mdt-20230728

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol	Name of each exchange on which registered
Ordinary shares, par value $0.0001 per share	MDT	New York Stock Exchange
0.250% Senior Notes due 2025	MDT/25	New York Stock Exchange
0.000% Senior Notes due 2025	MDT/25A	New York Stock Exchange
2.625% Senior Notes due 2025	MDT/25B	New York Stock Exchange
1.125% Senior Notes due 2027	MDT/27	New York Stock Exchange
0.375% Senior Notes due 2028	MDT/28	New York Stock Exchange
3.000% Senior Notes due 2028	MDT/28A	New York Stock Exchange
1.625% Senior Notes due 2031	MDT/31	New York Stock Exchange
1.000% Senior Notes due 2031	MDT/31A	New York Stock Exchange
3.125% Senior Notes due 2031	MDT/31B	New York Stock Exchange
0.750% Senior Notes due 2032	MDT/32	New York Stock Exchange
3.375% Senior Notes due 2034	MDT/34	New York Stock Exchange
2.250% Senior Notes due 2039	MDT/39A	New York Stock Exchange
1.500% Senior Notes due 2039	MDT/39B	New York Stock Exchange
1.375% Senior Notes due 2040	MDT/40A	New York Stock Exchange
1.750% Senior Notes due 2049	MDT/49	New York Stock Exchange
1.625% Senior Notes due 2050	MDT/50	New York Stock Exchange

(Unaudited)


	Three months ended
(in millions, except per share data)	July 28, 2023		July 29, 2022
Net sales	$	7,702	$	7,371
Costs and expenses:
Cost of products sold, excluding amortization of intangible assets	2,628		2,516
Research and development expense	668		692
Selling, general, and administrative expense	2,613		2,567
Amortization of intangible assets	429		423
Restructuring charges, net	54		14
Certain litigation charges	40		—
Other operating expense, net	1		35
Operating profit	1,268		1,125
Other non-operating income, net	(76)		(83)
Interest expense, net	148		164
Income before income taxes	1,196		1,044
Income tax provision	400		112
Net income	797		931
Net income attributable to noncontrolling interests	(6)		(2)
Net income attributable to Medtronic	$	791	$	929
Basic earnings per share	$	0.59	$	0.70
Diluted earnings per share	$	0.59	$	0.70
Basic weighted average shares outstanding	1,330.5		1,329.4
Diluted weighted average shares outstanding	1,333.8		1,334.5

(Unaudited)


(in millions)	July 28, 2023		April 28, 2023
ASSETS
Current assets:
Cash and cash equivalents	$	1,339	$	1,543
Investments	6,537		6,416
Accounts receivable, less allowances and credit losses of $190 and $176, respectively	5,806		5,998
Inventories, net	5,668		5,293
Other current assets	2,518		2,425
Total current assets	21,869		21,675
Property, plant, and equipment, net	5,665		5,569
Goodwill	41,436		41,425
Other intangible assets, net	14,434		14,844
Tax assets	3,461		3,477
Other assets	3,912		3,959
Total assets	$	90,776	$	90,948
LIABILITIES AND EQUITY
Current liabilities:
Current debt obligations	$	519	$	20
Accounts payable	2,239		2,662
Accrued compensation	1,695		1,949
Accrued income taxes	1,013		840
Other accrued expenses	3,581		3,581
Total current liabilities	9,047		9,051
Long-term debt	24,463		24,344
Accrued compensation and retirement benefits	1,092		1,093
Accrued income taxes	2,407		2,360
Deferred tax liabilities	687		708
Other liabilities	1,715		1,727
Total liabilities	39,410		39,283
Commitments and contingencies (Note 16)
Shareholders’ equity:
Ordinary shares— par value $0.0001, 2.6 billion shares authorized, 1,330,498,304 and 1,330,809,036 shares issued and outstanding, respectively	—		—
Additional paid-in capital	24,587		24,590
Retained earnings	30,265		30,392
Accumulated other comprehensive loss	(3,674)		(3,499)
Total shareholders’ equity	51,178		51,483
Noncontrolling interests	188		182
Total equity	51,366		51,665
Total liabilities and equity	$	90,776	$	90,948

(Unaudited)


	Three months ended
(in millions)	July 28, 2023		July 29, 2022
Operating Activities:
Net income	$	797	$	931
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	672		668
Provision for credit losses	21		15
Deferred income taxes	—		(18)
Stock-based compensation	73		62
Loss on debt extinguishment	—		53



Other, net	135		121
Change in operating assets and liabilities, net of acquisitions and divestitures:
Accounts receivable, net	164		89
Inventories, net	(410)		(380)
Accounts payable and accrued liabilities	(673)		(147)
Other operating assets and liabilities	96		(311)


Net cash provided by operating activities	875		1,083
Investing Activities:
Acquisitions, net of cash acquired	—		(1,191)

Additions to property, plant, and equipment	(354)		(426)
Purchases of investments	(1,916)		(1,884)
Sales and maturities of investments	1,748		1,886
Other investing activities, net	(17)		30
Net cash used in investing activities	(539)		(1,585)
Financing Activities:
Change in current debt obligations, net	500		—

Proceeds from short-term borrowings (maturities greater than 90 days)	—		2,284

Payments on long-term debt	—		(2,311)
Dividends to shareholders	(918)		(903)
Issuance of ordinary shares	77		43
Repurchase of ordinary shares	(152)		(336)
Other financing activities	(8)		273
Net cash used in financing activities	(501)		(950)
Effect of exchange rate changes on cash and cash equivalents	(39)		(122)
Net change in cash and cash equivalents	(204)		(1,574)
Cash and cash equivalents at beginning of period	1,543		3,714
Cash and cash equivalents at end of period	$	1,339	$	2,140

