ResMed posts Q3 2026 growth, boosts dividend
ResMed Inc. reported strong third-quarter fiscal 2026 results and declared a cash dividend.
Rhea-AI Filing Summary
ResMed Inc. reported strong third-quarter fiscal 2026 results and declared a cash dividend. Net revenue was $1.43 billion, up 11% from $1.29 billion a year earlier, with GAAP net income of $398.7 million and diluted EPS of $2.74.
Non-GAAP diluted EPS was $2.86, up from $2.37. Operating cash flow for the quarter was $554.1 million, and cash and cash equivalents were $1.66 billion as of March 31, 2026. The board declared a quarterly dividend of $0.60 per share, with a record date of May 14, 2026 and payment on June 18, 2026.
Positive
- Strong revenue and earnings growth: Q3 fiscal 2026 net revenue rose 11% to $1.43 billion, with GAAP diluted EPS up to $2.74 and non-GAAP diluted EPS increasing to $2.86 from $2.37 a year earlier.
- Improved profitability and cash generation: GAAP gross margin expanded to 62.2% from 59.3%, and quarterly operating cash flow was $554.1 million, supporting a higher cash balance of $1.66 billion.
- Ongoing capital returns: The company paid $87.2 million in dividends and repurchased $175.0 million of stock in the quarter, and declared a new $0.60 per share quarterly dividend.
Negative
- None.
Insights
ResMed delivers double-digit growth with rising margins and cash generation.
ResMed grew Q3 fiscal 2026 revenue 11% to $1.43 billion, with GAAP gross margin improving to 62.2% from 59.3%. Net income reached $398.7 million, and GAAP diluted EPS rose to $2.74, while non-GAAP diluted EPS increased to $2.86.
Growth was broad-based: Sleep and Breathing Health revenue rose 11% to $1.26 billion, and Residential Care Software grew 6% to $170.9 million. Regional revenue increased in both the U.S./Canada/Latin America and combined Europe/Asia markets, with constant-currency growth supporting underlying demand.
Operating cash flow of $554.1 million in the quarter and cash of $1.66 billion as of March 31, 2026 funded significant shareholder returns, including $87.2 million in dividends and $175.0 million of share repurchases this quarter. The new $0.60 quarterly dividend, payable on June 18, 2026, continues the company’s capital return pattern.
8-K Event Classification
Key Figures
Key Terms
Restructuring expenses financial
Deferred revenue financial
CHESS Depositary Interests financial
Constant Currency financial
Treasury stock financial
Earnings Snapshot
FAQ
How did ResMed (RMD) perform financially in Q3 fiscal 2026?
What were ResMed (RMD) non-GAAP earnings in Q3 fiscal 2026?
How much revenue did ResMed (RMD) generate by segment in Q3 2026?
What did ResMed (RMD) report for cash flow and cash balances?
What quarterly dividend did ResMed (RMD) declare and when is it payable?
How did ResMed (RMD) revenue grow across regions in Q3 fiscal 2026?
What capital return actions did ResMed (RMD) take in Q3 fiscal 2026?
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
CURRENT REPORT
Under Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02. Results of Operations and Financial Condition.
On April 30, 2026, we issued the press release furnished as Exhibit 99.1. The press release describes the results of our operations for the quarter ended March 31, 2026.
The information furnished in this Current Report on Form 8-K under Item 2.02 and the attached exhibit shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
Item 8.01. Other Events.
On April 30, 2026, we announced that our board of directors declared a quarterly cash dividend of US $0.60 per share. The dividend will have a record date of May 14, 2026, payable on June 18, 2026. 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 13, 2026, 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 13, 2026, through May 14, 2026, inclusive.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits
| Exhibits: |
Description of Document | |
| 99.1 | Press Release dated April 30, 2026, regarding results of operations | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL, document) | |
-2-
SIGNATURES
We have authorized the person whose signature appears below to sign this report on our behalf, in accordance with the Securities Exchange Act of 1934.
