Medtronic reported a 4 percent dip in revenue due to hurricanes during the second quarter of the 2017 fiscal year, as well as a divestiture to Cardinal Health.
Here are five key quotes from CEO Omar Ishrak during the quarterly conference call, as reported in Seeking Alpha:
1. Addressing the natural disasters during the second quarter: "These financial results are very encouraging when considered in the context of a quarter in which we faced three hurricanes and the California wildfires. Hurricane Maria in particular significantly affected our manufacturing operations in Puerto Rico. The lives of thousands of our employees were affected by these natural disasters, yet the resiliency, dedication and persistence of our team to overcome these challenges was remarkable."
2. Examining robotics in the advanced energy business: "As we look ahead, we see the opportunity to expand the availability of MIS procedures through the use of our surgical robot platform. The development team continues to drive toward first-in-human use by the end of the fiscal year."
3. On the spine revenue, which declined 1 percent: "Inside the combination of our enabling technologies, which are reported in our neurosurgery business, with our spine revenue, resulted in 2 percent growth in Q2. We believe this is an indication of our overall growth in spine procedures and a more relevant comparison of our spine results against several of our competitors."
4. In response to the successful implementation of value-based programs rolled out in the innovative therapies business: "We are aggressively developing other unique value-based solutions across each of our groups and regions. We remain focused on leading the shift to healthcare payment systems that reward value and improve patient outcomes over volume."
5. On potential price reductions for medical devices in China: "Let's not forget the size of that market and access to healthcare for patients in China is a big priority for the government and a big priority for us. And we are working closely with the government to figure out the best way to optimize the distribution channels, which have many factors as you noted, and now there may be certain price regulations, but we're used to managing those and we feel in the end that our ability to demonstrate value and our experience with value-based models will give us the right pricing in those markets, and the right trade-off between price and volume, as well as leading out the cost in the distribution channel working together with the government."