2024 rulings by the Constitutional Court and the Legislative Decree published by the Italian government on June 30, 2025 for certain prior years since 2015.

(7)The charges for the nine months ended January 23, 2026 primarily includes a tax benefit recognized due to a change in interest accrued on uncertain tax positions, offset by amortization of previously established deferred tax assets arising from intercompany intellectual property transactions. The charges for the nine months ended January 24, 2025 primarily includes amortization of previously established deferred tax assets arising from intercompany intellectual property transactions.

(8)The charges represent incremental costs of complying with the new European Union (E.U.) medical device regulations for previously registered products and primarily include charges for contractors supporting the project and other direct third-party expenses. We consider these costs to be duplicative of previously incurred costs and/or one-time costs.

MEDTRONIC PLC

GAAP TO NON-GAAP RECONCILIATIONS

	Three months ended January 23, 2026
(in millions)	Net Sales	SG&A Expense	SG&A Expense as a % of Net Sales	R&D Expense	R&D Expense as a % of Net Sales	Other Operating (Income) Expense, net	Other Operating (Inc.)/Exp., net as a % of Net Sales	Other Non-Operating Income, net
GAAP	$9,017	$2,956	32.8%	$722	8.0%	$35	0.4%	$(121)
Non-GAAP Adjustments:
Restructuring and associated costs	-	(6)	(0.1)	-	-	-	-	-
Acquisition and divestiture-related items	-	(35)	(0.4)	-	-	3	-	-
(Gain)/loss on minority investments	-	-	-	-	-	-	-	(8)
Non-GAAP	$9,017	$2,914	32.3%	$722	8.0%	$38	0.4%	$(130)
	Nine months ended January 23, 2026
(in millions)	Net Sales	SG&A Expense	SG&A Expense as a % of Net Sales	R&D Expense	R&D Expense as a % of Net Sales	Other Operating (Income) Expense, net	Other Operating (Inc.)/Exp., net as a % of Net Sales	Other Non-Operating Income, net
GAAP	$26,557	$8,727	32.9%	$2,202	8.3%	$126	0.5%	$(247)
Non-GAAP Adjustments:
Restructuring and associated costs	-	(15)	-	-	-	-	-	-
Acquisition and divestiture-related items	-	(96)	(0.3)	-	-	21	0.1	-
Other	(39)	-	-	-	-	-	-	-
(Gain)/loss on minority investments	-	-	-	-	-	-	-	(145)
Non-GAAP	$26,518	$8,616	32.5%	$2,202	8.3%	$147	0.6%	$(392)

See description of non-GAAP financial measures contained in the press release dated February 17, 2026.

(1)The data in this schedule has been intentionally rounded to the nearest million, and, therefore, may not sum.

(2)The charges primarily relate to employee termination benefits, facility related and contract termination costs, and asset write offs.

(3)The charges primarily include business combination costs, changes in fair value of contingent consideration, exit of business-related charges, and gains related to certain business or asset sales. Exit of business-related charges primarily relate to the impending separation of the Diabetes business and costs associated with the Company's June 2021 decision to stop the distribution and sale of the Medtronic HVAD System.

(4)We exclude unrealized and realized gains and losses on our minority investments as we do not believe that these components of income or expense have a direct correlation to our ongoing or future business operations.

(5)Reflects adjustments to the Company's Italian payback accruals resulting from the Legislative Decree published by the Italian government on June 30, 2025 for certain prior years since 2015.

MEDTRONIC PLC

GAAP TO NON-GAAP RECONCILIATIONS

	Nine months ended
(in millions)	January 23, 2026	January 24, 2025
Net cash provided by operating activities	$4,757	$4,516
Additions to property, plant, and equipment	(1,416)	(1,400)
Free Cash Flow	$3,341	$3,116

See description of non-GAAP financial measures contained in the press release dated February 17, 2026.

(1)The data in this schedule has been intentionally rounded to the nearest million, and, therefore, may not sum.

(2)Free cash flow represents operating cash flows less property, plant, and equipment additions.

MEDTRONIC PLC

CONSOLIDATED STATEMENTS OF CASH FLOWS

	Nine months ended
(in millions)	January 23, 2026	January 24, 2025
Operating Activities:
Net income	$3,578	$3,630
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	2,242	2,021
Provision for credit losses	102	96
Deferred income taxes	59	(81)
Stock-based compensation	362	340
Other, net	280	14
Change in operating assets and liabilities, net of acquisitions and divestitures:
Accounts receivable, net	87	(184)
Inventories	(803)	(478)
Accounts payable and accrued liabilities	(77)	(157)
Other operating assets and liabilities	(1,074)	(685)
Net cash provided by operating activities	4,757	4,516
Investing Activities:
Acquisitions, net of cash acquired	-	(98)
Additions to property, plant, and equipment	(1,416)	(1,400)
Purchases of investments	(6,572)	(6,093)
Sales and maturities of investments	5,982	6,255
Other investing activities, net	(10)	(111)
Net cash used in investing activities	(2,017)	(1,447)
Financing Activities:
Change in current debt obligations, net	173	(1,070)
Issuance of long-term debt	1,747	3,209
Payments on long-term debt	(2,930)	-
Dividends to shareholders	(2,731)	(2,692)
Issuance of ordinary shares	419	400
Repurchase of ordinary shares	(600)	(2,961)
Other financing activities, net	60	96
Net cash used in financing activities	(3,863)	(3,018)
Effect of exchange rate changes on cash and cash equivalents	52	(95)
Net change in cash and cash equivalents	(1,072)	(44)
Cash and cash equivalents at beginning of period	2,218	1,284
Cash and cash equivalents at end of period	$1,147	$1,240
Supplemental Cash Flow Information
Cash paid for:
Income taxes	$1,598	$1,515
Interest	573	567

The data in this schedule has been intentionally rounded to the nearest million, and, therefore, may not sum.

Contacts
Justin Paquette
Public Relations
+1-612-271-7935
Ingrid Goldberg
+1-763-505-2696