Segment and Geographic Information

3 Months Ended

Jul. 31, 2020

Segment Reporting [Abstract]

Segment and Geographic Information

Segment and Geographic Information

Segment disclosures are on a performance basis consistent with internal management reporting. Net sales of the Company's reportable segments include end-customer revenues from the sale of products the segment develops, manufactures, and distributes. There are certain corporate and centralized expenses that are not allocated to the segments.

The Company’s management evaluates performance of the segments and allocates resources based on net sales and segment operating profit. Segment operating profit represents income before income taxes, excluding interest expense, amortization of intangible assets, centralized distribution costs, non-operating income or expense items, certain corporate charges, and other items not allocated to the segments.

The accounting policies of the reportable segments are the same as those described in the summary of significant accounting policies in Note 1 to the consolidated financial statements included in the Company's Annual Report on Form 10-K for the fiscal year ended April 24, 2020. Certain depreciable assets may be recorded by one segment, while the depreciation expense is allocated to another segment. The allocation of depreciation expense is based on the proportion of the assets used by each segment.

The following tables present reconciliations of financial information from the segments to the applicable line items in the Company's consolidated financial statements:

Segment Operating Profit

	Three months ended
(in millions)	July 31, 2020		July 26, 2019
Cardiac and Vascular Group	$	759	$	1,055
Minimally Invasive Therapies Group	455		771
Restorative Therapies Group	523		793
Diabetes Group	103		149
Segment operating profit	1,840		2,768
Interest expense	(171)		(609)
Other non-operating income, net	82		101
Amortization of intangible assets	(440)		(440)
Corporate	(365)		(307)
Centralized distribution costs	(399)		(345)
Restructuring and associated costs	(128)		(124)
Acquisition-related items	105		(19)
Certain litigation charges, net	88		(47)
IPR&D charges	(10)		—
Debt tender premium and other charges	—		7
Medical device regulations	(18)		(8)
Income before income taxes	$	584	$	977

Geographic Information

Net sales are attributed to the country based on the location of the customer taking possession of the products or in which the services are rendered. The following table presents net sales for the three months ended July 31, 2020 and July 26, 2019 for the Company's country of domicile, countries with significant concentrations, and all other countries: 

	Three months ended
(in millions)	July 31, 2020		July 26, 2019
Ireland	$	24	$	20
United States	3,351		3,918
Rest of world	3,132		3,555
Total other countries, excluding Ireland	6,483		7,473
Total	$	6,507	$	7,493