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For investors For media +1 858-836-5000 +1 619-510-1281 investorrelations@resmed.com news@resmed.com Resmed Inc. Announces Results for the Third Quarter of Fiscal Year 2025 Year-over-year revenue grows 8%, operating prof

Key Takeaway: Resmed Inc. announced its third quarter results for fiscal year 2025, showing an 8% increase in revenue compared to the previous year. The company's gross margin improved, and it achieved a 14% growth in income from operations. Moreover, Resmed plans to continue its outreach to increase patient access to its sleep health and digital health solutions. A quarterly cash dividend was also declared, further signaling the company's financial health.

Market Sentiment Analysis

POSITIVE FACTORS

  • Year-over-year revenue increased by 8%, indicating strong business growth.
  • The company reported a significant 14% rise in income from operations.
  • Resmed's digital health solutions are considered the gold standard in patient care.

Full Press Release Details

For investors For media
+1 858-836-5000 +1 619-510-1281
investorrelations@resmed.com news@resmed.com
Resmed Inc. Announces Results for the Third Quarter of Fiscal Year 2025
Note: A webcast of Resmed s conference call will be available at 4:30 p.m. ET today at http://investor.resmed.com
SAN DIEGO, April 23, 2025 Resmed Inc. (NYSE: RMD, ASX: RMD) today announced results for its quarter ended March 31, 2025.
Third Quarter 2025 Highlights
All comparisons are to
the prior year period
Our positive fiscal year 2025 performance continued in the third quarter, with strong top-line revenue growth, margin expansion, and double-digit EPS growth resulting from solid customer demand for our best-in-class
products and software solutions, said Resmed s Chairman and CEO, Mick Farrell.
We delivered 9% constant currency revenue growth and 140
bps improvement in non-GAAP gross margin. These results are evidence that sleep health customers recognize our products and software solutions as the gold standard for care. Our continued growth was achieved
by the incredible commitment of our team that has created a clear market-leading value proposition in connected digital health. We remain laser-focused on continuing to address the over 2.3 billion people around the globe with sleep health and
breathing health issues and all those who need world-class software for healthcare delivered at home. We will continue to drive increased patient flow as we accelerate education and awareness outreach to physicians, providers, patients, and beyond,
ensuring a strong pipeline of people who need access to our products and solutions to improve their lives.
Financial Results and Operating Metrics
Unaudited; $ in millions, except for per share amounts
Three Months Ended
March 31, 2025 March 31, 2024 % Change Constant Currency (A)
Revenue $ 1,291.7 $ 1,197.0 8 % 9 %
Gross margin 59.3 % 57.9 % 2
Non-GAAP gross margin (B) 59.9 % 58.5 % 2
Selling, general, and administrative expenses 245.3 229.9 7 8
Research and development expenses 83.9 77.1 9 11
Income from operations 426.3 374.6 14
Non-GAAP income from operations (B) 444.6 393.6 13
Net income 365.0 300.5 21
Non-GAAP net income (B) 348.5 314.4 11
Diluted earnings per share $ 2.48 $ 2.04 22
Non-GAAP diluted earnings per share (B) $ 2.37 $ 2.13 11
Nine Months Ended
March 31, 2025 March 31, 2024 % Change Constant Currency (A)
Revenue $ 3,798.3 $ 3,462.1 10 % 10 %
Gross margin 58.8 % 56.0 % 5
Non-GAAP gross margin (B) 59.4 % 57.2 % 4
Selling, general, and administrative expenses 725.9 674.9 8 8
Research and development expenses 244.8 226.7 8 9
Income from operations 1,230.8 938.7 31
Non-GAAP income from operations (B) 1,286.9 1,077.9 19
Net income 1,021.0 728.7 40
Non-GAAP net income (B) 1,032.2 833.0 24
Diluted earnings per share $ 6.93 $ 4.94 40
