ResMed (ASX:RMD) reported a robust set of financial results for the second quarter of fiscal year 2026, driven by high global demand for its sleep and respiratory care products.
The company’s revenue climbed 11% to $1.4 billion, reflecting a 9% increase on a constant currency basis.
The growth was particularly strong in the Americas, which saw an 11% jump in revenue, while international markets grew by 6%.
Profitability also saw a boost, with gross margins expanding by 320 basis points to 61.8%.
The improvement was largely attributed to optimised manufacturing processes and lower logistics costs.
ResMed reported a 19% increase in non-GAAP income from operations, resulting in diluted earnings per share of $2.68, comfortably beating analyst expectations.
The company’s digital health ecosystem, now reaching over 140 countries, remains a key driver of its "connected care" strategy.
During the quarter, ResMed received FDA clearance for Smart Comfort, an AI-enabled tool designed to personalise therapy settings.
CEO Mick Farrell highlighted that the results demonstrate "strength and resilience" as the company continues to scale its digital capabilities.
ResMed also declared a quarterly dividend of US$0.60 per share and repurchased US$175 million worth of stock, underscoring its commitment to shareholder returns.