Revenue growth has accelerated to 9.9% in 2026Q4, though operating margins remain pressured at 15.9% compared to the 19.9% peak observed in 2025Q3.
| Metric | Apr'26 | Apr'25 | Apr'24 | Apr'23 | Apr'22 | Apr'21 | Apr'20 | Apr'19 | Apr'18 | Apr'17 | Apr'16 | Apr'15 | Apr'14 | Apr'13 | Apr'12 | Apr'11 | Apr'10 | Apr'09 | Apr'08 | Apr'07 | Apr'06 | Apr'05 | Apr'04 | Apr'03 | Apr'02 | Apr'01 | Apr'00 | Apr'99 | Apr'98 | Apr'97 |
|---|
| Sales/Revenue | 36.36B | 33.54B | 32.36B | 31.23B | 31.69B | 30.12B | 28.91B | 30.56B | 29.95B | 29.71B | 28.83B | 20.26B | 17B | 16.59B | 16.18B | 15.93B | 15.82B | 14.6B | 13.52B | 12.3B | 11.29B | 10.05B | 9.09B | 7.67B | 6.41B | 5.55B | 5.01B | 4.13B | 2.6B | 2.44B |
| Revenue Growth % | 8.43% | 3.62% | 3.64% | -1.45% | 5.21% | 4.16% | -5.38% | 2.02% | 0.82% | 3.04% | 42.31% | 19.15% | 2.5% | 2.51% | 1.58% | 0.73% | 8.34% | 8.02% | 9.89% | 8.92% | 12.31% | 10.65% | 18.55% | 19.57% | 15.47% | 10.71% | 21.3% | 58.71% | 6.83% | 12.41% |
| Cost of Goods Sold | 12.72B | 11.63B | 11.22B | 10.72B | 10.14B | 10.48B | 9.42B | 9.15B | 9.07B | 9.29B | 9.14B | 6.31B | 4.33B | 4.13B | 3.89B | 3.7B | 3.58B | 3.52B | 3.45B | 3.17B | 2.81B | 2.45B | 2.25B | 1.89B | 1.65B | 1.11B | 1.02B | 886.2M | 740.3M | 629.3M |
| COGS % of Revenue | 34.98% | 34.68% | 34.66% | 34.33% | 32.02% | 34.81% | 32.59% | 29.96% | 30.27% | 31.28% | 31.71% | 31.14% | 25.48% | 24.87% | 24.03% | 23.22% | 22.65% | 24.1% | 25.5% | 25.76% | 24.93% | 24.33% | 24.79% | 24.66% | 25.78% | 20.05% | 20.38% | 21.44% | 28.42% | 25.81% |
| Gross Profit | 23.64B | 21.91B | 21.15B | 20.51B | 21.54B | 19.63B | 19.49B | 21.4B | 20.89B | 20.42B | 19.69B | 13.95B | 12.67B | 12.46B | 12.29B | 11.81B | 11.81B | 11.08B | 10.07B | 9.13B | 8.48B | 7.61B | 6.83B | 5.77B | 4.76B | 4.44B | 3.99B | 3.35B | 2.68B | 2.32B |
| Gross Margin % | 65.02% | 65.32% | 65.34% | 65.67% | 67.98% | 65.19% | 67.41% | 70.04% | 69.73% | 68.72% | 68.29% | 68.86% | 74.52% | 75.13% | 75.97% | 74.11% | 74.67% | 75.9% | 74.5% | 74.24% | 75.07% | 75.68% | 75.21% | 75.34% | 74.22% | 79.95% | 79.66% | 80.94% | 102.99% | 94.96% |
| Gross Profit Growth % | 7.93% | 3.58% | 3.12% | -4.8% | 9.71% | 0.74% | -8.94% | 2.47% | 2.3% | 3.68% | 41.13% | 10.1% | 1.67% | 1.37% | 4.12% | -0.02% | 6.58% | 10.05% | 10.27% | 7.71% | 11.41% | 11.34% | 18.34% | 21.37% | 7.2% | 11.12% | 19.37% | 24.73% | 15.87% | 36.78% |
| Operating Expenses | 17.18B | 15.95B | 16B | 15.02B | 15.79B | 15.15B | 14.7B | 15.13B | 14.25B | 15.03B | 14.33B | 10.19B | 8.86B | 8.06B | 12.29B | 11.81B | 11.81B | 11.08B | 10.07B | 9.13B | 8.48B | 7.61B | 6.83B | 5.77B | 4.76B | 4.44B | 3.99B | 3.35B | 2.68B | 2.32B |
| OpEx % of Revenue | 47.24% | 47.56% | 49.45% | 48.11% | 49.83% | 50.3% | 50.84% | 49.53% | 47.56% | 50.6% | 49.7% | 50.27% | 52.1% | 48.6% | 75.97% | 74.11% | 74.67% | 75.9% | 74.5% | 74.24% | 75.07% | 75.68% | 75.21% | 75.34% | 74.22% | 79.95% | 79.66% | 80.94% | 102.99% | 94.96% |
