The Resmed CDI (AX: RMD) share price is in focus today after the company posted third-quarter revenue up 11% to US$1.43 billion and non-GAAP earnings per share up 21% to US$2.86.
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What did Resmed report?
- Third-quarter revenue grew 11% to US$1.43 billion (up 8% in constant currency)
- GAAP gross margin increased by 290 basis points to 62.2%; non-GAAP gross margin to 62.8%
- GAAP income from operations up 17%; non-GAAP income from operations up 18%
- GAAP diluted earnings per share of US$2.74; non-GAAP diluted earnings per share of US$2.86 (up 21%)
- Operating cash flow of US$554 million for the quarter
- Returned US$262 million to shareholders via dividends and share buybacks
What else do investors need to know?
Resmed reported broad-based revenue growth across all key regions and product segments, with increased demand for its range of sleep devices, masks, and software solutions. Notably, the US, Canada, and Latin America business (excluding software) rose 9%, while Europe, Asia and other markets climbed 7% on a constant currency basis.
The company also highlighted expansion efforts, including a new US distribution centre in Indiana and the launch of its latest AirTouch F30i Comfort mask. Resmed paid an 87 cent per share quarterly dividend and repurchased 673,000 shares as part of its shareholder returns strategy.
What did Resmed management say?
Chairman and CEO Mick Farrell said:
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," "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.
What's next for Resmed?
Looking ahead, Resmed plans to continue investing in digital health, expand its operational footprint, and launch new products globally. Management signalled ongoing commitment to growing revenue and profits while maintaining a strong focus on innovation and patient outcomes.
The company's strategy aims to build on recent momentum, leveraging its technology and market reach to improve access to respiratory and sleep health care on a global scale.
Resmed share price snapshot
Ove the past 12 months, Resmed shares have declined 19%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 6% over the same period.