| Date: April 30, 2026 |
ResMed Inc. | |||||
| (registrant) | ||||||
| By: |
/s/ Brett Sandercock | |||||
| Name: |
Brett Sandercock | |||||
| Its: |
Chief Financial Officer | |||||
-3-
Exhibit 99.1
| For investors | For media | |
| +1 858-221-3304 | +1 619-510-1281 | |
| investorrelations@resmed.com | news@resmed.com | |
Resmed Inc. Announces Results for the Third Quarter of Fiscal Year 2026
| • | Revenue increased by 11% to $1.4 billion; up 8% on a constant currency basis |
| • | GAAP gross margin up 290 bps to 62.2%; non-GAAP gross margin up 290 bps to 62.8% |
| • | GAAP income from operations increased 17%; non-GAAP income from operations up 18% |
| • | GAAP diluted earnings per share of $2.74; non-GAAP diluted earnings per share of $2.86 |
| • | Operating cash flow of $554 million; $262 million returned to shareholders through share repurchases and dividends |
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 30, 2026 – Resmed Inc. (NYSE: RMD, ASX: RMD) today announced results for its quarter ended March 31, 2026.
“Our third quarter results reflect the continued strength of our global business, driven by ongoing demand for our market-leading products and disciplined execution of our strategy,” said Resmed’s Chairman and CEO, Mick Farrell.
“Year-over-year, we delivered 11% reported revenue growth, 290 basis points of non-GAAP gross margin expansion, and 21% increase in earnings per share. These results highlight the momentum behind our strategy, and the continued progress we are making in shaping the future of sleep health, breathing health, and healthcare in the home.
As we advance through the remainder of our fiscal year 2026, we remain focused on expanding access to care globally, scaling our digital health capabilities, and delivering further strong, profitable growth.”
| RMD Third Quarter 2026 Earnings Press Release – April 30, 2026 Page 2 of 10
| ||
Financial Results and Operating Metrics
Unaudited; $ in millions, except for per share amounts
| Three Months Ended | ||||||||||||||||
| March 31, 2026 |
March 31, 2025 |
% Change | Constant Currency (A) |
|||||||||||||
| Revenue |
$ | 1,431.4 | $ | 1,291.7 | 11 | % | 8 | % | ||||||||
| Gross margin |
62.2 | % | 59.3 | % | 5 | |||||||||||
| Non-GAAP gross margin (B) |
62.8 | % | 59.9 | % | 5 | |||||||||||
| Selling, general, and administrative expenses |
285.7 | 245.3 | 16 | 11 | ||||||||||||
| Non-GAAP selling, general, and administrative expenses(B) |
279.8 | 245.3 | 14 | 9 | ||||||||||||
| Research and development expenses |
94.3 | 83.9 | 12 | 8 | ||||||||||||
| Income from operations |
499.8 | 426.3 | 17 | |||||||||||||
| Non-GAAP income from operations (B) |
524.8 | 444.6 | 18 | |||||||||||||
| Net income |
398.7 | 365.0 | 9 | |||||||||||||
| Non-GAAP net income (B) |
417.2 | 348.5 | 20 | |||||||||||||
| Diluted earnings per share |
$ | 2.74 | $ | 2.48 | 10 | |||||||||||
| Non-GAAP diluted earnings per share (B) |
$ | 2.86 | $ | 2.37 | 21 | |||||||||||
| Nine Months Ended | ||||||||||||||||
| March 31, 2026 |
March 31, 2025 |
% Change | Constant Currency (A) |
|||||||||||||
| Revenue |
$ | 4,189.8 | $ | 3,798.3 | 10 | % | 8 | % | ||||||||
| Gross margin |
61.8 | % | 58.8 | % | 5 | |||||||||||
| Non-GAAP gross margin (B) |
62.4 | % | 59.4 | % | 5 | |||||||||||
| Selling, general, and administrative expenses |
823.2 | 725.9 | 13 | 10 | ||||||||||||
| Non-GAAP selling, general, and administrative expenses(B) |
817.4 | 725.9 | 13 | 9 | ||||||||||||
| Research and development expenses |
272.6 | 244.8 | 11 | 9 | ||||||||||||
| Income from operations |
1,438.0 | 1,230.8 | 17 | |||||||||||||
| Non-GAAP income from operations (B) |
1,524.1 | 1,286.9 | 18 | |||||||||||||
| Net income |
1,139.9 | 1,021.0 | 12 | |||||||||||||
| Non-GAAP net income (B) |
1,203.5 | 1,032.2 | 17 | |||||||||||||
| Diluted earnings per share |
$ | 7.79 | $ | 6.93 | 12 | |||||||||||
| Non-GAAP diluted earnings per share (B) |
$ | 8.22 | $ | 7.00 | 17 | |||||||||||
| (A) | In order to provide a framework for assessing how our underlying businesses performed, excluding the effect of foreign currency fluctuations, we provide certain financial information on a “constant currency” basis, which is in addition to the actual financial information presented. In order to calculate our constant currency information, we translate the current period financial information using the foreign currency exchange rates that were in effect during the previous comparable period. However, constant currency measures should not be considered in isolation or as an alternative to U.S. dollar measures that reflect current period exchange rates, or to other financial measures calculated and presented in accordance with U.S. GAAP. |
