Medtronic reported Q2 2025 revenue of $8.403 billion, a year-over-year decline of 2.17%, with gross profit of $5.457 billion and a gross margin of 64.94%. Despite a revenue downturn, the company delivered meaningful margin expansion and a sizeable swing to profitability, posting operating income of $1.595 billion (operating margin ~18.98%) and net income of $1.27 billion (net margin ~15.11%), up 51.5% and 94.2% YoY respectively. The strength in profitability was supported by disciplined cost management (R&D $697 million; SG&A $2.727 billion) and favorable product mix, contributing to EBITDA of $2.443 billion. Free cash flow reached $554 million, underpinning a solid liquidity profile even as the balance sheet remains levered with net debt around $26.9 billion. Management commentary on growth drivers and the path to sustainable profitability is limited in the provided data; as a result, the outlook hinges on continued execution in Diabetes care, AI-enabled surgical solutions, and cardiovascular device pipelines, alongside macro factors such as currency dynamics and reimbursement environments.