Cover
Cover - shares | 3 Months Ended | |
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 Inco
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 Comp
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 (Un
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 (_2
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 |
Consolidated Statements of Equi
Consolidated Statements of Equity (Unaudited) - USD ($) $ in Millions | Total | Total Shareholders’ Equity | Ordinary Shares | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Noncontrolling Interests |
Beginning balance (shares) at Apr. 29, 2022 | 1,331,000,000 | ||||||
Beginning balance at Apr. 29, 2022 | $ 52,722 | $ 52,551 | $ 0 | $ 24,566 | $ 30,250 | $ (2,265) | $ 171 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 931 | 929 | 929 | 2 | |||
Other comprehensive (loss) income | 324 | 326 | 326 | (2) | |||
Dividends to shareholders | (903) | (903) | (903) | ||||
Issuance of shares under stock purchase and award plans (shares) | 2,000,000 | ||||||
Issuance of shares under stock purchase and award plans | 41 | 41 | 41 | ||||
Repurchase of ordinary shares (shares) | (3,000,000) | ||||||
Repurchase of ordinary shares | (333) | (333) | (333) | ||||
Stock-based compensation | 62 | 62 | 62 | ||||
Ending balance (shares) at Jul. 29, 2022 | 1,329,000,000 | ||||||
Ending balance at Jul. 29, 2022 | $ 52,843 | 52,672 | $ 0 | 24,335 | 30,276 | (1,939) | 170 |
Beginning balance (shares) at Apr. 28, 2023 | 1,330,809,036 | 1,331,000,000 | |||||
Beginning balance at Apr. 28, 2023 | $ 51,665 | 51,483 | $ 0 | 24,590 | 30,392 | (3,499) | 182 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 797 | 791 | 791 | 6 | |||
Other comprehensive (loss) income | (175) | (175) | (175) | ||||
Dividends to shareholders | (918) | (918) | (918) | ||||
Issuance of shares under stock purchase and award plans (shares) | 1,000,000 | ||||||
Issuance of shares under stock purchase and award plans | 73 | 73 | 73 | ||||
Repurchase of ordinary shares (shares) | (2,000,000) | ||||||
Repurchase of ordinary shares | (148) | (148) | (148) | ||||
Stock-based compensation | $ 73 | 73 | 73 | ||||
Ending balance (shares) at Jul. 28, 2023 | 1,330,498,304 | 1,330,000,000 | |||||
Ending balance at Jul. 28, 2023 | $ 51,366 | $ 51,178 | $ 0 | $ 24,587 | $ 30,265 | $ (3,674) | $ 188 |
Consolidated Statements of Eq_2
Consolidated Statements of Equity (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Statement of Stockholders' Equity [Abstract] | ||
Dividends to shareholders (in dollars per share) | $ 0.69 | $ 0.68 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 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 | 0 | (18) |
Stock-based compensation | 73 | 62 |
Loss on debt extinguishment | 0 | 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 | 0 | (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 | 0 |
Proceeds from short-term borrowings (maturities greater than 90 days) | 0 | 2,284 |
Payments on long-term debt | 0 | (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 |
Cash paid for: | ||
Income taxes | 117 | 260 |
Interest | $ 84 | $ 68 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Jul. 28, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated financial statements of Medtronic plc and its subsidiaries (Medtronic plc, Medtronic, or the Company) have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S.) (U.S. GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, the consolidated financial statements include all the adjustments necessary for a fair statement in conformity with U.S. GAAP. Certain reclassifications have been made to prior year financial statements to conform to classifications used in the current year. Operating results for interim periods are not necessarily indicative of results that may be expected for the fiscal year as a whole. The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses, and the related disclosures at the date of the financial statements and during the reporting period. Actual results could materially differ from these estimates. The accompanying unaudited consolidated financial statements include the accounts of Medtronic plc, its wholly-owned subsidiaries, entities for which the Company has a controlling financial interest, and variable interest entities for which the Company is the primary beneficiary. Intercompany transactions and balances have been eliminated in consolidation. 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. The accompanying unaudited consolidated financial statements and related notes should be read in conjunction with the audited consolidated financial statements of the Company and related notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended April 28, 2023. The Company’s fiscal years 2024, 2023, and 2022 will end or ended on April 26, 2024, April 28, 2023, and April 29, 2022, respectively. |
New Accounting Pronouncements
New Accounting Pronouncements | 3 Months Ended |
Jul. 28, 2023 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements Recently Adopted Supplier Finance Programs In September 2022, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2022-04, Liabilities— Supplier Finance Programs (Subtopic 405-50), which requires that a buyer in a supplier finance program disclose sufficient information about the program to allow a user of financial statements to understand the program’s nature, activity during the period, changes from period to period, and potential magnitude. The Company adopted this guidance on April 29, 2023. The adoption of this standard does not have a material impact on the Company’s Consolidated Financial Statements. As of July 28, 2023, there are no recently issued but not yet adopted accounting pronouncements that are expected to materially impact our consolidated financial statements . |
Revenue
Revenue | 3 Months Ended |
Jul. 28, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue The Company's revenues are principally derived from device-based medical therapies and services related to cardiac rhythm disorders, cardiovascular disease, neurological disorders and diseases, spinal conditions and musculoskeletal trauma, chronic pain, urological and digestive disorders, ear, nose, and throat conditions, and diabetes conditions as well as advanced and general surgical care products, respiratory and monitoring solutions, and neurological surgery technologies. The Company's primary customers include healthcare systems, clinics, third-party healthcare providers, distributors, and other institutions, including governmental healthcare programs and group purchasing organizations. Prior period revenue has been recast to reflect the new reporting structure, which primarily includes allocating certain prior Medical Surgical businesses to the Other line. Refer to Note 17 to the consolidated financial statements for additional information regarding the Company's new reporting structure. The table below illustrates net sales by segment and division for the three months ended July 28, 2023 and July 29, 2022: 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 (1) Includes revenue from the divested Renal Care Solutions business and Transition Manufacturing Agreements from previously divested businesses. The table below illustrates net sales by market geography for each segment for the three months ended July 28, 2023 and July 29, 2022: 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 (1) U.S. includes the United States and U.S. territories. (2) Non-U.S. developed markets include Japan, Australia, New Zealand, Korea, Canada, and the countries within Western Europe. (3) 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 defined above. (4) Includes revenue from the divested Renal Care Solutions (RCS) business and Transition Manufacturing Agreements from previously divested businesses. The amount of revenue recognized is reduced by sales rebates and returns. Adjustments to rebates and returns reserves are recorded as increases or decreases to revenue. At July 28, 2023, $1.1 billion of rebates were classified as other accrued expenses , and $602 million of rebates were classified as a reduction of accounts receivable in the consolidated balance sheet. At April 28, 2023, $1.1 billion of rebates were classified as other accrued expenses, and $555 million of rebates were classified as a reduction of accounts receivable in the consolidated balance sheet. Deferred Revenue and Remaining Performance Obligations Deferred revenue at July 28, 2023 and April 28, 2023 was $425 million and $405 million, respectively. At July 28, 2023 and April 28, 2023, $334 million and $314 million was included in other accrued expenses, respectively, and $90 million and $91 million was included in other liabilities, respectively. During the three months ended July 28, 2023, the Company recognized $124 million of revenue that was included in deferred revenue as of April 28, 2023. |
Acquisitions and Dispositions
Acquisitions and Dispositions | 3 Months Ended |
Jul. 28, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions and Dispositions | Acquisitions and Dispositions Fiscal Year 2024 The Company had no acquisitions that were accounted for as business combinations during the three months ended July 28, 2023. For the three months ended July 28, 2023, purchase price allocation adjustments were not significant. Fiscal Year 2023 The Company had acquisitions that were accounted for as business combinations during the three months ended July 29, 2022. The assets and liabilities of the businesses acquired were recorded and consolidated on the acquisition date at their respective fair values. Goodwill resulting from business combinations is largely attributable to future, yet to be defined technologies, new customer relationships, existing workforce of the acquired businesses, and synergies expected to arise after the Company's acquisition of these businesses. The pro forma impact of these acquisitions was not significant, either individually or in the aggregate, to the consolidated results of the Company for the three months ended July 29, 2022. The results of operations of acquired businesses have been included in the Company's consolidated statements of income since the date each business was acquired. For the three months ended July 29, 2022, purchase price allocation adjustments were not significant. Intersect ENT On May 13, 2022, the Company acquired Intersect ENT, a global ear, nose, and throat (ENT) medical technology leader which offers a broad suite of solutions to assist surgeons treating patients who suffer from chronic rhinosinusitis (CRS). Total consideration, net of cash acquired, for the transaction, was $1.2 billion consisting of $1.1 billion of cash and $98 million previously held investments in Intersect ENT. The Company acquired $615 million of goodwill, $635 million of technology-based intangible assets, $35 million of customer-related intangible assets, and $13 million of tradenames with estimated useful lives of 20 years. The goodwill is not deductible for tax purposes. Revenue and net loss attributable to Intersect ENT since the date of acquisition as well as costs incurred in connection with the acquisition included in the consolidated statements of income were not significant for the three months ended July 29, 2022. The acquisition date fair values of the assets acquired and liabilities assumed were as follows: (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 Other acquisitions For acquisitions, other than Intersect ENT, the acquisition date fair value of net assets acquired during the three months ended July 29, 2022, was $123 million. Assets acquired were primarily comprised of $66 million of goodwill and $57 million of technology-based intangible assets, with estimated useful lives of 16 years. The goodwill is deductible for tax purposes. The Company recognized $73 million of non-cash contingent consideration liabilities in connection with these acquisitions, which are comprised of revenue and product development milestone-based payments. Acquired In-Process Research & Development (IPR&D) IPR&D with no alternative future use acquired outside of a business combination is expensed immediately. During the three months ended July 28, 2023, the Company did not acquire any IPR&D in connection with asset acquisitions of technology not yet approved. During the three months ended July 29, 2022, IPR&D acquired in connection with asset acquisitions of technology not yet approved by regulators was not significant. Contingent Consideration Certain of the Company’s business combinations involve potential payment of future consideration that is contingent upon the achievement of certain product development milestones and/or contingent on the acquired business reaching certain performance milestones. A liability is recorded for the estimated fair value of the contingent consideration on the acquisition date. The fair value of the contingent consideration is remeasured at each reporting period, and the change in fair value is recognized within other operating expense, net in the consolidated statements of income. The fair value of contingent consideration liabilities at July 28, 2023 and April 28, 2023 was $206 million. At July 28, 2023, $33 million was recorded in other accrued expenses , and $173 million was recorded in other liabilities in the consolidated balance sheet. At April 28, 2023, $34 million was recorded in other accrued expenses , and $171 million was recorded in other liabilities in the consolidated balance sheet. The following table provides a reconciliation of the beginning and ending balances of contingent consideration liabilities: Three months ended (in millions) July 28, 2023 July 29, 2022 Beginning balance $ 206 $ 119 Purchase price contingent consideration — 73 Payments (3) — Change in fair value 3 2 Ending balance $ 206 $ 193 The recurring Level 3 fair value measurements of contingent consideration for which a liability is recorded include the following significant unobservable inputs: 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 (1) Unobservable inputs were weighted by the relative fair value of the contingent consideration liability. For projected fiscal year of payment, the amount represents the median of the inputs and is not a weighted average. On April 1, 2023, the Company and DaVita Inc. (“DaVita”) completed the transaction for the Company to sell half of its Renal Care Solutions (RCS) business. In connection with the sale, the Company may be entitled to receive additional consideration based on the achievement of certain revenue, regulatory, and profitability milestones, with potential payouts starting in fiscal year 2025 through 2029. The fair value of the contingent consideration receivable at July 28, 2023 and April 28, 2023 was $152 million and $195 million, respectively, and was recorded in other assets in the consolidated balance sheet. The following table provides a reconciliation of the beginning and ending balances of the Level 3 measurement of contingent consideration receivable: (in millions) July 28, 2023 Beginning balance $ 195 Change in fair value (43) Ending balance $ 152 Renal Care Solutions disposition This sale is part of an agreement between Medtronic and DaVita to form a new, independent kidney care-focused medical device company (“Mozarc Medical” or "Mozarc") with equal equity ownership. RCS was part of the Company’s Medical Surgical portfolio. At closing, the Company received $45 million cash consideration, recorded non-cash contingent consideration receivables valued at $195 million, made an additional cash investment of $224 million, and retained a 50% non-controlling equity interest in Mozarc valued at $307 million. For the contingent consideration receivables, the maximum consideration the Company could receive in the future is $300 million based on the achievement of the aforementioned milestones. The Company recorded a non-cash pre-tax impairment of $67 million in the three months ended July 29, 2022, primarily related to goodwill, recognized in other operating expense, net in the consolidated statements of income. Refer to Note 10 to the consolidated financial statements for additional information on the goodwill impairment. Refer to Note 6 to the consolidated financial statements for additional information on the Company’s retained 50% equity investment in Mozarc as a result of this transaction. The Company determined that the sale of the RCS business did not meet the criteria to be classified as discontinued operations. |
Restructuring and Other Costs
Restructuring and Other Costs | 3 Months Ended |
Jul. 28, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Other Costs | Restructuring and Other Costs For the three months ended July 28, 2023, the Company incurred $91 million of restructuring and associated costs related to employee termination benefits and facility consolidations to support cost reduction initiatives. For the three months ended July 29, 2022, restructuring charges primarily related to the 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. Employee-related costs primarily consist of termination benefits provided to employees who have been involuntarily terminated and voluntary early retirement benefits. Associated costs primarily include salaries and wages of employees that are fully-dedicated to restructuring programs and consulting expenses. The following table presents the classification of restructuring and associated costs in the consolidated statements of income: Three months ended (in millions) July 28, 2023 July 29, 2022 Cost of products sold $ 16 $ 20 Selling, general, and administrative expenses 21 41 Restructuring charges, net 54 14 Total restructuring and associated costs $ 91 $ 76 The following table summarizes the activity related to restructuring programs for the three months ended July 28, 2023: (in millions) Employee Termination Benefits Associated Costs Other 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 |