Non-GAAP diluted earnings per share (B) $ 7.00 $ 5.65 24
Discussion of Third Quarter Results
All comparisons are to the prior year period unless otherwise noted
Other Business and Operational Highlights
The Resmed board of directors today declared a quarterly cash dividend of $0.53 per share. The dividend will have a record date of May 8, 2025, payable on
June 12, 2025. The dividend will be paid in U.S. currency to holders of Resmed s common stock trading on the New York Stock Exchange. Holders of CHESS Depositary Interests ( CDIs ) trading on the Australian Securities Exchange
will receive an equivalent amount in Australian currency, based on the exchange rate on the record date, and reflecting the 10:1 ratio between CDIs and NYSE shares. The ex-dividend date will be
May 7, 2025, for common stockholders and for CDI holders. Resmed has received a waiver from the ASX s settlement operating rules, which will allow Resmed to defer processing conversions between its common stock and CDI registers from
May 7, 2025, through May 8, 2025, inclusive.
Resmed will discuss its third quarter fiscal year 2025 results on its webcast at 1:30 p.m. U.S. Pacific Time today. The live webcast of the call can be
accessed on Resmed s Investor Relations website at investor.resmed.com. Please go to this section of the website and click on the icon for the Q3 2025 Earnings Webcast to register and listen to the live webcast. A replay of
the earnings webcast will be accessible on the website and available approximately two hours after the live webcast. In addition, a telephone replay of the conference call will be available approximately three hours after the webcast by dialing +1 877-660-6853 (U.S.) or +1 201-612-7415 (outside U.S.) and entering the
passcode 13752711. The telephone replay will be available until May 7, 2025.
At Resmed (NYSE: RMD, ASX: RMD) we pioneer innovative solutions that treat and keep people out of the hospital, empowering them to live healthier,
higher-quality lives. Our digital health technologies and cloud-connected medical devices transform care for people with sleep apnea, COPD, and other chronic diseases. Our
comprehensive out-of-hospital software platforms support the professionals and caregivers who help people stay healthy in the home or care setting of their
choice. By enabling better care, we improve quality of life, reduce the impact of chronic disease, and lower costs for consumers and healthcare systems in more than 140 countries. To learn more, visit Resmed.com and follow
Safe harbor statement
contained in this release that are not historical facts are forward-looking statements as contemplated by the Private Securities Litigation Reform Act of 1995. These forward-looking statements including statements regarding
Resmed s projections of future revenue or earnings, expenses, new product development, new product launches, new markets for its products, the integration of acquisitions, our supply chain, domestic and international regulatory developments,
litigation, tax outlook, and the expected impact of macroeconomic conditions of our business are subject to risks and uncertainties, which could cause actual results to materially differ from those projected or implied in the forward-looking
statements. Additional risks and uncertainties are discussed in Resmed s periodic reports on file with the U.S. Securities & Exchange Commission. Resmed does not undertake to update its forward-looking statements.
RESMED INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Operations
(Unaudited; $ in thousands, except for per share amounts)
Three Months Ended Nine Months Ended
March 31, 2025 March 31, 2024 March 31, 2025 March 31, 2024
Net revenue $ 1,291,736 $ 1,196,980 $ 3,798,334 $ 3,462,102
Cost of sales 517,883 496,387 1,540,684 1,483,088
Amortization of acquired intangibles (1) 7,444 7,812 22,748 24,976
