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SEC filingResMed delivered a strong quarter with double-digit revenue growth and margin expansion, driven by operational efficiencies and robust cash generation.
ResMed's revenue increased 10.8% year-over-year to $1.43 billion, reflecting strong demand in its core Sleep and Breathing Health segment. The company operates two segments: Sleep and Breathing Health (medical devices for sleep apnea and respiratory disorders) and Residential Care Software (SaaS for out-of-hospital care providers). While segment-level revenue is not disclosed in the filing, management commentary indicates growth was broad-based, supported by volume increases and favorable product mix. The company continues to benefit from the global awareness of sleep apnea and the ongoing replacement cycle of devices.
Net cash provided by operating activities increased to $1.35 billion for the nine months ended March 31, 2026, up from $1.21 billion in the prior year period, primarily due to higher net income. Capital expenditures were $105.2 million, resulting in free cash flow of $1.2 billion. This robust cash generation provides significant financial flexibility for strategic investments, share repurchases, and dividends.
ResMed expects cash provided by operating activities may fluctuate due to operating results, supply chain disruptions, working capital requirements, and capital deployment decisions. The company remains focused on driving growth through its Sleep and Breathing Health and Residential Care Software segments, while managing costs and investing in innovation.