Financial Instruments
Financial Instruments | 3 Months Ended |
Jul. 28, 2023 | |
Investments [Abstract] | |
Financial Instruments | Financial Instruments Debt Securities The Company holds investments in marketable debt securities that are classified and accounted for as available-for-sale and are remeasured on a recurring basis. The following tables summarize the Company's investments in available-for-sale debt securities by significant investment category and the related consolidated balance sheet classification at July 28, 2023 and April 28, 2023: July 28, 2023 Valuation Balance Sheet Classification (in millions) Cost Unrealized Unrealized 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 April 28, 2023 Valuation Balance Sheet Classification (in millions) Cost Unrealized Unrealized Fair Value Investments Other Assets Level 1: U.S. government and agency securities $ 527 $ — $ (22) $ 505 $ 505 $ — Level 2: Corporate debt securities 4,140 6 (162) 3,984 3,984 — U.S. government and agency securities 879 — (45) 834 834 — Mortgage-backed securities 560 — (54) 506 506 — Non-U.S. government and agency securities 15 — — 15 15 — Certificates of deposit 10 — — 10 10 — Other asset-backed securities 580 — (19) 561 561 — Total Level 2 6,185 6 (281) 5,911 5,911 — Level 3: Auction rate securities 36 — (3) 33 — 33 Total available-for-sale debt securities $ 6,748 $ 6 $ (305) $ 6,449 $ 6,416 $ 33 The amortized cost of debt securities excludes accrued interest, which is reported in other current assets in the consolidated balance sheets. The following tables present the gross unrealized losses and fair values of the Company’s available-for-sale debt securities that have been in a continuous unrealized loss position deemed to be temporary, aggregated by investment category at July 28, 2023 and April 28, 2023: July 28, 2023 Less than 12 months More than 12 months (in millions) Fair Value Unrealized Fair Value Unrealized 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) April 28, 2023 Less than 12 months More than 12 months (in millions) Fair Value Unrealized Fair Value Unrealized Corporate debt securities $ 286 $ (4) $ 2,901 $ (158) U.S. government and agency securities 89 (3) 821 (64) Mortgage-backed securities 26 (1) 460 (53) Other asset-backed securities — — 545 (19) Auction rate securities — — 33 (3) Total $ 401 $ (8) $ 4,760 $ (297) The Company reviews the fair value hierarchy classification on a quarterly basis. Changes in the ability to observe valuation inputs may result in a reclassification of levels for certain securities within the fair value hierarchy. There were no transfers into or out of Level 3 during the three months ended July 28, 2023 and July 29, 2022. When a determination is made to classify an asset or liability within Level 3, the determination is based upon the significance of the unobservable inputs to the overall fair value measurement. Activity related to the Company’s available-for-sale debt securities portfolio is as follows: Three months ended (in millions) July 28, 2023 July 29, 2022 Proceeds from sales $ 1,747 $ 1,864 Gross realized gains 5 1 Gross realized losses (12) (9) The July 28, 2023 balance of available-for-sale debt securities by contractual maturity is shown in the following table. Within the table, maturities of mortgage-backed securities have been allocated based upon timing of estimated cash flows assuming no change in the current interest rate environment. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. (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 Interest income is recognized in other non-operating income, net , in the consolidated statements of income. During the three months ended July 28, 2023 and July 29, 2022, there was $111 million and $55 million of interest income, respectively. Equity Securities, Equity Method Investments, and Other Investments The Company holds investments in equity securities with readily determinable fair values, equity method investments for which the Company has elected the fair value option, equity investments without readily determinable fair values, investments accounted for under the equity method, and other investments. Equity securities with readily determinable fair values are included in Level 1 of the fair value hierarchy, as they are measured using quoted market prices. Equity method investments for which the Company has elected the fair value option are included within Level 3 of the fair value hierarchy due to the use of significant unobservable inputs to determine fair value. To determine the fair value of these investments, the Company uses a discounted cash flow methodology, taking into consideration various assumptions including discount rate, and all pertinent financial information available related to the investees, including historical financial statements and projected future cash flows. Equity investments that do not have readily determinable fair values, and that are not accounted for via the fair value option, are included within Level 3 of the fair value hierarchy, as they are measured using the measurement alternative at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. The following table summarizes the Company's equity and other investments at July 28, 2023 and April 28, 2023, which are classified as other assets in the consolidated balance sheets: (in millions) July 28, 2023 April 28, 2023 Investments with readily determinable fair value (marketable equity securities) $ 51 $ 115 Investments for which the fair value option has been elected 531 531 Investments without readily determinable fair values 899 872 Equity method and other investments 88 89 Total equity and other investments $ 1,569 $ 1,607 Gains and losses on the Company's portfolio of equity and other investments are recognized in other non-operating income , net in the consolidated statements of income. During the three months ended July 28, 2023, there were $64 million of net unrealized losses on equity securities and other investments still held at July 28, 2023. During the three months ended July 29, 2022, there were $8 million of net unrealized gains on equity securities and other investments still held at July 29, 2022. Mozarc Medical Investment On April 1, 2023, the Company sold half of its RCS business to Mozarc, and as a result of the transaction the Company retained a 50% equity interest in Mozarc. Refer to Note 4 for additional information on this transaction. Although the equity investment provides the Company with the ability to exercise significant influence over Mozarc, the Company has elected the fair value option to account for this equity investment. The Company believes the fair value option best reflects the economics of the underlying transaction. Under the fair value option, changes in the fair value of the investment are recognized through earnings each reporting period in other non-operating income, net in the consolidated statements of income. During the three months ended July 28, 2023, the change in fair value was insignificant. |
Financing Arrangements
Financing Arrangements | 3 Months Ended |
Jul. 28, 2023 | |
Debt Disclosure [Abstract] | |
Financing Arrangements | Financing Arrangements Commercial Paper The Company maintains commercial paper programs that allow the Company to issue U.S. dollar or Euro-denominated unsecured commercial paper notes. The aggregate amount outstanding at any time under the commercial paper programs may not exceed the equivalent of $3.5 billion. Commercial paper outstanding at July 28, 2023 was $500 million. During the three months ended July 28, 2023, the commercial paper outstanding had a weighted average original maturity of 14 days and a weighted average interest rate of 5.262 percent. No commercial paper was outstanding at April 28, 2023. The issuance of commercial paper reduces the amount of credit available under the Company’s existing Credit Facility, as defined below. Line of Credit The Company has a $3.5 billion five-year unsecured revolving credit facility (Credit Facility), which provides back-up funding for the commercial paper programs described above. The Credit Facility includes a multi-currency borrowing feature for certain specified foreign currencies. At July 28, 2023 and April 28, 2023, no amounts were outstanding under the Credit Facility. Interest rates on advances on the Credit Facility are determined by a pricing matrix, based on the Company’s long-term debt ratings, assigned by Standard & Poor’s Ratings Services and Moody’s Investors Service. Facility fees are payable on the Credit Facility and are determined in the same manner as the interest rates. The Company is in compliance with the covenants under the Credit Facility. Debt Obligations The Company's debt obligations consisted of the following: (in millions) Maturity by 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 Senior Notes The Company has outstanding unsecured senior obligations, described as senior notes in the tables above (collectively, the Senior Notes). The Senior Notes rank equally with all other unsecured and unsubordinated indebtedness of the Company. The Company is in compliance with all covenants related to the Senior Notes. In September 2022, Medtronic Luxco issued four tranches of Euro-denominated Senior Notes with an aggregate principal of €3.5 billion, with maturities ranging from fiscal year 2026 to 2035, resulting in cash proceeds of approximately $3.4 billion, net of discounts and issuance costs. The Company used the net proceeds to repay at maturity €750 million of Medtronic Luxco Senior Notes for $772 million of total consideration in December 2022 and €2.8 billion of Medtronic Luxco Senior Notes for $2.9 billion of total consideration in March 2023. In March 2023, Medtronic Luxco issued two tranches of USD-denominated Senior Notes with an aggregate principal of $2.0 billion, with maturities ranging from fiscal year 2028 to 2033, resulting in cash proceeds of approximately $2.0 billion, net of discounts and issuance costs. The Company used the net proceeds supplemented by additional cash to repay the ¥297 billion Fiscal 2023 Loan Agreement discussed below for $2.3 billion of total consideration. The Euro-denominated debt issued in September 2022 is designated as a net investment hedge of certain of the Company's European operations. Refer to Note 8 for additional information regarding the net investment hedge. Term Loan Agreements In May 2022, Medtronic Luxco entered into a term loan agreement (Fiscal 2023 Loan Agreement) by and among Medtronic Luxco, Medtronic plc, Medtronic, Inc., and Mizuho Bank, Ltd. as administrative agent and as lender. The Fiscal 2023 Loan Agreement provides an unsecured term loan in an aggregate principal amount of up to ¥300 billion with a term of 364 days. Borrowings under the Fiscal 2023 Loan Agreement bear interest at the TIBOR Rate (as defined in the Fiscal 2023 Loan Agreement) plus a margin of 0.40% per annum. Medtronic plc and Medtronic, Inc. have guaranteed the obligations of Medtronic Luxco under the Fiscal 2023 Loan Agreement. 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.'s 3.500% Senior Notes due 2025 for $1.9 billion of total consideration, and $368 million of Medtronic Luxco's 3.350% Senior Notes due 2027 for $376 million of total consideration. The Company recognized a total loss on debt extinguishment of $53 million in the three months ended July 29, 2022, which primarily includes cash premiums and accelerated amortization of deferred financing costs and debt discounts and premiums. The loss was recognized in interest expense, net in the consolidated statements of income. During the fourth quarter of fiscal year 2023, the Company repaid the term loan in full, including interest. Financial Instruments Not Measured at Fair Value At July 28, 2023, the estimated fair value of the Company’s Senior Notes was $21.4 billion compared to a principal value of $24.6 billion. At April 28, 2023, the estimated fair value was $21.7 billion compared to a principal value of $24.5 billion. The fair value was estimated using quoted market prices for the publicly registered Senior Notes, which are classified as Level 2 within the fair value hierarchy. The fair values and principal values consider the terms of the related debt and exclude the impacts of debt discounts and hedging activity. |
Derivatives and Currency Exchan
Derivatives and Currency Exchange Risk Management | 3 Months Ended |
Jul. 28, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Currency Exchange Risk Management | Derivatives and Currency Exchange Risk Management The Company uses derivative instruments and foreign currency denominated debt to manage the impact that currency exchange rate and interest rate changes have on reported financial statements. The Company does not enter into derivative contracts for speculative purposes. Cash Flow Hedges The Company uses foreign currency forward and option contracts designated as cash flow hedges to manage its exposure to the variability of future cash flows that are denominated in a foreign currency. At inception, foreign currency forward and option contracts are designated as cash flow hedges. Changes in the fair value of these derivatives are reported as a component of accumulated other comprehensive loss until the hedged transaction affects earnings. When the hedged transaction affects earnings, the gain or loss on the derivative is reclassified to earnings. Amounts excluded from the measurement of hedge effectiveness are recognized in earnings on a straight-line basis over the term of the hedge. Cash flows are reported as operating activities in the consolidated statements of cash flows. The Company's cash flow hedges will mature within the subsequent three-year period. At July 28, 2023 and April 28, 2023, the Company had $63 million and $93 million in after-tax unrealized gains, respectively, associated with cash flow hedging instruments recorded in accumulated other comprehensive loss. The Company expects that $122 million of after-tax net unrealized gains at July 28, 2023 will be recognized in the consolidated statements of income over the next 12 months. Net Investment Hedges The Company uses derivative instruments and foreign currency denominated debt to manage foreign currency risk associated with its net investment in foreign operations. The derivative instruments that the Company uses for this purpose may include foreign currency forward exchange contracts used on a standalone basis or in combination with option collars and standalone cross currency interest rate contracts. For instruments that are designated as net investment hedges, the gains or losses are reported as a component of accumulated other comprehensive loss . The gains or losses are reclassified into earnings upon a liquidation event or deconsolidation of the foreign subsidiary. Amounts excluded from the assessment of effectiveness are recognized in interest expense, net on a straight-line basis over the term of the hedge. During the three months ended July 28, 2023 and July 29, 2022, the Company recognized $49 million and $21 million, respectively, in after-tax gains representing excluded components in interest expense, net . The cash flows related to the Company's derivative instruments designated as net investment hedges are reported as investing activities in the consolidated statements of cash flows. Cash flows attributable to amounts excluded from the assessment of effectiveness are reported as operating activities in the consolidated statements of cash flows. Undesignated Derivatives The Company uses foreign currency forward exchange contracts to offset the Company’s exposure to the change in the value of non-functional currency denominated assets, liabilities, and cash flows. These foreign currency forward exchange rate contracts are not designated as hedges at inception, and therefore, changes in the fair value of these contracts are recognized in the consolidated statements of income. Cash flows related to the Company’s undesignated derivative contracts are reported in the consolidated statements of cash flows based on the nature of the derivative instrument. Outstanding Instruments The following table presents the contractual amounts of the Company's outstanding instruments: 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 (1) At July 28, 2023, includes derivative contracts with a notional value of €4.5 billion, or $5.0 billion, designated as hedges of a portion of our net investment in certain European operations and derivative contracts with a notional value of ¥322.2 billion, or $2.3 billion, designated as hedges of a portion of our net investment in certain Japanese operations. These derivative contracts mature in fiscal years 2024 through 2033. (2) At July 28, 2023, includes €16.0 billion, or $17.7 billion, of outstanding Euro-denominated debt as hedges of a portion our net investment in foreign operations. This debt matures in fiscal years 2026 through 2051. Gains and Losses on Hedging Instruments and Derivatives not Designated as Hedging Instruments The amount of the gains and losses on our hedging instruments and the classification of those gains and losses within our consolidated financial statements for the three months ended July 28, 2023 and July 29, 2022 were as follows: (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) The amount of the gains and losses on our derivative instruments not designated as hedging instruments and the classification of those gains and losses within our consolidated financial statements during the three months ended July 28, 2023 and July 29, 2022 were as follows: (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 Balance Sheet Presentation The following tables summarize the balance sheet classification and fair value of derivative instruments included in the consolidated balance sheets at July 28, 2023 and April 28, 2023. The fair value amounts are presented on a gross basis, and are segregated between derivatives that are designated and qualify as hedging instruments and those that are not designated and do not qualify as hedging instruments, and are further segregated by type of contract within those two categories. 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 The following table provides information by level for the derivative assets and liabilities that are measured at fair value on a recurring basis. July 28, 2023 April 28, 2023 (in millions) Derivative Assets Derivative Liabilities Derivative Assets Derivative Liabilities Level 1 $ 398 $ 306 $ 368 $ 236 Level 2 24 — — — Total $ 421 $ 306 $ 368 $ 236 The Company has elected to present the fair value of derivative assets and liabilities within the consolidated balance sheets on a gross basis, even when derivative transactions are subject to master netting arrangements and may otherwise qualify for net presentation. The cash flows related to collateral posted and received are reported gross as investing and financing activities, respectively, in the consolidated statements of cash flows. The following tables provide information as if the Company had elected to offset the asset and liability balances of derivative instruments, netted in accordance with various criteria as stipulated by the terms of the master netting arrangements with each of the counterparties. Derivatives not subject to master netting arrangements are not eligible for net presentation. 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 |