Masks with magnets field safety notification expenses (1) 6,351
Astral field safety notification expenses (1) 7,911
Total cost of sales $ 525,327 $ 504,199 $ 1,563,432 $ 1,522,326
Gross profit $ 766,409 $ 692,781 $ 2,234,902 $ 1,939,776
Selling, general, and administrative 245,302 229,919 725,894 674,948
Research and development 83,944 77,074 244,840 226,664
Amortization of acquired intangibles (1) 10,895 11,204 33,345 35,259
Restructuring expenses (1) 64,228
Total operating expenses $ 340,141 $ 318,197 $ 1,004,079 $ 1,001,099
Income from operations $ 426,268 $ 374,584 $ 1,230,823 $ 938,677
Other income (expenses), net:
Interest (expense) income, net $ 793 $ (11,026 ) $ (1,643 ) $ (39,787 )
Gain (loss) attributable to equity method investments 335 440 2,375 (2,716 )
Gain (loss) on equity investments (5,647 ) 13,919 (7,765 ) 11,429
Other, net (4,056 ) (2,496 ) (4,277 ) (537 )
Total other income (expenses), net (8,575 ) 837 (11,310 ) (31,611 )
Income before income taxes $ 417,693 $ 375,421 $ 1,219,513 $ 907,066
Income taxes 52,652 74,929 198,495 178,351
Net income $ 365,041 $ 300,492 $ 1,021,018 $ 728,715
Basic earnings per share $ 2.49 $ 2.04 $ 6.96 $ 4.96
Diluted earnings per share $ 2.48 $ 2.04 $ 6.93 $ 4.94
Non-GAAP diluted earnings per share (1) $ 2.37 $ 2.13 $ 7.00 $ 5.65
Basic shares outstanding 146,719 146,959 146,797 147,056
Diluted shares outstanding 147,220 147,450 147,432 147,549
RESMED INC. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(Unaudited; $ in thousands)
March 31, 2025 June 30, 2024
Assets
Current assets:
Cash and cash equivalents $ 932,711 $ 238,361
Accounts receivable, net 907,825 837,275
Inventories 862,641 822,250
Prepayments and other current assets 505,243 459,833
Total current assets $ 3,208,420 $ 2,357,719
Non-current assets:
Property, plant, and equipment, net $ 535,339 $ 548,025
Operating lease right-of-use assets 152,603 151,121
Goodwill and other intangibles, net 3,279,030 3,327,959
Deferred income taxes and other non-current assets 391,430 487,570
Total non-current assets $ 4,358,402 $ 4,514,675
Total assets $ 7,566,822 $ 6,872,394
Liabilities and Stockholders Equity
Current liabilities:
Accounts payable $ 222,561 $ 237,728
Accrued expenses 386,325 377,678
Operating lease liabilities, current 28,749 25,278
Deferred revenue 160,445 152,554
Income taxes payable 132,530 107,517
Short-term debt 9,906 9,900
Total current liabilities $ 940,516 $ 910,655
Non-current liabilities:
Deferred revenue $ 151,090 $ 137,343
Deferred income taxes 78,983 79,339
Operating lease liabilities, non-current 137,991 141,444
Other long-term liabilities 48,983 42,257
Long-term debt 663,126 697,313
Total non-current liabilities $ 1,080,173 $ 1,097,696
Total liabilities $ 2,020,689 $ 2,008,351
Stockholders equity
Common stock $ 761 $ 588
Additional paid-in capital 1,990,137 1,896,604
Retained earnings 5,779,375 4,991,647
Treasury stock (1,973,284 ) (1,773,267 )
Accumulated other comprehensive income (250,856 ) (251,529 )
Total stockholders equity $ 5,546,133 $ 4,864,043
Total liabilities and stockholders equity $ 7,566,822 $ 6,872,394
RESMED INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows
(Unaudited; $ in thousands)
Three Months Ended Nine Months Ended
March 31, 2025 March 31, 2024 March 31, 2025 March 31, 2024
Cash flows from operating activities:
Net income $ 365,041 $ 300,492 $ 1,021,018 $ 728,715
Adjustment to reconcile net income to cash provided by operating activities:
Depreciation and amortization 43,675 43,474 134,845 133,192
Amortization of right-of-use assets 8,235 11,168 26,678 28,262
Stock-based compensation costs 24,120 20,442 66,910 58,792
(Gain) loss attributable to equity method investments, net of dividends received (335 ) (440 ) (2,375 ) 2,716
(Gain) loss on equity investments 5,647 (13,919 ) 7,765 (11,429 )
Non-cash restructuring expenses 33,239