| Selling, General & Admin | 11.78B | 10.85B | 10.74B | 10.41B | 10.29B | 10.15B | 10.11B | 10.42B | 10.24B | 10.02B | 9.47B | 6.9B | 5.85B | 5.7B | 5.62B | 5.43B | 5.28B | 5.87B | 4.71B | 4.15B | 3.66B | 3.21B | 2.8B | 2.37B | 1.96B | 1.69B | 1.58B | 1.33B | 1.05B | 944.5M |
| SG&A % of Revenue | 32.41% | 32.35% | 33.17% | 33.35% | 32.48% | 33.7% | 34.96% | 34.09% | 34.18% | 33.72% | 32.84% | 34.08% | 34.38% | 34.35% | 34.74% | 34.06% | 33.39% | 40.18% | 34.83% | 33.77% | 32.4% | 31.97% | 30.83% | 30.94% | 30.62% | 30.35% | 31.48% | 32.06% | 40.4% | 38.74% |
| Research & Development | 2.87B | 2.73B | 2.73B | 2.7B | 2.75B | 2.49B | 2.33B | 2.33B | 2.26B | 2.19B | 2.22B | 1.64B | 1.48B | 1.56B | 1.49B | 1.51B | 1.46B | 1.35B | 1.27B | 1.24B | 1.11B | 951.3M | 851.5M | 749.4M | 646.3M | 577.6M | 479.7M | 429.2M | 297.2M | 280.2M |
| R&D % of Revenue | 7.9% | 8.15% | 8.45% | 8.63% | 8.67% | 8.28% | 8.06% | 7.63% | 7.53% | 7.38% | 7.71% | 8.09% | 8.69% | 9.39% | 9.21% | 9.46% | 9.23% | 9.28% | 9.43% | 10.07% | 9.86% | 9.46% | 9.37% | 9.78% | 10.08% | 10.4% | 9.57% | 10.38% | 11.41% | 11.49% |
| Other Operating Expenses | 2.52B | 2.37B | 2.53B | 1.91B | 2.75B | 2.51B | 2.26B | 2.39B | 1.75B | 2.82B | 2.64B | 1.64B | 1.53B | 807M | 5.18B | 4.91B | 5.1B | 3.86B | 4.09B | 3.74B | 3.71B | 3.44B | 3.18B | 2.65B | 2.15B | 2.18B | 1.93B | 1.58B | 1.26B | 1.05B |
| Operating Income | 6.47B | 5.96B | 5.14B | 5.49B | 5.75B | 4.48B | 4.79B | 6.27B | 6.64B | 5.38B | 5.36B | 3.77B | 3.81B | 4.4B | 4.48B | 4.46B | 4.79B | 3.46B | 3.65B | 3.74B | 3.71B | 3.44B | 3.18B | 2.65B | 2.15B | 1.88B | 1.68B | 1.36B | 1.09B | 913.8M |
| Operating Margin % | 17.78% | 17.76% | 15.89% | 17.56% | 18.15% | 14.89% | 16.57% | 20.51% | 22.17% | 18.12% | 18.59% | 18.59% | 22.42% | 26.53% | 27.7% | 27.99% | 30.26% | 23.73% | 27.01% | 30.4% | 32.81% | 34.25% | 35.01% | 34.62% | 33.52% | 33.83% | 33.57% | 32.91% | 41.91% | 37.48% |
| Operating Income Growth % | 8.6% | 15.77% | -6.22% | -4.64% | 28.28% | -6.41% | -23.56% | -5.6% | 23.35% | 0.41% | 42.35% | -1.23% | -13.38% | -1.81% | 0.52% | -6.83% | 38.19% | -5.12% | -2.35% | 0.92% | 7.58% | 8.25% | 19.89% | 23.48% | 14.41% | 11.58% | 23.75% | 24.61% | 19.47% | 43.68% |
| EBITDA | 9.43B | 8.82B | 7.79B | 8.18B | 8.46B | 7.19B | 7.45B | 8.93B | 9.28B | 8.3B | 8.18B | 5.07B | 4.66B | 5.22B | 5.34B | 5.26B | 5.56B | 4.16B | 4.29B | 4.32B | 4.25B | 3.91B | 3.62B | 3.06B | 2.48B | 2.18B | 1.93B | 1.57B | 1.26B | 1.03B |
| EBITDA Margin % | 25.92% | 26.29% | 24.07% | 26.2% | 26.7% | 23.86% | 25.78% | 29.21% | 31% | 27.94% | 28.37% | 25.03% | 27.42% | 31.47% | 33.03% | 33.04% | 35.15% | 28.52% | 31.73% | 35.14% | 37.62% | 38.86% | 39.88% | 39.94% | 38.67% | 39.19% | 38.42% | 38.06% | 48.3% | 42.27% |
| EBITDA Growth % | 6.91% | 13.16% | -4.78% | -3.27% | 17.71% | -3.6% | -16.5% | -3.85% | 11.86% | 1.45% | 61.3% | 8.77% | -10.69% | -2.32% | 1.54% | -5.31% | 33.53% | -2.92% | -0.79% | 1.73% | 8.73% | 7.82% | 18.37% | 23.52% | 13.93% | 12.92% | 22.45% | 25.06% | 22.07% | 37.83% |
