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Mar 31, 2021

ResMed Q3 2021 Earnings Report

ResMed's Q3 2021 earnings were announced, revealing comparable revenue but a net loss due to a tax reserve, with growth in specific segments and an optimistic outlook.

Key Takeaways

ResMed reported comparable revenue of $768.8 million, but experienced a net loss of $78.5 million, or $(0.54) per share, due to a $255 million reserve for a tax dispute with the Australian Tax Office. Excluding COVID-19 revenue from the prior year, revenue increased by 1% on a constant currency basis. Non-GAAP diluted EPS was $1.30. The company is optimistic about future growth, driven by increased awareness of respiratory health and adoption of digital health solutions.

Revenue was comparable at $768.8 million, but decreased 3% on a constant currency basis.

GAAP diluted earnings per share was $(0.54), while non-GAAP diluted earnings per share was $1.30.

A $255 million reserve was taken for a dispute with the Australian Tax Office, impacting net income.

The company sees accelerated awareness of respiratory health and growing adoption of digital health.

Total Revenue
$769M
Previous year: $769M
-0.1%
EPS
$1.3
Previous year: $1.29
+0.8%
Gross Profit
$447M
Previous year: $450M
-0.5%
Cash and Equivalents
$231M
Previous year: $353M
-34.6%
Free Cash Flow
$170M
Previous year: $210M
-19.1%
Total Assets
$4.59B
Previous year: $4.51B
+1.7%

ResMed

ResMed

ResMed Revenue by Segment

ResMed Revenue by Geographic Location

Forward Guidance

ResMed anticipates accelerated growth in patient flow and ongoing progress toward improving 250 million lives in out-of-hospital healthcare by 2025.

Positive Outlook

  • Accelerated awareness of the importance of respiratory health.
  • Growing adoption of digital health solutions.
  • Increased focus on healthcare delivered at home.
  • Confidence in accelerated growth in patient flow.
  • Ongoing progress toward improving 250 million lives in out-of-hospital healthcare by 2025.

Revenue & Expenses

Visualization of income flow from segment revenue to net income