• Strong revenue growth in Sleep and Breathing Health and Residential Care Software segments
• Profitability improved with higher gross margins
• Continued investment in R&D and expansion of product portfolio
• Robust cash flow generation and healthy balance sheet

ResMed Inc. reported its financial results for the second quarter of fiscal year 2025. The company delivered strong revenue growth, with the Sleep and Breathing Health segment generating $1.13 billion in revenue, up 10.6% year-over-year, and the Residential Care Software segment reporting revenue of $156.5 million, an increase of 8.0% compared to the prior-year period. Profitability improved, with gross margins expanding due to favorable product mix and operational efficiencies. The company continued to invest in research and development, spending $81.4 million during the quarter to expand its product portfolio and drive innovation. ResMed maintained a healthy balance sheet, with $521.9 million in cash and cash equivalents as of December 31, 2024. The company generated robust cash flow from operations, which enabled it to fund capital expenditures and return capital to shareholders through dividends.Overall, ResMed demonstrated its ability to deliver consistent financial performance and execute on its strategic priorities of driving growth in its core Sleep and Breathing Health business while also expanding its Residential Care Software offerings to support the evolving needs of healthcare providers.

For fiscal year 2025, ResMed expects revenue in the range of $5.0 billion to $5.2 billion and operating margins between 31% and 33%.

ResMed remains optimistic about the long-term growth prospects for both its Sleep and Breathing Health and Residential Care Software segments. The company is well-positioned to capitalize on the increasing demand for its innovative medical devices and software solutions that support the delivery of high-quality, cost-effective healthcare.