Executive Summary
ResMed reported a strong first quarter of calendar year 2026 (Q1 FY2026) with revenue of USD 1,335.6 million, up 9.07% year over year and a slight QoQ decline of 0.92%. The company posted a gross profit of USD 820.8 million and a gross margin of 61.46%, delivering an operating income of USD 446.5 million and an operating margin of 33.43%. Net income reached USD 348.5 million for the quarter, translating to a net margin of 26.10%. EBITDA stood at USD 446.5 million, yielding an EBITDA margin of 33.43%. The quarter showcased resilient profitability alongside a robust liquidity position, as the company maintained USD 1.384 billion in cash and equivalents and reported a net debt position of negative USD 537.5 million (i.e., net cash). Free cash flow amounted to USD 414.4 million, underscoring strong cash generation even after USD 150.0 million of share repurchases and USD 87.8 million in dividends in the period.
Key Performance Indicators
Key Insights
Revenue: USD 1.3356B (YoY +9.07%, QoQ -0.92%); Gross Profit: USD 820.8M (YoY +14.44%, QoQ +0.09%); Operating Income: USD 446.5M (YoY +15.29%, QoQ -1.76%); Net Income: USD 348.5M (YoY +11.94%, QoQ -8.21%); EBITDA: USD 446.5M (margin 33.43%); Gross Margin: 61.46%; Net Margin: 26.10%; Operating Margin: 33.43%; Cash from Operations: USD 457.3M; Free Cash Flow: USD 414.4M; Cash at period end: USD 1.383B; Total Debt: USD 846.4M; Net Debt: USD -537.5M; Dividend (paid): USD 87.8M; Share Repurchase: USD ...
Financial Highlights
Revenue: USD 1.3356B (YoY +9.07%, QoQ -0.92%); Gross Profit: USD 820.8M (YoY +14.44%, QoQ +0.09%); Operating Income: USD 446.5M (YoY +15.29%, QoQ -1.76%); Net Income: USD 348.5M (YoY +11.94%, QoQ -8.21%); EBITDA: USD 446.5M (margin 33.43%); Gross Margin: 61.46%; Net Margin: 26.10%; Operating Margin: 33.43%; Cash from Operations: USD 457.3M; Free Cash Flow: USD 414.4M; Cash at period end: USD 1.383B; Total Debt: USD 846.4M; Net Debt: USD -537.5M; Dividend (paid): USD 87.8M; Share Repurchase: USD -150.0M; ROCE approximations not provided in data; R&D as % of revenue ~6.5%; SG&A as % of revenue ~19.4%
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
1.34B |
9.07% |
-0.92% |
| Gross Profit |
820.82M |
14.44% |
0.09% |
| Operating Income |
446.54M |
15.29% |
-1.76% |
| Net Income |
348.54M |
11.94% |
-8.21% |
Management Commentary
Transcript data not provided in the submission. Key management commentary from the call, if any, is not included in the provided materials.
Forward Guidance
No explicit forward guidance was included in the provided materials. Investors should monitor: (1) progression of software/SaaS ARR growth from Brightree and MatrixCare, (2) contribution from cloud-based patient management and remote monitoring solutions (AirView, myAir, U-Sleep), (3) cadence of new product introductions and regulatory/reimbursement developments, (4) geographic mix and currency effects, and (5) ongoing capital allocation strategy including dividends and share repurchases. Based on the quarterly profitability and net cash position, the company appears capable of funding growth initiatives and returning capital while preserving liquidity.