# EDGAR Filing Document

**Accession Number:** 0001613103
**File Stem:** 0001613103-23-000003
**Filing Date:** 2023-2
**Character Count:** 63284
**Document Hash:** 44bfb116484fab8ced9abc81e624e989
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001613103-23-000003.hdr.sgml**: 20230221

**ACCESSION NUMBER**: 0001613103-23-000003

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 15

**CONFORMED PERIOD OF REPORT**: 20230221

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230221

**DATE AS OF CHANGE**: 20230221

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Medtronic plc
- **CENTRAL INDEX KEY:** 0001613103
- **STANDARD INDUSTRIAL CLASSIFICATION:** ELECTROMEDICAL & ELECTROTHERAPEUTIC APPARATUS [3845]
- **IRS NUMBER:** 000000000
- **FISCAL YEAR END:** 0428

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-36820
- **FILM NUMBER:** 23645188

**BUSINESS ADDRESS:**
- **STREET 1:** 20 ON HATCH, LOWER HATCH STREET
- **CITY:** DUBLIN
- **STATE:** L2
- **ZIP:** 2
- **BUSINESS PHONE:** 01135314381700

**MAIL ADDRESS:**
- **STREET 1:** 20 ON HATCH, LOWER HATCH STREET
- **CITY:** DUBLIN
- **STATE:** L2
- **ZIP:** 2

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Medtronic Ltd
- **DATE OF NAME CHANGE:** 20150112

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Medtronic Holdings Ltd
- **DATE OF NAME CHANGE:** 20140711

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Kalani I Ltd
- **DATE OF NAME CHANGE:** 20140709

?xml version="1.0" ? mdt-20230221

**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): **February 21, 2023**

_____________________________

**Medtronic plc**

**(Exact name of Registrant as Specified in its Charter)**

_____________________________

---

| | | |
|:---|:---|:---|
| **Ireland** | **1-36820** | **98-1183488** |
| **(State or other jurisdiction**<br>**of incorporation)** | **(Commission**<br>**File Number)** | **(IRS Employer**<br>**Identification No.)** |

---

**20 On Hatch, Lower Hatch Street** 

**Dublin 2, Ireland** 

(Address of principal executive offices) (Zip Code)

**+353 1 438-1700** 

(Registrant's telephone number, including area code)

---

| |
|:---|
| **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:

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

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

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

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

------

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** |
| **0.375% Senior Notes due 2023** | **MDT/23B** | **New York Stock Exchange** |
| **0.000% Senior Notes due 2023** | **MDT/23C** | **New York Stock Exchange** |
| **0.25% 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** |
| **1.00% 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** |
| **1.50% Senior Notes due 2039** | **MDT/39B** | **New York Stock Exchange** |
| **1.375% Senior Notes due 2040** | **MDT/40A** | **New York Stock Exchange** |
| **1.75% Senior Notes due 2049** | **MDT/49** | **New York Stock Exchange** |
| **1.625% Senior Notes due 2050** | **MDT/50** | **New York Stock Exchange** |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

------

---

| | |
|:---|:---|
| **Item 2.02.** | **Results of Operations and Financial Condition** |

---

On February 21, 2023, Medtronic plc, a public limited company organized under the laws of Ireland, issued a press release announcing its third quarter fiscal year 2023 financial results. A copy of the press release is furnished as Exhibit 99.1 to this report.

---

| | |
|:---|:---|
| **Item 9.01.** | **&nbsp;&nbsp;&nbsp;&nbsp; Exhibits.** |

---

(d) List of Exhibits

---

| | |
|:---|:---|
| **Exhibit Number** | **Description** |
| <u>[99.1](exhibit991-fy23q3earningsr.htm)</u> | <u>[Press release of Medtronic plc, dated](exhibit991-fy23q3earningsr.htm)[February 21, 2023](exhibit991-fy23q3earningsr.htm)</u> |
| 104 | Cover Page Interactive Data File (embedded with the Inline XBRL document). |

---

------

**SIGNATURES**

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.

---

| | | |
|:---|:---|:---|
| | By | Medtronic plc<br>/s/ Karen L. Parkhill |
| Date: February 21, 2023 | | Karen L. Parkhill |
| | | Executive Vice President and Chief Financial Officer |

---

------

EXHIBIT INDEX

---

| | |
|:---|:---|
| **Exhibit Number** | **Description** |
| <u>[99.1](exhibit991-fy23q3earningsr.htm)</u> | <u>[Press release of Medtronic plc, dated](exhibit991-fy23q3earningsr.htm)[February 21, 2023](exhibit991-fy23q3earningsr.htm)</u> |
| 104 | Cover Page Interactive Data File (embedded with the Inline XBRL document). |

---

## Exhibit 99.1

![image_0.jpg](image_0.jpg)

NEWS RELEASE

&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| <u>Contacts:</u> | |
| Erika Winkels | Ryan Weispfenning |
| Public Relations | Investor Relations |
| +1-763-526-8478 | +1-763-505-4626 |

---

FOR IMMEDIATE RELEASE

Medtronic reports third quarter

fiscal 2023 financial results

**Delivers top and bottom line ahead of expectations, with strength in Cardiovascular and Neuroscience portfolios**

**DUBLIN – Feb. 21, 2023 –** Medtronic plc (NYSE:MDT) today announced financial results for its third quarter of fiscal year 2023, which ended January 27, 2023.

**<u>Key Highlights</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Revenue of $7.7 billion was flat as reported and increased 4.1% organic, ahead of expectations

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• GAAP diluted EPS of $0.92 decreased 16%; non-GAAP diluted EPS of $1.30 decreased 4%, ahead of expectations

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Company increases FY23 organic revenue growth and EPS outlook

Medtronic reported third quarter worldwide revenue of $7.727 billion, a flat result as reported and an increase of 4.1% on an organic basis. The organic comparison excludes a $379 million negative impact from foreign currency translation and a $26

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million contribution from the company's fiscal first quarter acquisition of Intersect ENT, which is reported in the Specialty Therapies division in the Neuroscience Portfolio. Unless otherwise stated, all revenue growth rates in this press release are on an organic basis, which excludes the impact of foreign currency translation and revenue from the Intersect ENT acquisition.

The company's third quarter organic revenue results reflect strong performances in the Cardiovascular and Neuroscience portfolios, in Diabetes markets outside the U.S., as well as improved product availability across certain businesses. This was partially offset by unfavorable impacts from ventilator sales, given the increased COVID-19 related demand in the prior year, and sales in China, given volume-based procurement (VBP) tenders and the impact of COVID-19 resurgence on procedure volumes.

As reported, third quarter GAAP net income and diluted earnings per share (EPS) were $1.222 billion and $0.92, respectively, decreases of 17% and 16%, respectively. As detailed in the financial schedules included at the end of this release, third quarter non-GAAP net income and non-GAAP diluted EPS were $1.727 billion and $1.30, respectively, decreases of 6% and 4%, respectively. The company's earnings decline reflects the continued unfavorable macroeconomic impact of foreign currency translation and inflation.

Third quarter U.S. revenue of $4.062 billion represented approximately 52% of company revenue and increased 3% as reported and 2% organic. Non-U.S. developed market revenue of $2.294 billion represented 30% of company revenue and decreased 6% as reported and increased 6% organic. Emerging Markets revenue of $1.371 billion represented 18% of company revenue and decreased 1% as reported and increased 5% organic.

