ResMed(RMD)2025-04-23 22:20Financial Performance - Net revenue for Sleep and Breathing Health products reached $1,130,575, an increase of 7.8% compared to $1,049,023 in the same quarter last year[12]. - Total net revenue for the quarter was $1,291,736, up 7.9% from $1,196,980 in the prior year[12]. - Gross profit for the quarter was $766,409, representing a gross margin of approximately 59.3%[12]. - Net income for the quarter was $365,041, a 21.5% increase from $300,492 in the same quarter last year[12]. - Basic earnings per share increased to $2.49, up from $2.04 in the prior year[12]. - Total revenue for the nine months ended March 31, 2025, reached $3,798,334, up 9.7% from $3,462,102 in the prior year[29]. - Net income for the nine months ended March 31, 2025, was $1,021,018, an increase of 40% compared to $728,715 for the same period in 2024[21]. - Diluted earnings per share for the nine months ended March 31, 2025, was $6.93, compared to $4.94 for the same period in 2024[84]. - For the three months ended March 31, 2025, net revenue increased to $1,291.7 million, up $94.8 million or 8% from $1,197.0 million for the same period in 2024[130]. - Net income for the three months ended March 31, 2025, was $365.0 million, an increase of $64.5 million or 21% from $300.5 million for the same period in 2024[167]. Assets and Liabilities - Total current assets increased to $3,208,420, compared to $2,357,719 as of June 30, 2024[8]. - Total assets reached $7,566,822, up from $6,872,394 in the previous year[8]. - Total liabilities were $2,020,689, slightly up from $2,008,351 as of June 30, 2024[8]. - Stockholders' equity increased to $5,546,133, compared to $4,864,043 in the previous year[8]. - Cash and cash equivalents at the end of the period were $932,711, significantly up from $237,910 at the end of the previous year[21]. - Total inventories as of March 31, 2025, amounted to $862,641 thousand, up from $822,250 thousand on June 30, 2024, representing an increase of 4.9%[53]. - Total prepaid expenses and other current assets increased to $505,243 thousand as of March 31, 2025, compared to $459,833 thousand as of June 30, 2024, reflecting an increase of approximately 9.1%[55]. - Net property, plant, and equipment decreased to $535,339 thousand as of March 31, 2025, from $548,025 thousand as of June 30, 2024, a decline of about 2.7%[55]. - Total debt decreased to $673,032 thousand as of March 31, 2025, from $707,213 thousand as of June 30, 2024, a reduction of approximately 4.8%[69]. Dividends and Shareholder Returns - The company declared a dividend of $0.53 per share, up from $0.48 in the same quarter last year[12]. - The company declared dividends of $0.48 per common share, totaling $233,290 for the nine months ended March 31, 2025[21]. - Cash dividends paid during the three months ended March 31, 2025, totaled $77.7 million, with a declared cash dividend of $0.53 per common share[189]. Research and Development - Research and development investment for the three months ended March 31, 2025, was $83.9 million, representing 6.5% of net revenues[124]. - Research and development expenses for the three months ended March 31, 2025, increased to $83.9 million, up $6.9 million or 9% from $77.1 million for the same period in 2024[153]. - For the nine months ended March 31, 2025, research and development expenses rose to $244.8 million, an increase of $18.2 million or 8% compared to $226.7 million for the same period in 2024[155]. Cash Flow and Investments - The company reported a net cash provided by operating activities of $1,212,822 for the nine months ended March 31, 2025, compared to $961,146 in 2024, representing a 26% increase[21]. - Cash provided by operating activities increased to $1,212.8 million for the nine months ended March 31, 2025, up from $961.1 million for the same period in 2024, representing a 26.2% increase[185]. - Cash used in investing activities decreased to $66.3 million for the nine months ended March 31, 2025, compared to $223.3 million for the same period in 2024, a reduction of 70.3%[187]. - Cash used in financing activities was $442.4 million for the nine months ended March 31, 2025, down from $726.0 million in the prior year, a decrease of 39.2%[188]. Segment Performance - Revenue from the Sleep and Breathing Health segment for the nine months ended March 31, 2025, was $3,323,905, compared to $3,029,915 in 2024, reflecting a growth of 9.7%[29]. - Total net revenue for the Sleep and Breathing Health segment was $1,130,575 thousand for the three months ended March 31, 2025, compared to $1,049,023 thousand for the same period in 2024, reflecting an increase of 7.8%[51]. - Total net revenue for the Residential Care Software segment was $161,161 thousand for the three months ended March 31, 2025, compared to $147,957 thousand for the same period in 2024, indicating an increase of 8.5%[51]. - Total net operating profit for the Sleep and Breathing Health segment was $494,796 thousand for the three months ended March 31, 2025, compared to $456,182 thousand for the same period in 2024, an increase of 8.5%[51]. - Net revenue from Residential Care Software for the three months ended March 31, 2025, increased to $161.2 million, an increase of $13.2 million or 9% compared to $148.0 million for the same period in 2024[136]. Debt and Financing - The company has a senior unsecured revolving credit facility of $1,500 million, with $1,500 million available for drawdown as of March 31, 2025[75]. - The interest rate on outstanding principal amounts under the credit agreements was 5.1% as of March 31, 2025[73]. - The company maintained a consolidated funded debt to consolidated EBITDA ratio of no more than 3.50 to 1.00, in compliance with debt covenants[78]. - The company was in compliance with its debt covenants as of March 31, 2025, with $675.0 million outstanding under various credit agreements[80]. Other Key Metrics - The effective income tax rate for the three months ended March 31, 2025, was 12.6%, down from 20.0% for the same period in 2024[163]. - The company recorded no restructuring expenses during the three and nine months ended March 31, 2025, compared to $64.2 million in restructuring charges for the same period in 2024[159]. - The company recorded net unrealized losses of $8.2 million for equity investments in non-marketable and marketable securities for the nine months ended March 31, 2025[65]. - The company executed foreign cross-currency swaps as net investment hedges to mitigate foreign currency risk associated with changes in spot rates between USD and EUR[99].