Shares of Medtronic (NYSE:MDT) are down 4.11% this morning in pre-market trading after the company reported their earnings. With Wall Street expecting adjusted earnings to come in at around $1.06 per share, the company reported that they met expectations. With this said, however, earnings fell by about 1 percent year-over-year, and investors appear to be a bit bearish on the company as the market is set to open this morning.
Revenue for the quarter missed Wall Street’s estimates and this is why the stock has taken a turn for the worst in early trading. While the company reported revenues of approximately $6.934 billion, the Street was expecting revenues of around $7.051 billion.
“As we mark the one-year anniversary of the Covidien acquisition, we have preserved the growth of both companies and are realizing significant cost synergies and incremental revenue opportunities,” Medtronic CEO Omar Ishrak explained. “Our combined company has a much more diversified revenue base, which together with our sustained execution, gives us increased confidence that consistent, mid-single digit revenue growth is achievable.”
The company looks to further growth, and they slightly raised their full-year guidance for diluted adjusted earnings per share up to between $4.36 and $4.40 per share, compared to the previous guidance of $4.33 to $4.40 per share.