Medtronic presents slightly upgraded earnings guidance

Medtronic has announced it has revised its diluted earnings per share (EPS) guidance for the 2013 fiscal year slightly upwards.

The medical technology firm has tightened its guidance range for the 12 months to $3.66 to $3.70 (2.28 to 2.30 pounds) from the previously stated range of $3.62 to $3.70, reflecting the positive impact of the recent renewal of the US research and development tax credit.

This new range would represent a year-on-year growth rate of six to seven percent, with the tax credit expected to have a positive total annual earnings impact of approximately $30 to $35 million.

Due to retroactive accounting treatment, Medtronic said it expects to realise approximately three cents of the diluted EPS benefit in the third quarter of fiscal year 2013 and a further one cent in the fourth quarter.

"As in the past, all EPS ranges exclude any effect of special or extraordinary charges that may impact the company's continuing operations," the firm added.

This comes after the organisation last month approved a cash dividend of $0.26 per share of the company's common stock for the third quarter of the current business year.