Medtronic Q4 Results Top View; Expects FY17 EPS To Meet Or Miss Estimate

(RTTNews) - Medtronic plc (MDT), an Irish company in Spine Technologies and Solutions, reported Tuesday that its fourth-quarter net income was $1.104 billion or $0.78 per share, compared to last year's loss of $1 million.

Adjusted net income was $1.796 billion or $1.27 per share, compared to last year's profit of $1.678 billion or $1.16 per share.

On average, 23 analysts polled by Thomson Reuters expected earnings of $1.26 per share for the quarter. Analysts' estimates typically exclude special items.

The company's revenue was $7.567 billion, a growth of 4 percent from $7.304 billion last year. Revenues increased 6 percent on a constant currency basis. Analysts were looking for revenues of $7.49 billion.

Fourth-quarter U.S. revenue of $4.217 billion represented 56 percent of company revenue and increased 4 percent. Non-U.S. developed market revenue of $2.393 billion represented 31 percent of company revenue and increased 3 percent.

Emerging market revenue represented 13 percent of company revenue.

Looking ahead, for fiscal 2017, the company expects adjusted earnings per share in the range of $4.60 to $4.70, which includes an expected $0.20 to $0.25 negative foreign currency impact based on current exchange rates. The guidance would imply growth in the range of 12 to 16 percent from last year.

The company's baseline goal is to consistently grow revenue in the mid-single digits on a constant currency basis. In fiscal year 2017, given current trends, the company expects constant currency revenue growth to be in the upper-half of the mid-single digit range, which is in the range of 5 to 6 percent.

For 2017, analysts expect earnings of $4.70 per share on revenues of $29.65 billion.