Medtronic PLC (MDT)

Gross profit margin

		Apr 30, 2025	Apr 30, 2024	Apr 26, 2024	Apr 30, 2023	Apr 28, 2023
Gross profit	US$ in thousands	—	21,148,000	8,556,000	20,508,000	8,130,000
Revenue	US$ in thousands	33,537,000	32,364,000	32,961,000	31,227,000	31,528,000
Gross profit margin		0.00%	65.34%	25.96%	65.67%	25.79%

April 30, 2025 calculation

Gross profit margin = Gross profit ÷ Revenue
= $—K ÷ $33,537,000K
= 0.00%

The gross profit margin of Medtronic PLC has shown fluctuation over the period under consideration. In April 2023, the gross profit margin was reported at 25.79%, indicating that the company was able to retain approximately 25.79% of its revenue after accounting for the cost of goods sold. This margin then significantly improved to 65.67% by April 30, 2023, reflecting a notable increase in the company's efficiency in managing its production costs.

However, this trend was not sustained as the gross profit margin decreased to 25.96% by April 26, 2024. Despite this dip, the company still managed to maintain a reasonable gross profit margin compared to the earlier period. Subsequently, by April 30, 2024, the gross profit margin improved to 65.34%, signaling a recovery towards higher profitability levels.

Of concern is the reported gross profit margin of 0.00% in April 30, 2025. This indicates that the company did not generate any gross profit during this period, potentially due to a significant increase in the cost of goods sold relative to the revenue generated. This decline could raise questions about the company's ability to effectively control its production costs and maintain profitability.

Overall, the gross profit margin analysis reveals fluctuations in Medtronic PLC's efficiency in managing its production costs and generating profits over the period, with significant improvements followed by unexpected declines. Further investigation into the factors influencing these fluctuations may be necessary to assess the company's financial health and performance accurately.