The ResMed Inc. (ASX: RMD) share price is in focus today after the company reported a 9% rise in fourth-quarter revenue to a record US$1.5 billion, with non-GAAP earnings per share jumping 16% to US$2.95.
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What did Resmed report?
- Q4 revenue rose 9% year on year to US$1.46 billion (up 8% on a constant currency basis).
- GAAP diluted earnings per share increased 2% to US$2.64; non-GAAP diluted earnings per share up 16% to US$2.95.
- Full-year revenue grew 10% to US$5.7 billion.
- Full-year non-GAAP diluted earnings per share up 17% to US$11.17.
- Returned US$1.0 billion to shareholders via share buybacks and dividends in FY26, up 70% from the prior year.
- Quarterly dividend increased 10% to US$0.66 per share, payable in September 2026.
What else do investors need to know?
Resmed achieved solid global growth, with Sleep and Breathing Health revenue up 8–10% in constant currency across key markets. Residential Care Software revenue also increased slightly. The company maintained healthy profitability, with non-GAAP gross margin lifting to 62.3% amid strong product demand and productivity gains.
On the operational front, Resmed agreed to sell its MatrixCare software business, with completion expected early in FY27. The group also completed the acquisition of Noctrix Health, expanding its portfolio into wearable therapeutics for Restless Leg Syndrome.
Resmed continued to launch new products globally, including AirSense 11 in Taiwan and AirCurve 11 ST/ST-A in the US. Partnerships, such as with ŌURA to improve sleep health education, also featured in the quarter.
What did Resmed management say?
ResMed's Chairman and CEO, Mick Farrell, commented:
We closed fiscal year 2026 with strong fourth quarter results, reflecting continued momentum of our global business, sustained demand for our market-leading products, and disciplined execution of our strategy.
As we enter fiscal year 2027, we will leverage our global scale and enhance our digital capabilities to benefit our patients, providers, and customers. We will use our industry-leading portfolio to improve patient outcomes, reduce healthcare costs, and drive long-term profitable growth for our shareholders.
What's next for Resmed?
Looking ahead, ResMed aims to leverage its global scale and enhance digital capabilities in FY27, with a continued focus on innovation and market leadership. The company is forecasting over US$1.85 billion in capital returns through share buybacks and dividends in the coming year, following the 10% lift to its quarterly dividend.
Resmed is also focused on completing the sale of MatrixCare, integrating the Noctrix Health acquisition, and rolling out more digital and home-based health solutions to support both growth and improved patient outcomes.
ResMed share price snapshot
The ResMed share price has been among the worst performers on the S&P/ASX 200 index (ASX: XJO) over the past 12 months with a decline of almost 30%.
