Medtronic posts slight revenue, earnings gains in Q3
Medtronic reported an increase in the company's third quarter revenue for fiscal year 2012 compared to the same quarter for the previous year, despite a dip in revenue in its cardiac rhythm disease management (CRDM) business.

Minneapolis-based Medtronic reported a 2 percent increase in third quarter revenue, rising from $3.86 billion for fiscal year 2011 to $3.92 billion in fiscal year 2012. 

Net earnings for the third quarter were $935 million, an increase of 1 percent over the same period in the prior year. 

The Cardiac and Vascular Group, which includes Medtronic's CRDM and cardiovascular businesses, reported worldwide third quarter sales of $2.03 billion, an increase of 2 percent as reported or 1 percent on a constant currency basis. Group international sales rose 5 percent to $1.15 billion.

Declines in implantable cardioverter-defibrillators (ICDs) contributed to a slip in third quarter revenue in CRDM. CRDM third quarter revenue totaled $1.19 billion, for a decrease of 2 percent as reported or 3 percent on a constant currency basis. Third quarter revenue from ICDs was $674 million, down 9 percent on a constant currency basis. Medtronic attributed the slump to declining procedure volumes in the U.S. market compared with the prior year.

Pacing revenue, on the other hand, rose to $467 million, while atrial fibrillation (AF) solutions posted revenues of $51 million, up from $36 million for the same quarter of the prior year.

Cardiovascular revenue was $837 million for the third quarter, up 8 percent. The coronary, structural heart, and endovascular and peripheral businesses worldwide revenue grew 3 percent, 10 percent, and 17 percent, respectively, on a constant currency basis. According to Medtronic, transcatheter valves drove growth in the structural heart business while the Endurant stent graft fueled growth in the endovascular and peripheral businesses.