| (B) | See the reconciliation of non-GAAP financial measures in the table at the end of the press release. |
Discussion of Third Quarter Results
All comparisons are to the prior year period unless otherwise noted
| • | Revenue grew by 8 percent on a constant currency basis, driven by increased demand for our portfolio of sleep devices, masks and accessories. |
| • | Revenue in the U.S., Canada, and Latin America, excluding Residential Care Software, grew by 9 percent. |
| • | Revenue in Europe, Asia, and other markets, excluding Residential Care Software, grew by 7 percent on a constant currency basis. |
| • | Residential Care Software revenue increased by 4 percent on a constant currency basis. |
| RMD Third Quarter 2026 Earnings Press Release – April 30, 2026 Page 3 of 10
| ||
| • | Gross margin increased by 290 basis points primarily driven by component cost improvements and manufacturing and logistics efficiencies, as well as a small positive impact from product mix and foreign currency movements. Non-GAAP gross margin increased by 290 basis points due to the same factors. |
| • | Selling, general, and administrative expenses increased by 11 percent on a constant currency basis. The increase in SG&A expenses was mainly due to additional expenses associated with our VirtuOx acquisition, employee costs as well as marketing and technology investments. Additionally, we recorded acquisition and portfolio review related expenses of $5.9 million reflecting costs associated with the evaluation of strategic transactions, including legal and professional fees for diligence and related consultations. SG&A expenses, excluding acquisition and portfolio review related expenses, were 19.5 percent of revenue in the quarter, compared with 19.0 percent in the same period of the prior year. |
| • | Income from operations increased by 17 percent and non-GAAP income from operations increased by 18 percent. |
| • | Net income for the quarter was $399 million and diluted earnings per share was $2.74. Non-GAAP net income increased by 20 percent to $417 million, and non-GAAP diluted earnings per share increased by 21 percent to $2.86, predominantly attributable to strong sales growth and gross margin improvement. |
| • | Operating cash flow for the quarter was $554 million, compared to net income in the current quarter of $399 million and non-GAAP net income of $417 million. |
| • | During the quarter, we paid $87 million in dividends to shareholders and repurchased 673,000 shares for consideration of $175 million as part of our ongoing capital management. |
Other Business and Operational Highlights
| • | Unveiled findings from sixth annual Global Sleep Survey, drawing insights from 30,000 people across 13 countries; as sleep awareness grows, so does the opportunity to turn intent into action. |
| • | Announced expansion of U.S. operations with new distribution center in Greenwood, Indiana, scheduled to begin operations in 2027 and expand Resmed’s U.S. presence while strengthening the company’s distribution capacity to better serve patients and providers across North America. |
| • | Launched the AirTouch F30i Comfort full face mask in the U.S. following its introduction in Australia and Canada, and building on the launch of the AirTouch F30i Clear in the U.S. |
RMD Third Quarter 2026 Earnings Press Release – April 30, 2026
Page 4 of 10
Dividend program
The Resmed board of directors today declared a quarterly cash dividend of $0.60 per share. The dividend will have a record date of May 14, 2026, payable on June 18, 2026. 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 13, 2026, 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 13, 2026, through May 14, 2026, inclusive.
Webcast details
Resmed will discuss its third quarter fiscal year 2026 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 2026 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 13759381. The telephone replay will be available until May 14, 2026.