Inventories
Inventories | 3 Months Ended |
Jul. 28, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventory balances, net of reserves, were as follows: (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 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 3 Months Ended |
Jul. 28, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill The following table presents the changes in the carrying amount of goodwill by segment: (in millions) Cardiovascular Medical Surgical Neuroscience Diabetes Total April 28, 2023 $ 7,873 $ 19,579 $ 11,718 $ 2,255 $ 41,425 Purchase accounting adjustments (6) — — — (6) Currency translation and other 13 11 (7) — 17 July 28, 2023 $ 7,880 $ 19,590 $ 11,711 $ 2,255 $ 41,436 As further described in Note 17, the Company has certain new operating segments as of the beginning of fiscal year 2024. Each new operating segment is considered a standalone reporting unit as of the beginning of fiscal year 2024. As a result of the change, the Company allocated all goodwill that was previously assigned to the Medical Surgical reporting unit to the new reporting units using a relative fair value allocation approach. Reporting units were tested for impairment before and after the alignment. No goodwill impairment was identified in either test; however, the Patient Monitoring & Respiratory Interventions reporting unit had an estimated fair value that exceeded its carrying value by less than 10 percent. As of July 28, 2023, $3.0 billion of goodwill was allocated to the Patient Monitoring & Respiratory Interventions reporting unit. The goodwill allocation and the tests for impairment of goodwill require the Company to make several estimates related to projected future cash flows to determine the fair value of the goodwill reporting units. The Company calculates 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 Company's results of operations. As a result of the agreement with DaVita, as disclosed in Note 4 to the consolidated financial statements, the Company allocated $208 million of goodwill to the RCS business that met the criteria to be classified as held for sale during the first quarter of fiscal year 2023 and was subsequently sold on April 1, 2023. Upon allocation, a goodwill impairment test was performed for the RCS business, and the Company recognized $61 million of goodwill impairment during the three months ended July 29, 2022. The goodwill impairment charges are recognized in other operating expense, net in the consolidated statements of income. Intangible Assets The following table presents the gross carrying amount and accumulated amortization of intangible assets: 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 $ — The Company did not recognize any definite-lived or indefinite-lived intangible asset charges during the three months ended July 28, 2023 and July 29, 2022. Due to the nature of IPR&D projects, the Company may experience future delays or failures to obtain regulatory approvals to conduct clinical trials, failures of clinical trials, delays or failures to obtain required market clearances, other failures to achieve a commercially viable product, or the discontinuation of certain projects, and as a result, may recognize impairment losses in the future. Amortization Expense Intangible asset amortization expense for the three months ended July 28, 2023 and July 29, 2022 was $429 million and $423 million, respectively. Estimated aggregate amortization expense by fiscal year based on the carrying value of definite-lived intangible assets at July 28, 2023, excluding any possible future amortization associated with acquired IPR&D which has not yet met technological feasibility, is as follows: (in millions) Amortization Expense Remaining 2024 $ 1,256 2025 1,654 2026 1,642 2027 1,619 2028 1,568 2029 1,489 |
Income Taxes
Income Taxes | 3 Months Ended |
Jul. 28, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Israeli Central-Lod District Court issued its decision in Medtronic Ventor Technologies Ltd (Ventor) v. Kfar Saba Assessing Office on June 1, 2023. The court determined that there was a deemed taxable transfer of intellectual property. As a result, the Company has recorded a $187 million income tax charge during the three months ended July 28, 2023. At this time, the Company is evaluating whether or not it will appeal the decision. The Company's effective tax rate for the three months ended July 28, 2023 was 33.4%, as compared to 10.7% for the three months ended July 29, 2022. The increase in our effective tax rate primarily relates to an income tax reserve adjustment associated with the Ventor court decision discussed above, an increase in Puerto Rico withholding tax rates, and the benefit from the release of a valuation allowance during the three months ended July 29, 2022. At July 28, 2023 and April 28, 2023, the Company's gross unrecognized tax benefits were $2.8 billion and $2.7 billion, respectively. In addition, the Company had accrued gross interest and penalties of $154 million at July 28, 2023. If all of the Company’s unrecognized tax benefits were recognized, approximately $2.6 billion would impact the Company’s effective tax rate. At both July 28, 2023 and April 28, 2023, the amount of the Company's gross unrecognized tax benefits, net of cash advance, recorded as a noncurrent liability within accrued income taxes on the consolidated balance sheets was $1.8 billion. The Company recognizes interest and penalties related to income tax matters within income tax provision in the consolidated statements of income and records the liability within either current or noncurrent accrued income taxes on the consolidated balance sheets. Refer to Note 16 to the consolidated financial statements for additional information regarding the status of current tax audits and proceedings. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Jul. 28, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Basic earnings per share is computed based on the weighted average number of ordinary shares outstanding. Diluted earnings per share is computed based on the weighted number of ordinary shares outstanding, increased by the number of additional shares that would have been outstanding had the potentially dilutive ordinary shares been issued, and reduced by the number of shares the Company could have repurchased with the proceeds from issuance of the potentially dilutive shares. Potentially dilutive ordinary shares include stock-based awards granted under stock-based compensation plans and shares committed to be purchased under the employee stock purchase plan. The table below sets forth the computation of basic and diluted earnings per share: Three months ended (in millions, except per share data) July 28, 2023 July 29, 2022 Numerator: Net income attributable to ordinary shareholders $ 791 $ 929 Denominator: Basic – weighted average shares outstanding 1,330.5 1,329.4 Effect of dilutive securities: Employee stock options 1.2 2.7 Employee restricted stock units 1.7 1.3 Employee performance share units 0.3 1.1 Diluted – weighted average shares outstanding 1,333.8 1,334.5 Basic earnings per share $ 0.59 $ 0.70 Diluted earnings per share $ 0.59 $ 0.70 |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Jul. 28, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation The following table presents the components and classification of stock-based compensation expense for stock options, restricted stock, performance share units, and employee stock purchase plan shares recognized for the three months ended July 28, 2023 and July 29, 2022: Three months ended (in millions) July 28, 2023 July 29, 2022 Stock options $ 12 $ 12 Restricted stock 38 27 Performance share units 12 12 Employee stock purchase plan 11 11 Total stock-based compensation expense $ 73 $ 62 Cost of products sold $ 7 $ 6 Research and development expense 9 7 Selling, general, and administrative expense 58 49 Total stock-based compensation expense 73 62 Income tax benefits (11) (11) Total stock-based compensation expense, net of tax $ 62 $ 51 |
Retirement Benefit Plans
Retirement Benefit Plans | 3 Months Ended |
Jul. 28, 2023 | |
Retirement Benefits [Abstract] | |
Retirement Benefit Plans | Retirement Benefit Plans The Company sponsors various retirement benefit plans, including defined benefit pension plans, post-retirement medical plans, defined contribution savings plans, and termination indemnity plans, covering substantially all U.S. employees and many employees outside the U.S. The net periodic benefit cost of the defined benefit pension plans included the following components for the three months ended July 28, 2023 and July 29, 2022: 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 Components of net periodic benefit cost other than the service component are recognized in other non-operating income, net |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Jul. 28, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The following table provides changes in accumulated other comprehensive loss (AOCI), net of tax, and by component: (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) The income tax on gains and losses on investment securities in other comprehensive income before reclassifications during the three months ended July 28, 2023 and July 29, 2022 was a benefit of $3 million and $9 million, respectively. During the three months ended July 28, 2023 and July 29, 2022, realized gains and losses on investment securities reclassified from AOCI were reduced by income taxes of $3 million and $2 million, respectively. When realized, gains and losses on investment securities reclassified from AOCI are recognized within other non-operating income, net . Refer to Note 6 to the consolidated financial statements for additional information. For the three months ended July 28, 2023, there was no income tax on cumulative translation adjustment. For the three months ended July 29, 2022, the income tax on cumulative translation adjustment was a benefit of $3 million. During the three months ended July 28, 2023 and July 29, 2022, there were no tax impacts on net investment hedges. Refer to Note 8 to the consolidated financial statements for additional information. The net change in retirement obligations in other comprehensive income includes amortization of net actuarial losses included in net periodic benefit cost. During the three months ended July 28, 2023, there were no tax impacts on retirement obligations. During the three months ended July 29, 2022, the net change in retirement obligations in other comprehensive income before reclassifications resulted in income tax expense of $1 million. During the three months ended July 28, 2023 and July 29, 2022, the gains and losses on defined benefit and pension items reclassified from AOCI were reduced by income taxes of $1 million and $6 million, respectively. When realized, net gains and losses on defined benefit and pension items reclassified from AOCI are recognized within other non-operating income, net . Refer to Note 14 to the consolidated financial statements for additional information. The income tax on unrealized gains and losses on cash flow hedges in other comprehensive income before reclassifications during the three months ended July 28, 2023 and July 29, 2022, was an expense of $25 million and $64 million, respectively. During the three months ended July 28, 2023 and July 29, 2022, gains and losses on cash flow hedges reclassified from AOCI were reduced by income taxes of $13 million and $22 million, respectively. When realized, gains and losses on currency exchange rate contracts reclassified from AOCI are recognized within other operating expense, net or cost of products sold. Refer to Note 8 to the consolidated financial statements for additional information. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Jul. 28, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Legal Matters The Company and its affiliates are involved in a number of legal actions from time to time involving product liability, employment, intellectual property and commercial disputes, shareholder related matters, environmental proceedings, tax disputes, and governmental proceedings and investigations, including those described below. With respect to governmental proceedings and investigations, like other companies in our industry, the Company is subject to extensive regulation by national, state, and local governmental agencies in the United States and in other jurisdictions in which the Company and its affiliates operate. As a result, interaction with governmental agencies is ongoing. The Company’s standard practice is to cooperate with regulators and investigators in responding to inquiries. The outcomes of legal actions are not within the Company’s complete control and may not be known for prolonged periods of time. In some actions, the enforcement agencies or private claimants seek damages, as well as other civil or criminal remedies (including injunctions barring the sale of products that are the subject of the proceeding), that could require significant expenditures, result in lost revenues, or limit the Company's ability to conduct business in the applicable jurisdictions. The Company records a liability in the consolidated financial statements on an undiscounted basis for loss contingencies related to legal actions when a loss is known or considered probable and the amount may be reasonably estimated. If the reasonable estimate of a known or probable loss is a range, and no amount within the range is a better estimate than any other, the minimum amount of the range is accrued. If a loss is reasonably possible but not known or probable, and may be reasonably estimated, the estimated loss or range of loss is disclosed. When determining the estimated loss or range of loss, significant judgment is required. Estimates of probable losses resulting from litigation and governmental proceedings involving the Company are inherently difficult to predict, particularly when the matters are in early procedural stages with incomplete scientific facts or legal discovery, involve unsubstantiated or indeterminate claims for damages, potentially involve penalties, fines or punitive damages, or could result in a change in business practice. The Company classifies certain specified litigation charges and gains related to significant legal matters as certain litigation charges in the consolidated statements of income. The Company recognized $40 million of certain litigation charges during the three months ended July 28, 2023, whereas the Company recognized no certain litigation charges during the three months ended July 29, 2022. At July 28, 2023 and April 28, 2023, accrued litigation was approximately $0.3 billion. The ultimate cost to the Company with respect to accrued litigation could be materially different than the amount of the current estimates and accruals and could have a material adverse impact on the Company’s consolidated earnings, financial position, and/or cash flows. The Company includes accrued litigation in other accrued expenses and other liabilities on the consolidated balance sheets. While it is not possible to predict the outcome for most of the legal matters discussed below, the Company believes