Supplemental Cash Flow Information
Cash paid for:
Income taxes	$	117	$	260
Interest	84		68

The following discussion and analysis provides information management believes to be relevant to understanding the financial condition and results of operations of Medtronic plc and its subsidiaries (Medtronic plc, Medtronic, or the Company, or we, us, or our). For a full understanding of financial condition and results of operations, you should read this discussion along with Management’s Discussion and Analysis of Financial Condition and Results of Operations in our Annual Report on Form 10-K for the fiscal year ended April 28, 2023. In addition, you should read this discussion along with our consolidated financial statements and related notes thereto at and for the three months ended July 28, 2023. Amounts reported in millions within this quarterly report are computed based on the amounts in thousands, and therefore, the sum of the components may not equal the total amount reported in millions due to rounding. Additionally, certain columns and rows within tables may not sum due to rounding.

Throughout this Management’s Discussion and Analysis, we present certain financial measures that facilitate management's review of the operational performance of the Company and as a basis for strategic planning; however, such financial measures are not presented in our financial statements prepared in accordance with accounting principles generally accepted in the United States (U.S.) (U.S. GAAP). These financial measures are considered "non-GAAP financial measures" and are intended to supplement, and should not be considered as superior to, financial measures presented in accordance with U.S. GAAP. We believe that non-GAAP financial measures provide information useful to investors in understanding the Company's underlying operational performance and trends and may facilitate comparisons with the performance of other companies in the medical technologies industry.


	Three months ended July 28, 2023
(in millions, except per share data)	Income Before Income Taxes		Income Tax Provision (Benefit)		Net Income Attributable to Medtronic		Diluted EPS		Effective Tax Rate
GAAP	$	1,196	$	400	$	791	$	0.59	33.4	%
Non-GAAP Adjustments:
Amortization of intangible assets	429		65		364		0.27		15.2
Restructuring and associated costs(2)	91		15		76		0.06		16.5
Acquisition and divestiture-related items(3)	50		3		46		0.03		6.0
Certain litigation charges	40		9		31		0.02		22.5
(Gain)/loss on minority investments(4)	64		—		64		0.05		—
Medical device regulations(5)	31		7		25		0.02		22.6
Certain tax adjustments, net(6)	—		(198)		198		0.15		—
Non-GAAP	$	1,902	$	300	$	1,596	$	1.20	15.8	%

	Three months ended July 29, 2022
(in millions, except per share data)	Income Before Income Taxes		Income Tax Provision (Benefit)		Net Income Attributable to Medtronic		Diluted EPS		Effective Tax Rate
GAAP	$	1,044	$	112	$	929	$	0.70	10.7	%
Non-GAAP Adjustments:
Amortization of intangible assets	423		65		359		0.27		15.4
Restructuring and associated costs(2)	76		16		60		0.04		21.1
Acquisition and divestiture-related items(3)	109		7		102		0.08		6.4
(Gain)/loss on minority investments(4)	(4)		—		(4)		—		—
Medical device regulations(5)	32		6		26		0.02		18.8
Debt redemption premium and other charges(7)	53		11		42		0.03		20.8
Certain tax adjustments, net(8)	—		13		(13)		(0.01)		—
Non-GAAP	$	1,734	$	230	$	1,502	$	1.13	13.3	%

Cardiovascular products include pacemakers, insertable cardiac monitors, cardiac resynchronization therapy devices, implantable cardioverter defibrillators (ICD), leads and delivery systems, electrophysiology catheters, products for the treatment of atrial fibrillation, information systems for the management of patients with Cardiac Rhythm & Heart Failure devices, products designed to reduce surgical site infections, coronary and peripheral stents and related delivery systems, balloons and related delivery systems, endovascular stent graft systems, heart valve replacement technologies, cardiac tissue ablation systems, and open heart and coronary bypass grafting surgical products. Cardiovascular also includes Cath Lab Managed Services (CLMS) within the Cardiac Rhythm & Heart Failure division. Cardiovascular's net sales for the three months ended July 28, 2023 was $2.9 billion, an increase of 6 percent as compared to the corresponding period in the prior fiscal year. The net sales increase was primarily due to strong performance of Micra, TAVR, Cannula, and Perfusion.

Neuroscience's products include various spinal implants, bone graft substitutes, biologic products, image-guided surgery and intra-operative imaging systems, robotic guidance systems used in the robot-assisted spine procedures, and systems that incorporate advanced energy surgical instruments. Neuroscience's products also focus on therapies to treat the diseases of the vasculature in and around the brain, including coils, neurovascular stents, and flow diversion products, as well as products to treat ear, nose, and throat (ENT), and the treatment of overactive bladder, urinary retention, and fecal incontinence. Neuroscience also manufactures products related to implantable neurostimulation therapies and drug delivery systems for the treatment of chronic pain, movement disorders, and epilepsy. Neuroscience’s net sales for the three months ended July 28, 2023 were $2.2 billion, an increase of 5 percent compared to the corresponding period in the prior fiscal year. The net sales increase was primarily due to growth in U.S. Spine & Biologics, Neurosurgery, and ENT.