About Resmed
Resmed (NYSE: RMD, ASX: RMD) creates life-changing health technologies that people love. We’re relentlessly committed to pioneering innovative technology to empower millions of people in 140 countries to live happier, healthier lives. Our AI-powered digital health solutions, cloud-connected devices and intelligent software make home healthcare more personalized, accessible and effective. Ultimately, Resmed envisions a world where every person can achieve their full potential through better sleep and breathing, with care delivered in their own home. Learn more about how we’re redefining sleep health at Resmed.com and follow @Resmed.
Safe harbor statement
Statements 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.
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RMD Third Quarter 2026 Earnings Press Release – April 30, 2026
Page 5 of 10
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, 2026 |
March 31, 2025 |
March 31, 2026 |
March 31, 2025 |
|||||||||||||
| Net revenue |
$ | 1,431,406 | $ | 1,291,736 | $ | 4,189,796 | $ | 3,798,334 | ||||||||
| Cost of sales |
532,577 | 517,883 | 1,575,796 | 1,540,684 | ||||||||||||
| Amortization of acquired intangibles (1) |
7,850 | 7,444 | 23,480 | 22,748 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total cost of sales |
$ | 540,427 | $ | 525,327 | $ | 1,599,276 | $ | 1,563,432 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Gross profit |
$ | 890,979 | $ | 766,409 | $ | 2,590,520 | $ | 2,234,902 | ||||||||
| Selling, general, and administrative |
279,797 | 245,302 | 817,387 | 725,894 | ||||||||||||
| Acquisition and portfolio review related expenses (1) |
5,858 | — | 5,858 | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total selling, general, and administrative |
285,655 | 245,302 | 823,245 | 725,894 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Research and development |
94,267 | 83,944 | 272,560 | 244,840 | ||||||||||||
| Amortization of acquired intangibles (1) |
11,247 | 10,895 | 34,967 | 33,345 | ||||||||||||
| Restructuring expenses (1) |
— | — | 21,745 | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total operating expenses |
$ | 391,169 | $ | 340,141 | $ | 1,152,517 | $ | 1,004,079 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Income from operations |
$ | 499,810 | $ | 426,268 | $ | 1,438,003 | $ | 1,230,823 | ||||||||
| Other income (expenses), net: |
||||||||||||||||
| Interest (expense) income, net |
$ | 12,287 | $ | 793 | $ | 29,029 | $ | (1,643 | ) | |||||||
| Gain (loss) attributable to equity method investments |
1,718 | 335 | 4,722 | 2,375 | ||||||||||||
| Gain (loss) on equity investments |
(10,130 | ) | (5,647 | ) | (16,014 | ) | (7,765 | ) | ||||||||
| Other, net |
(1,373 | ) | (4,056 | ) | (10,488 | ) | (4,277 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total other income (expenses), net |
2,502 | (8,575 | ) | 7,249 | (11,310 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Income before income taxes |
$ | 502,312 | $ | 417,693 | $ | 1,445,252 | $ | 1,219,513 | ||||||||
| Income taxes |
103,580 | 52,652 | 305,391 | 198,495 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net income |
$ | 398,732 | $ | 365,041 | $ | 1,139,861 | $ | 1,021,018 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Basic earnings per share |
$ | 2.74 | $ | 2.49 | $ | 7.82 | $ | 6.96 | ||||||||
| Diluted earnings per share |
$ | 2.74 | $ | 2.48 | $ | 7.79 | $ | 6.93 | ||||||||
| Non-GAAP diluted earnings per share (1) |
$ | 2.86 | $ | 2.37 | $ | 8.22 | $ | 7.00 | ||||||||
| Basic shares outstanding |
145,340 | 146,719 | 145,794 | 146,797 | ||||||||||||
| Diluted shares outstanding |
145,723 | 147,220 | 146,369 | 147,432 | ||||||||||||
| (1) | See the reconciliation of non-GAAP financial measures in the table at the end of the press release. |
