San Diego-based ResMed posted profits of $120.1 million, or 83¢ per share, on sales of $681.1 million for the three months ended Sept. 30, for a 13.6% bottom-line gain on sales growth of 15.8%.
Adjusted to exclude one-time items, earnings per share were 93¢, 6¢ ahead of Wall Street, where analysts were looking for sales of $660.7 million.
“Our global ResMed team delivered another quarter of strong performance in the first quarter of fiscal year 2020 with double-digit top-line revenue growth, balanced growth across our businesses and regions, and further improvements in operating leverage resulting in double-digit growth at the bottom line,” CEO Mick Farrell said in prepared remarks. “We were particularly pleased that strong customer demand for our new products drove high-teens growth in the mask category during the quarter. Through organic growth and targeted acquisitions, we’re driving forward every facet of our business, leading the innovation of devices and software that improve health outcomes, create efficiencies, and reduce overall healthcare system costs. We’re well on our way to improving 250 million lives in out-of-hospital healthcare in 2025.”
RMD shares, which closed yesterday up 0.8% at $127.73 apiece, surged 10.4% to $141.00 each today in pre-market trading.