Medtronic (MDT - Get Report) shares were climbing Tuesday after the medical device company reported better-than-expected third quarter earnings driven by high demand for cardiology and vascular devices. 

The company's shares were up 2.5% Tuesday morning, hitting $80.82 apiece. 

This was thanks to revenues up 5% for the quarter, clocking in at  $7.28 billion. This was compared to consensus estimates of $7.22 billion for the quarter. 

A boost in cardiovascular device earnings of about 5% drove the nice boost for the company for the quarter. 

"In our cardiac and vascular group which grew 6%, our new therapies are helping to create important rapidly growing med tech markets," CEO Omar Ishrak said during Medtronic's conference call, held Tuesday morning. 

Earnings from the cardiac and vascular group accounted for about 35% of the company's sales for the quarter.

Medtronic officials also addressed plans for the coming year. The company has a large pile of cash overseas, which prompted Ishrak to address President Trump's potential tax holiday. 

"The biggest benefit to us as we talked about at the conference would be the potential repatriation of our cash," he said during the call. "Today, we have about 55% accessibility to our ongoing cash that we generate and if we were able to have 100% accessibility that would be meaningful to us."

Ishrak added that this could mean $2.5 billion in cash accessible for 2016 alone.

The company also addressed potential M&A activity for the year. 

"We also expect to maintain our disciplined approach to pursue value-creating, tuck-in acquisitions," CFO Karen Parkhill said during the conference call.

The medical device sector has been rife with deal activity lately, particularly the aesthetics subsector, most notably Allergan's (AGN - Get Report) acquisition of Zeltiq (ZLTQ) for $2.5 billion and Hologic's (HOLX - Get Report) $1.65 billion play for Cynosure (CYNO) - both offers were made just last week. 

Parkhill noted that depending on cash on hand, the company will likely also use share repurchase as a tool for cash use. 

"Share repurchase is another tool we will continue to employ to provide meaningful return to shareholders when our cash flows and business reinvestment priorities allow," she said during the conference call. " I can't speculate on anything potential in the future because any potential cash inflow will depend on the circumstances and the timing unique to that situation, but just to reiterate our capital allocation philosophy in general, we do remain focused on both reinvestment and return to our shareholders."

Earnings per share also beat expectations, coming in at $1.12 per share. Estimates put earnings at $1.11 per share. 

Medtronic officials also revealed that in 2017, the company expects earnings per share to fall between $4.55 to $4.60 per share.