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RMD Third Quarter 2026 Earnings Press Release – April 30, 2026
Page 6 of 10
RESMED INC. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(Unaudited; $ in thousands)
| March 31, 2026 |
June 30, 2025 |
|||||||
| Assets |
||||||||
| Current assets: |
||||||||
| Cash and cash equivalents |
$ | 1,660,513 | $ | 1,209,450 | ||||
| Accounts receivable, net |
998,837 | 939,492 | ||||||
| Inventories |
911,876 | 927,711 | ||||||
| Prepayments and other current assets |
492,836 | 428,952 | ||||||
|
|
|
|
|
|||||
| Total current assets |
$ | 4,064,062 | $ | 3,505,605 | ||||
| Non-current assets: |
||||||||
| Property, plant, and equipment, net |
$ | 566,972 | $ | 550,790 | ||||
| Operating lease right-of-use assets |
161,602 | 167,497 | ||||||
| Goodwill and other intangibles, net |
3,468,321 | 3,511,541 | ||||||
| Deferred income taxes and other non-current assets |
523,328 | 438,958 | ||||||
|
|
|
|
|
|||||
| Total non-current assets |
$ | 4,720,223 | $ | 4,668,786 | ||||
|
|
|
|
|
|||||
| Total assets |
$ | 8,784,285 | $ | 8,174,391 | ||||
|
|
|
|
|
|||||
| Liabilities and Stockholders’ Equity |
||||||||
| Current liabilities: |
||||||||
| Accounts payable |
$ | 273,301 | $ | 278,157 | ||||
| Accrued expenses |
446,149 | 402,253 | ||||||
| Operating lease liabilities, current |
29,233 | 30,506 | ||||||
| Deferred revenue |
179,277 | 166,030 | ||||||
| Income taxes payable |
163,322 | 132,274 | ||||||
| Short-term debt |
259,928 | 9,900 | ||||||
|
|
|
|
|
|||||
| Total current liabilities |
$ | 1,351,210 | $ | 1,019,120 | ||||
| Non-current liabilities: |
||||||||
| Deferred revenue |
$ | 163,148 | $ | 156,803 | ||||
| Deferred income taxes |
77,929 | 77,682 | ||||||
| Operating lease liabilities, non-current |
149,840 | 153,015 | ||||||
| Other long-term liabilities |
146,079 | 141,520 | ||||||
| Long-term debt |
404,168 | 658,392 | ||||||
|
|
|
|
|
|||||
| Total non-current liabilities |
$ | 941,164 | $ | 1,187,412 | ||||
|
|
|
|
|
|||||
| Total liabilities |
$ | 2,292,374 | $ | 2,206,532 | ||||
|
|
|
|
|
|||||
| Stockholders’ equity |
||||||||
| Common stock |
$ | 763 | $ | 761 | ||||
| Additional paid-in capital |
2,134,231 | 2,033,599 | ||||||
| Retained earnings |
6,958,779 | 6,081,490 | ||||||
| Treasury stock |
(2,576,957 | ) | (2,073,292 | ) | ||||
| Accumulated other comprehensive income |
(24,905 | ) | (74,699 | ) | ||||
|
|
|
|
|
|||||
| Total stockholders’ equity |
$ | 6,491,911 | $ | 5,967,859 | ||||
|
|
|
|
|
|||||
| Total liabilities and stockholders’ equity |
$ | 8,784,285 | $ | 8,174,391 | ||||
|
|
|
|
|
|||||
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RMD Third Quarter 2026 Earnings Press Release – April 30, 2026
Page 7 of 10
RESMED INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows
(Unaudited; $ in thousands)
| Three Months Ended | Nine Months Ended | |||||||||||||||
| March 31, 2026 |
March 31, 2025 |
March 31, 2026 |
March 31, 2025 |
|||||||||||||
| Cash flows from operating activities: |
||||||||||||||||
| Net income |
$ | 398,732 | $ | 365,041 | $ | 1,139,861 | $ | 1,021,018 | ||||||||
| Adjustment to reconcile net income to cash provided by operating activities: |
||||||||||||||||
| Depreciation and amortization |
58,981 | 43,675 | 156,564 | 134,845 | ||||||||||||
| Amortization of right-of-use assets |
10,051 | 8,235 | 32,467 | 26,678 | ||||||||||||
| Stock-based compensation costs |
26,792 | 24,120 | 76,890 | 66,910 | ||||||||||||
| (Gain) loss attributable to equity method investments, net of dividends received |
(1,718 | ) | (335 | ) | (4,722 | ) | (2,375 | ) | ||||||||
| (Gain) loss on equity investments |
10,130 | 5,647 | 16,014 | 7,765 | ||||||||||||
| Changes in operating assets and liabilities: |
||||||||||||||||
| Accounts receivable, net |
