Medtronic Plc. · NYSE:MDT

Medtronic — Q3 FY17 Earnings Presentation

15 slides from Medtronic's earnings presentation, Feb 21, 2017

  1. Slide 1: Medtronic plc Q3 FY17 Earnings Presentation

    MEDTRONIC PLC Q3 FY17 EARNINGS PRESENTATION FEBRUARY 21, 2017  Exhibit 99.2 • CONSOLIDATED RESULTS & GROUP REVENUE HIGHLIGHTS • EPS GUIDANCE, REVENUE OUTLOOK, & OTHER ASSUMPTIONS

  2. Slide 2: Forward Looking Statements

    Q3 FY17 Earnings Results | February 21, 2017 | 2 FORWARD LOOKING STATEMENTS This presentation contains forward-looking statements which provide current expectations or forecasts, including those relating to market and sales growth, growth strategies, changes to the healthcare system, financial resul

  3. Slide 3: Consolidated Results & Group Revenue Highlights

    CONSOLIDATED RESULTS & GROUP REVENUE HIGHLIGHTS

  4. Slide 4: Balanced growth across groups and geographies

    Q3 FY17 Earnings Results | February 21, 2017 | 4  Balanced growth across groups and geographies • CVG, MITG, and RTG all MSD growth1; Diabetes HSD growth1 • New products driving growth including Evolut® R 34mm, LigaSure™ instruments, MiniMed ® 6 series • Continued improvement in Spine: Best growth

  5. Slide 5: MDT Q3 FY17 GAAP Select Financial Information

    Q3 FY17 Earnings Results | February 21, 2017 | 5 MDT Q3 FY17 GAAP SELECT FINANCIAL INFORMATION Q3 FY17 Q3 FY16 Y/Y Growth / Y/Y Change Net Sales ($M) 7,283 6,934 5% Cost of Products Sold 2,268 2,141 6% Gross Margin 68.9% 69.1% (20) bps SG&A ($M) 2,388 2,317 3% % of Sales 32.8% 33.4% 60 bps R&D ($M)

  6. Slide 6: MDT Q3 FY17 Y/Y EPS Walk

    Q3 FY17 Earnings Results | February 21, 2017 | 6 MDT Q3 FY17 Y/Y EPS WALK 0.00 0.20 0.40 0.60 0.80 1.00 1.20 1.40 Q3 FY16, GAAP Q3 FY16, Non-GAAP Adjustments Q3 FY16, Non-GAAP Performance Q3 FY17 CC FX Q3 FY17, Non-GAAP Q3 FY17, Non-GAAP Adjustments Q3 FY17, GAAP EPS Growth1: Double-Digit; EPS Lever

  7. Slide 7: MDT Q3 FY17 Y/Y Operating Margin Changes

    Q3 FY17 Earnings Results | February 21, 2017 | 7 MDT Q3 FY17 Y/Y OPERATING MARGIN CHANGES 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% Q3 FY16, GAAP Q3 FY16, Non-GAAP Adjustments Q3 FY16, Non-GAAP Performance Q3 FY17 CC FX Q3 FY17, Non-GAAP Q3 FY17, Non-GAAP Adjustments Q3 FY17, GAAP ~130 bps Opera

  8. Slide 8: MDT Q3 FY17 Non-GAAP Select Financial Information

    Q3 FY17 Earnings Results | February 21, 2017 | 8 MDT Q3 FY17 NON-GAAP SELECT FINANCIAL INFORMATION Q3 FY17 Q3 FY16 FX Impact $M / Change Q3 FY17 Constant Currency1 Q3 FY17 CC Growth / Change2 Net Sales ($M) 7,283 6,934 (40) -- 6% Cost of Products Sold1 2,268 2,132 10 -- 6% Gross Margin1 68.9% 69.3%

  9. Slide 9: CVG Q3 FY17 Highlights

    Q3 FY17 Earnings Results | February 21, 2017 | 9 CVG Q3 FY17 HIGHLIGHTS CRHF 54% CSH 29% APV 17% U.S. 52% Non- U.S. Dev 32% EM 16% Cardiac Rhythm & Heart Failure (CRHF) KEY PERFORMANCE DRIVERS1  Heart Failure:+Upper-Teens • Driven by recent HeartWare acquisition; integration on track • CRT-D: MSD g

  10. Slide 10: MITG Q3 FY17 Highlights

    Q3 FY17 Earnings Results | February 21, 2017 | 10 MITG Q3 FY17 HIGHLIGHTS Surgical Solutions KEY PERFORMANCE DRIVERS1 MSD Growth in Surgical Solutions and PMR Patient Monitoring & Recovery (PMR)  Early Technologies: +HSD • Strong growth in GI Solutions driven by new products including Barrx™ 360 Ex

  11. Slide 11: RTG Q3 FY17 Highlights

    Q3 FY17 Earnings Results | February 21, 2017 | 11 RTG Q3 FY17 HIGHLIGHTS Spine 36% Brain 29% Specialty 20% Pain 15% US 68% Non-US Dev 21% EM 11% KEY PERFORMANCE DRIVERS1 Continued Improvement in Spine; Solid Brain Therapies & Specialty Therapies Growth Offsets Declines in Pain Therapies Neurosurger

  12. Slide 12: Diabetes Q3 FY17 Highlights

    Q3 FY17 Earnings Results | February 21, 2017 | 12 DIABETES Q3 FY17 HIGHLIGHTS US 62% Non-US Dev 30% EM 8% KEY PERFORMANCE DRIVERS1 Intensive Insulin Management (IIM) Significant Improvement Over Last Quarter; Strong Interest in MiniMed® 6 Series Pumps MiniMed® 630G Guardian® Connect 12 Total Group R

  13. Slide 13: FY17 EPS Guidance, Revenue Outlook, & Other Assumptions

    FY17 EPS GUIDANCE, REVENUE OUTLOOK, & OTHER ASSUMPTIONS

  14. Slide 14: MDT FY17 EPS Guidance, Revenue Outlook & Other Assumptions

    Q3 FY17 Earnings Results | February 21, 2017 | 14 MDT FY17 EPS GUIDANCE, REVENUE OUTLOOK & OTHER ASSUMPTIONS Q4 FY17 FY17 Revenue Growth Outlook – CCCW Lower Half of MSD MSD CVG Growth – CCCW MSD -- MITG Growth – CCCW MSD -- RTG Growth – CCCW Low End of MSD -- Diabetes Growth – CCCW MSD to HSD -- CO

  15. Slide 15: Appendix: Acronyms / Abbreviations

    Q3 FY17 Earnings Results | February 21, 2017 | 15 APPENDIX ACRONYMS / ABBREVIATIONS 1 Growth DD Double Digits HSD High-Single Digit LDD Low-Double Digits LSD Low-Single Digit MSD Mid-Single Digit Other APAC Asia Pacific FY Fiscal Year Bps Basis Points NC Not Comparable CC Constant Currency Ops Opera

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