ResMed Earnings: Everything You Must Know Now

ResMed Inc. (NYSE:RMD) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company.

ResMed Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 12.73% to $0.62 in the quarter versus EPS of $0.55 in the year-earlier quarter.

Revenue: Rose 11.47% to $414.6 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: ResMed Inc. reported adjusted EPS income of $0.62 per share. By that measure, the company beat the mean analyst estimate of $0.61. It beat the average revenue estimate of $411.06 million.

Quoting Management: Mick Farrell, chief executive officer, commented, “In the fourth quarter of fiscal 2013 we showed strong year-over-year growth on both top and bottom lines. Revenue in the Americas increased by 11% over the prior year’s quarter to $230.3 million for Q4. Revenue in Europe and Asia-Pac combined reached $184.3 million, an increase of 12% (an 11% increase on a constant currency basis) over the prior year’s quarter. Non-GAAP operating profit for the June quarter was $110.9 million, cash flow from operations was a record $123.9 million, while gross margin was 62.7%, all demonstrating excellent operating performance. We have also announced today that our quarterly dividend has increased by 47% to $0.25 per share. Additionally, during the quarter, we repurchased 1.5 million shares, at a cost of $72.7 million. The increased dividend and the ongoing share buy-back program demonstrate our commitment to a robust capital management program.”

Key Stats (on next page)…

Revenue increased 8.09% from $383.58 million in the previous quarter. EPS increased 5.08% from $0.59 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.55 to a profit $0.56. For the current year, the average estimate is a profit of $2.25, which is the same with that ninety days ago.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)