Medtronic on Aug. 25 reported first quarter revenue decreased 13 percent year over year to $6.5 billion.
After accounting for the benefit of an extra week compared to the first quarter of fiscal year 2020, among other deductions, Medtronic reported first quarter revenue decreased 17 percent on an organic basis.
Six company notes:
1. U.S. revenue in the first quarter was $3.4 billion, representing 52 percent of company revenue, and decreased 14 percent year over year. For the same period, non-U.S. developed market revenue decreased 8 percent to $2.2 billion and emerging markets revenue dropped 15 percent to $981 million.
2. Medtronic's minimally invasive therapies group, which includes its spine, pain and brain divisions, reported a year-over-year decline of 14 percent in first quarter revenue to $1.8 billion.
3. CEO Geoff Martha said that the quarterly results are a "solid improvement" from the previous quarter and suggest a "faster than expected recovery" from the height of the pandemic in April. In the fourth quarter, Medtronic reported a 26 percent drop in revenue to $6 billion, with its minimally invasive therapies group declining 33 percent to almost $1.5 billion.
4. Beginning this quarter, the restorative therapies group was moved into the cranial and spinal technologies, specialty therapies and neuromodulation divisions. RTG revenue fell 15 percent in the first quarter to $1.71 billion, with cranial and spinal technologies revenue decreasing 10 percent to $944 million, for the same period.
5. Core spine revenue dropped by a percentage in the low-double digits globally, including high single-digit declines in the U.S. Bone morphogenetic protein sales decreased by a percentage in the low-20s.
6. Medtronic did not provide guidance for future financial results due to the uncertainty of the COVID-19 pandemic.