Medtronic, Minneapolis, reported 15% revenue growth to a record $2.7 billion in its fiscal first quarter, ended July 29, helped in part by the recent recalls of implantable cardioverter defibrillators by competitor Guidant Corp. Medtronic's ICD sales grew 30% to $718 million. The company's spinal and diabetes businesses also contributed to the revenue growth, Medtronic said. After research and development charges of $295.3 million, Medtronic earned $320.6 million, or 26 cents per share. In the year-ago quarter, the company earned net income of $530 million, or 43 cents per share, on revenue of $2.3 billion. Pacemaker revenue was down 1% to $446 million, reflecting a trend by physicians to use pacemaker and ICD combination devices in lieu of just pacemakers, Medtronic said. Together, the ICD, spinal and diabetes businesses represented more than 50% of Medtronic's overall revenue and collectively grew more than 25% over the year-ago quarter. -- by Cinda Becker
Medtronic's revenue benefits from Guidant recalls
Send us a letter
Have an opinion about this story? Click here to submit a Letter to the Editor, and we may publish it in print.