Medical Surgical’s products span the entire continuum of patient care from diagnosis to recovery, with a focus on diseases of the gastrointestinal tract, lungs, pelvic region, obesity, and preventable complications. The products include those for advanced and general surgical products, surgical stapling devices, vessel sealing instruments, wound closure, electrosurgery products, hernia mechanical devices, mesh implants, advanced ablation, interventional lung, ventilators, airway products, and sensors and monitors for pulse oximetry, capnography, level of consciousness and cerebral oximetry. Medical Surgical's net sales for the three months ended July 28, 2023 were $2.0 billion, an increase of 6 percent compared to the corresponding period in the prior fiscal year. The net sales increase was primarily driven by growth in Advanced Energy, primarily due to improved supply.

Restructuring Charges, Net For the three months ended July 28, 2023, restructuring costs primarily related to employee termination benefits to support cost reduction initiatives. For the three months ended July 29, 2022, restructuring charges primarily related to Enterprise Excellence and Simplification restructuring programs, both of which were substantially completed as of the end of fiscal year 2023. Enterprise Excellence was designed to leverage the Company’s global size and scale to focus on global operations, and functional and commercial optimization, and had total pre-tax charges of $1.8 billion. Simplification was designed to focus the organization on accelerating innovation, enhancing customer experience, driving revenue growth and winning market share, and had total pre-tax charges of $0.5 billion.

For the three months ended July 28, 2023, the change in other operating expense, net was driven by a $21 million decrease in Puerto Rico Excise Tax compared to the corresponding period in the prior year. As a result of newly enacted tax legislation in Puerto Rico, the Company is no longer subject to Puerto Rico Excise Tax, but is now subject to a higher withholding tax, which is recorded in income tax provision in the consolidated statements of income. Additionally, the change was driven by the net currency impact of remeasurement expense and our hedging programs, which resulted in a net loss of $3 million for the three months ended July 28, 2023 as compared to a net gain of $81 million for the corresponding period in the prior year. Further driving the change in other operating expense, net was $67 million of non-cash pre-tax impairments, primarily related to goodwill, as a result of the April 1, 2023 sale of half of the Company's RCS business and $22 million of integration and deal costs recorded during the three months ended July 29, 2022.

In May 2022, we entered into a term loan agreement (Fiscal 2023 Loan Agreement) with Mizuho Bank, Ltd. for an aggregate principal amount of up to ¥300 billion with a term of 364 days. In May and June 2022, Medtronic Luxco borrowed an aggregate of ¥297 billion, or approximately $2.3 billion, of the term loan, under the Fiscal 2023 Loan Agreement. The Company used the net proceeds of the borrowings to fund the early redemption of $1.9 billion of Medtronic Inc. Senior Notes for $1.9 billion of total consideration, and $368 million of Medtronic Luxco Senior Notes for $376 million of total consideration. The Company recognized a total loss on debt extinguishment of $53 million within interest expense, net in the consolidated statements of income in the quarter ended July 29, 2022, which primarily included cash premiums and accelerated amortization of deferred financing costs and debt discounts and premiums. During the fourth quarter of fiscal year 2023, the Company repaid the term loan in full, including interest.

The goodwill allocation and the tests for impairment of goodwill requires us to make several estimates related to projected future cash flows to determine the fair value of the goodwill reporting units. We calculate the excess of each reporting unit's fair value over its carrying amount, including goodwill, utilizing a discounted cash flow analysis. The test for goodwill is based on future cash flows that require significant judgment with respect to future revenue and expense growth rates and discount rates. The discount rate applied to the cash flow analysis is based on the weighted average cost of capital (“WACC”) for each reporting unit. An impairment loss is recognized when the carrying amount of the reporting unit’s net assets exceeds the estimated fair value of the reporting unit. A change in any of these estimates and assumptions could produce a different fair value, which could have a material impact on the our results of operations.

Medtronic plc and Medtronic Global Holdings S.C.A. (Medtronic Luxco), a wholly-owned subsidiary guarantor, each have provided full and unconditional guarantees of the obligations of Medtronic, Inc., a wholly-owned subsidiary issuer, under the Senior Notes (Medtronic Senior Notes) and full and unconditional guarantees of the obligations of Covidien International Finance S.A. (CIFSA), a wholly-owned subsidiary issuer, under the Senior Notes (CIFSA Senior Notes). The guarantees of the CIFSA Senior Notes are in addition to the guarantees of the CIFSA Senior Notes by Covidien Ltd. and Covidien Group Holdings Ltd., both of which are wholly-owned subsidiary guarantors of the CIFSA Senior Notes. Medtronic plc and Medtronic, Inc. each have provided a full and unconditional guarantee of the obligations of Medtronic Luxco under the Senior Notes (Medtronic Luxco Senior Notes). The following is a summary of these guarantees:

This Quarterly Report on Form 10-Q, and other written reports and oral statements made by or with the approval of one of the Company’s executive officers from time to time, may include “forward-looking” statements. All statements other than statements of historical fact contained in this Quarterly Report on Form 10-Q, including statements regarding our future results of operations and financial position, business strategy and plans, objectives of management for future operations and current expectations or forecasts of future results, are forward-looking statements. These statements involve known and unknown risks, uncertainties, and other important factors that may cause our actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Our forward-looking statements may include statements related to our growth and growth strategies, developments in the markets for our products, therapies and services, financial results, product development launches and effectiveness, research and development strategy, regulatory approvals, competitive strengths, the potential or anticipated direct or indirect impact of public health crises on our business, results of operations, and/or financial condition, restructuring and cost-saving initiatives, intellectual property rights, litigation and tax matters, governmental proceedings and investigations, mergers and acquisitions, divestitures, market acceptance of our products, therapies and services, accounting estimates, financing activities, ongoing contractual obligations, working capital adequacy, value of our investments, our effective tax rate, our expected returns to shareholders, and sales efforts. In some cases, such statements may be identified by the use of terminology such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “forecast,” “intend,” “looking ahead,” “may,” “plan,” “possible,” “potential,” “project,” “should,” “will,” and similar words or expressions. Forward-looking statements in this Quarterly Report include, but are not limited to, statements regarding our ability to drive long-term shareholder value, development and future launches of products and continued or future acceptance of products, therapies and services in our segments; expected timing for completion of research studies relating to our products; market positioning and performance of our products, including stabilization of certain product markets; divestitures and the potential benefits thereof; the costs and benefits of integrating previous acquisitions; anticipated timing for United States (U.S.) Food and Drug Administration (U.S. FDA) and non-U.S. regulatory approval of new products; increased presence in new markets, including markets outside the U.S.; changes in the market and our market share; acquisitions and investment initiatives, including the timing of regulatory approvals as well as integration of acquired companies into our operations; the resolution of tax matters; the effectiveness of our development activities in reducing patient care costs and hospital stay lengths; our approach towards cost containment; our expectations regarding healthcare costs, including potential changes to reimbursement policies and pricing pressures; our expectations regarding changes to patient standards of care; our ability to identify and maintain successful business partnerships; the elimination of certain positions or costs related to restructuring initiatives; outcomes in our litigation matters and governmental proceedings and investigations; general economic conditions; the adequacy of available working capital and our working capital needs; our payment of dividends and redemption of shares; the continued strength of our balance sheet and liquidity; our accounts receivable exposure; and the potential impact of our compliance with governmental regulations and accounting guidance.

We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our business, results of operations, financial condition, and/or cash flows. These forward-looking statements speak only as of the date of this Quarterly Report on Form 10-Q and are subject to a number of risks, uncertainties and assumptions described in the “Risk Factors” section and elsewhere in our Annual Report on Form 10-K. Because forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, you should not rely on these forward-looking statements as predictions of future events. One must carefully consider forward-looking statements and understand that such forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, and involve a variety of risks and uncertainties, known and unknown, including, among others, those discussed in the sections entitled “Government Regulation” within “Item 1. Business” and “Item 1A. Risk Factors” in our Annual Report on Form 10-K, as well as those related to:


☒	QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the quarterly period ended	July 28, 2023

☐	Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934. For the transition period from __________ to __________


Medtronic plc
(Exact name of registrant as specified in its charter)

Ireland			98-1183488
(State of incorporation)			(I.R.S. Employer Identification No.)


	Three months ended
(in millions)	July 28, 2023		July 29, 2022
Net income	$	797	$	931
Other comprehensive (loss) income, net of tax:
Unrealized loss on investment securities	(19)		(16)
Translation adjustment	14		(884)
Net investment hedge	(143)		1,002
Net change in retirement obligations	3		1
Unrealized (loss) gain on cash flow hedges	(30)		220
Other comprehensive (loss) income	(175)		324
Comprehensive income including noncontrolling interests	622		1,255
Comprehensive income attributable to noncontrolling interests	(6)		—
Comprehensive income attributable to Medtronic	$	616	$	1,255


	Three months ended
(in millions)	July 28, 2023		July 29, 2022
Cardiac Rhythm & Heart Failure	$	1,446	$	1,381
Structural Heart & Aortic	814		741
Coronary & Peripheral Vascular	589		579
Cardiovascular	2,850		2,701
Cranial & Spinal Technologies	1,103		1,043
Specialty Therapies	695		667
Neuromodulation	420		405
Neuroscience	2,219		2,115
Surgical & Endoscopy	1,546		1,455
Patient Monitoring & Respiratory Interventions	493		479
Medical Surgical	2,039		1,933
Diabetes	578		541
Other(1)	16		81
Total	$	7,702	$	7,371


	U.S.(1)				Non-U.S. Developed Markets(2)				Emerging Markets(3)
	Three months ended				Three months ended				Three months ended
(in millions)	July 28, 2023		July 29, 2022		July 28, 2023		July 29, 2022		July 28, 2023		July 29, 2022
Cardiovascular	$	1,350	$	1,286	$	956	$	892	$	544	$	523
Neuroscience	1,497		1,419		416		407		306		290
Medical Surgical	881		831		772		735		386		368
Diabetes	188		206		315		264		75		72
Other(4)	8		25		5		32		3		24
Total	$	3,924	$	3,766	$	2,463	$	2,328	$	1,314	$	1,276


Item	Description	Page

	PART I
1.	Financial Statements (unaudited)	1
2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	28
3.	Quantitative and Qualitative Disclosures About Market Risk	47
4.	Controls and Procedures	48
	PART II
1.	Legal Proceedings	48
2.	Unregistered Sales of Equity Securities and Use of Proceeds	48
5.	Other Information	48
6.	Exhibits	49
	Signature	50


	Ordinary Shares			Additional Paid-in Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Total Shareholders’ Equity		Noncontrolling Interests		Total Equity
(in millions)	Number	Par Value
April 28, 2023	1,331	$	—	$	24,590	$	30,392	$	(3,499)	$	51,483	$	182	$	51,665
Net income	—	—		—		791		—		791		6		797
Other comprehensive loss	—	—		—		—		(175)		(175)		—		(175)
Dividends to shareholders ($0.69 per ordinary share)	—	—		—		(918)		—		(918)		—		(918)
Issuance of shares under stock purchase and award plans	1	—		73		—		—		73		—		73
Repurchase of ordinary shares	(2)	—		(148)		—		—		(148)		—		(148)
Stock-based compensation	—	—		73		—		—		73		—		73