"We returned to mid-single digit organic growth as we continue to execute our strategy with urgency. Our Cardiovascular and Neuroscience portfolios had strong, high-single digit organic growth as we launched new products and demonstrated continued strength

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in our established, market-leading Cardiac Rhythm Management and Spine franchises," said Geoff Martha, Medtronic chairman and chief executive officer. "I'm very encouraged by the rebound in our revenue growth, despite procedure volumes remaining a little softer in a few markets and volume-based procurement in China. We are confident in delivering durable revenue growth over the coming quarters as recent revenue headwinds continue to dissipate, and we drive execution across our businesses."

**<u>Cardiovascular Portfolio</u>**

The Cardiovascular Portfolio includes the Cardiac Rhythm & Heart Failure (CRHF), Structural Heart & Aortic (SHA), and Coronary & Peripheral Vascular (CPV) divisions. Cardiovascular revenue of $2.772 billion increased 1% as reported and 7% organic, with high-single digit increases in CRHF and SHA and a low-single digit increase in CPV, all on an organic basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Cardiac Rhythm & Heart Failure** revenue of $1.431 billion increased 2% as reported and increased 7% organic. Cardiac Rhythm Management revenue increased high-single digits, with high-single digit growth in both Defibrillation Solutions and Cardiac Pacing Therapies, including mid-teens growth in leadless pacemakers from continued global adoption of Micra™ transcatheter pacing systems. Cardiac Ablation Solutions revenue increased low-single digits, including low-double digit growth in the U.S. on the continued adoption of its Arctic Front™ cryoablation catheters. Cardiovascular Diagnostics revenue increased low-double digits, given increased supply and strong market adoption of the LINQ II™ insertable cardiac monitor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Structural Heart & Aortic** revenue of $760 million increased 3% as reported and 9% organic. Structural Heart increased high-single digits, with low-double digit growth in transcatheter aortic valves (TAVR) as the company continues to build on its strong durability data and the U.S. launch of the Evolut™ FX TAVR system. Aortic also increased low-double digits with high-teens growth in abdominal aortic

------

stent graft systems on improved product availability. Cardiac Surgery increased mid-single digits, driven by growth in surgical valves and perfusion systems.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Coronary & Peripheral Vascular** revenue of $581 million decreased 4% as reported and increased 1% organic. Coronary increased low-single digits with strength in coronary balloons and U.S. drug-eluting stent share gains from the continued launch of the Onyx Frontier™ drug-eluting stent. Peripheral Vascular Health also increased low-single digits, with low-double digit growth in drug-coated balloons and high-single digit growth in vascular embolization and superficial venous products.

**<u>Medical Surgical Portfolio</u>**

The Medical Surgical Portfolio includes the Surgical Innovations (SI) and the Respiratory, Gastrointestinal & Renal (RGR) divisions. Medical Surgical revenue of $2.137 billion decreased 7% as reported and 2% organic, with low-single digit declines in both SI and RGR. Excluding the unfavorable impact of ventilator sales, given the increased COVID-19 related demand in the prior year, and sales in China, given the unfavorable impact of provincial VBP tenders, Medical Surgical revenue increased 3% organic.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Surgical Innovations** revenue of $1.425 billion decreased 6% as reported and 1% organic. SI revenue increased 5% organic excluding the unfavorable impact of sales in China. The company won back share sequentially, as it recovered from supply challenges faced in prior quarters. Advanced Surgical Instruments decreased low-single digits, with Advanced Stapling low-double digit declines resulting from China VBP tenders offsetting mid-single digit growth in Advanced Energy. In Surgical Robotics, the company increased sales in markets outside the U.S. and announced first patient enrollment in its Expand URO U.S. clinical trial for the Hugo™ robotic-assisted surgery system.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Respiratory, Gastrointestinal & Renal** revenue of $712 million decreased 8% as reported and 3% organic. RGR revenue was flat organic excluding the impact of ventilator sales. Respiratory Interventions decreased low-double digits, with sales of ventilators declining high-twenties as demand continued to be well below pre-pandemic levels as expected. Patient Monitoring increased low-single digits, with low-single digit growth in Nellcor™ pulse oximetry and mid-single digit growth in Perioperative Complications. In October 2022, the company announced its intention to separate the combined Respiratory Interventions and Patient Monitoring businesses, which it continues to expect to be completed in the second half of its fiscal year 2024. Gastrointestinal revenue increased high-single digits on strength in sales of GI Genius™ intelligent endoscopy module. Renal Care Solutions decreased high-single digits given product availability challenges. In May 2022, Medtronic announced its intention to contribute its Renal Care Solutions business into a new, independent kidney care-focused medical device company together with DaVita, which it expects to close in the fourth fiscal quarter.

**<u>Neuroscience Portfolio</u>**

The Neuroscience Portfolio includes the Cranial & Spinal Technologies (CST), Specialty Therapies, and Neuromodulation divisions. Neuroscience revenue of $2.248 billion increased 5% as reported and 7% organic, with a low-double digit organic increase in Specialty Therapies and mid-single digit organic increases in Neuromodulation and CST.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Cranial & Spinal Technologies** revenue of $1.128 billion increased 2% as reported and 5% organic, as the company continues to benefit from its Aible™ spine technology ecosystem. Spine & Biologics increased low-single digits, with mid-single digit growth in Core Spine offsetting high-single digit declines in Biologics. Neurosurgery increased high-single digits, with double digit growth in robotics, navigation, imaging, and powered surgical instruments.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Specialty Therapies** revenue of $699 million increased 10% as reported and 11% organic. Neurovascular increased high-single digits, with double digit growth in aspiration, flow diversion, and liquid embolic products, and high-single digit growth in mechanical thrombectomy. Pelvic Health increased mid-single digits on the continued adoption of its InterStim™ sacral neuromodulation systems. ENT increased low-twenties on an organic basis driven by strength in NIM Vital™ nerve monitoring systems and improved product availability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Neuromodulation** revenue of $420 million increased 3% as reported and 6% organic. Pain Therapies increased low-double digits, with low-double digit growth in both Pain Stim and Targeted Drug Delivery, and low-single digit growth in Interventional. Brain Modulation decreased low-single digits on continued declines of replacement devices.

**<u>Diabetes</u>**

Diabetes revenue of $570 million decreased 2% as reported and increased 3% organic. U.S. revenue declined mid-teens, given the absence of new product approvals. This was more than offset by high-teens growth in non-U.S. developed markets and low-twenties growth in emerging markets. Sales outside the U.S. included high-teens growth of insulin pumps and mid-thirties growth of continuous glucose monitoring (CGM) products on strong sales of the MiniMed™ 780G system and the associated increase in CGM attachment rates on the strength of the Guardian™ 4 sensor.

**<u>Guidance</u>**

The company today issued fourth quarter revenue growth guidance and tightened its full year EPS guidance for fiscal 2023.

The company expects fourth quarter organic revenue growth of 4.5% to 5.0%, which brackets current Street consensus and raises the company's full fiscal year organic growth outlook. If foreign currency exchange rates as of the beginning of February hold,

------

fourth quarter revenue would be unfavorably affected by approximately $165 million to $215 million.

The company increased the lower end of its fiscal year 2023 diluted non-GAAP EPS guidance from the prior range of $5.25 to $5.30 to the new range of $5.28 to $5.30, which includes an estimated 21 cent unfavorable impact from foreign currency at rates as of the beginning of February.