it is possible that the costs associated with these matters could have a material adverse impact on the Company’s consolidated earnings, financial position, and/or cash flows. Intellectual Property Matters At any given time, the Company is involved in litigation relating to patents, trademarks, copyrights, trade secrets, and other intellectual property (IP) rights, and licenses, acquisitions or other agreements relating to such rights. This litigation includes, but is not limited to, alleged infringement or misappropriation of IP rights, or breach of obligations related to IP rights, or other claims asserted by competitors, individuals, or, consistent with a growing trend across technology-intensive industries, other entities created specifically to fund IP litigation. While the outcome of these litigation matters is inherently uncertain, it is possible that the results of such litigation could require the Company to pay significant monetary damages and/or royalty payments, and negatively impact the Company's ability to sell current or future products, which could have a material adverse impact on the Company's business, results of operations, financial condition, and cash flows. Colibri The Company is a defendant in patent litigation brought by Colibri Heart Valve LLC (Colibri) in the U.S. District Court for the Central District of California. Colibri alleges infringement of one patent by the Company’s Evolut family of transcatheter aortic valve replacement devices. The patent asserted by Colibri has expired. On February 8, 2023, a jury returned a verdict against the Company for approximately $106 million. In July 2023, the Company filed its appeal with the U.S. Court of Appeals for the Federal Circuit. The Company has not recognized an expense in connection with this matter because it does not currently believe a loss is probable. Product Liability Matters Pelvic Mesh Litigation The Company is currently involved in litigation in various state and federal courts against manufacturers of pelvic mesh products alleging personal injuries resulting from the implantation of those products. Two subsidiaries of Covidien supplied pelvic mesh products to one of the manufacturers, C.R. Bard (Bard), named in the litigation. The litigation includes a federal multi-district litigation in the U.S. District Court for the Northern District of West Virginia and cases in various state courts and jurisdictions outside the U.S. Generally, complaints allege design and manufacturing claims, failure to warn, breach of warranty, fraud, violations of state consumer protection laws and loss of consortium claims. In fiscal year 2016, Bard paid the Company $121 million towards the settlement of 11,000 of these claims. In May 2017, the agreement with Bard was amended to extend the terms to apply to up to an additional 5,000 claims. That agreement does not resolve the dispute between the Company and Bard with respect to claims that do not settle, if any. As part of the agreement, the Company and Bard agreed to dismiss without prejudice their pending litigation with respect to Bard’s obligation to defend and indemnify the Company. The Company estimates law firms representing approximately 16,200 claimants have asserted or may assert claims involving products manufactured by Covidien’s subsidiaries. As of August 2, 2023, the Company had reached agreements to settle approximately 15,900 of these claims. The Company's accrued expenses for this matter are included within accrued litigation as discussed above. Hernia Mesh Litigation Starting in fiscal year 2020, plaintiffs began filing lawsuits against certain subsidiaries of the Company in U.S. state and federal courts that allege personal injury from hernia mesh products sold by those subsidiaries. As of August 2, 2023, the Company and certain of its subsidiaries have been named as defendants in lawsuits filed on behalf of approximately 7,450 individual plaintiffs, and certain plaintiffs’ law firms have advised the Company that they may file additional cases in the future. Approximately 6,400 plaintiffs have filed lawsuits in a coordinated proceeding in Massachusetts state court, where they have been consolidated before a single judge. Approximately 500 plaintiffs have filed lawsuits in a coordinated action in Minnesota state court, and there are approximately 550 actions coordinated in a federal Multidistrict Litigation in the U.S. District Court for the District of Massachusetts. The pending lawsuits relate almost entirely to hernia mesh products that have not been subject to recalls, withdrawals, or other adverse regulatory action. The Company has not recorded an expense related to damages in connection with these matters because any potential loss is not currently probable and reasonably estimable. A dditionally, the Company is unable to reasonably estimate the range of loss, if any, that may result from these matters. Diabetes Pump Retainer Ring Litigation Starting in fiscal year 2021, plaintiffs began filing lawsuits against the Diabetes operating unit in U.S. state and federal courts alleging personal injury from Series 600 insulin pumps with allegedly defective clear retainer rings that were subject to field corrective actions in 2019 and 2021. As of August 3, 2023, 63 individual plaintiffs have filed lawsuits, and certain plaintiffs’ law firms have notified the Company that they may file additional lawsuits in the future on behalf of thousands of additional claimants. Most of the filed suits are coordinated in California state court. The Company has not recorded an expense related to damages in connection with these matters because any potential loss is not currently probable and reasonably estimable. Additionally, the Company is unable to reasonably estimate the range of loss, if any, that may result from these matters. Environmental Proceedings The Company is a successor to several investigation and cleanup actions at various stages related to environmental remediation matters at a number of sites, including in Orrington, Maine. These projects relate to a variety of activities, including removal of solvents, metals and other hazardous substances from soil and groundwater. The ultimate cost of site cleanup and timing of future cash flows is difficult to predict given uncertainties regarding the extent of the required cleanup, the interpretation of applicable laws and regulations, and alternative cleanup methods. The Company is also a successor to a party named in a lawsuit filed in the U.S. District Court for the District of Maine in the early 2000's by the Natural Resources Defense Council and the Maine People's Alliance relating to mercury contamination of the Penobscot River and Bay and options for remediating such contamination. In March 2021, the parties notified the court that they had agreed on a settlement in principle of all issues in this matter, and in September 2022 the parties filed a joint motion for final approval by the court. In October 2022, the court issued a final order approving the settlement and the parties are working with consultants on implementation of remedial activities. The final court order did not result in a change to the Company's previous accrual for this matter. The Company's accrued expenses for these various environmental proceedings are included within accrued litigation as discussed above. Income Taxes In March 2009, the IRS issued its audit report on Medtronic, Inc. for fiscal years 2005 and 2006. Medtronic, Inc. reached agreement with the IRS on some, but not all matters related to these fiscal years. The remaining unresolved issue for fiscal years 2005 and 2006 relates to the allocation of income between Medtronic, Inc. and its wholly-owned subsidiary operating in Puerto Rico, which is one of the Company's key manufacturing sites. The U.S. Tax Court (Tax Court) reviewed this dispute, and in June 2016, issued an opinion with respect to the allocation of income between the parties for fiscal years 2005 and 2006 whereby it generally rejected the IRS’s position, but also made certain modifications to the Medtronic, Inc. tax returns as filed. In April 2017, the IRS filed a Notice of Appeal to the U.S. Court of Appeals for the Eighth Circuit regarding the Tax Court opinion. Oral argument for the Appeal occurred in March 2018. The U.S. Court of Appeals issued its opinion in August 2018 and remanded the case back to the Tax Court for additional factual findings, which it concluded in June 2021. The Tax Court issued its opinion on August 18, 2022, and it remains subject to appeal by either or both parties. At this time, the Company is evaluating whether to file an appeal. The IRS has issued its audit reports on Medtronic, Inc. for fiscal years 2007 through 2016. Medtronic, Inc. and the IRS have reached agreement on all significant issues except for the allocation of income between Medtronic, Inc. and its wholly-owned subsidiary operating in Puerto Rico for the businesses that are the subject of the U.S. Tax Court matter for fiscal years 2005 and 2006. Medtronic, Inc.’s fiscal years 2017, 2018, and 2019 U.S. federal income tax returns are currently being audited by the IRS. Covidien LP (a wholly owned subsidiary of Medtronic plc) has either reached agreement with the IRS or the statute of limitations has lapsed on its U.S. federal income tax returns through fiscal year 2019. Although it is not possible to predict the outcome for most of the income tax matters discussed above, the Company believes it is possible that charges associated with these matters could have a material adverse impact on the Company’s consolidated earnings, financial position, and/or cash flows. Refer to Note 11 for additional discussion of income taxes. Guarantees In the normal course of business, the Company and/or its affiliates periodically enter into agreements that require one or more of the Company and/or its affiliates to indemnify customers or suppliers for specific risks, such as claims for injury or property damage arising as a result of the Company or its affiliates’ products, the negligence of the Company's personnel, or claims alleging that the Company's products infringe on third-party patents or other intellectual property. The Company also offers warranties on various products. The Company’s maximum exposure under these guarantees is unable to be estimated. Historically, the Company has not experienced significant losses on these types of guarantees. The Company believes the ultimate resolution of the above guarantees is not expected to have a material effect on the Company’s consolidated earnings, financial position, and/or cash flows. |
Segment and Geographic Informat
Segment and Geographic Information | 3 Months Ended |
Jul. 28, 2023 | |
Segment Reporting [Abstract] | |
Segment and Geographic Information | Segment and Geographic Information Segment disclosures are on a performance basis consistent with internal management reporting. Net sales of the Company's reportable segments include end-customer revenues from the sale of products the segment develops, manufactures, and distributes. The Company’s management evaluates performance of the segments and allocates resources based on net sales and segment operating profit. Segment operating profit represents income before income taxes, excluding interest income or expense, amortization of intangible assets, centralized distribution costs, currency impact of remeasurement and hedging, non-operating income or expense items, certain corporate charges, stock-based compensation, and other items not allocated to the segments. The accounting policies of the reportable segments are the same as those described in the summary of significant accounting policies in Note 1 to the consolidated financial statements included in the Company's Annual Report on Form 10-K for the fiscal year ended April 28, 2023. Certain depreciable assets may be recorded by one segment, while the depreciation expense is allocated to another segment. The allocation of depreciation expense is based on the proportion of the assets used by each segment. As of the beginning of fiscal year 2024, the Company realigned the operating segment structure as a result of how the Chief Operating Decision Maker assesses business performance. We continue to have four reportable segments: Cardiovascular Portfolio, Neuroscience Portfolio, Medical Surgical Portfolio, and Diabetes Operating Unit. The Medical Surgical Portfolio now consists of two operating segments which have been aggregated based upon similar economic and operating characteristics. Prior period segment operating profit has been recast to reflect the new reporting structure, which primarily includes allocating certain prior Medical Surgical businesses to the Other line. Prior period amounts have also been recast to reallocate certain expenses from segment operating profit to centralized distribution costs to conform to classifications used in the current year. The following tables present reconciliations of financial information from the segments to the applicable line items in the Company's consolidated financial statements: Segment Operating Profit Three months ended (in millions) July 28, 2023 July 29, 2022 Cardiovascular $ 1,092 $ 979 Neuroscience 929 841 Medical Surgical 719 693 Diabetes 84 79 Other (1) 4 (24) Segment operating profit 2,828 2,567 Interest expense, net (148) (164) Other non-operating income, net 76 83 Amortization of intangible assets (429) (423) Corporate (447) (414) Stock-based compensation (73) (62) Centralized distribution costs (395) (406) Currency (2) (3) 81 Restructuring and associated costs (91) (76) Acquisition and divestiture-related items (50) (109) Certain litigation charges (40) — Medical device regulations (31) (32) Income before income taxes $ 1,196 $ 1,044 (1) Includes the operations from the Renal Care Solutions business contributed to Mozarc Medical on April 1, 2023 and Transition Manufacturing and Service Agreements for previously divested businesses. (2) Includes the net impact of remeasurement and the Company's hedging programs recorded in other operating expense, net. Geographic Information Net sales are attributed to the country based on the location of the customer taking possession of the products or in which the services are rendered. The following table presents net sales for the three months ended July 28, 2023 and July 29, 2022 for the Company's country of domicile, countries with significant concentrations, and all other countries: Three months ended (in millions) July 28, 2023 July 29, 2022 Ireland $ 29 $ 23 United States 3,924 3,766 Rest of world 3,749 3,582 Total other countries, excluding Ireland 7,673 7,348 Total $ 7,702 $ 7,371 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Pay vs Performance Disclosure | ||
Net Income (Loss) | $ 791 | $ 929 |
Insider Trading Arrangements
Insider Trading Arrangements - Karen L Parkhill [Member] | 3 Months Ended |
Jul. 28, 2023 shares | |
Trading Arrangements, by Individual | |
Name | Karen L. Parkhill |
Title | Executive Vice President and Chief Financial Officer |
Adoption Date | July 14, 2023 |
Aggregate Available | 3,351 |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 3 Months Ended |
Jul. 28, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | The accompanying unaudited consolidated financial statements of Medtronic plc and its subsidiaries (Medtronic plc, Medtronic, or the Company) have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S.) (U.S. GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, the consolidated financial statements include all the adjustments necessary for a fair statement in conformity with U.S. GAAP. Certain reclassifications have been made to prior year financial statements to conform to classifications used in the current year.Operating results for interim periods are not necessarily indicative of results that may be expected for the fiscal year as a whole. The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses, and the related disclosures at the date of the financial statements and during the reporting period. Actual results could materially differ from these estimates. |
Consolidation | The accompanying unaudited consolidated financial statements include the accounts of Medtronic plc, its wholly-owned subsidiaries, entities for which the Company has a controlling financial interest, and variable interest entities for which the Company is the primary beneficiary. Intercompany transactions and balances have been eliminated in consolidation. 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. |
Fiscal Period | The Company’s fiscal years 2024, 2023, and 2022 will end or ended on April 26, 2024, April 28, 2023, and April 29, 2022, respectively. |