July 28, 2023	1,330	$	—	$	24,587	$	30,265	$	(3,674)	$	51,178	$	188	$	51,366


(in millions)	Intersect ENT
Cash and cash equivalents	$	39
Inventory	32
Goodwill	615
Other intangible assets	683
Other assets	40
Total assets acquired	1,408

Current liabilities	63
Deferred tax liabilities	51
Other liabilities	18
Total liabilities assumed	131
Net assets acquired	$	1,277


	Fair Value at
(in millions)	July 28, 2023	Unobservable Input	Range	Weighted Average (1)
Revenue and other performance-based payments	$81	Discount rate	11.2% - 27.2%	17.3%
		Projected fiscal year of payment	2024 - 2027	2025
Product development and other milestone-based payments	$125	Discount rate	3.9% - 5.5%	4.1%
		Projected fiscal year of payment	2024 - 2027	2026


(in millions)	July 28, 2023
Beginning balance	$	195
Change in fair value	(43)
Ending balance	$	152


(in millions)	Employee Termination Benefits		Associated Costs		Other Costs		Total
April 28, 2023	$	204	$	23	$	1	$	230
Charges	55		37		—		92
Cash payments	(147)		(53)		—		(201)
Accrual adjustments(1)	(2)		—		—		(2)
July 28, 2023	$	110	$	7	$	1	$	119


	July 28, 2023
	Valuation								Balance Sheet Classification
(in millions)	Cost		Unrealized Gains		Unrealized Losses		Fair Value		Investments		Other Assets
Level 1:
U.S. government and agency securities	$	549	$	—	$	(28)	$	521	$	521	$	—
Level 2:
Corporate debt securities	4,219		5		(171)		4,053		4,053		—
U.S. government and agency securities	897		—		(52)		845		845		—
Mortgage-backed securities	574		—		(56)		518		518		—
Non-U.S. government and agency securities	14		—		—		14		14		—

Other asset-backed securities	601		—		(16)		585		585		—
Total Level 2	6,305		5		(295)		6,015		6,015		—
Level 3:
Auction rate securities	36		—		(3)		33		—		33
Total available-for-sale debt securities	$	6,890	$	5	$	(326)	$	6,570	$	6,537	$	33


	July 28, 2023
	Less than 12 months				More than 12 months
(in millions)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Corporate debt securities	$	376	$	(6)	$	2,896	$	(165)
U.S. government and agency securities	86		(2)		860		(78)
Mortgage-backed securities	26		(1)		463		(55)
Other asset-backed securities	—		—		534		(16)
Auction rate securities	—		—		33		(3)
Total	$	488	$	(9)	$	4,786	$	(317)


(in millions)	July 28, 2023
Due in one year or less	$	1,339
Due after one year through five years	3,799
Due after five years through ten years	761
Due after ten years	672
Total	$	6,570


(in millions)	Maturity by Fiscal Year	July 28, 2023		April 28, 2023
Current debt obligations	2024 - 2025	$	519	$	20

Long-term debt
0.250 percent six-year 2019 senior notes	2026	1,105		1,097
2.625 percent three-year 2022 senior notes	2026	552		549
0.000 percent five-year 2020 senior notes	2026	1,105		1,097
1.125 percent eight-year 2019 senior notes	2027	1,657		1,646
4.250 percent five-year 2023 senior notes	2028	1,000		1,000
3.000 percent six-year 2022 senior notes	2029	1,105		1,097
0.375 percent eight-year 2020 senior notes	2029	1,105		1,097
1.625 percent twelve-year 2019 senior notes	2031	1,105		1,097
1.000 percent twelve-year 2019 senior notes	2032	1,105		1,097
3.125 percent nine-year 2022 senior notes	2032	1,105		1,097
0.750 percent twelve-year 2020 senior notes	2033	1,105		1,097
4.500 percent ten-year 2023 senior notes	2033	1,000		1,000
3.375 percent twelve-year 2022 senior notes	2035	1,105		1,097
4.375 percent twenty-year 2015 senior notes	2035	1,932		1,932
6.550 percent thirty-year 2007 CIFSA senior notes	2038	253		253
2.250 percent twenty-year 2019 senior notes	2039	1,105		1,097
6.500 percent thirty-year 2009 senior notes	2039	158		158
1.500 percent twenty-year 2019 senior notes	2040	1,105		1,097
5.550 percent thirty-year 2010 senior notes	2040	224		224
1.375 percent twenty-year 2020 senior notes	2041	1,105		1,097
4.500 percent thirty-year 2012 senior notes	2042	105		105
4.000 percent thirty-year 2013 senior notes	2043	305		305
4.625 percent thirty-year 2014 senior notes	2044	127		127
4.625 percent thirty-year 2015 senior notes	2045	1,813		1,813
1.750 percent thirty-year 2019 senior notes	2050	1,105		1,097
1.625 percent thirty-year 2020 senior notes	2051	1,105		1,097

Finance lease obligations	2024 - 2036	57		57
Deferred financing costs	2026 - 2051	(120)		(124)
Debt discount, net	2026 - 2051	(65)		(64)
Total long-term debt		$	24,463	$	24,344


