SAN DIEGO—ResMed Inc. has seen an increased demand for sleep devices and masks, which has helped drive an 11% increase in year-over-year revenue, the company reported in its quarterly results. The company, which specializes in sleep apnea, chronic obstructive pulmonary diseases and other respiratory conditions products, announced the results for its quarter that ended Sept. 30, which is the first quarter of its 2025 fiscal year. The highlights included:
- Revenue increased by 11% to $1.2 billion
- Gross margin improved 420 basis points (BPS) to 58.6%, and non-generally acceptable accounting principles (GAAP) gross margin improved 320 BPS to 59.2%
- Income from operations increased 34%, and non-GAAP income from operations increased 27%
- Operating cash flow of $326 million
- A diluted earnings per share of $2.11, and a non-GAAP diluted earnings per share of $2.20
“Our first-quarter fiscal year 2025 results reflect ongoing momentum and strong execution across all areas of our business,” said Mick Farrell, chairman and CEO of ResMed. “We delivered 11% year-over-year revenue growth, and our focus on operational excellence resulted in another quarter of year-over-year margin expansion and a 34% increase in operating profit. As we celebrate 35 years of growth and innovation, our recently launched 2030 strategy will further enable us to transform sleep health, breathing health and health care technology at home. By building on our leadership in connected digital health, we are driving better care, simplifying the health journey and improving access to our therapies globally so even more people worldwide are empowered to live healthier, higher-quality lives using products and services they love.”
ResMed operates two reporting units, named “Sleep and Respiratory Care” and “SaaS.” In an effort to build upon the company’s recently announced 2030 strategy, these reporting units have been renamed to “Sleep and Breathing Health” and “Residential Care Software,” respectively. The methodology for attributing financial results to these reporting units will remain unchanged.
In its report, ResMed also highlighted new digital and personalized sleep apnea products that have been introduced in the past year. Additionally, the company said its first fabric mask, the “AirTouch N30i,” will be available in the U.S. beginning next week.
Details on the full quarterly report can be found here.
