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 (GLOBE NEWSWIRE) -- 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."

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.
• 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.

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.

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.

Condensed Consolidated Balance Sheets
(Unaudited; $ in thousands)

 March 31,
2026 June 30,
2025Assets   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         

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,
2025Cash 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                 

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, 2025Revenue$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 $1,230,823Amortization of acquired intangibles—cost of sales (A) 7,850  7,444  23,480  22,748Amortization of acquired intangibles—operating expenses (A) 11,247  10,895  34,967  33,345Restructuring (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            

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.  

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.  

For investorsFor media+1 858-221-3304+1 [email protected]@resmed.com