ResMed Inc. (CHESS) investors wake up to its potential on quarterly results: Should you buy?

New product launches mean ResMed Inc. (CHESS) (ASX:RMD) may once again be on the road to generous top-line growth.

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Medical and sleep treatment business ResMed Inc. (CHESS) (ASX: RMD) has announced a promising set of first quarter 2015 financial results with a net income of US$83.3 million on US$380.4 million of revenue. Another strong performance from the new growth regions of Europe and the Asia Pacific points to a bright outlook.

Revenue was up 6% compared to the prior corresponding period, while net income was up only 3% as gross margin was 1.3% lower and general, marketing and research expenses increased to support commercial activities and new product launches.

Importantly a return to generous top-line revenue growth seems back on the agenda for ResMed as its new sleep apnea Air Sense 10 product hit the market, alongside a more specialised respiratory care product named the Astral platform.

After a lean financial-year 2014 impacted by concerns over slowing U.S. sales, ResMed's new product launches and innovative approach may start to pay dividends in the years ahead.

The strengthening U.S. dollar also directly benefits Australian holders of the chess depositary instruments (CDIs) as the quarterly dividend is declared in U.S. cents and the equivalent amount paid in Australian currency. The current quarterly payout of U.S. 2.8 cents per share represents an annual payout of around AUD 12 cents depending on exchange rates, and the 2.1% yield reflects a business focused on investing for growth.

With a balance sheet in excellent financial health, including a mountain of cash, ResMed was also able to continue its share buyback program over the quarter, with 835,000 shares repurchased at a cost of US$42.9 million. The ongoing potential for strong free cash flows suggests capital management activities will continue to support the all-important earnings per share growth.

With a respected management team, giant global market, and proven track record, ResMed remains an excellent option for Australian investors looking to gain exposure to overseas earnings and the natural tailwinds of healthcare businesses.

Shares were up more than 5% to $5.65 on the results and I expect will continue to see support from that level.

Motley Fool contributor Tom Richardson owns shares in ResMed. You can find him on Twitter @tommyr345

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