Recently Adopted | Recently Adopted Supplier Finance Programs In September 2022, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2022-04, Liabilities— Supplier Finance Programs (Subtopic 405-50), which requires that a buyer in a supplier finance program disclose sufficient information about the program to allow a user of financial statements to understand the program’s nature, activity during the period, changes from period to period, and potential magnitude. The Company adopted this guidance on April 29, 2023. The adoption of this standard does not have a material impact on the Company’s Consolidated Financial Statements. As of July 28, 2023, there are no recently issued but not yet adopted accounting pronouncements that are expected to materially impact our consolidated financial statements . |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The table below illustrates net sales by segment and division for the three months ended July 28, 2023 and July 29, 2022: 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 (1) Includes revenue from the divested Renal Care Solutions business and Transition Manufacturing Agreements from previously divested businesses. The table below illustrates net sales by market geography for each segment for the three months ended July 28, 2023 and July 29, 2022: 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 (1) U.S. includes the United States and U.S. territories. (2) Non-U.S. developed markets include Japan, Australia, New Zealand, Korea, Canada, and the countries within Western Europe. (3) 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 defined above. (4) Includes revenue from the divested Renal Care Solutions (RCS) business and Transition Manufacturing Agreements from previously divested businesses. |
Acquisitions and Dispositions (
Acquisitions and Dispositions (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Fair Value of the Assets Acquired and Liabilities Assumed | The acquisition date fair values of the assets acquired and liabilities assumed were as follows: (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 |
Schedule of Reconciliation of Beginning and Ending Balances of Contingent Consideration | The following table provides a reconciliation of the beginning and ending balances of contingent consideration liabilities: Three months ended (in millions) July 28, 2023 July 29, 2022 Beginning balance $ 206 $ 119 Purchase price contingent consideration — 73 Payments (3) — Change in fair value 3 2 Ending balance $ 206 $ 193 The following table provides a reconciliation of the beginning and ending balances of the Level 3 measurement of contingent consideration receivable: (in millions) July 28, 2023 Beginning balance $ 195 Change in fair value (43) Ending balance $ 152 |
Schedule of Fair Value Measurements, Contingent Consideration, Significant Unobservable Inputs | The recurring Level 3 fair value measurements of contingent consideration for which a liability is recorded include the following significant unobservable inputs: 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 (1) Unobservable inputs were weighted by the relative fair value of the contingent consideration liability. For projected fiscal year of payment, the amount represents the median of the inputs and is not a weighted average. |
Restructuring and Other Costs (
Restructuring and Other Costs (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring and Related Costs | The following table presents the classification of restructuring and associated costs in the consolidated statements of income: Three months ended (in millions) July 28, 2023 July 29, 2022 Cost of products sold $ 16 $ 20 Selling, general, and administrative expenses 21 41 Restructuring charges, net 54 14 Total restructuring and associated costs $ 91 $ 76 The following table summarizes the activity related to restructuring programs for the three months ended July 28, 2023: (in millions) Employee Termination Benefits Associated Costs Other 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 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Investments [Abstract] | |
Schedule of Investments by Category and Related Balance Sheet Presentation | The following tables summarize the Company's investments in available-for-sale debt securities by significant investment category and the related consolidated balance sheet classification at July 28, 2023 and April 28, 2023: July 28, 2023 Valuation Balance Sheet Classification (in millions) Cost Unrealized Unrealized 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 April 28, 2023 Valuation Balance Sheet Classification (in millions) Cost Unrealized Unrealized Fair Value Investments Other Assets Level 1: U.S. government and agency securities $ 527 $ — $ (22) $ 505 $ 505 $ — Level 2: Corporate debt securities 4,140 6 (162) 3,984 3,984 — U.S. government and agency securities 879 — (45) 834 834 — Mortgage-backed securities 560 — (54) 506 506 — Non-U.S. government and agency securities 15 — — 15 15 — Certificates of deposit 10 — — 10 10 — Other asset-backed securities 580 — (19) 561 561 — Total Level 2 6,185 6 (281) 5,911 5,911 — Level 3: Auction rate securities 36 — (3) 33 — 33 Total available-for-sale debt securities $ 6,748 $ 6 $ (305) $ 6,449 $ 6,416 $ 33 |
Schedule of Gross Unrealized Losses and Fair Values of Available-for-sale Securities that Have Been in a Continuous Unrealized Loss Position Deemed to be Temporary, Aggregated by Investment Category | The following tables present the gross unrealized losses and fair values of the Company’s available-for-sale debt securities that have been in a continuous unrealized loss position deemed to be temporary, aggregated by investment category at July 28, 2023 and April 28, 2023: July 28, 2023 Less than 12 months More than 12 months (in millions) Fair Value Unrealized Fair Value Unrealized 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) April 28, 2023 Less than 12 months More than 12 months (in millions) Fair Value Unrealized Fair Value Unrealized Corporate debt securities $ 286 $ (4) $ 2,901 $ (158) U.S. government and agency securities 89 (3) 821 (64) Mortgage-backed securities 26 (1) 460 (53) Other asset-backed securities — — 545 (19) Auction rate securities — — 33 (3) Total $ 401 $ (8) $ 4,760 $ (297) |
Schedule of Activity Related to the Company's Available-for-Sale Securities Portfolio | Activity related to the Company’s available-for-sale debt securities portfolio is as follows: Three months ended (in millions) July 28, 2023 July 29, 2022 Proceeds from sales $ 1,747 $ 1,864 Gross realized gains 5 1 Gross realized losses (12) (9) |
Schedule of Available-For-Sale Debt Securities, Contractual Maturities | The July 28, 2023 balance of available-for-sale debt securities by contractual maturity is shown in the following table. Within the table, maturities of mortgage-backed securities have been allocated based upon timing of estimated cash flows assuming no change in the current interest rate environment. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. (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 |
Schedule of Equity and Other Investments | The following table summarizes the Company's equity and other investments at July 28, 2023 and April 28, 2023, which are classified as other assets in the consolidated balance sheets: (in millions) July 28, 2023 April 28, 2023 Investments with readily determinable fair value (marketable equity securities) $ 51 $ 115 Investments for which the fair value option has been elected 531 531 Investments without readily determinable fair values 899 872 Equity method and other investments 88 89 Total equity and other investments $ 1,569 $ 1,607 |
Financing Arrangements (Tables)
Financing Arrangements (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | The Company's debt obligations consisted of the following: (in millions) Maturity by 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 |
Derivatives and Currency Exch_2
Derivatives and Currency Exchange Risk Management (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Gains and Losses on Derivative Instruments | The following table presents the contractual amounts of the Company's outstanding instruments: 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 (1) At July 28, 2023, includes derivative contracts with a notional value of €4.5 billion, or $5.0 billion, designated as hedges of a portion of our net investment in certain European operations and derivative contracts with a notional value of ¥322.2 billion, or $2.3 billion, designated as hedges of a portion of our net investment in certain Japanese operations. These derivative contracts mature in fiscal years 2024 through 2033. (2) At July 28, 2023, includes €16.0 billion, or $17.7 billion, of outstanding Euro-denominated debt as hedges of a portion our net investment in foreign operations. This debt matures in fiscal years 2026 through 2051. The amount of the gains and losses on our hedging instruments and the classification of those gains and losses within our consolidated financial statements for the three months ended July 28, 2023 and July 29, 2022 were as follows: (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) The amount of the gains and losses on our derivative instruments not designated as hedging instruments and the classification of those gains and losses within our consolidated financial statements during the three months ended July 28, 2023 and July 29, 2022 were as follows: (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 |
Schedule of Classification and Fair Value Amounts of Derivative Instruments in Balance Sheets | The following tables summarize the balance sheet classification and fair value of derivative instruments included in the consolidated balance sheets at July 28, 2023 and April 28, 2023. The fair value amounts are presented on a gross basis, and are segregated between derivatives that are designated and qualify as hedging instruments and those that are not designated and do not qualify as hedging instruments, and are further segregated by type of contract within those two categories. 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 |
Schedule of Derivative Assets and Liabilities Measured at Fair Value on a Recurring Basis | The following table provides information by level for the derivative assets and liabilities that are measured at fair value on a recurring basis. July 28, 2023 April 28, 2023 (in millions) Derivative Assets Derivative Liabilities Derivative Assets Derivative Liabilities Level 1 $ 398 $ 306 $ 368 $ 236 Level 2 24 — — — Total $ 421 $ 306 $ 368 $ 236 |
Schedule of Offsetting Assets | The following tables provide information as if the Company had elected to offset the asset and liability balances of derivative instruments, netted in accordance with various criteria as stipulated by the terms of the master netting arrangements with each of the counterparties. Derivatives not subject to master netting arrangements are not eligible for net presentation. 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 |
Schedule of Offsetting Liabilities | The following tables provide information as if the Company had elected to offset the asset and liability balances of derivative instruments, netted in accordance with various criteria as stipulated by the terms of the master netting arrangements with each of the counterparties. Derivatives not subject to master netting arrangements are not eligible for net presentation. 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 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory Balances | Inventory balances, net of reserves, were as follows: (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 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in the Carrying Amount of Goodwill | The following table presents the changes in the carrying amount of goodwill by segment: (in millions) Cardiovascular Medical Surgical Neuroscience Diabetes Total April 28, 2023 $ 7,873 $ 19,579 $ 11,718 $ 2,255 $ 41,425 Purchase accounting adjustments (6) — — — (6) Currency translation and other 13 11 (7) — 17 July 28, 2023 $ 7,880 $ 19,590 $ 11,711 $ 2,255 $ 41,436 |
Schedule of Gross Carrying Amount and Accumulated Amortization of Definite-Lived Intangible Assets | The following table presents the gross carrying amount and accumulated amortization of intangible assets: 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 $ — |
Schedule of Gross Carrying Amount of Indefinite-Lived Intangible Assets | The following table presents the gross carrying amount and accumulated amortization of intangible assets: 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 $ — |
Schedule of Estimated Future Aggregate Amortization Expense, Definite-Lived Intangible Assets | Estimated aggregate amortization expense by fiscal year based on the carrying value of definite-lived intangible assets at July 28, 2023, excluding any possible future amortization associated with acquired IPR&D which has not yet met technological feasibility, is as follows: (in millions) Amortization Expense Remaining 2024 $ 1,256 2025 1,654 2026 1,642 2027 1,619 2028 1,568 2029 1,489 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings Per Share | The table below sets forth the computation of basic and diluted earnings per share: Three months ended (in millions, except per share data) July 28, 2023 July 29, 2022 Numerator: Net income attributable to ordinary shareholders $ 791 $ 929 Denominator: Basic – weighted average shares outstanding 1,330.5 1,329.4 Effect of dilutive securities: Employee stock options 1.2 2.7 Employee restricted stock units 1.7 1.3 Employee performance share units 0.3 1.1 Diluted – weighted average shares outstanding 1,333.8 1,334.5 Basic earnings per share $ 0.59 $ 0.70 Diluted earnings per share $ 0.59 $ 0.70 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Components and Classification of Stock-based Compensation Expense | The following table presents the components and classification of stock-based compensation expense for stock options, restricted stock, performance share units, and employee stock purchase plan shares recognized for the three months ended July 28, 2023 and July 29, 2022: Three months ended (in millions) July 28, 2023 July 29, 2022 Stock options $ 12 $ 12 Restricted stock 38 27 Performance share units 12 12 Employee stock purchase plan 11 11 Total stock-based compensation expense $ 73 $ 62 Cost of products sold $ 7 $ 6 Research and development expense 9 7 Selling, general, and administrative expense 58 49 Total stock-based compensation expense 73 62 Income tax benefits (11) (11) Total stock-based compensation expense, net of tax $ 62 $ 51 |
Retirement Benefit Plans (Table
Retirement Benefit Plans (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Retirement Benefits [Abstract] | |
Schedule of Components of Net Periodic Benefit Cost | The net periodic benefit cost of the defined benefit pension plans included the following components for the three months ended July 28, 2023 and July 29, 2022: 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 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Equity [Abstract] | |
Schedule of Changes in Accumulated Other Comprehensive Loss (AOCL) by Component | The following table provides changes in accumulated other comprehensive loss (AOCI), net of tax, and by component: (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) |
Segment and Geographic Inform_2
Segment and Geographic Information (Tables) | 3 Months Ended |
Jul. 28, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Income From Operations Before Income Taxes by Reportable Segment and Reconciliation to Consolidated | The following tables present reconciliations of financial information from the segments to the applicable line items in the Company's consolidated financial statements: Segment Operating Profit Three months ended (in millions) July 28, 2023 July 29, 2022 Cardiovascular $ 1,092 $ 979 Neuroscience 929 841 Medical Surgical 719 693 Diabetes 84 79 Other (1) 4 (24) Segment operating profit 2,828 2,567 Interest expense, net (148) (164) Other non-operating income, net 76 83 Amortization of intangible assets (429) (423) Corporate (447) (414) Stock-based compensation (73) (62) Centralized distribution costs (395) (406) Currency (2) (3) 81 Restructuring and associated costs (91) (76) Acquisition and divestiture-related items (50) (109) Certain litigation charges (40) — Medical device regulations (31) (32) Income before income taxes $ 1,196 $ 1,044 (1) Includes the operations from the Renal Care Solutions business contributed to Mozarc Medical on April 1, 2023 and Transition Manufacturing and Service Agreements for previously divested businesses. (2) Includes the net impact of remeasurement and the Company's hedging programs recorded in other operating expense, net. |
Schedule of Net Sales to External Customers by Geography | The following table presents net sales for the three months ended July 28, 2023 and July 29, 2022 for the Company's country of domicile, countries with significant concentrations, and all other countries: Three months ended (in millions) July 28, 2023 July 29, 2022 Ireland $ 29 $ 23 United States 3,924 3,766 Rest of world 3,749 3,582 Total other countries, excluding Ireland 7,673 7,348 Total $ 7,702 $ 7,371 |
Revenue - Disaggregation of Net
Revenue - Disaggregation of Net Sales by Segment and Division (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 7,702 | $ 7,371 |
Cardiovascular | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 2,850 | 2,701 |
Cardiovascular | Cardiac Rhythm & Heart Failure | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 1,446 | 1,381 |
Cardiovascular | Structural Heart & Aortic | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 814 | 741 |
Cardiovascular | Coronary & Peripheral Vascular | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 589 | 579 |
Neuroscience | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 2,219 | 2,115 |
Neuroscience | Cranial & Spinal Technologies | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 1,103 | 1,043 |
Neuroscience | Specialty Therapies | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 695 | 667 |
Neuroscience | Neuromodulation | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 420 | 405 |
Medical Surgical | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 2,039 | 1,933 |
