8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) July 20, 2005

ST. JUDE MEDICAL, INC.
(Exact name of registrant as specified in its charter)

Minnesota	0-8672	41-1276891
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation)	File Number)	Identification No.)
One Lillehei Plaza, St. Paul, MN		55117
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code (651) 483-2000

Not applicable
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02    Results of Operations and Financial Condition.

On July 20, 2005, St. Jude Medical, Inc. issued a press release concerning financial results for the second quarter of 2005. A copy of the press release is furnished as Exhibit 99.1 to this report.

Item 9.01    Financial Statements and Exhibits.

(c) Exhibits:

99.1 Press release issued by St. Jude Medical, Inc. concerning financial results for the second quarter of 2005.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	ST. JUDE MEDICAL, INC.
Date: July 20, 2005	By: /s/ Kevin T. O'Malley
	Kevin T. O'Malley Vice President and General Counsel

EXHIBIT INDEX

Exhibit No.	Description of Exhibit
99.1	Press Release dated July 20, 2005, announcing the results of operations of the Company for the second quarter of 2005.

EX-99.1

Exhibit 99.1

ST. JUDE MEDICAL REPORTS SECOND QUARTER SALES AND EARNINGS

St. Paul, MN, July 20, 2005 — St. Jude Medical, Inc. (NYSE:STJ) today reported results for the second quarter ended June 30, 2005. The Company reported net sales of $724 million, an increase of 30% compared to the $557 million reported in the second quarter of 2004. Favorable foreign currency translation comparisons increased second quarter sales by about $12 million.

Reported net earnings for the second quarter of 2005 were $101 million or $.27 per diluted share, compared to $99 million, or $.27 per diluted share in the second quarter of 2004. Earnings per diluted share were $.59 for the first half of 2005, a 13% increase over the $.52 per share reported in the first half of 2004.

During the second quarter of 2005, St. Jude Medical recorded a special charge for the purchase of in-process research and development of approximately $14 million in conjunction with the completion of the acquisition of Velocimed, LLC. The company also recognized $27 million of additional income tax expense related to the repatriation of $500 million during the quarter under the provisions of the American Jobs Creation Act of 2004. Net earnings for the second quarter, excluding these non-recurring items, were $142 million or $.38 per diluted share, an increase of 41% over the $.27 per diluted share reported in the comparable quarter of 2004.

Second quarter ICD product sales were $244 million, a 92% increase over the comparable quarter of 2004, continuing to underscore the competitiveness of St. Jude Medical’s ICD products and reflecting additional market share gains. Second quarter pacemaker sales were $237 million, an increase of 4% from the comparable quarter of 2004.

Atrial fibrillation product sales for the second quarter totaled $61 million, a 65% increase over the second quarter of 2004. Sales of atrial fibrillation products in 2005 include sales from businesses acquired since the second quarter of 2004.

Total sales of cardiology products for the second quarter were $112 million, a 19% increase over 2004. Within this category of products, vascular sealing device sales for the second quarter of 2005 totaled $85 million, a 21% increase over the second quarter of last year.

Total cardiac surgery sales for the second quarter of 2005 were $70 million, a decrease of 3% compared to the second quarter of last year. Sales of heart valve products this quarter were approximately $65 million, down 3% when compared with the second quarter of last year.

Commenting on second quarter 2005 results, St. Jude Medical Chairman, President and Chief Executive Officer Daniel J. Starks said, “Our second quarter results reflect our progress on several major initiatives. Ninety-two percent growth in ICD revenues demonstrates clear and encouraging gains of ICD market share. We simultaneously strengthened our gross margin and expanded our investment in research and development. We completed our acquisition of Velocimed and continued to focus on expanding growth drivers to sustain our success.”

During a conference call today at 9 a.m. Eastern (8 a.m. Central), St. Jude Medical will further discuss these results and provide sales and earnings guidance for the third quarter and full year 2005. The Company expects its consolidated EPS for the third quarter of 2005 to be in the range of $.38 to $.39 per diluted share and is raising EPS guidance for the full year 2005 to be in the range of $1.49 to $1.51. The Company’s guidance excludes the impact of non-recurring items.

St. Jude Medical’s 2nd quarter earnings conference call will be live (also archived for 90 days) on the following website:

http://phx.corporate-ir.net/phoenix.zhtml?c=73836&p=irol-EventDetails&EventId=985469.

St. Jude Medical, Inc. (www.sjm.com) is dedicated to the design, manufacture and distribution of innovative medical devices of the highest quality, offering physicians, patients and payers outstanding clinical performance and demonstrated economic value.

Any statements made regarding the Company’s anticipated future product launches, regulatory approvals, revenues, earnings, market shares, and potential clinical success are forward-looking statements which are subject to risks and uncertainties, such as those described in the Financial Section of the Company’s Annual Report to Shareholders for the fiscal year ended December 31, 2004 (see page 16). Actual results may differ materially from anticipated results.

Condensed Consolidated Statements of Earnings

(Data in Thousands, Except EPS)
(Unaudited)

	Three Months Ended June 30, 2005							Three Months Ended June 30, 2004		Six Months Ended June 30, 2005							Six Months Ended June 30, 2004
	Reported		Adjustments			Adjusted		Reported		Reported		Adjustments			Adjusted		Reported
Net sales	$	723,655				$	723,655	$	556,602	$	1,387,564				$	1,387,564	$	1,105,178
Cost of sales		201,018					201,018		161,451		388,901					388,901		325,696
Gross profit		522,637					522,637		395,151		998,663					998,663		779,482
Selling, general & administrative		237,586					237,586		191,755		456,633					456,633		379,304
Research & development		89,807					89,807		68,870		166,792					166,792		134,450
Purchased R&D		13,700		(13,700	)						26,100		(26,100	)
Operating profit		181,544		13,700			195,244		134,526		349,138		26,100			375,238		265,728
Other income (expense)		1,389					1,389		121		3,121					3,121		(1,444	)
Earnings before taxes		182,933		13,700			196,633		134,647		352,259		26,100			378,359		264,284
Income tax expense		81,452		(27,000	)		54,452		35,804		131,427		(27,000	)		104,427		70,287
Net earnings	$	101,481	$	40,700		$	142,181	$	98,843	$	220,832	$	53,100		$	273,932	$	193,997
Earnings per share
Basic	$	0.28	$	0.11		$	0.39	$	0.28	$	0.61	$	0.15		$	0.76	$	0.55
Diluted	$	0.27	$	0.11		$	0.38	$	0.27	$	0.59	$	0.15		$	0.73	$	0.52
Basic shares outstanding		362,419		362,419			362,419		352,605		361,361		361,361			361,361		350,889
Diluted shares outstanding		376,964		362,419			376,964		370,823		376,247		361,361			376,247		369,533

Condensed Consolidated Balance Sheets
(Data in Thousands)
(Unaudited)

	June 30, 2005		Dec. 31, 2004
Cash & equivalents	$	517,450	$	688,040
Accounts receivable, net		699,589		630,983
Inventories		334,663		330,873
Other current assets		228,013		213,321
Property, plant & equipment, net		355,624		326,981
Goodwill		794,594		593,799
Other tangible assets, net		313,251		207,096
Other assets		242,223		239,654
Total assets	$	3,485,407	$	3,230,747
Other current liabilities	$	635,653	$	605,393
Long-term debt		188,986		234,865
Deferred income taxes		57,296		56,561
Total equity		2,603,472		2,333,928
Total liabilities & equity	$	3,485,407	$	3,230,747