Changes in operating assets and liabilities:
Accounts receivable, net (40,033 ) (56,486 ) (71,469 ) (76,755 )
Inventories, net 29,864 86,199 (48,032 ) 163,294
Prepaid expenses, net deferred income taxes and other current assets 79,357 (24,386 ) 35,612 (98,976 )
Accounts payable, accrued expenses, income taxes payable and other 63,091 35,488 41,870 96
Net cash provided by (used in) operating activities $ 578,662 $ 402,032 $ 1,212,822 $ 961,146
Cash flows from investing activities:
Purchases of property, plant, and equipment (20,796 ) (21,191 ) (59,280 ) (74,579 )
Patent registration and acquisition costs (2,992 ) (1,918 ) (7,584 ) (13,954 )
Business acquisitions, net of cash acquired (3,080 ) (670 ) (113,767 )
Purchases of investments (2,053 ) (2,387 ) (4,403 ) (9,692 )
Proceeds from exits of investments 4,378 250
Proceeds (payments) on maturity of foreign currency contracts (5,945 ) (4,577 ) 1,227 (11,533 )
Net cash provided by (used in) investing activities $ (31,786 ) $ (33,153 ) $ (66,332 ) $ (223,275 )
Cash flows from financing activities:
Proceeds from issuance of common stock, net 9,022 4,892 44,283 25,399
Purchases of treasury stock (75,026 ) (50,000 ) (200,017 ) (100,007 )
Taxes paid related to net share settlement of equity awards (364 ) (314 ) (17,487 ) (8,336 )
Payments of business combination contingent consideration (855 ) (1,293 )
Proceeds from borrowings, net of borrowing costs 105,000
Repayment of borrowings (220,000 ) (35,000 ) (535,000 )
Dividends paid (77,704 ) (70,492 ) (233,290 ) (211,767 )
Net cash provided by (used in) financing activities $ (144,072 ) $ (335,914 ) $ (442,366 ) $ (726,004 )
Effect of exchange rate changes on cash $ 7,963 $ (5,302 ) $ (9,774 ) $ (1,848 )
Net increase (decrease) in cash and cash equivalents 410,767 27,663 694,350 10,019
Cash and cash equivalents at beginning of period 521,944 210,247 238,361 227,891
Cash and cash equivalents at end of period $ 932,711 $ 237,910 $ 932,711 $ 237,910
RESMED INC. AND SUBSIDIARIES
Reconciliation of Non-GAAP Financial Measures
(Unaudited; $ in thousands, except for per share amounts)
The measures non-GAAP gross profit
and non-GAAP gross margin exclude amortization expense from acquired intangibles and are reconciled below:
Three Months Ended Nine Months Ended
March 31, 2025 March 31, 2024 March 31, 2025 March 31, 2024
Revenue $ 1,291,736 $ 1,196,980 $ 3,798,334 $ 3,462,102
GAAP cost of sales $ 525,327 $ 504,199 $ 1,563,432 $ 1,522,326
Less: Amortization of acquired intangibles (A) (7,444 ) (7,812 ) (22,748 ) (24,976 )
Less : Masks with magnets field safety notification expenses (A) (6,351 )
Less : Astral field safety notification expenses (A) (7,911 )
Non-GAAP cost of sales $ 517,883 $ 496,387 $ 1,540,684 $ 1,483,088
GAAP gross profit $ 766,409 $ 692,781 $ 2,234,902 $ 1,939,776
GAAP gross margin 59.3 % 57.9 % 58.8 % 56.0 %
Non-GAAP gross profit $ 773,853 $ 700,593 $ 2,257,650 $ 1,979,014
Non-GAAP gross margin 59.9 % 58.5 % 59.4 % 57.2 %
The measure non-GAAP income from operations is reconciled with
GAAP income from operations below:
Three Months Ended Nine Months Ended
March 31, 2025 March 31, 2024 March 31, 2025 March 31, 2024
GAAP income from operations $ 426,268 $ 374,584 $ 1,230,823 $ 938,677
Amortization of acquired intangibles cost of sales (A) 7,444 7,812 22,748 24,976
Amortization of acquired intangibles operating expenses (A ) 10,895 11,204 33,345 35,259
Restructuring (A) 64,228
Masks with magnets field safety notification expenses (A) 6,351
Astral field safety notification expenses (A) 7,911
Acquisition-related expenses (A) 483
Non-GAAP income from operations $ 444,607 $ 393,600 $ 1,286,916 $ 1,077,885
RESMED INC. AND SUBSIDIARIES
Reconciliation of Non-GAAP Financial Measures
(Unaudited; $ in thousands, except for per share amounts)
The measures non-GAAP net income