Medical Surgical | Surgical & Endoscopy | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 1,546 | 1,455 |
Medical Surgical | Patient Monitoring & Respiratory Interventions | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 493 | 479 |
Diabetes | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 578 | 541 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 16 | $ 81 |
Revenue - Disaggregation of N_2
Revenue - Disaggregation of Net Sales by Market Geography for Each Segment (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 7,702 | $ 7,371 |
U.S. | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 3,924 | 3,766 |
Non-U.S. Developed Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 2,463 | 2,328 |
Emerging Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 1,314 | 1,276 |
Cardiovascular | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 2,850 | 2,701 |
Cardiovascular | U.S. | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 1,350 | 1,286 |
Cardiovascular | Non-U.S. Developed Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 956 | 892 |
Cardiovascular | Emerging Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 544 | 523 |
Neuroscience | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 2,219 | 2,115 |
Neuroscience | U.S. | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 1,497 | 1,419 |
Neuroscience | Non-U.S. Developed Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 416 | 407 |
Neuroscience | Emerging Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 306 | 290 |
Medical Surgical | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 2,039 | 1,933 |
Medical Surgical | U.S. | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 881 | 831 |
Medical Surgical | Non-U.S. Developed Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 772 | 735 |
Medical Surgical | Emerging Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 386 | 368 |
Diabetes | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 578 | 541 |
Diabetes | U.S. | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 188 | 206 |
Diabetes | Non-U.S. Developed Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 315 | 264 |
Diabetes | Emerging Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 75 | 72 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 16 | 81 |
Other | U.S. | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 8 | 25 |
Other | Non-U.S. Developed Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 5 | 32 |
Other | Emerging Markets | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 3 | $ 24 |
Revenue - Narrative (Details)
Revenue - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Apr. 28, 2023 | |
Disaggregation of Revenue [Line Items] | ||
Deferred revenue | $ 425 | $ 405 |
Revenue recognized that was previously included in deferred revenue | 124 | |
Estimated revenue expected to be recognized in future periods related to unsatisfied performance obligations | $ 600 | |
Period over which remaining performance obligations are expected to be recognized as revenue | three years | |
Other accrued expenses | ||
Disaggregation of Revenue [Line Items] | ||
Rebate obligations | $ 1,100 | 1,100 |
Deferred revenue | 334 | 314 |
Reduction of accounts receivable | ||
Disaggregation of Revenue [Line Items] | ||
Rebate obligations | 602 | 555 |
Other liabilities | ||
Disaggregation of Revenue [Line Items] | ||
Deferred revenue | $ 90 | $ 91 |
Acquisitions and Dispositions -
Acquisitions and Dispositions - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |||||
Apr. 01, 2023 | May 13, 2022 | Jul. 28, 2023 | Jul. 29, 2022 | Apr. 28, 2023 | Apr. 29, 2022 | |
Business Acquisition [Line Items] | ||||||
Goodwill | $ 41,436 | $ 41,425 | ||||
Purchase price contingent consideration | 0 | $ 73 | ||||
Contingent consideration, fair value | 206 | 193 | 206 | $ 119 | ||
Contingent consideration receivable | 152 | 195 | ||||
Noncontrolling interests | $ 188 | 182 | ||||
Renal Care Solutions | Other operating expense, net | ||||||
Business Acquisition [Line Items] | ||||||
Impairment charges | 67 | |||||
Mozarc | ||||||
Business Acquisition [Line Items] | ||||||
Non-controlling equity interest (percentage) | 50% | 50% | ||||
Mozarc | ||||||
Business Acquisition [Line Items] | ||||||
Noncontrolling interests | $ 307 | |||||
Mozarc | Renal Care Solutions | Maximum | ||||||
Business Acquisition [Line Items] | ||||||
Contingent consideration receivable | 300 | |||||
Mozarc | Disposal Group, Not Discontinued Operations | Renal Care Solutions | ||||||
Business Acquisition [Line Items] | ||||||
Contingent consideration receivable | 195 | |||||
Proceeds from sale of businesses | 45 | |||||
Payments to acquire long-term investments | $ 224 | |||||
Other accrued expenses | ||||||
Business Acquisition [Line Items] | ||||||
Contingent consideration, fair value | $ 33 | 34 | ||||
Other liabilities | ||||||
Business Acquisition [Line Items] | ||||||
Contingent consideration, fair value | $ 173 | $ 171 | ||||
Intersect ENT | ||||||
Business Acquisition [Line Items] | ||||||
Total consideration for the transaction, net of cash acquired | $ 1,200 | |||||
Cash consideration | 1,100 | |||||
Previously held investments in Intersect ENT | 98 | |||||
Goodwill | $ 615 | |||||
Estimated useful life (in years) | 20 years | |||||
Net assets acquired | $ 1,277 | |||||
Intersect ENT | Technology-based intangible assets | ||||||
Business Acquisition [Line Items] | ||||||
Intangible assets acquired | 635 | |||||
Intersect ENT | Customer-related | ||||||
Business Acquisition [Line Items] | ||||||
Intangible assets acquired | 35 | |||||
Intersect ENT | Tradenames | ||||||
Business Acquisition [Line Items] | ||||||
Intangible assets acquired | $ 13 | |||||
Other acquisitions | ||||||
Business Acquisition [Line Items] | ||||||
Goodwill | 66 | |||||
Net assets acquired | 123 | |||||
Purchase price contingent consideration | 73 | |||||
Other acquisitions | Technology-based intangible assets | ||||||
Business Acquisition [Line Items] | ||||||
Intangible assets acquired | $ 57 | |||||
Estimated useful life (in years) | 16 years |
Acquisitions and Dispositions_2
Acquisitions and Dispositions - Schedule of Fair Value of the Assets Acquired and Liabilities Assumed - Intersect ENT and Affera Acquisition (Details) - USD ($) $ in Millions | Jul. 28, 2023 | Apr. 28, 2023 | May 13, 2022 |
Business Acquisition [Line Items] | |||
Goodwill | $ 41,436 | $ 41,425 | |
Intersect ENT | |||
Business Acquisition [Line Items] | |||
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 |
Acquisitions and Dispositions_3
Acquisitions and Dispositions - Reconciliation of Beginning and Ending Balances of Contingent Consideration (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Reconciliation of Beginning and Ending Balances of Contingent Milestone Payments [Roll Forward] | ||
Beginning balance | $ 206 | $ 119 |
Purchase price contingent consideration | 0 | 73 |
Payments | (3) | 0 |
Change in fair value | 3 | 2 |
Ending balance | $ 206 | $ 193 |
Acquisitions and Dispositions_4
Acquisitions and Dispositions - Fair Value Measurement, Contingent Consideration, Significant Unobservable Inputs (Details) $ in Millions | Jul. 28, 2023 USD ($) | Apr. 28, 2023 USD ($) | Jul. 29, 2022 USD ($) | Apr. 29, 2022 USD ($) |
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] (Deprecated 2018-01-31) | ||||
Contingent consideration, fair value | $ 206 | $ 206 | $ 193 | $ 119 |
Revenue and other performance-based payments | Recurring | Level 3 | ||||
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] (Deprecated 2018-01-31) | ||||
Contingent consideration, fair value | $ 81 | |||
Revenue and other performance-based payments | Minimum | Recurring | Level 3 | Discount rate | ||||
Fair Value Inputs | ||||
Contingent consideration, significant unobservable inputs | 0.112 | |||
Revenue and other performance-based payments | Maximum | Recurring | Level 3 | Discount rate | ||||
Fair Value Inputs | ||||
Contingent consideration, significant unobservable inputs | 0.272 | |||
Revenue and other performance-based payments | Weighted Average | Recurring | Level 3 | Discount rate | ||||
Fair Value Inputs | ||||
Contingent consideration, significant unobservable inputs | 0.173 | |||
Product development and other milestone-based payments | Recurring | Level 3 | ||||
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] (Deprecated 2018-01-31) | ||||
Contingent consideration, fair value | $ 125 | |||
Product development and other milestone-based payments | Minimum | Recurring | Level 3 | Discount rate | ||||
Fair Value Inputs | ||||
Contingent consideration, significant unobservable inputs | 0.039 | |||
Product development and other milestone-based payments | Maximum | Recurring | Level 3 | Discount rate | ||||
Fair Value Inputs | ||||
Contingent consideration, significant unobservable inputs | 0.055 | |||
Product development and other milestone-based payments | Weighted Average | Recurring | Level 3 | Discount rate | ||||
Fair Value Inputs | ||||
Contingent consideration, significant unobservable inputs | 0.041 |
Acquisitions and Dispositions_5
Acquisitions and Dispositions - Reconciliation of Level 3 Measurement (Details) $ in Millions | 3 Months Ended |
Jul. 28, 2023 USD ($) | |
Beginning and Ending Balances of Contingent Payments [Roll Forward] | |
Beginning balance | $ 195 |
Ending balance | 152 |
Level 3 | Recurring | |
Beginning and Ending Balances of Contingent Payments [Roll Forward] | |
Beginning balance | 195 |
Change in fair value | (43) |
Ending balance | $ 152 |
Restructuring and Other Costs -
Restructuring and Other Costs - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | $ 91 | $ 76 |
Employee Termination Benefits | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | 91 | |
Enterprise Excellence | ||
Restructuring Cost and Reserve [Line Items] | ||
Expected cost | 1,800 | |
Simplification | ||
Restructuring Cost and Reserve [Line Items] | ||
Expected cost | $ 500 |
Restructuring and Other Costs_2
Restructuring and Other Costs - Classification of Restructuring Costs (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | $ 91 | $ 76 |
Cost of products sold | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | 16 | 20 |
Selling, general, and administrative expense | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | 21 | 41 |
Restructuring charges, net | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring charges | $ 54 | $ 14 |
Restructuring and Other Costs_3
Restructuring and Other Costs - Activity Related to Restructuring Programs (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Restructuring Reserve [Roll Forward] | ||
Restructuring charges | $ 91 | $ 76 |
Enterprise Excellence | ||
Restructuring Reserve [Roll Forward] | ||
Beginning balance | 230 | |
Restructuring charges | 92 | |
Cash payments | (201) | |
Accrual adjustments | (2) | |
Ending balance | 119 | |
Employee Termination Benefits | Enterprise Excellence | ||
Restructuring Reserve [Roll Forward] | ||
Beginning balance | 204 | |
Restructuring charges | 55 | |
Cash payments | (147) | |
Accrual adjustments | (2) | |
Ending balance | 110 | |
Associated Costs | Enterprise Excellence | ||
Restructuring Reserve [Roll Forward] | ||
Beginning balance | 23 | |
Restructuring charges | 37 | |
Cash payments | (53) | |
Accrual adjustments | 0 | |
Ending balance | 7 | |
Other Costs | Enterprise Excellence | ||
Restructuring Reserve [Roll Forward] | ||
Beginning balance | 1 | |
Restructuring charges | 0 | |
Cash payments | 0 | |
Accrual adjustments | 0 | |
Ending balance | $ 1 |
Financial Instruments - Investm
Financial Instruments - Investments by Category and Related Balance Sheet Classification (Details) - USD ($) $ in Millions | Jul. 28, 2023 | Apr. 28, 2023 |
Schedule of Investments [Line Items] | ||
Cost | $ 6,890 | $ 6,748 |
Unrealized Gains | 5 | 6 |
Unrealized Losses | (326) | (305) |
Fair Value | 6,570 | 6,449 |
Investments | ||
Schedule of Investments [Line Items] | ||
Fair Value | 6,537 | 6,416 |
Other Assets | ||
Schedule of Investments [Line Items] | ||
Fair Value | 33 | 33 |
Level 2 | ||
Schedule of Investments [Line Items] | ||
Cost | 6,305 | 6,185 |
Unrealized Gains | 5 | 6 |
Unrealized Losses | (295) | (281) |
Fair Value | 6,015 | 5,911 |
Level 2 | Investments | ||
Schedule of Investments [Line Items] | ||
Fair Value | 6,015 | 5,911 |
Level 2 | Other Assets | ||
Schedule of Investments [Line Items] | ||
Fair Value | 0 | 0 |
U.S. government and agency securities | Level 1 | ||
Schedule of Investments [Line Items] | ||
Cost | 549 | 527 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | (28) | (22) |
Fair Value | 521 | 505 |
U.S. government and agency securities | Level 1 | Investments | ||
Schedule of Investments [Line Items] | ||
Fair Value | 521 | 505 |
U.S. government and agency securities | Level 1 | Other Assets | ||
Schedule of Investments [Line Items] | ||
Fair Value | 0 | 0 |
U.S. government and agency securities | Level 2 | ||
Schedule of Investments [Line Items] | ||
Cost | 897 | 879 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | (52) | (45) |
Fair Value | 845 | 834 |
U.S. government and agency securities | Level 2 | Investments | ||
Schedule of Investments [Line Items] | ||
Fair Value | 845 | 834 |
U.S. government and agency securities | Level 2 | Other Assets | ||
Schedule of Investments [Line Items] | ||
Fair Value | 0 | 0 |
Corporate debt securities | Level 2 | ||
Schedule of Investments [Line Items] | ||
Cost | 4,219 | 4,140 |
Unrealized Gains | 5 | 6 |
Unrealized Losses | (171) | (162) |
Fair Value | 4,053 | 3,984 |
Corporate debt securities | Level 2 | Investments | ||
Schedule of Investments [Line Items] | ||
Fair Value | 4,053 | 3,984 |
Corporate debt securities | Level 2 | Other Assets | ||
Schedule of Investments [Line Items] | ||
Fair Value | 0 | 0 |
Mortgage-backed securities | Level 2 | ||
Schedule of Investments [Line Items] | ||
Cost | 574 | 560 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | (56) | (54) |
Fair Value | 518 | 506 |
Mortgage-backed securities | Level 2 | Investments | ||
Schedule of Investments [Line Items] | ||
Fair Value | 518 | 506 |
Mortgage-backed securities | Level 2 | Other Assets | ||
Schedule of Investments [Line Items] | ||
Fair Value | 0 | 0 |
Non-U.S. government and agency securities | Level 2 | ||
Schedule of Investments [Line Items] | ||
Cost | 14 | 15 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Value | 14 | 15 |
Non-U.S. government and agency securities | Level 2 | Investments | ||
Schedule of Investments [Line Items] | ||
Fair Value | 14 | 15 |
Non-U.S. government and agency securities | Level 2 | Other Assets | ||
Schedule of Investments [Line Items] | ||
Fair Value | 0 | 0 |
Certificates of deposit | Level 2 | ||
Schedule of Investments [Line Items] | ||
Cost | 10 | |
Unrealized Gains | 0 | |
Unrealized Losses | 0 | |
Fair Value | 10 | |
Certificates of deposit | Level 2 | Investments | ||
Schedule of Investments [Line Items] | ||
Fair Value | 10 | |
Certificates of deposit | Level 2 | Other Assets | ||
Schedule of Investments [Line Items] | ||
Fair Value | 0 | |
Other asset-backed securities | Level 2 | ||
Schedule of Investments [Line Items] | ||
Cost | 601 | 580 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | (16) | (19) |
Fair Value | 585 | 561 |
Other asset-backed securities | Level 2 | Investments | ||
Schedule of Investments [Line Items] | ||
Fair Value | 585 | 561 |
Other asset-backed securities | Level 2 | Other Assets | ||
Schedule of Investments [Line Items] | ||
Fair Value | 0 | 0 |
Auction rate securities | Level 3 | ||
Schedule of Investments [Line Items] | ||
Cost | 36 | 36 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | (3) | (3) |
Fair Value | 33 | 33 |
Auction rate securities | Level 3 | Investments | ||
Schedule of Investments [Line Items] | ||
Fair Value | 0 | 0 |
Auction rate securities | Level 3 | Other Assets | ||
Schedule of Investments [Line Items] | ||
Fair Value | $ 33 | $ 33 |
Financial Instruments - Availab
Financial Instruments - Available-For-Sale Securities in Continuous Unrealized Loss Position (Details) - USD ($) $ in Millions | Jul. 28, 2023 | Apr. 28, 2023 |
Fair Value | ||
Less than 12 months | $ 488 | $ 401 |
More than 12 months | 4,786 | 4,760 |
Unrealized Losses | ||
Less than 12 months | (9) | (8) |
More than 12 months | (317) | (297) |
Corporate debt securities | ||
Fair Value | ||
Less than 12 months | 376 | 286 |
More than 12 months | 2,896 | 2,901 |
Unrealized Losses | ||
Less than 12 months | (6) | (4) |
More than 12 months | (165) | (158) |
U.S. government and agency securities | ||
Fair Value | ||
Less than 12 months | 86 | 89 |
More than 12 months | 860 | 821 |
Unrealized Losses | ||
Less than 12 months | (2) | (3) |
More than 12 months | (78) | (64) |
Mortgage-backed securities | ||
Fair Value | ||
Less than 12 months | 26 | 26 |
More than 12 months | 463 | 460 |
Unrealized Losses | ||
Less than 12 months | (1) | (1) |
More than 12 months | (55) | (53) |
Other asset-backed securities | ||
Fair Value | ||
Less than 12 months | 0 | 0 |
More than 12 months | 534 | 545 |
Unrealized Losses | ||
Less than 12 months | 0 | 0 |
More than 12 months | (16) | (19) |
Auction rate securities | ||
Fair Value | ||
Less than 12 months | 0 | 0 |
More than 12 months | 33 | 33 |
Unrealized Losses | ||
Less than 12 months | 0 | 0 |
More than 12 months | $ (3) | $ (3) |
Financial Instruments - Activit
Financial Instruments - Activity Related to the Company's Investment Portfolio and Debt Securities Contractual Maturities (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Jul. 28, 2023 | Jul. 29, 2022 | Apr. 28, 2023 | |