"Given our third quarter performance, we are raising our full year outlook and expect our momentum to continue in the fourth quarter," said Karen Parkhill, Medtronic chief financial officer. "As we look ahead, we are focused on delivering durable topline growth and significant expense reductions as we navigate through macro headwinds from foreign currency and inflation. And, we are committed to continued investment in our growth drivers to ensure long-term value creation."

**<u>Webcast Information</u>**

Medtronic will host a webcast today, February 21, at 8:00 a.m. EST (7:00 a.m. CST) to provide information about its businesses for the public, investors, analysts, and news media. This webcast can be accessed by clicking on the Events icon at investorrelations.medtronic.com, and this earnings release will be archived at news.medtronic.com. Within 24 hours of the webcast, a replay of the webcast and transcript of the company's prepared remarks will be available by clicking on the Events icon at investorrelations.medtronic.com.

Medtronic plans to report its fourth quarter and full fiscal year 2023 results on Thursday, May 25, 2023. For fiscal year 2024, Medtronic plans to report its first, second, third, and fourth quarter results on Tuesday, August 22, 2023, November 21, 2023, February 20, 2024, and Thursday, May 23, 2024, respectively. Confirmation and additional details will be provided closer to the specific event.

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**<u>Financial Schedules</u>**

The third quarter financial schedules and non-GAAP reconciliations can be viewed by clicking on the Investor Events link at investorrelations.medtronic.com.

**<u>About Medtronic</u>**

**<u>FORWARD LOOKING STATEMENTS</u>**

**This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are subject to risks and uncertainties, including risks related to 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 the company's periodic reports on file with the U.S. Securities and Exchange Commission including the most recent Annual Report on Form 10-K of the company, as filed with the U.S. Securities and Exchange Commission. In some cases, you can identify these statements by forward-looking words or expressions, such as "anticipate," "believe," "could," "estimate," "expect," "forecast," "intend," "looking ahead," "may," "plan," "possible," "potential," "project," "should," "going to," "will," and similar words or expressions, the negative or plural of such words or expressions and other comparable terminology. Actual results may differ materially from anticipated results. Medtronic** 

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**does not undertake to update its forward-looking statements or any of the information contained in this press release, including to reflect future events or circumstances.**

**<u>NON-GAAP FINANCIAL MEASURES</u>**

**This press release contains financial measures, including adjusted net income, adjusted diluted EPS, and organic revenue, which are considered "non-GAAP" financial measures under applicable SEC rules and regulations. References to quarterly figures increasing, decreasing or remaining flat are in comparison to fiscal year 2022.**

**Medtronic management believes that non-GAAP financial measures provide information useful to investors in understanding the company's underlying operational performance and trends and to facilitate comparisons with the performance of other companies in the med tech industry. Non-GAAP net income and diluted EPS exclude the effect of certain charges or gains that contribute to or reduce earnings but that result from transactions or events that management believes may or may not recur with similar materiality or impact to operations in future periods (Non-GAAP Adjustments). Medtronic generally uses non-GAAP financial measures to facilitate management's review of the operational performance of the company and as a basis for strategic planning. Non-GAAP financial measures should be considered supplemental to and not a substitute for financial information prepared in accordance with U.S. generally accepted accounting principles (GAAP), and investors are cautioned that Medtronic may calculate non-GAAP financial measures in a way that is different from other companies. Management strongly encourages investors to review the company's consolidated financial statements and publicly filed reports in their entirety. Starting with the quarter ended April 29, 2022, the company no longer adjusts non-GAAP financial measures for certain license payments for, or acquisitions of, technology not approved by regulators. Historical non-GAAP financial measures have been recast for comparability. Reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the financial schedules accompanying this press release.**

**Medtronic calculates forward-looking non-GAAP financial measures based on internal forecasts that omit certain amounts that would be included in GAAP financial measures. For instance, forward-looking organic revenue growth guidance excludes the impact of foreign currency fluctuations, as well as significant acquisitions or divestitures. Forward-looking diluted non-GAAP EPS guidance also excludes other potential charges or gains that would be recorded as Non-GAAP Adjustments to earnings during the fiscal year. Medtronic does not attempt to provide reconciliations of forward-looking non-GAAP EPS guidance to projected GAAP EPS guidance because the combined impact and timing of recognition of these potential charges or gains is inherently uncertain and difficult to predict and is unavailable without unreasonable efforts. In** 

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**addition, the company believes such reconciliations would imply a degree of precision and certainty that could be confusing to investors. Such items could have a substantial impact on GAAP measures of financial performance.**

**-end-**

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| | |
|:---|:---|
| **<u>FINANCIAL SCHEDULES</u>** | **<u>Page</u>** |
| <u>World Wide Revenue</u> | <u>[12](#i4a3abd072339492493b54501d1fec3ee_10)</u> |
| <u>U.S. Revenue</u> | <u>[13](#i4a3abd072339492493b54501d1fec3ee_13)</u> |
| <u>World Wide Revenue: Geographic</u> | <u>[14](#i4a3abd072339492493b54501d1fec3ee_16)</u> |
| <u>[Consolidated Statements of Income](#i4a3abd072339492493b54501d1fec3ee_19)</u> | <u>[15](#i4a3abd072339492493b54501d1fec3ee_19)</u> |
| <u>[GAAP to Non-GAAP Reconciliations](#i4a3abd072339492493b54501d1fec3ee_25)</u> | <u>[16](#i4a3abd072339492493b54501d1fec3ee_25)</u> |
| <u>[Consolidated Balance Sheets](#i4a3abd072339492493b54501d1fec3ee_37)</u> | <u>[21](#i4a3abd072339492493b54501d1fec3ee_37)</u> |
| <u>[Consolidated Statements of Cash Flows](#i4a3abd072339492493b54501d1fec3ee_40)</u> | <u>[22](#i4a3abd072339492493b54501d1fec3ee_40)</u> |

---

------

**MEDTRONIC PLC**

**WORLD WIDE REVENUE**<sup>(1)</sup>

(Unaudited)

