Medtronic (MDT) Morgan Stanley 23rd Annual Global Healthcare Conference summary

Executive transition and leadership focus

• New CFO brings cross-industry experience, emphasizing a data-driven, mission-oriented culture and rapid adaptation to MedTech's unique challenges.

• Prioritizes short-term delivery, margin expansion, and growth acceleration, leveraging operational discipline from automotive and innovation-driven capital allocation.

• Emphasizes data-centric capital allocation, focusing on high-return opportunities and macro-level growth drivers in large and smaller business units.

Strategic portfolio management and diabetes business separation

• Operational and transactional separation of the diabetes business is on track, with standalone readiness by end of calendar year and IPO phase targeted for Q1 2026.

• Diabetes spin will free up leadership capacity and allow greater focus on core franchises, leveraging synergies across technology and software platforms.

• Positive stakeholder and investor response to the separation, with the diabetes business positioned as a scaled, independent entity with a robust product pipeline.

Supply chain and operational improvements

• Centralization of manufacturing and purchasing teams has improved data visibility, forecasting, and execution, driving efficiency gains.

• Continued opportunities exist for further cost optimization and operational enhancements, particularly in manufacturing footprint and design-to-cost initiatives.