Activities Related to Debt Securities Portfolio | |||
Proceeds from sales | $ 1,747 | $ 1,864 | |
Gross realized gains | 5 | 1 | |
Gross realized losses | (12) | $ (9) | |
Debt Securities, Available-for-sale, Fair Value, Fiscal Year Maturity [Abstract] | |||
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 | $ 6,449 |
Financial Instruments - Narrati
Financial Instruments - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Jul. 28, 2023 | Jul. 29, 2022 | Apr. 01, 2023 | |
Gain (Loss) on Securities [Line Items] | |||
Interest income | $ 111 | $ 55 | |
Mozarc | |||
Gain (Loss) on Securities [Line Items] | |||
Non-controlling equity interest (percentage) | 50% | 50% | |
Equity Securities and Other Investments | |||
Gain (Loss) on Securities [Line Items] | |||
Net unrealized gains (losses) on equity and other investments still held | $ (64) | $ 8 |
Financial Instruments - Summary
Financial Instruments - Summary of Equity and Other Investments (Details) - Other Assets - USD ($) $ in Millions | Jul. 28, 2023 | Apr. 28, 2023 |
Schedule of Equity Method Investments [Line Items] | ||
Investments with readily determinable fair value (marketable equity securities) | $ 51 | $ 115 |
Investments for which the fair value option has been elected | 531 | 531 |
Investments without readily determinable fair values | 899 | 872 |
Equity method and other investments | 88 | 89 |
Total equity and other investments | $ 1,569 | $ 1,607 |
Financing Arrangements - Narrat
Financing Arrangements - Narrative (Details) € in Millions, ¥ in Billions | 1 Months Ended | 3 Months Ended | ||||||||||||
Mar. 31, 2023 USD ($) tranche | Mar. 31, 2023 USD ($) tranche | Mar. 31, 2023 JPY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2022 EUR (€) | Sep. 30, 2022 USD ($) | May 31, 2022 USD ($) | May 31, 2022 JPY (¥) | Jul. 28, 2023 USD ($) | Jul. 29, 2022 USD ($) | Apr. 28, 2023 USD ($) | Mar. 31, 2023 EUR (€) tranche | Sep. 30, 2022 EUR (€) tranche | May 31, 2022 JPY (¥) | |
Schedule of Debt [Line Items] | ||||||||||||||
Current debt obligations | $ 519,000,000 | $ 20,000,000 | ||||||||||||
Proceeds from short-term borrowings (maturities greater than 90 days) | 0 | $ 2,284,000,000 | ||||||||||||
Loss on debt extinguishment | 0 | 53,000,000 | ||||||||||||
Senior notes | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Principal value | 24,600,000,000 | 24,500,000,000 | ||||||||||||
Total debt, fair value | 21,400,000,000 | 21,700,000,000 | ||||||||||||
Commercial Paper | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Current debt obligations | $ 500,000,000 | 0 | ||||||||||||
Term of debt instrument | 14 days | |||||||||||||
Weighted average interest rate | 5.262% | |||||||||||||
Term loan agreement | Medtronic Luxco | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Term of debt instrument | 364 days | 364 days | ||||||||||||
Principal value | ¥ | ¥ 300 | |||||||||||||
Proceeds from short-term borrowings (maturities greater than 90 days) | $ 2,300,000,000 | ¥ 297 | ||||||||||||
Loss on debt extinguishment | $ 53,000,000 | |||||||||||||
Term loan agreement | Medtronic Luxco | TIBOR Rate | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Margin added to variable rate | 0.40% | 0.40% | ||||||||||||
Commercial Paper Program | Commercial Paper | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Commercial paper, maximum borrowing amount | $ 3,500,000,000 | |||||||||||||
Credit Facility | Line of Credit | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Term of debt instrument | 5 years | |||||||||||||
Line of credit, maximum capacity | $ 3,500,000,000 | |||||||||||||
Line of credit, amount outstanding | $ 0 | $ 0 | ||||||||||||
Medtronic Luxco senior notes | Senior notes | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Principal value | $ 2,000,000,000 | $ 2,000,000,000 | € 3,500 | |||||||||||
Proceeds from (repayments of) debt | 2,000,000,000 | $ 3,400,000,000 | ||||||||||||
Extinguishment of debt | ¥ 297 | € 750 | ||||||||||||
Redemption of senior notes, consideration | $ 772,000,000 | |||||||||||||
Repurchased face amount | € | € 2,800 | |||||||||||||
Repayments of debt | $ 2,900,000,000 | |||||||||||||
Medtronic Luxco senior notes | Senior notes | Medtronic Luxco | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Number of tranches | tranche | 2 | 2 | 2 | 4 | ||||||||||
Repayments of debt | $ 2,300,000,000 | |||||||||||||
Senior Notes 2015 Due 2025, 3.500 percent | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Stated interest rate | 3.50% | 3.50% | ||||||||||||
Senior Notes 2015 Due 2025, 3.500 percent | Senior notes | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Repurchased face amount | $ 1,900,000,000 | |||||||||||||
Repayments of debt | $ 1,900,000,000 | |||||||||||||
Senior Notes 2017 Due 2027, 3.350 Percent | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Stated interest rate | 3.35% | 3.35% | ||||||||||||
Senior Notes 2017 Due 2027, 3.350 Percent | Senior notes | ||||||||||||||
Schedule of Debt [Line Items] | ||||||||||||||
Repurchased face amount | $ 368,000,000 | |||||||||||||
Repayments of debt | $ 376,000,000 |
Financing Arrangements - Long-T
Financing Arrangements - Long-Term Debt (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Apr. 28, 2023 | |
Debt Instrument [Line Items] | ||
Current debt obligations | $ 519 | $ 20 |
Long-term debt | ||
Finance lease obligations | 57 | 57 |
Deferred financing costs | (120) | (124) |
Debt discount, net | (65) | (64) |
Total long-term debt | $ 24,463 | 24,344 |
0.250 percent six-year 2019 senior notes | ||
Long-term debt | ||
Stated interest rate | 0.25% | |
Term of debt instrument | 6 years | |
2.625 percent three-year 2022 senior notes | ||
Long-term debt | ||
Stated interest rate | 2.625% | |
Term of debt instrument | 3 years | |
0.000 percent five-year 2020 senior notes | ||
Long-term debt | ||
Stated interest rate | 0% | |
Term of debt instrument | 5 years | |
1.125 percent eight-year 2019 senior notes | ||
Long-term debt | ||
Stated interest rate | 1.125% | |
Term of debt instrument | 8 years | |
4.250 percent five-year 2023 senior notes | ||
Long-term debt | ||
Stated interest rate | 4.25% | |
Term of debt instrument | 5 years | |
3.000 percent six-year 2022 senior notes | ||
Long-term debt | ||
Stated interest rate | 3% | |
Term of debt instrument | 6 years | |
0.375 percent eight-year 2020 senior notes | ||
Long-term debt | ||
Stated interest rate | 0.375% | |
Term of debt instrument | 8 years | |
1.625 percent twelve-year 2019 senior notes | ||
Long-term debt | ||
Stated interest rate | 1.625% | |
Term of debt instrument | 12 years | |
1.000 percent twelve-year 2019 senior notes | ||
Long-term debt | ||
Stated interest rate | 1% | |
Term of debt instrument | 12 years | |
3.125 percent nine-year 2022 senior notes | ||
Long-term debt | ||
Stated interest rate | 3.125% | |
Term of debt instrument | 9 years | |
0.750 percent twelve-year 2020 senior notes | ||
Long-term debt | ||
Stated interest rate | 0.75% | |
Term of debt instrument | 12 years | |
4.500 percent ten-year 2023 senior notes | ||
Long-term debt | ||
Stated interest rate | 4.50% | |
Term of debt instrument | 10 years | |
3.375 percent twelve-year 2022 senior notes | ||
Long-term debt | ||
Stated interest rate | 3.375% | |
Term of debt instrument | 12 years | |
4.375 percent twenty-year 2015 senior notes | ||
Long-term debt | ||
Stated interest rate | 4.375% | |
Term of debt instrument | 20 years | |
6.550 percent thirty-year 2007 CIFSA senior notes | ||
Long-term debt | ||
Stated interest rate | 6.55% | |
Term of debt instrument | 30 years | |
2.250 percent twenty-year 2019 senior notes | ||
Long-term debt | ||
Stated interest rate | 2.25% | |
Term of debt instrument | 20 years | |
6.500 percent thirty-year 2009 senior notes | ||
Long-term debt | ||
Stated interest rate | 6.50% | |
Term of debt instrument | 30 years | |
1.500 percent twenty-year 2019 senior notes | ||
Long-term debt | ||
Stated interest rate | 1.50% | |
Term of debt instrument | 20 years | |
5.550 percent thirty-year 2010 senior notes | ||
Long-term debt | ||
Stated interest rate | 5.55% | |
Term of debt instrument | 30 years | |
1.375 percent twenty-year 2020 senior notes | ||
Long-term debt | ||
Stated interest rate | 1.375% | |
Term of debt instrument | 20 years | |
4.500 percent thirty-year 2012 senior notes | ||
Long-term debt | ||
Stated interest rate | 4.50% | |
Term of debt instrument | 30 years | |
4.000 percent thirty-year 2013 senior notes | ||
Long-term debt | ||
Stated interest rate | 4% | |
Term of debt instrument | 30 years | |
4.625 percent thirty-year 2014 senior notes | ||
Long-term debt | ||
Stated interest rate | 4.625% | |
Term of debt instrument | 30 years | |
4.625 percent thirty-year 2015 senior notes | ||
Long-term debt | ||
Stated interest rate | 4.625% | |
Term of debt instrument | 30 years | |
1.750 percent thirty-year 2019 senior notes | ||
Long-term debt | ||
Stated interest rate | 1.75% | |
Term of debt instrument | 30 years | |
1.625 percent thirty-year 2020 senior notes | ||
Long-term debt | ||
Stated interest rate | 1.625% | |
Term of debt instrument | 30 years | |
Senior notes | 0.250 percent six-year 2019 senior notes | ||
Long-term debt | ||
Long-term debt, gross | $ 1,105 | 1,097 |
Senior notes | 2.625 percent three-year 2022 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 552 | 549 |
Senior notes | 0.000 percent five-year 2020 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 1.125 percent eight-year 2019 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,657 | 1,646 |
Senior notes | 4.250 percent five-year 2023 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,000 | 1,000 |
Senior notes | 3.000 percent six-year 2022 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 0.375 percent eight-year 2020 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 1.625 percent twelve-year 2019 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 1.000 percent twelve-year 2019 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 3.125 percent nine-year 2022 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 0.750 percent twelve-year 2020 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 4.500 percent ten-year 2023 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,000 | 1,000 |
Senior notes | 3.375 percent twelve-year 2022 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 4.375 percent twenty-year 2015 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,932 | 1,932 |
Senior notes | 6.550 percent thirty-year 2007 CIFSA senior notes | ||
Long-term debt | ||
Long-term debt, gross | 253 | 253 |
Senior notes | 2.250 percent twenty-year 2019 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 6.500 percent thirty-year 2009 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 158 | 158 |
Senior notes | 1.500 percent twenty-year 2019 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 5.550 percent thirty-year 2010 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 224 | 224 |
Senior notes | 1.375 percent twenty-year 2020 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 4.500 percent thirty-year 2012 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 105 | 105 |
Senior notes | 4.000 percent thirty-year 2013 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 305 | 305 |
Senior notes | 4.625 percent thirty-year 2014 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 127 | 127 |
Senior notes | 4.625 percent thirty-year 2015 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,813 | 1,813 |
Senior notes | 1.750 percent thirty-year 2019 senior notes | ||
Long-term debt | ||
Long-term debt, gross | 1,105 | 1,097 |
Senior notes | 1.625 percent thirty-year 2020 senior notes | ||
Long-term debt | ||
Long-term debt, gross | $ 1,105 | $ 1,097 |
Derivatives and Currency Exch_3
Derivatives and Currency Exchange Risk Management - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Jul. 28, 2023 | Jul. 29, 2022 | Apr. 28, 2023 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative, excluded component, gain (loss), recognized in earnings | $ 49 | $ 21 | |
Currency exchange rate contracts | Derivatives designated as hedging instruments | Cash flow hedging | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Maximum remaining maturity of foreign currency derivatives | 3 years | ||
After-tax net unrealized gains (losses) associated with cash flow hedging instruments recorded in AOCI | $ 63 | $ 93 | |
Cash flow hedge unrealized gains to be reclassified over the next 12 months | $ 122 |
Derivatives and Currency Exch_4
Derivatives and Currency Exchange Risk Management - Outstanding instruments (Details) € in Billions, ¥ in Billions, $ in Billions | Jul. 28, 2023 USD ($) | Jul. 28, 2023 EUR (€) | Jul. 28, 2023 JPY (¥) | Apr. 28, 2023 USD ($) |
Derivatives designated as hedging instruments | Currency exchange rate contracts | Europe | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gross notional amount | $ 5 | € 4.5 | ||
Derivatives designated as hedging instruments | Currency exchange rate contracts | JAPAN | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gross notional amount | 2.3 | ¥ 322.2 | ||
Derivatives designated as hedging instruments | Cash flow hedging | Currency exchange rate contracts | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gross notional amount | 10 | $ 9.1 | ||
Derivatives designated as hedging instruments | Net investment hedging | Currency exchange rate contracts | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gross notional amount | 7.3 | 7.2 | ||
Derivatives designated as hedging instruments | Net investment hedging | Foreign currency-denominated debt | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gross notional amount | 17.7 | € 16 | 17.6 | |
Derivatives not designated as hedging instruments | Currency exchange rate contracts | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gross notional amount | $ 5.7 | $ 5.8 |
Derivatives and Currency Exch_5
Derivatives and Currency Exchange Risk Management - Derivative (Gains) Losses Designated as Hedging Instruments (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Derivative Instruments, (Gain) Loss [Line Items] | ||
(Gain) Loss Recognized in Accumulated Other Comprehensive Loss | $ 106 | $ (1,378) |
(Gain) Loss Reclassified into Income | (56) | (120) |
Currency exchange rate contracts | ||
Derivative Instruments, (Gain) Loss [Line Items] | ||
Recognized in AOCI, net investment hedges | 30 | (57) |
Reclassified into Income, net investment hedges | 0 | 0 |
Currency exchange rate contracts | Other operating expense, net | ||
Derivative Instruments, (Gain) Loss [Line Items] | ||
Recognized in AOCI, Cash flow hedges | (4) | (342) |
Recognized in income, cash flow hedges | (51) | (137) |
Currency exchange rate contracts | Cost of products sold | ||
Derivative Instruments, (Gain) Loss [Line Items] | ||
Recognized in AOCI, Cash flow hedges | (33) | (34) |
Recognized in income, cash flow hedges | (5) | 18 |
Foreign currency-denominated debt | ||
Derivative Instruments, (Gain) Loss [Line Items] | ||
Recognized in AOCI, net investment hedges | 114 | (945) |
Reclassified into Income, net investment hedges | $ 0 | $ 0 |
Derivatives and Currency Exch_6
Derivatives and Currency Exchange Risk Management - Gains and Losses on Derivatives Not Designated as Hedging Instruments (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Derivative Instruments, (Gain) Loss [Line Items] | ||
Derivatives not designated as hedging instruments | $ (21) | $ 25 |
Other operating expense, net | Currency exchange rate contracts | ||
Derivative Instruments, (Gain) Loss [Line Items] | ||
Derivatives not designated as hedging instruments | (2) | 26 |
Other operating expense, net | Total return swaps | ||
Derivative Instruments, (Gain) Loss [Line Items] | ||
Derivatives not designated as hedging instruments | $ (19) | $ (1) |
Derivatives and Currency Exch_7
Derivatives and Currency Exchange Risk Management - Classification and Fair Value Amounts of Derivative Instruments in Balance Sheets (Details) - USD ($) $ in Millions | Jul. 28, 2023 | Apr. 28, 2023 |
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | $ 421 | $ 368 |
Derivative liabilities, fair value | 306 | 236 |
Currency exchange rate contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 398 | 368 |
Derivative liabilities, fair value | 306 | 236 |
Total return swaps | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 24 | |
Derivatives designated as hedging instruments | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 353 | 351 |
Derivative liabilities, fair value | 258 | 226 |
Derivatives designated as hedging instruments | Currency exchange rate contracts | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 300 | 318 |
Derivatives designated as hedging instruments | Currency exchange rate contracts | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 53 | 33 |
Derivatives designated as hedging instruments | Currency exchange rate contracts | Other accrued expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities, fair value | 136 | 109 |
Derivatives designated as hedging instruments | Currency exchange rate contracts | Other liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities, fair value | 121 | 117 |
Derivatives not designated as hedging instruments | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 68 | 17 |
Derivative liabilities, fair value | 48 | 10 |
Derivatives not designated as hedging instruments | Currency exchange rate contracts | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 45 | 17 |