| D&A (Non-Cash Add-back) | 2.96B | 2.86B | 2.65B | 2.7B | 2.71B | 2.7B | 2.66B | 2.66B | 2.64B | 2.92B | 2.82B | 1.31B | 850M | 819M | 862M | 804M | 772M | 699M | 637M | 583M | 543.6M | 463.3M | 442.6M | 408.1M | 329.8M | 297.3M | 243.3M | 213.1M | 166.5M | 116.9M |
| EBIT | 6.85B | 6.36B | 5.56B | 6B | 6.07B | 4.82B | 5.15B | 6.64B | 6.82B | 5.7B | 5.72B | 4.15B | 4.08B | 4.64B | 4.49B | 4.11B | 4.35B | 2.81B | 3.14B | 3.74B | 3.71B | 3.44B | 3.18B | 2.65B | 2.15B | 1.88B | 1.68B | 1.36B | 1.09B | 913.8M |
| Net Interest Income | -715M | -729M | -719M | -636M | -553M | -925M | -1.09B | -1.44B | -1.15B | -1.09B | -955M | -280M | -108M | -151M | -149M | -278M | -246M | -183M | 109M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 431M | 386M | 271M | 237M | 200M | 172M | 156M | 188M | 364M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 715M | 729M | 719M | 636M | 553M | 925M | 1.09B | 1.44B | 1.15B | 1.09B | 1.39B | 666M | 379M | 388M | 349M | 450M | 402M | 371M | 255M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -331M | -327M | -307M | -121M | -235M | -589M | -736M | -1.07B | -965M | -781M | -1.02B | -280M | -108M | -151M | -338M | -796M | -843M | -1.02B | -766M | -224M | -544M | -900M | -384.5M | -312.3M | -624.8M | -329M | -68.7M | -535.3M | -180.3M | -27.1M |
| Pretax Income | 6.14B | 5.63B | 4.84B | 5.36B | 5.52B | 3.9B | 4.05B | 5.2B | 5.67B | 4.6B | 4.34B | 3.49B | 3.71B | 4.25B | 4.14B | 3.66B | 3.94B | 2.44B | 2.88B | 3.52B | 3.16B | 2.54B | 2.8B | 2.34B | 1.52B | 1.55B | 1.61B | 825.1M | 911.4M | 886.7M |
| Pretax Margin % | 16.87% | 16.78% | 14.95% | 17.18% | 17.41% | 12.93% | 14.02% | 17.01% | 18.95% | 15.49% | 15.04% | 17.21% | 21.79% | 25.62% | 25.61% | 23% | 24.94% | 16.71% | 21.35% | 28.58% | 27.99% | 25.3% | 30.78% | 30.54% | 23.78% | 27.91% | 32.2% | 19.96% | 34.99% | 36.37% |
| Income Tax | 1.3B | 936M | 1.13B | 1.58B | 456M | 265M | -751M | 547M | 2.58B | 578M | 798M | 811M | 640M | 784M | 730M | 627M | 870M | 425M | 654M | 713M | 614.6M | 739.6M | 837.6M | 741.5M | 540.2M | 503.4M | 530.5M | 353.6M | 316.8M | 303.5M |
| Effective Tax Rate % | 21.17% | 16.63% | 23.42% | 29.46% | 8.27% | 6.8% | -18.52% | 10.53% | 45.46% | 12.56% | 18.4% | 23.26% | 17.27% | 18.44% | 17.61% | 17.11% | 22.06% | 17.42% | 22.67% | 20.28% | 19.44% | 29.07% | 29.95% | 31.67% | 35.44% | 32.49% | 32.85% | 42.86% | 34.76% | 34.23% |
| Net Income | 4.8B | 4.66B | 3.68B | 3.76B | 5.04B | 3.61B | 4.79B | 4.63B | 3.1B | 4.03B | 3.54B | 2.67B | 3.06B | 3.47B | 3.62B | 3.1B | 3.1B | 2.17B | 2.23B | 2.8B | 2.55B | 1.8B | 1.96B | 1.6B | 984M | 1.05B | 1.1B | 468.4M | 594.6M | 583.2M |
| Net Margin % | 13.2% | 13.9% | 11.36% | 12.03% | 15.9% | 11.97% | 16.56% | 15.16% | 10.36% | 13.56% | 12.27% | 13.2% | 18.02% | 20.9% | 22.35% | 19.43% | 19.59% | 14.86% | 16.51% | 22.78% | 22.55% | 17.94% | 21.56% | 20.87% | 15.35% | 18.84% | 21.91% | 11.33% | 22.83% | 23.92% |
