Medtronic Inc. (NYSE:MDT) posted strong enough results for the third quarter to prompt it to boost the lower end of its earnings-per-share guidance for fiscal 2010.
The Fridley, Minn.-based medical devices monolith posted sales of $3.85 billion during the three months ended Jan. 29, up 10.2 percent compared with $3.49 billion during Q3 2009. Net income rose 19.1 percent to $831 million (or 75 cents per share), compared with $698 million (62 cents per share) during the same period in fiscal 2009.
Medtronic said international sales were up 22 percent to $1.62 billion, representing 42 percent of total sales. Revenues from its core cardiac rhythm disease management segment were $1.24 billion on the quarter, up 6 percent. Worldwide CRDM sales were $756 million, a 2 percent increase that got a boost from its atrial fibrillation and implantable defibrillators businesses.
Cardiovascular division sales of $722 million were up 28 percent. Medtronic said spinal division revenues of $842 million grew 1 percent and neuromodulation revenues grew 11 percent to $394 million. Sales for its diabetes division reached $311 million, up 12 percent, and its surgical technologies division posted a sales increase of 15 percent, to $239 million.
Medtronic’s Physio-Control Corp. subsidiary, which won back the right to market its automated external defibrillators from the Food & Drug Administration last week, posted sales of $100 million, an 11 percent increase.
The company said it expects EPS of $3.20 to $3.22 for the full fiscal year, compared to its previous guidance of $3.17 to $3.22.