Why Medtronic (MDT) Stock Is Falling Today - Medtronic (NYSE:MDT)

Medtronic Plc's MDT Q2 FY23 sales of $7.58 billion decreased 3% Y/Y on a reported basis and increased 2% organically, missing the consensus of $7.70 billion.
Q2 organic revenue results reflect lower than anticipated underlying market procedure volumes in certain businesses and the pricing impact of volume-based procurement in China.
Partially offset by strength in Transcatheter Aortic Valves (TAVR), Cardiac Pacing, Core Spine in the U.S., and Diabetes in the International.
Q2 adjusted EPS of $1.30 decreased by 2%, beating the analyst consensus of $1.28, reflecting the continued macroeconomic impact of inflation on materials, direct labor, freight, and utilities.
Medtronic's heart device unit sales decreased 2% Y/Y (+4% organic) to $2.77 billion.
Spine & neurosurgery product segment sales increased 2% Y/Y (+5%) to $2.18 billion.
Diabetes revenue of $556 million decreased by 5% (+3%).
The Medical Surgical Portfolio sales decreased 10% (-3% organic) to $2.07 billion.
Guidance: Medtronic expects 2H FY23 revenue growth of 3.5%-4.0% on an organic basis.
If current foreign currency exchange rates hold, FY23 sales would be negatively affected by approximately $1.74-$1.84 billion versus $1.4-$1.5 billion stated previously.
The company forecasts lower adjusted EPS of $5.25-$5.30, down from $5.53 - $5.65, compared to the consensus of $5.53.
Price Action: MDT shares are down 4.85% at $78.30 during the premarket session on the last check Tuesday.

Medtronic Trims FY23 Annual Outlook On Currency Headwind, Posts Mixed Q2 Earnings