| Net Income Growth % | 2.96% | 26.82% | -2.18% | -25.42% | 39.74% | -24.7% | 3.41% | 49.19% | -22.94% | 13.85% | 32.26% | -12.72% | -11.59% | -4.15% | 16.83% | -0.1% | 42.88% | -2.78% | -20.38% | 10.02% | 41.18% | -7.93% | 22.47% | 62.58% | -5.93% | -4.78% | 134.52% | -21.22% | 1.95% | 36.17% |
| Net Income (Continuing) | 4.84B | 4.69B | 3.7B | 3.78B | 5.06B | 3.63B | 4.81B | 4.65B | 3.1B | 4.02B | 3.54B | 2.67B | 3.06B | 3.47B | 3.42B | 3.06B | 3.08B | 2.07B | 2.23B | 2.8B | 2.55B | 1.8B | 1.96B | 1.6B | 984M | 1.05B | 1.08B | 466.7M | 594.6M | 583.2M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 609M | 232M | 206M | 182M | 171M | 174M | 135M | 121M | 102M | 122M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 3.73 | 3.61 | 2.76 | 2.82 | 3.73 | 2.66 | 3.54 | 3.41 | 2.27 | 2.89 | 2.48 | 2.41 | 3.02 | 3.37 | 3.41 | 2.86 | 2.79 | 1.84 | 1.95 | 2.41 | 2.09 | 1.48 | 1.60 | 1.30 | 0.80 | 0.85 | 0.89 | 0.39 | 0.51 | 0.50 |
| EPS Growth % | 3.32% | 30.8% | -2.13% | -24.4% | 40.23% | -24.86% | 3.81% | 50.22% | -21.45% | 16.53% | 2.9% | -20.2% | -10.39% | -1.17% | 19.23% | 2.51% | 51.63% | -5.64% | -19.09% | 15.31% | 41.22% | -7.5% | 23.08% | 62.5% | -5.88% | -4.49% | 128.21% | -23.53% | 2% | 11.11% |
| EPS (Basic) | 3.75 | 3.63 | 2.77 | 2.83 | 3.75 | 2.68 | 3.57 | 3.44 | 2.29 | 2.92 | 2.51 | 2.44 | 3.06 | 3.40 | 3.43 | 2.87 | 2.80 | 1.85 | 1.97 | 2.44 | 2.11 | 1.49 | 1.61 | 1.31 | 0.81 | 0.87 | 0.91 | 0.40 | 0.52 | 0.51 |
| Diluted Shares Outstanding | 1.29B | 1.29B | 1.33B | 1.33B | 1.35B | 1.35B | 1.35B | 1.36B | 1.37B | 1.39B | 1.43B | 1.11B | 1.01B | 1.03B | 1.06B | 1.08B | 1.11B | 1.13B | 1.14B | 1.16B | 1.22B | 1.22B | 1.23B | 1.23B | 1.22B | 1.23B | 1.22B | 1.21B | 1.18B | 1.17B |
| Basic Shares Outstanding | 1.28B | 1.29B | 1.33B | 1.33B | 1.34B | 1.34B | 1.34B | 1.35B | 1.36B | 1.38B | 1.41B | 1.1B | 1B | 1.02B | 1.05B | 1.08B | 1.11B | 1.12B | 1.13B | 1.15B | 1.2B | 1.21B | 1.21B | 1.22B | 1.21B | 1.2B | 1.19B | 1.18B | 1.15B | 1.14B |
| Dividend Payout Ratio | 75.81% | 76.98% | 99.73% | 96.22% | 67.14% | 86.52% | 60.43% | 58.15% | 80.35% | 58.99% | 60.46% | 49.98% | 36.41% | 30.43% | 28.23% | 31.3% | 29.27% | 38.87% | 25.32% | 17.99% | 18.25% | 22.45% | 17.94% | 19.01% | 28.33% | 23.01% | 17.25% | 28.16% | 17.31% | 15.55% |
Pricing pressure in China
According to the most recent quarterly data, Medtronic achieved a 9.9% year-over-year revenue increase in 2026Q4, marking a significant acceleration from the 0.5% growth observed in 2024Q4 and suggesting that the company's portfolio optimization efforts are finally beginning to yield tangible top-line results.
The consistent upward trend in quarterly revenue growth suggests that the company is successfully navigating the transition toward higher-growth segments. Investors should monitor whether this acceleration is sustainable or if it remains dependent on clearing elective surgical backlogs that may eventually normalize.