---

| | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** |
| | **REPORTED** | **REPORTED** | **REPORTED** | | **CONSTANT CURRENCY** | **CONSTANT CURRENCY** | **REPORTED** | **REPORTED** | **REPORTED** | | **CONSTANT CURRENCY** | **CONSTANT CURRENCY** |
| **(in millions)** | FY23 | FY22 | Growth |<br>Currency Impact<sup>(2)</sup> | FY23 | Growth<sup>(3)</sup> | FY23 | FY22 | Growth |<br>Currency Impact<sup>(2)</sup> | FY23 | Growth<sup>(3)</sup> |
| **Cardiovascular** | $**2772** | $**2745** | **1.0%** | $**(152)** | $**2924** | **6.5%** | $**8257** | $**8462** | **(2.4)%** | $**(467)** | $**8724** | **3.1%** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cardiac Rhythm & Heart Failure | 1431 | 1402 | 2.1 | (76) | 1507 | 7.5 | 4255 | 4356 | (2.3) | (238) | 4493 | 3.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Structural Heart & Aortic | 760 | 740 | 2.7 | (45) | 805 | 8.8 | 2259 | 2277 | (0.8) | (141) | 2400 | 5.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Coronary & Peripheral Vascular | 581 | 603 | (3.6) | (31) | 612 | 1.5 | 1744 | 1829 | (4.6) | (88) | 1832 | 0.2 |
| **Medical Surgical** | **2137** | **2290** | **(6.7)** | **(117)** | **2254** | **(1.6)** | **6208** | **6910** | **(10.2)** | **(380)** | **6588** | **(4.7)** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Surgical Innovations | 1425 | 1519 | (6.2) | (81) | 1506 | (0.9) | 4162 | 4570 | (8.9) | (269) | 4431 | (3.0) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Respiratory, Gastrointestinal, & Renal | 712 | 771 | (7.7) | (36) | 748 | (3.0) | 2047 | 2341 | (12.6) | (111) | 2158 | (7.8) |
| **Neuroscience** | **2248** | **2144** | **4.9** | **(78)** | **2326** | **8.5** | **6549** | **6484** | **1.0** | **(227)** | **6776** | **4.5** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cranial & Spinal Technologies | 1128 | 1102 | 2.4 | (32) | 1160 | 5.3 | 3253 | 3292 | (1.2) | (96) | 3349 | 1.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Specialty Therapies | 699 | 633 | 10.4 | (32) | 731 | 15.5 | 2052 | 1908 | 7.5 | (85) | 2137 | 12.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Neuromodulation | 420 | 409 | 2.7 | (14) | 434 | 6.1 | 1244 | 1285 | (3.2) | (46) | 1290 | 0.4 |
| **Diabetes** | **570** | **584** | **(2.4)** | **(33)** | **603** | **3.3** | **1667** | **1741** | **(4.3)** | **(113)** | **1780** | **2.2** |
| **TOTAL** | $**7727** | $**7763** | **(0.5)%** | $**(379)** | $**8106** | **4.4%** | $**22682** | $**23597** | **(3.9)%** | $**(1187)** | $**23869** | **1.2%** |

---

(1) The data in this schedule has been intentionally rounded to the nearest million and, therefore, may not sum.

(2) The currency impact to revenue measures the change in revenue between current and prior year periods using constant exchange rates.

(3) The three and nine months ended January 27, 2023 includes $26 million and $71 million, respectively, of inorganic revenue related to the Intersect ENT acquisition, which is included in the reported results of the Specialty Therapies division of the Neuroscience portfolio. When excluding the impact of currency and the inorganic Intersect ENT revenue for three and nine months ended January 27, 2023, revenue increased 4.1 percent organic and 0.9 percent organic, respectively.

------

**MEDTRONIC PLC**

**U.S.**<sup>(1)(2)</sup> **REVENUE**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** |
| | **REPORTED** | **REPORTED** | **REPORTED** | **REPORTED** | **REPORTED** | **REPORTED** |
| **(in millions)** | FY23 | FY22 | Growth<sup>(3)</sup> | FY23 | FY22 | Growth<sup>(3)</sup> |
| **Cardiovascular** | $**1375** | $**1297** | **6.0%** | $**4097** | $**4090** | **0.2%** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cardiac Rhythm & Heart Failure | 764 | 708 | 7.9 | 2271 | 2238 | 1.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Structural Heart & Aortic | 337 | 312 | 8.0 | 997 | 986 | 1.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Coronary & Peripheral Vascular | 274 | 278 | (1.4) | 829 | 866 | (4.3) |
| **Medical Surgical** | **965** | **990** | **(2.5)** | **2713** | **2950** | **(8.0)** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Surgical Innovations | 600 | 609 | (1.5) | 1669 | 1779 | (6.2) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Respiratory, Gastrointestinal, & Renal | 365 | 381 | (4.2) | 1044 | 1171 | (10.8) |
| **Neuroscience** | **1507** | **1397** | **7.9** | **4437** | **4237** | **4.7** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cranial & Spinal Technologies | 824 | 784 | 5.1 | 2404 | 2328 | 3.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Specialty Therapies | 402 | 343 | 17.2 | 1186 | 1057 | 12.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Neuromodulation | 281 | 270 | 4.1 | 848 | 852 | (0.5) |
| **Diabetes** | **215** | **255** | **(15.7)** | **650** | **760** | **(14.5)** |
| **TOTAL** | $**4062** | $**3939** | **3.1%** | $**11897** | $**12038** | **(1.2)%** |

---

(1) U.S. includes the United States and U.S. territories.

(2) The data in this schedule has been intentionally rounded to the nearest million and, therefore, may not sum.

(3) The three and nine months ended January 27, 2023 includes $25 million and $70 million, respectively, of inorganic revenue related to the Intersect ENT acquisition, which is included in the reported results of the Specialty Therapies division of the Neuroscience portfolio. When excluding the impact of currency and the inorganic Intersect ENT revenue for three and nine months ended January 27, 2023, revenue increased 2.5 percent organic and declined 1.8 percent organic, respectively.

------

**MEDTRONIC PLC**

**WORLD WIDE REVENUE: GEOGRAPHIC** <sup>(1)(2)</sup>

(Unaudited)

---

| | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** | **THIRD QUARTER YEAR-TO-DATE** |
| | **REPORTED** | **REPORTED** | **REPORTED** | | **CONSTANT CURRENCY** | **CONSTANT CURRENCY** | **REPORTED** | **REPORTED** | **REPORTED** | | **CONSTANT CURRENCY** | **CONSTANT CURRENCY** |
| **(in millions)** | FY23 | FY22 | Growth |<br>Currency Impact<sup>(3)</sup> | FY23 | Growth<sup>(4)</sup> | FY23 | FY22 | Growth |<br>Currency Impact<sup>(3)</sup> | FY23 | Growth<sup>(4)</sup> |
| &nbsp;&nbsp;&nbsp;U.S. | $1375 | $1297 | 6.0% | $— | $1375 | 6.0% | $4097 | $4090 | 0.2% | $— | $4097 | 0.2% |
| &nbsp;&nbsp;&nbsp;Non-U.S. Developed | 859 | 935 | (8.1) | (110) | 969 | 3.6 | 2553 | 2886 | (11.5) | (380) | 2933 | 1.6 |
| &nbsp;&nbsp;&nbsp;Emerging Markets | 538 | 513 | 4.9 | (42) | 580 | 13.1 | 1607 | 1486 | 8.1 | (86) | 1693 | 13.9 |
| **Cardiovascular** | **2772** | **2745** | **1.0** | **(152)** | **2924** | **6.5** | **8257** | **8462** | **(2.4)** | **(467)** | **8724** | **3.1** |
| &nbsp;&nbsp;&nbsp;U.S. | 965 | 990 | (2.5) |  | 965 | (2.5) | 2713 | 2950 | (8.0) |  | 2713 | (8.0) |
| &nbsp;&nbsp;&nbsp;Non-U.S. Developed | 760 | 812 | (6.4) | (97) | 857 | 5.5 | 2246 | 2521 | (10.9) | (330) | 2576 | 2.2 |
| &nbsp;&nbsp;&nbsp;Emerging Markets | 412 | 488 | (15.6) | (19) | 431 | (11.7) | 1250 | 1439 | (13.1) | (49) | 1299 | (9.7) |
| **Medical Surgical** | **2137** | **2290** | **(6.7)** | **(117)** | **2254** | **(1.6)** | **6208** | **6910** | **(10.2)** | **(380)** | **6588** | **(4.7)** |
| &nbsp;&nbsp;&nbsp;U.S. | 1507 | 1397 | 7.9 |  | 1507 | 7.9 | 4437 | 4237 | 4.7 |  | 4437 | 4.7 |
| &nbsp;&nbsp;&nbsp;Non-U.S. Developed | 401 | 431 | (7.0) | (52) | 453 | 5.1 | 1189 | 1330 | (10.6) | (178) | 1367 | 2.8 |
| &nbsp;&nbsp;&nbsp;Emerging Markets | 341 | 316 | 7.9 | (25) | 366 | 15.8 | 923 | 918 | 0.5 | (49) | 972 | 5.9 |
| **Neuroscience** | **2248** | **2144** | **4.9** | **(78)** | **2326** | **8.5** | **6549** | **6484** | **1.0** | **(227)** | **6776** | **4.5** |
| &nbsp;&nbsp;&nbsp;U.S. | 215 | 255 | (15.7) |  | 215 | (15.7) | 650 | 760 | (14.5) |  | 650 | (14.5) |
| &nbsp;&nbsp;&nbsp;Non-U.S. Developed | 274 | 261 | 5.0 | (31) | 305 | 16.9 | 792 | 780 | 1.5 | (107) | 899 | 15.3 |
| &nbsp;&nbsp;&nbsp;Emerging Markets | 80 | 68 | 17.6 | (2) | 82 | 20.6 | 226 | 201 | 12.4 | (6) | 232 | 15.4 |
| **Diabetes** | **570** | **584** | **(2.4)** | **(33)** | **603** | **3.3** | **1667** | **1741** | **(4.3)** | **(113)** | **1780** | **2.2** |
| &nbsp;&nbsp;&nbsp;U.S. | 4062 | 3939 | 3.1 |  | 4062 | 3.1 | 11897 | 12038 | (1.2) |  | 11897 | (1.2) |
| &nbsp;&nbsp;&nbsp;Non-U.S. Developed | 2294 | 2438 | (5.9) | (290) | 2584 | 6.0 | 6779 | 7517 | (9.8) | (995) | 7774 | 3.4 |
| &nbsp;&nbsp;&nbsp;Emerging Markets | 1371 | 1385 | (1.0) | (89) | 1460 | 5.4 | 4006 | 4043 | (0.9) | (190) | 4196 | 3.8 |
| **TOTAL** | $**7727** | $**7763** | **(0.5)%** | $**(379)** | $**8106** | **4.4%** | $**22682** | $**23597** | **(3.9)%** | $**(1187)** | $**23869** | **1.2%** |

