Medical device maker Medtronic has recorded profits of over 13% as well as growth in all its divisions.
Profits
The Irish company announced its Q4 results, reporting a profit of over $4 billion as well as a 3% rise in sales to $29.71 billion.
The figures, which were ahead of analysts’ expectations, were bolstered by Medtronic’s acquisition of the minimally invasive therapy group, Covidien. Covidien, now under the name Medtronic Minimally Invasive Therapies, was the best performing group within Medtronic last year.
Medtronic chairman and CEO Omar Ishrak said: “Our fourth quarter results were a strong finish to the fiscal year, with balanced, diversified growth across our groups and regions. Fiscal year 2017 was a solid year overall for Medtronic. We delivered record revenue, made progress in each of our growth strategies, executed on our Covidien cost synergy commitments, generated strong free cash flow growth, and deployed our capital in line with our stated priorities, balancing the return of cash to our shareholders together with disciplined reinvestment in our businesses."
Last year Medtronic saw its shares fall by more than 8% so the strong Q4 results will likely be a relief to the company. Since its shares fell Medtronic delivered better-than-expected results for the next two quarters.
However, certain stock analysts expected the company’s future expectations to be higher than those released.
Ishrak told analysts that Medtronic “wanted to make sure that we again can hit the guidance that we put out there”.
Chief financial officer Karen Parkhill said the company is “focused on delivering consistent, reliable growth”.
Ishrak stated that next year the company is focusing on the “desire to improve clinical outcomes; the growing demand for expanded access to care; and the optimisation of cost and efficiency within healthcare systems”. These trends alongside ageing populations will provide “sustainable, long-term opportunities for Medtronic” Ishrak said.