2013-01-07 18:50:37 -
MINNEAPOLIS - January 7, 2013 - In a presentation to investors, Medtronic, Inc.
(NYSE:MDT) today updated diluted earnings per share (EPS) guidance for fiscal
The Company tightened its fiscal 2013 diluted EPS guidance range to $3.66 to
$3.70 from the previously stated range of $3.62 to $3.70. The new range implies
annual EPS growth of 6 to 7%.
Management indicated that the Company's updated fiscal 2013 EPS guidance is
based on the positive financial impact from the recent renewal of the U.S.
Research and Development (R&D) tax credit. As previously stated, management
estimates the R&D tax credit to have a positive annual earnings and EPS impact
of approximately $30-35 million and 4 cents, respectively. Due to retroactive
accounting treatment, the Company expects to realize approximately 3 cents of
benefit in the third quarter, and 1 cent in the fourth quarter, of
fiscal year 2013.
As in the past, all EPS ranges exclude any effect of special or extraordinary
charges that may impact the Company's continuing operations. The changes in
guidance also reflect only the information available to the Company at this
Medtronic, Inc. (www.medtronic.com), headquartered in Minneapolis, is the global
leader in medical technology - alleviating pain, restoring health, and extending
life for millions of people around the world.
This press release contains forward-looking statements related to Medtronic's
future results of operations, which are subject to risks and uncertainties, such
as competitive factors, difficulties and delays inherent in the development,
manufacturing, marketing and sale of medical products, government regulation and
general economic conditions and other risks and uncertainties described in
Medtronic's periodic reports on file with the Securities and Exchange
Commission. Actual results may differ materially from anticipated results.
Medtronic does not undertake to update its forward-looking statements.
Earnings per share guidance excludes any unusual charges or gains that might
occur during the fiscal year and the impact of the non-cash charge for
convertible debt interest expense. The guidance provided only reflects
information available to Medtronic at this time.
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Source: Medtronic, Inc. via Thomson Reuters ONE