and non-GAAP diluted earnings per share are reconciled with GAAP net income and GAAP diluted earnings per share in the table below:
Three Months Ended Nine Months Ended
March 31, 2025 March 31, 2024 March 31, 2025 March 31, 2024
GAAP net income $ 365,041 $ 300,492 $ 1,021,018 $ 728,715
Amortization of acquired intangibles cost of sales (A) 7,444 7,812 22,748 24,976
Amortization of acquired intangibles operating expenses (A) 10,895 11,204 33,345 35,259
Restructuring expenses (A) 64,228
Masks with magnets field safety notification expenses (A) 6,351
Astral field safety notification expenses (A) 7,911
Acquisition-related expenses (A) 483
Income tax effect of interest and penalties on income tax refunds (A) (29,976 ) (29,976 )
Income tax effect on non-GAAP adjustments (A) (4,871 ) (5,083 ) (14,904 ) (34,969 )
Non-GAAP net income (A) $ 348,533 $ 314,425 $ 1,032,231 $ 832,954
GAAP diluted shares outstanding 147,220 147,450 147,432 147,549
GAAP diluted earnings per share $ 2.48 $ 2.04 $ 6.93 $ 4.94
Non-GAAP diluted earnings per share (A) $ 2.37 $ 2.13 $ 7.00 $ 5.65
that non-GAAP diluted earnings per share is an additional measure of performance that investors can use to compare operating results between reporting periods. Resmed
uses non-GAAP information internally in planning, forecasting, and evaluating the results of operations in the current period and in comparing it to past periods. Resmed believes this information
provides investors better insight when evaluating Resmed s performance from core operations and provides consistent financial reporting. The use of non-GAAP measures is intended to supplement,
and not to replace, the presentation of net income and other GAAP measures. Like all non-GAAP measures, non-GAAP earnings are subject to inherent
limitations because they do not include all the expenses that must be included under GAAP.
RESMED INC. AND SUBSIDIARIES
Revenue by Product and Region
millions, except for per share amounts)
Three Months Ended
March 31, 2025 (A) March 31, 2024 (A) % Change Constant Currency (B)
U.S., Canada, and Latin America
Devices $ 422.7 $ 399.3 6 %
Masks and other 326.7 288.2 13
Total U.S., Canada and Latin America $ 749.3 $ 687.5 9
Combined Europe, Asia, and other markets
Devices $ 253.5 $ 238.9 6 % 9 %
Masks and other 127.7 122.6 4 7
Total Combined Europe, Asia and other markets $ 381.3 $ 361.6 5 8
Global revenue
Total Devices $ 676.2 $ 638.2 6 % 7 %
Total Masks and other 454.4 410.8 11 12
Total Sleep and Breathing Health $ 1,130.6 $ 1,049.0 8 9
Residential Care Software 161.2 148.0 9 10
Total $ 1,291.7 $ 1,197.0 8 9
Nine Months Ended
March 31, 2025 (A) March 31, 2024 (A) % Change Constant Currency (B)
U.S., Canada, and Latin America
Devices $ 1,221.6 $ 1,116.5 9 %
Masks and other 983.9 878.6 12
Total U.S., Canada and Latin America $ 2,205.6 $ 1,995.2 11
Combined Europe, Asia, and other markets
Devices $ 749.6 $ 692.4 8 % 9 %
Masks and other 368.7 342.3 8 9
Total Combined Europe, Asia and other markets $ 1,118.3 $ 1,034.8 8 9
Global revenue
Total Devices $ 1,971.3 $ 1,808.9 9 % 9 %
Total Masks and other 1,352.6 1,221.0 11 11
Total Sleep and Breathing Health $ 3,323.9 $ 3,029.9 10 10
Residential Care Software 474.4 432.2 10 10
Total $ 3,798.3 $ 3,462.1 10 10

Frequently Asked Questions

What were Resmed's Q3 2025 revenue results?

Resmed reported $1,291.7 million in revenue for Q3 2025, an 8% increase.

When is Resmed's next earnings webcast?

The next earnings webcast is at 1:30 p.m. PT on April 23, 2025.

What is Resmed's quarterly cash dividend for Q3 2025?

Resmed declared a quarterly cash dividend of $0.53 per share.

What did Resmed achieve in gross margin for Q3 2025?

Resmed saw a gross margin of 59.3%, up from 57.9% year-over-year.

How much did Resmed's diluted EPS grow in Q3 2025?

Resmed's diluted earnings per share grew 22% to $2.48 in Q3 2025.

Last updated: Apr 23, 2025