As reported in the latest financial statements, Medtronic's gross margin reached 75.9% in 2026Q4, a notable improvement from the 64.6% recorded in 2024Q4, which may indicate enhanced pricing power or a favorable shift in the product mix toward higher-margin, proprietary medical technologies.
This expansion in gross margin appears to reflect the successful integration of more advanced, high-acuity devices into the core portfolio. However, the sustainability of these margins warrants further investigation, particularly given the potential for competitive pricing pressure in the global medical device market.
Based on the provided income statement data, operating income scaled to $1.6B in 2026Q4, yet the operating margin of 15.9% remains below the 19.9% peak seen in 2025Q3, suggesting that rising SG&A expenses continue to offset gains in gross profitability.
The inability to consistently expand operating margins despite strong revenue growth suggests that the company is heavily reinvesting in its sales force and R&D to defend its market position. This strategy may be necessary for long-term competitiveness, but it currently limits the flow-through of revenue gains to the bottom line.
Analysis of the reported figures reveals that stock-based compensation reached $95.0M in 2026Q4, which, when viewed alongside the volatility in quarterly net income, suggests that investors should carefully adjust for non-cash expenses when evaluating the true underlying profitability of the firm's operations.
The fluctuation in net income appears to be influenced by periodic spikes in compensation and other non-operating items, which may obscure the core operational performance. A closer look at the consistency of these charges is required to determine if they represent a structural drag on shareholder value.
While revenue growth is accelerating, the historical volatility in operating margins, which dropped from 19.9% in 2025Q3 to 15.9% in 2026Q4, suggests that the company remains vulnerable to cost inflation and the aggressive pricing strategies of pure-play competitors in the medtech space.
Short-term gains in revenue may be masking underlying structural challenges, such as the high cost of maintaining a global clinical support infrastructure. If the company cannot maintain its pricing power, the current margin profile may face further downward pressure in the coming fiscal periods.
Quick answers to the most common questions about buying MDT stock.
For fiscal year 2026, Medtronic plc (MDT) reported total revenue of $36.36B. This represents a 1391.4% increase compared to $2.44B in 1997.
Medtronic plc (MDT) is profitable, generating $4.80B in net income for the fiscal year ending 2026 with a net profit margin of 13.2%.
Medtronic plc (MDT) reported an operating income of $6.47B, resulting in an operating profit margin of 17.8%. This margin reflects the operational efficiency of the business before interest and taxes.
Medtronic plc (MDT) generated $23.64B in gross profit for the year, representing a gross profit margin of 65.0%. This demonstrates the company's core pricing power and production efficiency.