	July 28, 2023
			Gross Amount Not Offset on the Balance Sheet
(in millions)	Gross Amount of Recognized Assets (Liabilities)		Financial Instruments		Cash Collateral (Received) Posted		Net Amount
Derivative assets:
Currency exchange rate contracts	$	398	$	(223)	$	(6)	$	168


Total return swaps	24		—		—		24
	421		(223)		(6)		192
Derivative liabilities:
Currency exchange rate contracts	(306)		223		1		(82)




Total	$	115	$	—	$	(5)	$	110


	April 28, 2023
			Gross Amount Not Offset on the Balance Sheet
(in millions)	Gross Amount of Recognized Assets (Liabilities)		Financial Instruments		Cash Collateral (Received) Posted		Net Amount
Derivative assets:
Currency exchange rate contracts	$	368	$	(189)	$	(11)	$	168




Derivative liabilities:
Currency exchange rate contracts	(236)		189		—		(48)




Total	$	132	$	—	$	(11)	$	121


(in millions)	July 28, 2023		April 28, 2023
Finished goods	$	3,723	$	3,440
Work-in-process	816		789
Raw materials	1,130		1,063
Total	$	5,668	$	5,293


	July 28, 2023				April 28, 2023
(in millions)	Gross Carrying Amount		Accumulated Amortization		Gross Carrying Amount		Accumulated Amortization
Definite-lived:
Customer-related	$	16,956	$	(8,221)	$	16,956	$	(7,979)
Purchased technology and patents	11,664		(6,451)		11,659		(6,277)
Trademarks and tradenames	485		(282)		486		(280)
Other	124		(73)		116		(69)
Total	$	29,229	$	(15,027)	$	29,217	$	(14,605)
Indefinite-lived:
IPR&D	$	232	$	—	$	232	$	—


		As of
(in billions)	Designation	July 28, 2023		April 28, 2023
Currency exchange rate contracts	Cash flow hedge	$	10.0	$	9.1
Currency exchange rate contracts(1)	Net investment hedge	7.3		7.2
Foreign currency-denominated debt(2)	Net investment hedge	17.7		17.6
Currency exchange rate contracts	Undesignated	5.7		5.8


	(Gain) Loss Recognized in Accumulated Other Comprehensive Loss				(Gain) Loss Reclassified into Income

	Three months ended					Three months ended					Location of (Gain) Loss in Income Statement
(in millions)	July 28, 2023		July 29, 2022				July 28, 2023		July 29, 2022
Cash flow hedges
Currency exchange rate contracts	$	(4)	$	(342)			$	(51)	$	(137)		Other operating expense, net
Currency exchange rate contracts	(33)		(34)				(5)		18			Cost of products sold
Net investment hedges
Foreign currency-denominated debt	114		(945)				—		—			N/A
Currency exchange rate contracts	30		(57)				—		—			N/A
Total	$	106	$	(1,378)			$	(56)	$	(120)


	(Gain) Loss Recognized in Income
	Three months ended				Location of (Gain) Loss in Income Statement
(in millions)	July 28, 2023		July 29, 2022
Derivatives not designated as hedging instruments
Currency exchange rate contracts	$	(2)	$	26		Other operating expense, net
Total return swaps	(19)		(1)			Other operating expense, net
Total	$	(21)	$	25


	Fair Value - Assets					Fair Value - Liabilities
(in millions)	July 28, 2023		April 28, 2023		Balance Sheet Classification	July 28, 2023		April 28, 2023		Balance Sheet Classification
Derivatives designated as hedging instruments
Currency exchange rate contracts	$	300	$	318	Other current assets	$	136	$	109	Other accrued expenses

Currency exchange rate contracts	53		33		Other assets	121		117		Other liabilities
Total derivatives designated as hedging instruments	353		351			258		226
Derivatives not designated as hedging instruments
Currency exchange rate contracts	45		17		Other current assets	48		10		Other accrued expenses
Total return swaps	24		—		Other current assets	—		—		Other accrued expenses



Total derivatives not designated as hedging instruments	68		17			48		10
Total derivatives	$	421	$	368		$	306	$	236


(in millions)	Amortization Expense
Remaining 2024	$	1,256
2025	1,654
2026	1,642
2027	1,619
2028	1,568
2029	1,489


	U.S.				Non-U.S.
	Three months ended				Three months ended
(in millions)	July 28, 2023		July 29, 2022		July 28, 2023		July 29, 2022

Service cost	$	15	$	19	$	10	$	12
Interest cost	40		36		12		10
Expected return on plan assets	(65)		(56)		(17)		(16)
Amortization of prior service cost	(1)		—		—		—
Amortization of net actuarial loss	5		5		—		1
Net periodic benefit (credit) cost	$	(6)	$	4	$	5	$	7


(in millions)	Unrealized (Loss) Gain on Investment Securities		Cumulative Translation Adjustments		Net Investment Hedges		Net Change in Retirement Obligations		Unrealized Gain (Loss) on Cash Flow Hedges		Total Accumulated Other Comprehensive (Loss) Income
April 28, 2023	$	(258)	$	(2,839)	$	245	$	(741)	$	93	$	(3,499)
Other comprehensive (loss) income before reclassifications	(28)		14		(143)		1		12		(144)
Reclassifications	8		—		—		2		(42)		(32)
Other comprehensive (loss) income	(19)		14		(143)		3		(30)		(175)
July 28, 2023	$	(277)	$	(2,825)	$	102	$	(738)	$	63	$	(3,674)