(16,857 | ) | (40,033 | ) | (59,569 | ) | (71,469 | ) | ||||||||
| Inventories, net |
12,480 | 29,864 | 23,946 | (48,032 | ) | |||||||||||
| Prepaid expenses, net deferred income taxes and other current assets |
(48,335 | ) | 79,357 | (152,410 | ) | 35,612 | ||||||||||
| Accounts payable, accrued expenses, income taxes payable and other |
103,876 | 63,091 | 122,157 | 41,870 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net cash provided by (used in) operating activities |
$ | 554,132 | $ | 578,662 | $ | 1,351,198 | $ | 1,212,822 | ||||||||
| Cash flows from investing activities: |
||||||||||||||||
| Purchases of property, plant, and equipment |
(33,654 | ) | (20,796 | ) | (105,158 | ) | (59,280 | ) | ||||||||
| Patent registration and acquisition costs |
(5,935 | ) | (2,992 | ) | (13,286 | ) | (7,584 | ) | ||||||||
| Purchases of intangible assets |
— | — | (1,479 | ) | — | |||||||||||
| Business acquisitions, net of cash acquired |
(24,883 | ) | — | (25,405 | ) | (670 | ) | |||||||||
| Purchases of investments |
(20,132 | ) | (2,053 | ) | (26,536 | ) | (4,403 | ) | ||||||||
| Proceeds from exits of investments |
2,502 | — | 2,752 | 4,378 | ||||||||||||
| Proceeds (payments) on maturity of foreign currency contracts |
24,074 | (5,945 | ) | 7,564 | 1,227 | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net cash provided by (used in) investing activities |
$ | (58,028 | ) | $ | (31,786 | ) | $ | (161,548 | ) | $ | (66,332 | ) | ||||
| Cash flows from financing activities: |
||||||||||||||||
| Proceeds from issuance of common stock, net |
7,427 | 9,022 | 45,189 | 44,283 | ||||||||||||
| Purchases of treasury stock |
(175,013 | ) | (75,026 | ) | (500,037 | ) | (200,017 | ) | ||||||||
| Taxes paid related to net share settlement of equity awards |
(418 | ) | (364 | ) | (21,445 | ) | (17,487 | ) | ||||||||
| Payments of business combination contingent consideration |
— | — | — | (855 | ) | |||||||||||
| Repayment of borrowings |
— | — | (5,000 | ) | (35,000 | ) | ||||||||||
| Dividends paid |
(87,238 | ) | (77,704 | ) | (262,572 | ) | (233,290 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net cash provided by (used in) financing activities |
$ | (255,242 | ) | $ | (144,072 | ) | $ | (743,865 | ) | $ | (442,366 | ) | ||||
|
|
|
|
|
|
|
|
|
|||||||||
| Effect of exchange rate changes on cash |
$ | 2,582 | $ | 7,963 | $ | 5,278 | $ | (9,774 | ) | |||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net increase (decrease) in cash and cash equivalents |
243,444 | 410,767 | 451,063 | 694,350 | ||||||||||||
| Cash and cash equivalents at beginning of period |
1,417,069 | 521,944 | 1,209,450 | 238,361 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Cash and cash equivalents at end of period |
$ | 1,660,513 | $ | 932,711 | $ | 1,660,513 | $ | 932,711 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
– More –
RMD Third Quarter 2026 Earnings Press Release – April 30, 2026
Page 8 of 10
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, 2026 |
March 31, 2025 |
March 31, 2026 |
March 31, 2025 |
|||||||||||||
| Revenue |
$ | 1,431,406 | $ | 1,291,736 | $ | 4,189,796 | $ | 3,798,334 | ||||||||
| GAAP cost of sales |
$ | 540,427 | $ | 525,327 | $ | 1,599,276 | $ | 1,563,432 | ||||||||
| Less: Amortization of acquired intangibles (A) |
(7,850 | ) | (7,444 | ) | (23,480 | ) | (22,748 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Non-GAAP cost of sales |
$ | 532,577 | $ | 517,883 | $ | 1,575,796 | $ | 1,540,684 | ||||||||
| GAAP gross profit |
$ | 890,979 | $ | 766,409 | $ | 2,590,520 | $ | 2,234,902 | ||||||||
| GAAP gross margin |
62.2 | % | 59.3 | % | 61.8 | % | 58.8 | % | ||||||||
| Non-GAAP gross profit |
$ | 898,829 | $ | 773,853 | $ | 2,614,000 | $ | 2,257,650 | ||||||||
| Non-GAAP gross margin |
62.8 | % | 59.9 | % | 62.4 | % | 59.4 | % | ||||||||
