Shares of $ResMed Inc (RMD.AU)$ rose 5.81% to A$37.69 on Friday, following the release of ResMed's first-quarter results for the fiscal year 2025. The medical equipment manufacturer not only met but exceeded Wall Street's estimates for quarterly profit.
First Quarter 2025 Highlights
Revenue increased by 11% yoy, from $1.1 billion to $1.2 billion.
Gross margin improved 420 bps yoy, from from 54.4% to 58.6%.Income from operations increased 34% yoy, from $289 million to $387.3 million.
Diluted earnings per share grew 42% from $1.49 to $2.11.
The robust revenue growth in the quarter is fueled by higher demand for its sleep devices and masks portfolio, along with a surge in its residential care software business. ResMed's improved gross margin is credited to enhanced manufacturing efficiency, reduced component costs, and higher average selling prices. This month, ResMed launched its '2030 strategy', aiming to empower over 500 million individuals to reach their full health potential by 2030.
According to the Chairman and CEO of ResMed,
"Our first-quarter fiscal year 2025 results reflect ongoing momentum and strong execution across all areas of our business. As we celebrate 35 years of growth and innovation, our recently launched 2030 strategy will further enable us to transform sleep health, breathing health, and healthcare technology at home. "
Sources: Reuters, ResMed