(in millions)	Unrealized (Loss) Gain on Investment Securities		Cumulative Translation Adjustment		Net Investment Hedges		Net Change in Retirement Obligations		Unrealized Gain (Loss) on Cash Flow Hedges		Total Accumulated Other Comprehensive (Loss) Income
April 29, 2022	$	(209)	$	(2,599)	$	841	$	(773)	$	474	$	(2,265)
Other comprehensive income (loss) before reclassifications	(22)		(881)		1,002		3		312		414
Reclassifications	6		—		—		(2)		(91)		(87)
Other comprehensive income (loss)	(16)		(881)		1,002		1		220		326

July 29, 2022	$	(225)	$	(3,480)	$	1,843	$	(772)	$	694	$	(1,939)


(in millions)	Medtronic & Medtronic Luxco Senior Notes (1)		CIFSA Senior Notes (2)
Net sales	$	822	$	—
Operating profit (loss)	(538)		14
Loss before income taxes	(1,077)		(585)
Net loss attributable to Medtronic	(921)		(582)


Fiscal Period	Total Number of Shares Purchased	Average Price Paid per Share		Total Number of Shares Purchased as a Part of Publicly Announced Program	Maximum Approximate Dollar Value of Shares that may yet be Purchased Under the Program
4/29/2023-5/26/2023	357,800	$	89.35	357,800	$	2,346,149,738
5/27/2023-6/30/2023	551,200	85.79		551,200	2,298,859,931
7/1/2023-7/28/2023	787,668	87.52		787,668	2,229,920,199
Total	1,696,668	$	87.35	1,696,668	$	2,229,920,199


		Medtronic plc
		(Registrant)

Date:	August 31, 2023	/s/ Jennifer M. Kirk
		Jennifer M. Kirk
		Senior Vice President, Global Controller and Chief Accounting Officer (Principal Accounting Officer)


Revenue Growth Performance Range	0%	1%	2%	3%	4%	5%	6%	7%	8%	9%	≥10%
Payout Range	50%	60%	70%	80%	90%	100%	120%	140%	160%	180%	200%


Relative TSR Performance Range	25%	30%	35%	40%	45%	50%	55%	60%	65%	70%	≥75%
Payout Range	50%	60%	70%	80%	90%	100%	120%	140%	160%	180%	200%


Performance Measure	% Award Earned	Weight
Revenue Growth	140% x	50.00%	= 70.00%
Relative TSR	120% x	50.00%	= 60.00%
% Payout of Target Performance Share Units (Before ROIC Modifier)			= 130.00%
ROIC Modifier	30% Reduction if ROIC target not achieved		No Reduction
% Payout of Target Performance Share Units (After ROIC Modifier)			= 130.00%


August 31, 2023			/s/ Geoffrey S. Martha
			Geoffrey S. Martha
			Chief Executive Officer


August 31, 2023			/s/ Karen L. Parkhill
			Karen L. Parkhill
			Executive Vice President and
			Chief Financial Officer

Cover - shares	3 Months Ended
Cover - shares	Jul. 28, 2023	Aug. 25, 2023
Entity Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jul. 28, 2023
Document Transition Report	false
Entity File Number	001-36820
Entity Registrant Name	Medtronic plc
Entity Incorporation, State or Country Code	L2
Entity Tax Identification Number	98-1183488
Entity Address, Address Line One	20 On Hatch, Lower Hatch Street
Entity Address, City or Town	Dublin 2
Entity Address, Country	IE
Country Region	353
City Area Code	1
Local Phone Number	438-1700
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	false
Entity Shell Company	false
Ordinary Shares Outstanding		1,330,533,713
Entity Central Index Key	0001613103
Current Fiscal Year End Date	--04-26
Amendment Flag	false
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2024
Entity Address, Postal Zip Code	D02 XH02
Ordinary shares, par value $0.0001 per share
Entity Information [Line Items]
Title of 12(b) Security	Ordinary shares, par value $0.0001 per share
Trading Symbol	MDT
Security Exchange Name	NYSE
0.250% Senior Notes due 2025
Entity Information [Line Items]
Title of 12(b) Security	0.250% Senior Notes due 2025
Trading Symbol	MDT/25
Security Exchange Name	NYSE
0.000% Senior Notes due 2025
Entity Information [Line Items]
Title of 12(b) Security	0.000% Senior Notes due 2025
Trading Symbol	MDT/25A
Security Exchange Name	NYSE
2.625% Senior Notes due 2025
Entity Information [Line Items]
Title of 12(b) Security	2.625% Senior Notes due 2025
Trading Symbol	MDT/25B
Security Exchange Name	NYSE
1.125% Senior Notes due 2027
Entity Information [Line Items]
Title of 12(b) Security	1.125% Senior Notes due 2027
Trading Symbol	MDT/27
Security Exchange Name	NYSE
0.375% Senior Notes due 2028
Entity Information [Line Items]
Title of 12(b) Security	0.375% Senior Notes due 2028
Trading Symbol	MDT/28
Security Exchange Name	NYSE
3.000% Senior Notes due 2028
Entity Information [Line Items]
Title of 12(b) Security	3.000% Senior Notes due 2028
Trading Symbol	MDT/28A
Security Exchange Name	NYSE
1.625% Senior Notes due 2031
Entity Information [Line Items]
Title of 12(b) Security	1.625% Senior Notes due 2031
Trading Symbol	MDT/31
Security Exchange Name	NYSE
1.000% Senior Notes due 2031
Entity Information [Line Items]
Title of 12(b) Security	1.000% Senior Notes due 2031
Trading Symbol	MDT/31A
Security Exchange Name	NYSE
3.125% Senior Notes due 2031
Entity Information [Line Items]
Title of 12(b) Security	3.125% Senior Notes due 2031
Trading Symbol	MDT/31B
Security Exchange Name	NYSE
0.750% Senior Notes due 2032
Entity Information [Line Items]
Title of 12(b) Security	0.750% Senior Notes due 2032
Trading Symbol	MDT/32
Security Exchange Name	NYSE
3.375% Senior Notes due 2034
Entity Information [Line Items]
Title of 12(b) Security	3.375% Senior Notes due 2034
Trading Symbol	MDT/34
Security Exchange Name	NYSE
2.250% Senior Notes due 2039
Entity Information [Line Items]
Title of 12(b) Security	2.250% Senior Notes due 2039
Trading Symbol	MDT/39A
Security Exchange Name	NYSE
1.500% Senior Notes due 2039
Entity Information [Line Items]
Title of 12(b) Security	1.500% Senior Notes due 2039
Trading Symbol	MDT/39B
Security Exchange Name	NYSE
1.375% Senior Notes due 2040
Entity Information [Line Items]
Title of 12(b) Security	1.375% Senior Notes due 2040
Trading Symbol	MDT/40A
Security Exchange Name	NYSE
1.750% Senior Notes due 2049
Entity Information [Line Items]
Title of 12(b) Security	1.750% Senior Notes due 2049
Trading Symbol	MDT/49
Security Exchange Name	NYSE
1.625% Senior Notes due 2050
Entity Information [Line Items]
Title of 12(b) Security	1.625% Senior Notes due 2050
Trading Symbol	MDT/50
Security Exchange Name	NYSE