Derivatives not designated as hedging instruments | Currency exchange rate contracts | Other accrued expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities, fair value | 48 | 10 |
Derivatives not designated as hedging instruments | Total return swaps | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets, fair value | 24 | 0 |
Derivatives not designated as hedging instruments | Total return swaps | Other accrued expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities, fair value | $ 0 | $ 0 |
Derivatives and Currency Exch_8
Derivatives and Currency Exchange Risk Management - Derivative Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Millions | Jul. 28, 2023 | Apr. 28, 2023 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Assets | $ 421 | $ 368 |
Derivative Liabilities | 306 | 236 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Assets | 398 | 368 |
Derivative Liabilities | 306 | 236 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Assets | 24 | 0 |
Derivative Liabilities | $ 0 | $ 0 |
Derivatives and Currency Exch_9
Derivatives and Currency Exchange Risk Management - Offsetting Assets and Liabilities (Details) - USD ($) $ in Millions | Jul. 28, 2023 | Apr. 28, 2023 |
Derivative assets: | ||
Gross Amount of Recognized Assets (Liabilities) | $ 421 | $ 368 |
Financial Instruments | (223) | |
Cash Collateral (Received) Posted | (6) | |
Net Amount | 192 | |
Derivative liabilities: | ||
Gross Amount of Recognized Assets (Liabilities) | (306) | (236) |
Total | ||
Gross Amount of Recognized Assets (Liabilities) | 115 | 132 |
Financial Instruments | 0 | 0 |
Cash Collateral (Received) Posted | (5) | (11) |
Net Amount | 110 | 121 |
Currency exchange rate contracts | ||
Derivative assets: | ||
Gross Amount of Recognized Assets (Liabilities) | 398 | 368 |
Financial Instruments | (223) | (189) |
Cash Collateral (Received) Posted | (6) | (11) |
Net Amount | 168 | 168 |
Derivative liabilities: | ||
Gross Amount of Recognized Assets (Liabilities) | (306) | (236) |
Financial Instruments | 223 | 189 |
Cash Collateral (Received) Posted | 1 | 0 |
Net Amount | (82) | $ (48) |
Total return swaps | ||
Derivative assets: | ||
Gross Amount of Recognized Assets (Liabilities) | 24 | |
Financial Instruments | 0 | |
Cash Collateral (Received) Posted | 0 | |
Net Amount | $ 24 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Jul. 28, 2023 | Apr. 28, 2023 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 3,723 | $ 3,440 |
Work-in-process | 816 | 789 |
Raw materials | 1,130 | 1,063 |
Total | $ 5,668 | $ 5,293 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Changes in the Carrying Amount of Goodwill (Details) $ in Millions | 3 Months Ended |
Jul. 28, 2023 USD ($) | |
Goodwill [Roll Forward] | |
Beginning balance | $ 41,425 |
Purchase accounting adjustments | (6) |
Currency translation and other | 17 |
Ending balance | 41,436 |
Cardiovascular | |
Goodwill [Roll Forward] | |
Beginning balance | 7,873 |
Purchase accounting adjustments | (6) |
Currency translation and other | 13 |
Ending balance | 7,880 |
Medical Surgical | |
Goodwill [Roll Forward] | |
Beginning balance | 19,579 |
Purchase accounting adjustments | 0 |
Currency translation and other | 11 |
Ending balance | 19,590 |
Neuroscience | |
Goodwill [Roll Forward] | |
Beginning balance | 11,718 |
Purchase accounting adjustments | 0 |
Currency translation and other | (7) |
Ending balance | 11,711 |
Diabetes | |
Goodwill [Roll Forward] | |
Beginning balance | 2,255 |
Purchase accounting adjustments | 0 |
Currency translation and other | 0 |
Ending balance | $ 2,255 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Narrative (Details) - USD ($) | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Goodwill [Line Items] | ||
Definite-lived intangible asset charges | $ 0 | $ 0 |
Indefinite-lived intangible asset charges | 0 | 0 |
Amortization expense | 429,000,000 | 423,000,000 |
Medical Surgical | ||
Goodwill [Line Items] | ||
Goodwill impairment | $ 0 | |
Medical Surgical | Patient Monitoring & Respiratory Interventions | ||
Goodwill [Line Items] | ||
Percentage of fair value in excess of carrying amount (less than) | 10% | |
Goodwill allocated | $ 3,000,000,000 | |
Medical Surgical | Renal Care Business (RCS) | ||
Goodwill [Line Items] | ||
Goodwill impairment | 61,000,000 | |
Goodwill allocated | $ 208,000,000 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Carrying Amount and Accumulated Amortization of Intangible Assets (Details) - USD ($) $ in Millions | Jul. 28, 2023 | Apr. 28, 2023 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 29,229 | $ 29,217 |
Accumulated Amortization | (15,027) | (14,605) |
IPR&D | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Gross Carrying Amount, Indefinite-lived | 232 | 232 |
Customer-related | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 16,956 | 16,956 |
Accumulated Amortization | (8,221) | (7,979) |
Purchased technology and patents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 11,664 | 11,659 |
Accumulated Amortization | (6,451) | (6,277) |
Trademarks and tradenames | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 485 | 486 |
Accumulated Amortization | (282) | (280) |
Other | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 124 | 116 |
Accumulated Amortization | $ (73) | $ (69) |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets - Estimated Future Aggregate Amortization Expense of Amortizable Intangible Assets (Details) $ in Millions | Jul. 28, 2023 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Remaining 2024 | $ 1,256 |
2025 | 1,654 |
2026 | 1,642 |
2027 | 1,619 |
2028 | 1,568 |
2029 | $ 1,489 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Jul. 28, 2023 | Jul. 29, 2022 | Apr. 28, 2023 | |
Income Tax Contingency [Line Items] | |||
Effective tax rate | 33.40% | 10.70% | |
Gross unrecognized tax benefits | $ 2,800 | $ 2,700 | |
Accrued gross interest and penalties | 154 | ||
Unrecognized tax benefits that would impact effective tax rate | 2,600 | ||
Gross unrecognized tax benefits, net of cash advance, recorded as noncurrent liability | 1,800 | $ 1,800 | |
Foreign Tax Authority | |||
Income Tax Contingency [Line Items] | |||
Potential income tax charge | $ 187 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Basic and Diluted Earnings (Loss) Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Numerator: | ||
Net income attributable to ordinary shareholders | $ 791 | $ 929 |
Denominator: | ||
Basic - weighted average shares outstanding (shares) | 1,330.5 | 1,329.4 |
Effect of dilutive securities: | ||
Diluted - weighted average shares outstanding (shares) | 1,333.8 | 1,334.5 |
Basic earnings per share (usd per share) | $ 0.59 | $ 0.70 |
Diluted earnings per share (usd per share) | $ 0.59 | $ 0.70 |
Stock options | ||
Effect of dilutive securities: | ||
Share based payments (shares) | 1.2 | 2.7 |
RSUs | ||
Effect of dilutive securities: | ||
Employee restricted stock units (shares) | 1.7 | 1.3 |
Performance share units | ||
Effect of dilutive securities: | ||
Share based payments (shares) | 0.3 | 1.1 |
Earnings Per Share - Narrative
Earnings Per Share - Narrative (Details) - shares shares in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Stock options | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share (shares) | 22 | 14 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total stock-based compensation expense | $ 73 | $ 62 |
Income tax benefits | (11) | (11) |
Total stock-based compensation expense, net of tax | 62 | 51 |
Cost of products sold | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total stock-based compensation expense | 7 | 6 |
Research and development expense | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total stock-based compensation expense | 9 | 7 |
Selling, general, and administrative expense | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total stock-based compensation expense | 58 | 49 |
Stock options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total stock-based compensation expense | 12 | 12 |
Restricted stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total stock-based compensation expense | 38 | 27 |
Performance share units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total stock-based compensation expense | 12 | 12 |
Employee stock purchase plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total stock-based compensation expense | $ 11 | $ 11 |
Retirement Benefit Plans - Comp
Retirement Benefit Plans - Components of Net Periodic Benefit Cost (Details) - Pension plans - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
U.S. | ||
Net Periodic Benefit Cost | ||
Service cost | $ 15 | $ 19 |
Interest cost | 40 | 36 |
Expected return on plan assets | (65) | (56) |
Amortization of prior service cost | (1) | 0 |
Amortization of net actuarial loss | 5 | 5 |
Net periodic benefit (credit) cost | (6) | 4 |
Non-U.S. | ||
Net Periodic Benefit Cost | ||
Service cost | 10 | 12 |
Interest cost | 12 | 10 |
Expected return on plan assets | (17) | (16) |
Amortization of prior service cost | 0 | 0 |
Amortization of net actuarial loss | 0 | 1 |
Net periodic benefit (credit) cost | $ 5 | $ 7 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Changes in AOCI (Details) - USD ($) | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | $ 51,665,000,000 | $ 52,722,000,000 |
Other comprehensive (loss) income | (175,000,000) | 324,000,000 |
Ending balance | 51,366,000,000 | 52,843,000,000 |
Total Accumulated Other Comprehensive (Loss) Income | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (3,499,000,000) | (2,265,000,000) |
Other comprehensive (loss) income before reclassifications | (144,000,000) | 414,000,000 |
Reclassifications | (32,000,000) | (87,000,000) |
Other comprehensive (loss) income | (175,000,000) | 326,000,000 |
Ending balance | (3,674,000,000) | (1,939,000,000) |
Unrealized (Loss) Gain on Investment Securities | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (258,000,000) | (209,000,000) |
Other comprehensive (loss) income before reclassifications | (28,000,000) | (22,000,000) |
Reclassifications | 8,000,000 | 6,000,000 |
Other comprehensive (loss) income | (19,000,000) | (16,000,000) |
Ending balance | (277,000,000) | (225,000,000) |
Other Comprehensive Income (Loss), Tax [Abstract] | ||
Other comprehensive income (loss) before reclassifications, tax expense (benefit) | (3,000,000) | (9,000,000) |
Reclassifications, tax expense (benefit) | 3,000,000 | 2,000,000 |
Cumulative Translation Adjustments | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (2,839,000,000) | (2,599,000,000) |
Other comprehensive (loss) income before reclassifications | 14,000,000 | (881,000,000) |
Reclassifications | 0 | 0 |
Other comprehensive (loss) income | 14,000,000 | (881,000,000) |
Ending balance | (2,825,000,000) | (3,480,000,000) |
Other Comprehensive Income (Loss), Tax [Abstract] | ||
Other comprehensive income (loss) before reclassifications, tax expense (benefit) | 0 | (3,000,000) |
Net Investment Hedges | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | 245,000,000 | 841,000,000 |
Other comprehensive (loss) income before reclassifications | (143,000,000) | 1,002,000,000 |
Reclassifications | 0 | 0 |
Other comprehensive (loss) income | (143,000,000) | 1,002,000,000 |
Ending balance | 102,000,000 | 1,843,000,000 |
Other Comprehensive Income (Loss), Tax [Abstract] | ||
Other comprehensive income (loss) before reclassifications, tax expense (benefit) | 0 | 0 |
Net Change in Retirement Obligations | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (741,000,000) | (773,000,000) |
Other comprehensive (loss) income before reclassifications | 1,000,000 | 3,000,000 |
Reclassifications | 2,000,000 | (2,000,000) |
Other comprehensive (loss) income | 3,000,000 | 1,000,000 |
Ending balance | (738,000,000) | (772,000,000) |
Other Comprehensive Income (Loss), Tax [Abstract] | ||
Other comprehensive income (loss) before reclassifications, tax expense (benefit) | 0 | 1,000,000 |
Reclassifications, tax expense (benefit) | 1,000,000 | 6,000,000 |
Unrealized Gain (Loss) on Cash Flow Hedges | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | 93,000,000 | 474,000,000 |
Other comprehensive (loss) income before reclassifications | 12,000,000 | 312,000,000 |
Reclassifications | (42,000,000) | (91,000,000) |
Other comprehensive (loss) income | (30,000,000) | 220,000,000 |
Ending balance | 63,000,000 | 694,000,000 |
Other Comprehensive Income (Loss), Tax [Abstract] | ||
Other comprehensive income (loss) before reclassifications, tax expense (benefit) | 25,000,000 | 64,000,000 |
Reclassifications, tax expense (benefit) | $ (13,000,000) | $ (22,000,000) |
Commitments and Contingencies (
Commitments and Contingencies (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||
Aug. 03, 2023 plantiff | Aug. 02, 2023 plantiff claim | Feb. 08, 2023 USD ($) | May 31, 2017 claim | Jul. 28, 2023 USD ($) subsidiary claimant manufacturer | Jul. 29, 2022 USD ($) | Apr. 29, 2016 USD ($) claim | Apr. 28, 2023 USD ($) | |
Loss Contingencies [Line Items] | ||||||||
Certain litigation charges | $ | $ 40 | $ 0 | ||||||
Accrued litigation charges | $ | $ 300 | $ 300 | ||||||
Colibri | ||||||||
Loss Contingencies [Line Items] | ||||||||
Amount of settlement paid | $ | $ 106 | |||||||
Pelvic mesh | Product liability litigation | ||||||||
Loss Contingencies [Line Items] | ||||||||
Number of subsidiaries (in subsidiaries) | subsidiary | 2 | |||||||
Number of manufacturers (in manufacturers) | manufacturer | 1 | |||||||
Amount of settlement received | $ | $ 121 | |||||||
Number of claims settled (in claims) | claim | 5,000 | 11,000 | ||||||
Number of claimants (in claimants) | claimant | 16,200 | |||||||
Pelvic mesh | Product liability litigation | Subsequent event | ||||||||
Loss Contingencies [Line Items] | ||||||||
Number of claims settled (in claims) | claim | 15,900 | |||||||
Hernia Mesh Litigation | Subsequent event | Pending Litigation | ||||||||
Loss Contingencies [Line Items] | ||||||||
Number of claimants (in claimants) | claim | 550 | |||||||
Number of plaintiffs (in plaintiffs) | plantiff | 7,450 | |||||||
Hernia Mesh Litigation | Subsequent event | Pending Litigation | Massachusetts | ||||||||
Loss Contingencies [Line Items] | ||||||||
Number of plaintiffs (in plaintiffs) | plantiff | 6,400 | |||||||
Hernia Mesh Litigation | Subsequent event | Pending Litigation | Minnesota | ||||||||
Loss Contingencies [Line Items] | ||||||||
Number of plaintiffs (in plaintiffs) | plantiff | 500 | |||||||
Diabetes Pump Retainer Ring Litigation | Subsequent event | California | ||||||||
Loss Contingencies [Line Items] | ||||||||
Number of plaintiffs (in plaintiffs) | plantiff | 63 |
Segment and Geographic Inform_3
Segment and Geographic Information - Narrative (Details) | 3 Months Ended |
Jul. 28, 2023 segment | |
Segment Reporting Information [Line Items] | |
Number of reportable segments (in segments) | 4 |
Medical Surgical | |
Segment Reporting Information [Line Items] | |
Number of operating segments (in segments) | 2 |
Segment and Geographic Inform_4
Segment and Geographic Information - Income From Operations Before Income Taxes by Reportable Segment and Reconciliation to Consolidated (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Segment Reporting Information [Line Items] | ||
Segment operating profit | $ 1,268 | $ 1,125 |
Other non-operating income, net | 76 | 83 |
Amortization of intangible assets | (429) | (423) |
Stock-based compensation | (73) | (62) |
Restructuring and associated costs | (91) | (76) |
Certain litigation charges | (40) | 0 |
Income before income taxes | 1,196 | 1,044 |
Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Segment operating profit | 2,828 | 2,567 |
Operating Segments | Cardiovascular | ||
Segment Reporting Information [Line Items] | ||
Segment operating profit | 1,092 | 979 |
Operating Segments | Neuroscience | ||
Segment Reporting Information [Line Items] | ||
Segment operating profit | 929 | 841 |
Operating Segments | Medical Surgical | ||
Segment Reporting Information [Line Items] | ||
Segment operating profit | 719 | 693 |
Operating Segments | Diabetes | ||
Segment Reporting Information [Line Items] | ||
Segment operating profit | 84 | 79 |
Operating Segments | Other | ||
Segment Reporting Information [Line Items] | ||
Segment operating profit | 4 | (24) |
Segment Reconciling Items | ||
Segment Reporting Information [Line Items] | ||
Interest expense, net | (148) | (164) |
Other non-operating income, net | 76 | 83 |
Amortization of intangible assets | (429) | (423) |
Corporate | (447) | (414) |
Stock-based compensation | (73) | (62) |
Centralized distribution costs | (395) | (406) |
Currency | (3) | 81 |
Restructuring and associated costs | (91) | (76) |
Acquisition and divestiture-related items | (50) | (109) |
Certain litigation charges | (40) | 0 |
Medical device regulations | $ (31) | $ (32) |
Segment and Geographic Inform_5
Segment and Geographic Information - Schedule of Net Sales to External Customers and Property, Plant, and Equipment, Net, by Geographic Region (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 28, 2023 | Jul. 29, 2022 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | $ 7,702 | $ 7,371 |
Ireland | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 29 | 23 |
Total other countries, excluding Ireland | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 7,673 | 7,348 |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 3,924 | 3,766 |
Rest of world | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | $ 3,749 | $ 3,582 |