---

(1) U.S. includes the United States and U.S. territories. Non-U.S. developed markets include Japan, Australia, New Zealand, Korea, Canada, and the countries of Western Europe. Emerging Markets include the countries of the Middle East, Africa, Latin America, Eastern Europe, and the countries of Asia that are not included in the non-U.S. developed markets, as previously defined.

(2) The data in this schedule has been intentionally rounded to the nearest million and, therefore, may not sum.

(3) The currency impact to revenue measures the change in revenue between current and prior year periods using constant exchange rates.

(4) The three and nine months ended January 27, 2023 includes $26 million and $71 million, respectively, of inorganic revenue related to the Intersect ENT acquisition, which is included in the reported results of the Specialty Therapies division of the Neuroscience portfolio. When excluding the impact of currency and the inorganic Intersect ENT revenue for three and nine months ended January 27 2023, revenue increased 4.1 percent organic and 0.9 percent organic, respectively.

------

**MEDTRONIC PLC**

**CONSOLIDATED STATEMENTS OF INCOME**

(Unaudited)

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three months ended** | **Three months ended** | **Nine months ended** | **Nine months ended** |
| **(in millions, except per share data)** | **January 27, 2023** | **January 28, 2022** | **January 27, 2023** | **January 28, 2022** |
| **Net sales** | $7727 | $7763 | $22682 | $23597 |
| **Costs and expenses:** |  |  |  |  |
| &nbsp;&nbsp;Cost of products sold, excluding amortization of intangible assets | 2689 | 2459 | 7740 | 7554 |
| &nbsp;&nbsp;Research and development expense | 688 | 668 | 2055 | 2094 |
| &nbsp;&nbsp;Selling, general, and administrative expense | 2615 | 2561 | 7799 | 7723 |
| &nbsp;&nbsp;Amortization of intangible assets | 431 | 432 | 1275 | 1298 |
| &nbsp;&nbsp;Restructuring charges, net | 38 | 12 | 81 | 32 |
| &nbsp;&nbsp;Certain litigation charges, net |  | 35 |  | 95 |
| &nbsp;&nbsp;Other operating (income) expense, net | (125) | (63) | (187) | 719 |
| **Operating profit** | 1392 | 1659 | 3920 | 4081 |
| &nbsp;&nbsp;Other non-operating income, net | (149) | (67) | (342) | (244) |
| &nbsp;&nbsp;Interest expense, net | 167 | 137 | 449 | 410 |
| **Income before income taxes** | 1375 | 1589 | 3813 | 3915 |
| **Income tax provision** | 146 | 106 | 1218 | 346 |
| **Net income** | 1229 | 1483 | 2595 | 3570 |
| **Net income attributable to noncontrolling interests** | (6) | (4) | (17) | (16) |
| **Net income attributable to Medtronic** | $1222 | $1480 | $2579 | $3554 |
| **Basic earnings per share** | $0.92 | $1.10 | $1.94 | $2.64 |
| **Diluted earnings per share** | $0.92 | $1.10 | $1.94 | $2.63 |
| **Basic weighted average shares outstanding** | 1330.2 | 1343.7 | 1329.6 | 1344.4 |
| **Diluted weighted average shares outstanding** | 1332.0 | 1350.3 | 1332.8 | 1353.9 |

---

*The data in this schedule has been intentionally rounded to the nearest million, and, therefore, may not sum.*

------

**MEDTRONIC PLC**

**GAAP TO NON-GAAP RECONCILIATIONS**<sup>(1)</sup>

(Unaudited)

