Covidien (NYSE: COV) reported earnings on Jan. 26. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 30 (Q1), Covidien met expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue grew, and GAAP earnings per share grew.

Margins expanded across the board.

Revenue details
Covidien reported revenue of $2.90 billion. The 16 analysts polled by S&P Capital IQ predicted a top line of $2.92 billion. Sales were 4.7% higher than the prior-year quarter's $2.77 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.

EPS details
Non-GAAP EPS came in at $1.13. The 20 earnings estimates compiled by S&P Capital IQ forecast $1.03 per share on the same basis. GAAP EPS of $0.92 for Q1 were 19% higher than the prior-year quarter's $0.86 per share.

Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 58.7%, 110 basis points better than the prior-year quarter. Operating margin was 22.4%, 20 basis points better than the prior-year quarter. Net margin was 17.0%, 160 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $2.90 billion. On the bottom line, the average EPS estimate is $1.03.

Next year's average estimate for revenue is $11.84 billion. The average EPS estimate is $4.29.

Investor sentiment
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Covidien is buy, with an average price target of $58.63.

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