Consolidated Statements of Income (Unaudited) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Jul. 28, 2023	Jul. 29, 2022
Income Statement [Abstract]
Net sales	$ 7,702	$ 7,371
Costs and expenses:
Cost of products sold, excluding amortization of intangible assets	2,628	2,516
Research and development expense	668	692
Selling, general, and administrative expense	2,613	2,567
Amortization of intangible assets	429	423
Restructuring charges, net	54	14
Certain litigation charges	40	0
Other operating expense, net	1	35
Operating profit	1,268	1,125
Other non-operating income, net	(76)	(83)
Interest expense, net	148	164
Income before income taxes	1,196	1,044
Income tax provision	400	112
Net income	797	931
Net income attributable to noncontrolling interests	(6)	(2)
Net income attributable to Medtronic	$ 791	$ 929
Basic earnings per share (usd per share)	$ 0.59	$ 0.70
Diluted earnings per share (usd per share)	$ 0.59	$ 0.70
Basic weighted average shares outstanding (shares)	1,330.5	1,329.4
Diluted weighted average shares outstanding (shares)	1,333.8	1,334.5

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions	3 Months Ended
	Jul. 28, 2023	Jul. 29, 2022
Statement of Comprehensive Income [Abstract]
Net income	$ 797	$ 931
Other comprehensive (loss) income, net of tax:
Unrealized loss on investment securities	(19)	(16)
Translation adjustment	14	(884)
Net investment hedge	(143)	1,002
Net change in retirement obligations	3	1
Unrealized (loss) gain on cash flow hedges	(30)	220
Other comprehensive (loss) income	(175)	324
Comprehensive income including noncontrolling interests	622	1,255
Comprehensive income attributable to noncontrolling interests	(6)	0
Comprehensive income attributable to Medtronic	$ 616	$ 1,255

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Jul. 28, 2023	Apr. 28, 2023
Current assets:
Cash and cash equivalents	$ 1,339	$ 1,543
Investments	6,537	6,416
Accounts receivable, less allowances and credit losses of $190 and $176, respectively	5,806	5,998
Inventories, net	5,668	5,293
Other current assets	2,518	2,425
Total current assets	21,869	21,675
Property, plant, and equipment, net	5,665	5,569
Goodwill	41,436	41,425
Other intangible assets, net	14,434	14,844
Tax assets	3,461	3,477
Other assets	3,912	3,959
Total assets	90,776	90,948
Current liabilities:
Current debt obligations	519	20
Accounts payable	2,239	2,662
Accrued compensation	1,695	1,949
Accrued income taxes	1,013	840
Other accrued expenses	3,581	3,581
Total current liabilities	9,047	9,051
Long-term debt	24,463	24,344
Accrued compensation and retirement benefits	1,092	1,093
Accrued income taxes	2,407	2,360
Deferred tax liabilities	687	708
Other liabilities	1,715	1,727
Total liabilities	39,410	39,283
Commitments and contingencies (Note 16)
Shareholders’ equity:
Ordinary shares— par value $0.0001, 2.6 billion shares authorized, 1,330,498,304 and 1,330,809,036 shares issued and outstanding, respectively	0	0
Additional paid-in capital	24,587	24,590
Retained earnings	30,265	30,392
Accumulated other comprehensive loss	(3,674)	(3,499)
Total shareholders’ equity	51,178	51,483
Noncontrolling interests	188	182
Total equity	51,366	51,665
Total liabilities and equity	$ 90,776	$ 90,948

Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Millions	Jul. 28, 2023	Apr. 28, 2023
Statement of Financial Position [Abstract]
Allowances for accounts receivable	$ 190	$ 176
Ordinary shares, par value (usd per share)	$ 0.0001	$ 0.0001
Ordinary shares authorized (shares)	2,600,000,000	2,600,000,000
Ordinary shares issued (shares)	1,330,498,304	1,330,809,036
Ordinary shares outstanding (shares)	1,330,498,304	1,330,809,036