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** |
| **(in millions, except per share data)** | **Net Sales** | **Cost of Products Sold** | **Gross Margin Percent** | **Operating Profit** | **Operating Profit Percent** | **Income Before Income Taxes** | **Net Income Attributable to Medtronic** | **Diluted** <br>**EPS** | **Effective Tax Rate** |
| **GAAP** | $7727 | $2689 | 65.2% | $1392 | 18.0% | $1375 | $1222 | $0.92 | 10.6% |
| Non-GAAP Adjustments: |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Restructuring and associated costs (2) |  | (26) | 0.3 | 104 | 1.3 | 104 | 83 | 0.06 | 20.2 |
| &nbsp;&nbsp;Acquisition-related items (3) |  | (7) | 0.1 | 24 | 0.3 | 24 | 20 | 0.02 | 16.7 |
| &nbsp;&nbsp;(Gain)/loss on minority investments (4) |  |  |  |  |  | (8) | (8) | (0.01) |  |
| &nbsp;&nbsp;&nbsp;Medical device regulations (5) |  | (23) | 0.3 | 37 | 0.5 | 37 | 31 | 0.02 | 18.9 |
| &nbsp;&nbsp;&nbsp;Amortization of intangible assets |  |  |  | 431 | 5.6 | 431 | 367 | 0.28 | 15.1 |
| &nbsp;&nbsp;&nbsp;RCS impairments / costs (6) |  | (2) |  | 10 | 0.1 | 10 | 9 | 0.01 | 10.0 |
| &nbsp;&nbsp;&nbsp;Certain tax adjustments, net |  |  |  |  |  |  | 3 |  |  |
| **Non-GAAP** | $7727 | $2630 | 66.0% | $1998 | 25.9% | $1973 | $1727 | $1.30 | 12.1% |
| &nbsp;&nbsp;&nbsp;&nbsp;Currency impact | 379 | 55 | 0.9 | 129 | 0.3 |  |  | 0.08 |  |
| **Currency Adjusted** | $8106 | $2685 | 66.9% | $2127 | 26.2% |  |  | $1.38 |  |
|  | **Three months ended January 28, 2022** | **Three months ended January 28, 2022** | **Three months ended January 28, 2022** | **Three months ended January 28, 2022** | **Three months ended January 28, 2022** | **Three months ended January 28, 2022** | **Three months ended January 28, 2022** | **Three months ended January 28, 2022** | **Three months ended January 28, 2022** |
| **(in millions, except per share data)** | **Net Sales** | **Cost of Products Sold** | **Gross Margin Percent** | **Operating Profit** | **Operating Profit Percent** | **Income Before Income Taxes** | **Net Income Attributable to Medtronic** | **Diluted** <br>**EPS** | **Effective Tax Rate** |
| **GAAP** | $7763 | $2459 | 68.3% | $1659 | 21.4% | $1589 | $1480 | $1.10 | 6.7% |
| Non-GAAP Adjustments: |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Restructuring and associated costs (2) |  | (27) | 0.3 | 78 | 1.0 | 78 | 63 | 0.05 | 19.2 |
| &nbsp;&nbsp;&nbsp;Acquisition-related items (3) |  | (4) | 0.1 | (60) | (0.8) | (60) | (61) | (0.04) |  |
| &nbsp;&nbsp;&nbsp;Certain litigation charges |  |  |  | 35 | 0.5 | 35 | 27 | 0.02 | 25.7 |
| &nbsp;&nbsp;&nbsp;(Gain)/loss on minority investments (4) |  |  |  |  |  | 2 | 3 |  | (50.0) |
| &nbsp;&nbsp;&nbsp;Medical device regulations (5) |  | (13) | 0.2 | 25 | 0.3 | 25 | 20 | 0.01 | 20.0 |
| &nbsp;&nbsp;&nbsp;Amortization of intangible assets |  |  |  | 432 | 5.6 | 432 | 365 | 0.27 | 15.5 |
| &nbsp;&nbsp;&nbsp;Certain tax adjustments, net (7) |  |  |  |  |  |  | (59) | (0.04) |  |
| **Non-GAAP** | $7763 | $2415 | 68.9% | $2170 | 28.0% | $2101 | $1838 | $1.36 | 12.4% |

---

See description of non-GAAP financial measures contained in the press release dated February 21, 2023.

(1)The data in this schedule has been intentionally rounded to the nearest million or $0.01 for EPS figures, and, therefore, may not sum. Starting with the quarter ended April 29, 2022, the Company will no longer adjust non-GAAP financial measures for certain license payments for, or acquisitions of, technology not approved by regulators due to recent industry guidance from the U.S. Securities and Exchange Commission. Historical non-GAAP financial measures presented in our earnings release have been recast for comparability.

(2)Associated costs include costs incurred as a direct result of the restructuring program, such as salaries for employees supporting the program and consulting expenses.

(3)The charges primarily include business combination costs and changes in fair value of contingent consideration.

(4)We exclude unrealized and realized gains and losses on our minority investments as we do not believe that these components of income or expense have a direct correlation to our ongoing or future business operations.

(5)The charges represent incremental costs of complying with the new European Union (E.U.) medical device regulations for previously registered products and primarily include charges for contractors supporting the project and other direct third-party expenses. We consider these costs to be duplicative of previously incurred costs and/or one-time costs, which are limited to a specific time period.

(6)Associated costs as a result of the anticipated sale of half of the Company's Renal Care Solutions (RCS) business related to the May 25, 2022 agreement with DaVita Inc.

(7)The tax benefit primarily relates to the deferred tax impact associated with a step up in tax basis for Swiss Cantonal purposes which is partially offset by the amortization on previously established deferred tax assets from intercompany intellectual property transactions.

------

**MEDTRONIC PLC**

**GAAP TO NON-GAAP RECONCILIATIONS**<sup>(1)</sup>

(Unaudited)

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** |
| **(in millions, except per share data)** | **Net Sales** | **Cost of Products Sold** | **Gross Margin Percent** | **Operating Profit** | **Operating Profit Percent** | **Income Before Income Taxes** | **Net Income attributable to Medtronic** | **Diluted** <br>**EPS** | **Effective Tax Rate** |
| **GAAP** | $22682 | $7740 | 65.9% | $3920 | 17.3% | $3813 | $2579 | $1.94 | 31.9% |
| Non-GAAP Adjustments: |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Restructuring and associated costs (2) |  | (67) | 0.3 | 275 | 1.2 | 275 | 219 | 0.16 | 20.0 |
| &nbsp;&nbsp;&nbsp;Acquisition-related items (3) |  | (30) | 0.1 | 61 | 0.3 | 61 | 43 | 0.03 | 29.5 |
| &nbsp;&nbsp;&nbsp;(Gain)/loss on minority investments (4) |  |  |  |  |  | (23) | (23) | (0.02) |  |
| &nbsp;&nbsp;&nbsp;Medical device regulations (5) |  | (62) | 0.3 | 107 | 0.5 | 107 | 87 | 0.07 | 18.7 |
| &nbsp;&nbsp;&nbsp;Amortization of intangible assets |  |  |  | 1275 | 5.6 | 1275 | 1082 | 0.81 | 15.2 |
| &nbsp;&nbsp;&nbsp;RCS impairments / costs (6) |  | (2) |  | 109 | 0.5 | 109 | 106 | 0.08 | 2.8 |
| &nbsp;&nbsp;&nbsp;Debt redemption premium and other charges (7) |  |  |  |  |  | 53 | 42 | 0.03 | 20.8 |
| &nbsp;&nbsp;&nbsp;Exit of business (8) |  | (27) | 0.1 | 37 | 0.2 | 37 | 37 | 0.03 |  |
| &nbsp;&nbsp;&nbsp;Certain tax adjustments, net (9) |  |  |  |  |  |  | 783 | 0.59 |  |
| **Non-GAAP** | $22682 | $7551 | 66.7% | $5783 | 25.5% | $5706 | $4953 | $3.72 | 12.9% |
| &nbsp;&nbsp;&nbsp;Currency impact | 1187 | 287 | 0.5 | 199 | (0.4) |  |  | 0.12 |  |
| **Currency Adjusted** | $23869 | $7838 | 67.2% | $5982 | 25.1% |  |  | $3.84 |  |
|  | **Nine months ended January 28, 2022** | **Nine months ended January 28, 2022** | **Nine months ended January 28, 2022** | **Nine months ended January 28, 2022** | **Nine months ended January 28, 2022** | **Nine months ended January 28, 2022** | **Nine months ended January 28, 2022** | **Nine months ended January 28, 2022** | **Nine months ended January 28, 2022** |
| **(in millions, except per share data)** | **Net Sales** | **Cost of Products Sold** | **Gross Margin Percent** | **Operating Profit** | **Operating Profit Percent** | **Income Before Income Taxes** | **Net Income attributable to Medtronic** | **Diluted** <br>**EPS** | **Effective Tax Rate** |
| **GAAP** | $23597 | $7554 | 68.0% | $4081 | 17.3% | $3915 | $3554 | $2.63 | 8.8% |
| Non-GAAP Adjustments: |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Restructuring and associated costs (2) |  | (91) | 0.4 | 237 | 1.0 | 237 | 191 | 0.14 | 19.4 |
| &nbsp;&nbsp;&nbsp;Acquisition-related items (3) |  | (14) | 0.1 | (54) | (0.2) | (54) | (57) | (0.04) | (5.6) |
| &nbsp;&nbsp;&nbsp;Certain litigation charges |  |  |  | 95 | 0.4 | 95 | 78 | 0.06 | 17.9 |
| &nbsp;&nbsp;(Gain)/loss on minority investments (4) |  |  |  |  |  | (23) | (19) | (0.01) | 4.3 |
| &nbsp;&nbsp;&nbsp;Medical device regulations (5) |  | (39) | 0.2 | 70 | 0.3 | 70 | 56 | 0.04 | 20.0 |
| &nbsp;&nbsp;&nbsp;Amortization of intangible assets |  |  |  | 1298 | 5.5 | 1298 | 1093 | 0.81 | 15.8 |
| &nbsp;&nbsp;&nbsp;MCS impairments / costs (10) |  | (58) | 0.3 | 726 | 3.1 | 726 | 564 | 0.42 | 22.3 |
| &nbsp;&nbsp;&nbsp;Certain tax adjustments, net (11) |  |  |  |  |  |  | 10 | 0.01 |  |
| **Non-GAAP (1)** | $23597 | $7353 | 68.8% | $6453 | 27.3% | $6264 | $5470 | $4.04 | 12.5% |