The measures “non-GAAP selling, general, and administrative expenses” and “non-GAAP selling, general, and administrative expenses as a percentage of revenues” exclude acquisition and portfolio review related expenses and are reconciled below:
| Three Months Ended | Nine Months Ended | |||||||||||||||
| March 31, 2026 |
March 31, 2025 |
March 31, 2026 |
March 31, 2025 |
|||||||||||||
| Revenue |
$ | 1,431,406 | $ | 1,291,736 | $ | 4,189,796 | $ | 3,798,334 | ||||||||
| GAAP selling, general, and administrative |
285,655 | 245,302 | 823,245 | 725,894 | ||||||||||||
| Less: Acquisition and portfolio review related expenses (A) |
(5,858 | ) | — | (5,858 | ) | — | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Non-GAAP selling, general, and administrative |
279,797 | 245,302 | 817,387 | 725,894 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| As a percentage of revenue: |
||||||||||||||||
| GAAP selling, general, and administrative expenses |
20.0 | % | 19.0 | % | 19.6 | % | 19.1 | % | ||||||||
| Non-GAAP selling, general, and administrative expenses |
19.5 | % | 19.0 | % | 19.5 | % | 19.1 | % | ||||||||
The measure “non-GAAP income from operations” is reconciled with GAAP income from operations below:
| Three Months Ended | Nine Months Ended | |||||||||||||||
| March 31, 2026 |
March 31, 2025 |
March 31, 2026 |
March 31, 2025 |
|||||||||||||
| GAAP income from operations |
$ | 499,810 | $ | 426,268 | $ | 1,438,003 | $ | 1,230,823 | ||||||||
| Amortization of acquired intangibles—cost of sales (A) |
7,850 | 7,444 | 23,480 | 22,748 | ||||||||||||
| Amortization of acquired intangibles—operating expenses (A) |
11,247 | 10,895 | 34,967 | 33,345 | ||||||||||||
| Restructuring (A) |
— | — | 21,745 | — | ||||||||||||
| Acquisition and portfolio review related expenses (A) |
5,858 | — | 5,858 | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Non-GAAP income from operations |
$ | 524,765 | $ | 444,607 | $ | 1,524,053 | $ | 1,286,916 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
– More –
RMD Third Quarter 2026 Earnings Press Release – April 30, 2026
Page 9 of 10
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, 2026 |
March 31, 2025 |
March 31, 2026 |
March 31, 2025 |
|||||||||||||
| GAAP net income |
$ | 398,732 | $ | 365,041 | $ | 1,139,861 | $ | 1,021,018 | ||||||||
| Amortization of acquired intangibles—cost of sales (A) |
7,850 | 7,444 | 23,480 | 22,748 | ||||||||||||
| Amortization of acquired intangibles—operating expenses (A) |
11,247 | 10,895 | 34,967 | 33,345 | ||||||||||||
| Restructuring expenses (A) |
— | — | 21,745 | — | ||||||||||||
| Acquisition and portfolio review related expenses (A) |
5,858 | — | 5,858 | — | ||||||||||||
| Income tax effect of interest and penalties on income tax refunds (A) |
— | (29,976 | ) | — | (29,976 | ) | ||||||||||
| Income tax effect on non-GAAP adjustments (A) |
(6,519 | ) | (4,871 | ) | (22,394 | ) | (14,904 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Non-GAAP net income (A) |
$ | 417,168 | $ | 348,533 | $ | 1,203,517 | $ | 1,032,231 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| GAAP diluted shares outstanding |
145,723 | 147,220 | 146,369 | 147,432 | ||||||||||||
| GAAP diluted earnings per share |
$ | 2.74 | $ | 2.48 | $ | 7.79 | $ | 6.93 | ||||||||
| Non-GAAP diluted earnings per share (A) |
$ | 2.86 | $ | 2.37 | $ | 8.22 | $ | 7.00 | ||||||||
| (A) | Resmed adjusts for the impact of the amortization of acquired intangibles, restructuring expenses, and acquisition and portfolio review related expenses from their evaluation of ongoing operations, and believes that investors benefit from adjusting these items to facilitate a more meaningful evaluation of current operating performance. |
Resmed believes 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.
