Medtronic’s Hugo robotics system wins FDA approval for 2025 US launch
Medtronic has secured a key regulatory win for its Hugo robotic surgery system. The US Food and Drug Administration (FDA) approved the device for urologic procedures, paving the way for its 2025 market entry. This move strengthens the company’s position in the fast-growing robotic surgery sector.
The approval comes as Medtronic prepares to split off its diabetes division by late 2026. The separation aims to sharpen focus on its core business-to-business operations while unlocking new growth potential.
The Hugo system represents Medtronic’s push into the underpenetrated robotic surgery market. Regulators greenlit its use in urologic surgeries, marking the first FDA clearance for the device in the US. This approval allows the company to compete directly with established players in surgical robotics.
Meanwhile, Medtronic continues its long-standing commitment to shareholder returns. The firm has raised its dividend for 48 straight years and currently offers a forward yield of 3%. Analysts expect it to achieve Dividend King status—reserved for companies with 50-plus years of consecutive increases—within the next two years.
The planned separation of its diabetes business into a standalone, publicly traded entity remains on schedule. Expected to finalise by the end of 2026, the spin-off will let Medtronic concentrate on higher-margin segments. Executives believe this restructuring will drive more profitable growth in its remaining operations.
With the Hugo system’s US approval, Medtronic gains a foothold in a high-growth area of healthcare technology. The diabetes business separation and ongoing dividend growth further highlight the company’s strategic focus on its small business ideas.
