Updated Aug 18 at 11:33am ET.
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ResMed reported earnings of $2.95 per share, which was higher than the $2.89 analysts expected. Revenue grew 9 percent to about $1.5 billion for the quarter. The company also improved its gross margin, which is the percentage of sales left after paying for the direct costs of making its breathing machines and masks.
However, the stock dropped about 6 percent because the company's sales forecast for 2027 came in lower than expected. ResMed is dealing with higher costs and has stopped selling certain ventilators, which is weighing on its outlook. For long-term owners, the core business of selling sleep apnea masks remains healthy, but the company has to work through these specific manufacturing and sales hurdles over the next year.
See the full quarter, and how our tracked metrics did
Source: 8-K filing
SEC filing on 2026-08-17: 8-K, 8-K filing: changed accountants; executive or director change; Regulation FD disclosure.
Source: 8-K filing
ResMed announced that Carol Burt will take over as Lead Director on November 15. She replaces Ron Taylor, who is retiring from the board after 21 years of service. A lead director is an independent board member who helps oversee management and ensures the board operates separately from the CEO. While Taylor has been with the company for a long time, this is a planned transition. Burt has been on the board since 2013, so she knows the business well. This change should not affect how the company is run day-to-day.
Source: GlobeNewsWire
ResMed reports its latest quarterly results today. Analysts are looking for revenue of about 1.46 billion dollars. The company has a strong track record, having beaten analyst expectations in seven of the last eight quarters.
Beyond the headline numbers, the focus remains on whether the company is continuing to grow its sales of masks and accessories. These recurring sales are a key part of the business model. We are also watching for any updates on how weight-loss drugs are affecting the number of people seeking treatment for sleep apnea, as these drugs have been a major point of discussion for the stock lately.
UBS has set a price target of $300 for the stock. This is a notably more optimistic view than the average analyst target of about $242. It suggests the firm sees more room for the company to grow its share of the sleep health market than many of its peers currently expect.
Source: UBS
Analysts lowered their price targets following the company's recent earnings report and weak sales forecast. Most analysts are split, with 13 rating the stock a buy, while the average target price suggests an 8% gain from current levels.
Management has a very consistent habit of beating expectations, clearing the bar in seven of the last eight quarters. It suggests they have a firm handle on their costs and growth.
| Expectation | |
|---|---|
| EPS | $2.74 |
| Revenue | $1.39B |