---

See description of non-GAAP financial measures contained in the press release dated February 21, 2023.

(1)The data in this schedule has been intentionally rounded to the nearest million or $0.01 for EPS figures, and, therefore, may not sum. Starting with the quarter ended April 29, 2022, the Company will no longer adjust non-GAAP financial measures for certain license payments for, or acquisitions of, technology not approved by regulators due to recent industry guidance from the U.S. Securities and Exchange Commission. Historical non-GAAP financial measures presented in our earnings release have been recast for comparability.

(2)Associated costs include costs incurred as a direct result of the restructuring program, such as salaries for employees supporting the program and consulting expenses.

(3)The charges primarily include business combination costs and changes in fair value of contingent consideration.

(4)We exclude unrealized and realized gains and losses on our minority investments as we do not believe that these components of income or expense have a direct correlation to our ongoing or future business operations.

(5)The charges represent incremental costs of complying with the new European Union (E.U.) medical device regulations for previously registered products and primarily include charges for contractors supporting the project and other direct third-party expenses. We consider these costs to be duplicative of previously incurred costs and/or one-time costs, which are limited to a specific time period.

(6)The charges predominantly include non-cash pre-tax impairments, primarily related to goodwill, and other associated costs, as a result of the anticipated sale of half of the Company's Renal Care Solutions (RCS) business related to the May 25, 2022 agreement with DaVita Inc.

(7)The charges relate to the early redemption of approximately $2.3 billion of debt and were recorded within *interest expense, net* within the consolidated statements of income.

(8)The charges relate to the exit of a business and are primarily comprised of inventory write-downs.

(9)The charge primarily relates to a $764 million reserve adjustment that was a direct result of the U.S. Tax Court opinion, issued on August 18, 2022, on the previously disclosed litigation regarding the allocation of income between Medtronic, Inc. and its wholly owned subsidiary operating in Puerto Rico.

(10)The charges relate to the Company's June 2021 decision to stop the distribution and sale of the Medtronic HVAD System within the Mechanical Circulatory Support Operating Unit (MCS). The charges included $515 million of non-cash impairments, primarily related to $409 million of intangible asset impairments, as

------

well as $211 million for commitments and obligations in connection with the decision, including customer support obligations, restructuring, and other associated costs. Medtronic is committed to serving the needs of patients currently implanted with the HVAD System.

(11)The charge primarily relates to the amortization on previously established deferred tax assets from intercompany intellectual property transactions and a charge related to a change in the Company's permanent reinvestment assertion on certain historical earnings, which are partially offset by the deferred tax impact associated with a step up in tax basis for Swiss Cantonal purposes.

------

**MEDTRONIC PLC**

**GAAP TO NON-GAAP RECONCILIATIONS**<sup>(1)</sup>

(Unaudited)

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** | **Three months ended January 27, 2023** |
| **(in millions)** | **Net Sales** | **SG&A Expense** | **SG&A Expense as a % of Net Sales** | **R&D Expense** | **R&D Expense as a % of Net Sales** | **Other Operating Expense (Income), net** | **Other Operating Expense, net as a % of Net Sales** | **Other Non-Operating (Income) Expense, net** |
| **GAAP** | $7727 | $2615 | 33.8% | $688 | 8.9% | $(125) | (1.6)% | $(149) |
| Non-GAAP Adjustments: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Restructuring and associated costs (2) |  | (40) | (0.5) |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Acquisition-related items (3) |  | (8) | (0.1) |  |  | (8) | (0.1) |  |
| &nbsp;&nbsp;&nbsp;Medical device regulations (4) |  | (1) |  | (14) | (0.2) |  |  |  |
| &nbsp;&nbsp;&nbsp;RCS impairments / costs (5) |  | (8) | (0.1) |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Gain/(loss) on minority investments (6) |  |  |  |  |  |  |  | 8 |
| **Non-GAAP** | $7727 | $2558 | 33.1% | $673 | 8.7% | $(133) | (1.7)% | $(142) |
| &nbsp;&nbsp;&nbsp;&nbsp;Currency impact | 379 | 94 | (0.4) | 10 | (0.3) | 91 | 1.2 | (5) |
| **Currency Adjusted** | $8106 | $2652 | 32.7% | $683 | 8.4% | $(42) | (0.5)% | $(147) |

---

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** | **Nine months ended January 27, 2023** |
| **(in millions)** | **Net Sales** | **SG&A Expense** | **SG&A Expense as a % of Net Sales** | **R&D Expense** | **R&D Expense as a % of Net Sales** | **Other Operating Expense (Income), net** | **Other Operating Expense, net as a % of Net Sales** | **Other Non-Operating (Income) Expense, net** |
| **GAAP** | $22682 | $7799 | 34.4% | $2055 | 9.1% | $(187) | (0.8)% | $(342) |
| Non-GAAP Adjustments: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Restructuring and associated costs (2) |  | (125) | (0.6) | (2) |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Acquisition-related items (3) |  | (8) |  |  |  | (23) | (0.1) |  |
| &nbsp;&nbsp;&nbsp;Medical device regulations (4) |  | (2) |  | (43) | (0.2) |  |  |  |
| &nbsp;&nbsp;&nbsp;RCS impairments / costs (5) |  | (24) | (0.1) |  |  | (82) | (0.4) |  |
| &nbsp;&nbsp;&nbsp;Gain/(loss) on minority investments (6) |  |  |  |  |  |  |  | 23 |
| &nbsp;&nbsp;&nbsp;Exit of business (7) |  |  |  |  |  | (10) |  |  |
| **Non-GAAP** | $22682 | $7640 | 33.7% | $2010 | 8.9% | $(302) | (1.3)% | $(319) |
| &nbsp;&nbsp;&nbsp;&nbsp;Currency impact | 1187 | 321 | (0.3) | 32 | (0.3) | 347 | 1.5 | (11) |
| **Currency Adjusted** | $23869 | $7961 | 33.4% | $2042 | 8.6% | $45 | 0.2% | $(330) |

---

See description of non-GAAP financial measures contained in the press release dated February 21, 2023.