– More –
RMD Third Quarter 2026 Earnings Press Release – April 30, 2026
Page 10 of 10
RESMED INC. AND SUBSIDIARIES
Revenue by Product and Region
(Unaudited; $ in millions, except for per share amounts)
| Three Months Ended | ||||||||||||||||||||||||
| March 31, 2026 |
(A) | March 31, 2025 |
(A) | % Change | Constant Currency (B) |
|||||||||||||||||||
| U.S., Canada, and Latin America |
||||||||||||||||||||||||
| Devices |
$ | 447.5 | $ | 422.7 | 6 | % | ||||||||||||||||||
| Masks and other |
371.2 | 326.7 | 14 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total U.S., Canada and Latin America |
$ | 818.7 | $ | 749.3 | 9 | |||||||||||||||||||
| Combined Europe, Asia, and other markets |
||||||||||||||||||||||||
| Devices |
$ | 288.2 | $ | 253.5 | 14 | % | 6 | % | ||||||||||||||||
| Masks and other |
153.6 | 127.7 | 20 | 10 | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total Combined Europe, Asia and other markets |
$ | 441.8 | $ | 381.3 | 16 | 7 | ||||||||||||||||||
| Global revenue |
||||||||||||||||||||||||
| Total Devices |
$ | 735.7 | $ | 676.2 | 9 | % | 6 | % | ||||||||||||||||
| Total Masks and other |
524.8 | 454.4 | 15 | 12 | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total Sleep and Breathing Health |
$ | 1,260.5 | $ | 1,130.6 | 11 | 8 | ||||||||||||||||||
| Residential Care Software |
170.9 | 161.2 | 6 | 4 | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total |
$ | 1,431.4 | $ | 1,291.7 | 11 | 8 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Nine Months Ended | ||||||||||||||||||||||||
| March 31, 2026 |
(A) | March 31, 2025 |
(A) | % Change |
Constant Currency (B) |
|||||||||||||||||||
| U.S., Canada, and Latin America |
||||||||||||||||||||||||
| Devices |
$ | 1,309.0 | $ | 1,221.6 | 7 | % | ||||||||||||||||||
| Masks and other |
1,119.5 | 983.9 | 14 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total U.S., Canada and Latin America |
$ | 2,428.5 | $ | 2,205.6 | 10 | |||||||||||||||||||
| Combined Europe, Asia, and other markets |
||||||||||||||||||||||||
| Devices |
$ | 833.3 | $ | 749.6 | 11 | % | 6 | % | ||||||||||||||||
| Masks and other |
424.2 | 368.7 | 15 | 7 | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total Combined Europe, Asia and other markets |
$ | 1,257.4 | $ | 1,118.3 | 12 | 6 | ||||||||||||||||||
| Global revenue |
||||||||||||||||||||||||
| Total Devices |
$ | 2,142.3 | $ | 1,971.3 | 9 | % | 7 | % | ||||||||||||||||
| Total Masks and other |
1,543.6 | 1,352.6 | 14 | 12 | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total Sleep and Breathing Health |
$ | 3,685.9 | $ | 3,323.9 | 11 | 9 | ||||||||||||||||||
| Residential Care Software |
503.9 | 474.4 | 6 | 4 | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total |
$ | 4,189.8 | $ | 3,798.3 | 10 | 8 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| (A) | Totals and subtotals may not add due to rounding. |
| (B) | In order to provide a framework for assessing how our underlying businesses performed excluding the effect of foreign currency fluctuations, we provide certain financial information on a “constant currency basis,” which is in addition to the actual financial information presented. In order to calculate our constant currency information, we translate the current period financial information using the foreign currency exchange rates that were in effect during the previous comparable period. However, constant currency measures should not be considered in isolation or as an alternative to U.S. dollar measures that reflect current period exchange rates, or to other financial measures calculated and presented in accordance with U.S. GAAP. |
– End –