Shares Medtronic Plc (NYSE:), fell 6% during early trading on Thursday, after it missed the top-line and bottom line in its fourth quarter. It also provided weaker guidance due to macro factors that hit the medtech company.

Non-GAAP fourth-quarter diluted earnings rose by 2% to $1.52, but was below Wall Street’s estimates of $1.57.

The revenue fell by 1% to $8.089billion, compared with the $8.44 billion consensus estimate. U.S. revenue decreased 2% during the quarter, to $4.097billion.

Geoff Martha, CEO of Geoff Martha stated that the “global supply chain” and COVID-19 control in China had a significant impact on our fourth quarter results. Geoff Martha said that the company has identified the root cause and is working to address them. He expects the problem will be resolved in the short-term.

The company expects 2023 non GAAP EPS to be in the $5.53-$5.65 range, which is lower than the consensus estimate of $5.66. In its fiscal year 2023, the company anticipates organic revenue growth of between 4% and 5%.

Karen Parkhill (Medtronic’s chief finance officer) stated that “we expect recent and future product launches to make an impact across our businesses in the coming fiscal year.” Near-term pressure will be caused by inflation, supply chain and foreign currency. Yet, we remain focused on driving our R&D investments to accelerate our growth and create large, long-term returns for our shareholders.”

Also, the company announced that it has approved an 8 percent increase in quarterly cash dividends for fiscal year 2023’s first quarter. This quarter’s dividend will be $0.68, or $2.52 annually.

Medtronic purchased back stock worth $5.5 billion during fiscal 2022. It remains determined to return at least 50% of the free cash flow it generates to shareholders through share repurchases and dividends.

Martha stated that “our substantial dividend hike reflects our Board of Directors’ and executive management confidence in Medtronic’s financial strength, future earnings power and future profitability.” For the past 45 year, we have increased our dividend. Increasing our dividend is an important part of the return that we provide for our shareholders.

The company believes that the macro problems will resolve in the near term, but Amit Hazan, a Goldman Sachs analyst isn’t so sure.[We]He said that thinking isn’t a wise assumption given the environment.”