(1)The data in this schedule has been intentionally rounded to the nearest million, and, therefore, may not sum.

(2)Associated costs include costs incurred as a direct result of the restructuring program, such as salaries for employees supporting the program and consulting expenses.

(3)The charges primarily include business combination costs and changes in fair value of contingent consideration.

(4)The charges represent incremental costs of complying with the new European Union (E.U.) medical device regulations for previously registered products and primarily include charges for contractors supporting the project and other direct third-party expenses. We consider these costs to be duplicative of previously incurred costs and/or one-time costs, which are limited to a specific time period.

(5)The charges predominantly include non-cash pre-tax impairments, primarily related to goodwill, and other associated costs, as a result of the anticipated sale of half of the Company's Renal Care Solutions (RCS) business related to the May 25, 2022 agreement with DaVita Inc.

(6)We exclude unrealized and realized gains and losses on our minority investments as we do not believe that these components of income or expense have a direct correlation to our ongoing or future business operations.

(7)Associated costs related to the exit of a business.

------

**MEDTRONIC PLC**

**GAAP TO NON-GAAP RECONCILIATIONS**<sup>(1)</sup>

(Unaudited)

---

| | | |
|:---|:---|:---|
| | **Nine months ended** | **Nine months ended** |
| **(in millions)** | **January 27, 2023** | **January 28, 2022** |
| **Net cash provided by operating activities** | $3579 | $5289 |
| &nbsp;&nbsp;&nbsp;&nbsp;Additions to property, plant, and equipment | (1081) | (979) |
| **Free Cash Flow (2)** | $2498 | $4310 |

---

See description of non-GAAP financial measures contained in the press release dated February 21, 2023.

(1)The data in this schedule has been intentionally rounded to the nearest million, and, therefore, may not sum.

(2)Free cash flow represents operating cash flows less property, plant, and equipment additions.

------

**MEDTRONIC PLC**

**CONSOLIDATED BALANCE SHEETS**

(Unaudited)

---

| | | |
|:---|:---|:---|
| **(in millions)** | **January 27, 2023** | **April 29, 2022** |
| **<u>ASSETS</u>** | | |
| **Current assets:** | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $4521 | $3714 |
| &nbsp;&nbsp;&nbsp;&nbsp;Investments | 6616 | 6859 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable, less allowances and credit losses of $207 and $230, respectively | 5887 | 5551 |
| &nbsp;&nbsp;&nbsp;&nbsp;Inventories, net | 5375 | 4616 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other current assets | 2965 | 2318 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total current assets** | 25364 | 23059 |
| Property, plant, and equipment | 13926 | 13365 |
| Accumulated depreciation | (8489) | (7952) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Property, plant, and equipment, net** | 5437 | 5413 |
| **Goodwill** | 41565 | 40502 |
| **Other intangible assets, net** | 15265 | 15595 |
| **Tax assets** | 3361 | 3403 |
| **Other assets** | 3142 | 3008 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total assets** | $94134 | $90981 |
| **<u>LIABILITIES AND EQUITY</u>** |  |  |
| **Current liabilities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Current debt obligations | $5918 | $3742 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | 2209 | 2276 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued compensation | 2007 | 2121 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued income taxes | 657 | 704 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other accrued expenses | 3630 | 3551 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total current liabilities** | 14422 | 12394 |
| **Long-term debt** | 22210 | 20372 |
| **Accrued compensation and retirement benefits** | 1103 | 1113 |
| **Accrued income taxes** | 2305 | 2087 |
| **Deferred tax liabilities** | 747 | 884 |
| **Other liabilities** | 1730 | 1410 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities** | 42516 | 38260 |
| **Commitments and contingencies** |  |  |
| **Shareholders' equity:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Ordinary shares— par value $0.0001, 2.6 billion shares authorized, 1,330,376,287 and 1,330,743,395 shares issued and outstanding, respectively |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Additional paid-in capital | 24513 | 24566 |
| &nbsp;&nbsp;&nbsp;&nbsp;Retained earnings | 30117 | 30250 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss | (3189) | (2265) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total shareholders' equity** | 51441 | 52551 |
| &nbsp;&nbsp;&nbsp;&nbsp;Noncontrolling interests | 177 | 171 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total equity** | 51618 | 52722 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities and equity** | $94134 | $90981 |

---

*The data in this schedule has been intentionally rounded to the nearest million, and, therefore, may not sum.*

------

**MEDTRONIC PLC**

**CONSOLIDATED STATEMENTS OF CASH FLOWS**

(Unaudited)

---

| | | |
|:---|:---|:---|
| | **Nine months ended** | **Nine months ended** |
| **(in millions)** | **January 27, 2023** | **January 28, 2022** |
| **Operating Activities:** | | |
| &nbsp;&nbsp;&nbsp;Net income | $2595 | $3570 |
| &nbsp;&nbsp;&nbsp;Adjustments to reconcile net income to net cash provided by operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 2018 | 2019 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provision for credit losses | 54 | 49 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred income taxes | (78) | (234) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 280 | 287 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on debt extinguishment | 53 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;MCS asset impairment and inventory write-down |  | 515 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other, net | 182 | 92 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Change in operating assets and liabilities, net of acquisitions and divestitures: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable, net | (408) | (212) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Inventories, net | (936) | (359) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | 163 | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other operating assets and liabilities | (344) | (444) |
| **Net cash provided by operating activities** | 3579 | 5289 |
| **Investing Activities:** |  |  |
| &nbsp;&nbsp;&nbsp;Acquisitions, net of cash acquired | (1867) | (91) |
| &nbsp;&nbsp;&nbsp;Additions to property, plant, and equipment | (1081) | (979) |
| &nbsp;&nbsp;&nbsp;Purchases of investments | (5472) | (7919) |
| &nbsp;&nbsp;&nbsp;Sales and maturities of investments | 5387 | 7130 |
| &nbsp;&nbsp;&nbsp;Other investing activities, net | 15 | (71) |
| **Net cash used in investing activities** | (3018) | (1930) |
| **Financing Activities:** |  |  |
| &nbsp;&nbsp;&nbsp;Change in current debt obligations, net | 625 |  |
| &nbsp;&nbsp;&nbsp;Proceeds from short-term borrowings (maturities greater than 90 days) | 2284 |  |
| &nbsp;&nbsp;&nbsp;Issuance of long-term debt | 3430 |  |
| &nbsp;&nbsp;&nbsp;Payments on long-term debt | (3083) | (1) |
| &nbsp;&nbsp;&nbsp;Dividends to shareholders | (2711) | (2540) |
| &nbsp;&nbsp;&nbsp;Issuance of ordinary shares | 209 | 344 |
| &nbsp;&nbsp;&nbsp;Repurchase of ordinary shares | (548) | (1138) |
| &nbsp;&nbsp;&nbsp;Other financing activities | (276) | (52) |
| **Net cash used in financing activities** | (70) | (3387) |
| Effect of exchange rate changes on cash and cash equivalents | 317 | (87) |
| **Net change in cash and cash equivalents** | 808 | (114) |
| Cash and cash equivalents at beginning of period | 3714 | 3593 |
| **Cash and cash equivalents at end of period** | $4521 | $3479 |
| **Supplemental Cash Flow Information** |  |  |
| &nbsp;&nbsp;&nbsp;Cash paid for: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income taxes | $1314 | $842 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest | 262 | 295 |

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*The data in this schedule has been intentionally rounded to the nearest million, and, therefore, may not sum.*