- ASX 200-listed digital health company ResMed announced a strong first quarter of FY2021 with revenue and non-GAAP operating profit increasing by 10% and 24%, respectively.
- The Q1 results reflect robust performance and positive trends across the Company’s business.
- Revenue in Canada, Latin America, and the US grew by 9%, driven by solid sales in the mask product portfolio and growing demand for ventilators amid COVID-19.
The share price of ASX 200-listed ResMed Inc (ASX:RMD, NYSE:RMD) surged on the ASX following the impressive Q12021 numbers announced by the Company. During the quarter, ResMed’s year-over-year revenue increased by 10%, and non-GAAP operating profit rose 24%.
On 30 October 2020, the RMD share price stood at A$27.920, up by 9.8447%. The market capitalisation of the Company was noted at A$36.96 billion.
About ResMed Inc
Dual-listed digital health company, ResMed Inc, is a pioneer in innovative solutions to treat and keep people out of the hospital and empowers them to live better, healthier, and high-quality lives. The Company’s digital health technologies and cloud-connected medical devices transform care for patients of COPD, sleep apnea, and other chronic indications.
Let us look at ResMed’s Q1 results in detail:
ResMed’s First Quarter 2021 Results, Revenue up by 10%
On 30 October 2020, ResMed released its quarterly update for the September 2020 quarter on the ASX.
Highlights from the financial front-
- Revenue during the September quarter was up 10% at US$751.9 million (+9% on a constant currency (cc) basis).
- GAAP gross margin was 58.3% and non-GAAP gross margin expanded 30 bps to 59.9%.
- The net operating profit grew by 27% while non-GAAP operating profit was up 24%.
- Revenue in Canada, the US, and Latin America were up 9% (excluding Software as a Service). Impressive sales in the mask product portfolio and increased demand for ventilators amid COVID-19 were the revenue drivers.
- Software as a Service (SaaS) revenue grew 6% due to the continuous growth in resupply service offerings and stabilising patient flow in out-of-hospital care settings.
Highlights from Business and Operational front-
- The Company launched the AirTouch N20 foam CPAP mask, the softest nasal mask ever, with a memory foam cushion.
- AirFit N30 and AirFit F30i masks received Good Design Australia Awards for attaining the maximum level of design and innovation in service to sleep apnea patients across the world.
- ResMed has won eight Good Design Australia Awards.
- Mick Farrell ResMed CEO was selected as Large Public Company CEO of the Year by the San Diego Business Journal.
CEO ResMed Mick Farrell commented-