ResMed stock jumps 3.1% after beating Q4 estimates with 10% revenue growth and 23% EPS increase.

Friday, Aug 1, 2025 12:45 pm ET1min read

ResMed reported Q4 revenue of $1.35bn, a 10% YoY increase, and adjusted EPS of $2.55, a 23% YoY increase, beating analyst estimates. The company attributed the strong performance to robust global demand for its sleep and breathing health devices. ResMed also announced a 13% increase in its quarterly dividend. The shares jumped 3.1% before cooling down to a 2.9% gain.

ResMed Inc. (RMD) reported a strong fourth quarter for fiscal 2025, with adjusted earnings per share (EPS) of $2.55, up 22.6% year over year (YoY), and revenue of $1.35 billion, a 10.2% YoY increase. These figures exceeded the Zacks Consensus Estimate by 3.66% and 1.87%, respectively [1].

The company attributed the robust performance to high global demand for its sleep and breathing health devices. ResMed's adjusted EPS for the full year 2025 was $9.55, up 23.7% from 2024, and revenue reached $5.15 billion, a 9.8% YoY increase. The stock price rose 2.6% in after-market trading following the announcement [1].

ResMed operates through two reporting units: Sleep and Breathing Health and Residential Care Software. Sleep and Breathing Health revenues increased 10.2% YoY to $1.18 billion, while Residential Care Software revenues grew 9.9% YoY to $167 million. The company's adjusted gross profit margin expanded to 61.4% in the fourth quarter, up 227 basis points (bps) YoY [1].

ResMed also announced a 13% increase in its quarterly dividend, paying $0.37 per share. The shares initially jumped 3.1% but cooled down to a 2.9% gain. The company's cash and cash equivalents stood at $1.21 billion at the end of the quarter, up significantly from $238.4 million at the end of fiscal 2024 [1].

ResMed's Zacks Rank is currently #3 (Hold), indicating that the stock is expected to perform in line with the market in the near future. The company's earnings outlook will be closely watched by investors [2].

References:
[1] https://www.nasdaq.com/articles/resmed-q4-earnings-revenues-beat-estimates-stock-margins-climb
[2] https://www.nasdaq.com/articles/resmed-rmd-surpasses-q4-earnings-and-revenue-estimates

ResMed stock jumps 3.1% after beating Q4 estimates with 10% revenue growth and 23% EPS increase.

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