Search by ticker code:
Generic filters

Search by ticker code:
Generic filters

Search by ticker code:
Generic filters

ResMed Inc’s Quarterly Report Continues To Buoy Shares

The ResMed (ASX:RMD) share price was trading 2.63% higher today as news of its quarterly financial report continue to buoy the sleep device maker.

For context, the broader Australian share market or S&P/ASX 200 (INDEXASX: XJO) was trading at 6933.9, up 0.15%.

About ResMed

ResMed Inc is a United States based business that develops and manufactures medical devices to help people with sleep apnea, chronic obstructive pulmonary disease (COPD) and other chronic diseases.

ResMed, which is short for Respiratory Medicine, was founded in 1989 by Dr Peter Farrell and now helps customers & patients in over 120 countries.

ResMed’s financial report

In the Rask video above, Owen explains the difference between ‘underlying’ or ‘normalised’ results and ‘statutory’ results. Knowing the difference between these two numbers is essential to understanding a financial report.

Key Results for the Quarter

This period Last period Change
Revenue 736 651 13.06%
Profit 161 125 28.8%
Cash flow 232 178 30.34%
Dividends
(cents per share)
39

All figures shown in USD millions, unless otherwise stated. Source: ResMed announcements; author calculations.

As can be seen above, the company’s revenue came in at $736 million, up $85 million. ResMed’s profit was $161 million, up $36 million. In a press release, the company’s CEO, Mick Farrell, put the improved top and bottom line performance down to new product releases.

“We are seeing continued strong customer demand for our new products, particularly in masks and accessories with another quarter of high-teens growth in that category,” Mr Farrell said.

“ResMed is continuing to lead in digital health as we transform lives in out-of-hospital healthcare, leading the innovation of medical devices and software that improve health outcomes, create efficiencies, and reduce overall healthcare system costs.”

Turning to the cash flow statement, which is an important financial statement because it represents the underlying health of a business, operating cash flow was $232 million, up $54 million. 

What Happens Next?

Mr Farrell concluded his statement by commenting on the company’s long-term aspirations for more treatment and growth.

“With over 100 million lives improved in 2019, and strong growth ahead, we’re well on our way to improving 250 million lives in out-of-hospital healthcare in 2025.”

ResMed shares were last seen trading at $24.54, giving the company a market capitalisation more than $10 billion.

[ls_content_block id=”14947″ para=”paragraphs”]

$50,000 per year in passive income from shares? Yes, please!

With interest rates UP, now could be one of the best times to start earning passive income from a portfolio. Imagine earning 4%, 5% — or more — in dividend passive income from the best shares, LICs, or ETFs… it’s like magic.

So how do the best investors do it?

Chief Investment Officer Owen Rask has just released his brand new passive income report. Owen has outlined 10 of his favourite ETFs and shares to watch, his rules for passive income investing, why he would buy ETFs before LICs and more.

You can INSTANTLY access Owen’s report for FREE by CLICKING HERE NOW and creating a 100% FREE Rask Account.

(Psst. By creating a free Rask account, you’ll also get access to 15+ online courses, 1,000+ podcasts, invites to events, a weekly value investing newsletter and more!)

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.

Information warning: The information on this website is published by The Rask Group Pty Ltd (ABN: 36 622 810 995) is limited to factual information or (at most) general financial advice only. That means, the information and advice does not take into account your objectives, financial situation or needs. It is not specific to you, your needs, goals or objectives. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If you don’t know what your needs are, you should consult a trusted and licensed financial adviser who can provide you with personal financial product advice. In addition, you should obtain and read the product disclosure statement (PDS) before making a decision to acquire a financial product. Please read our Terms and Conditions and Financial Services Guide before using this website. The Rask Group Pty Ltd is a Corporate Authorised Representative (#1280930) of AFSL #383169.

Skip to content