ResMed lifts September quarter profit by 14%

ResMed (ASX:RMD) grew its September quarter profit 14% to US$80.9 million ($84.4 million) on the back of a 5% increase in revenue.

Revenue for the quarter reached US$357.7 million ($373.1 million), with the growth driven by sales of the sleep-disordered breathing treatment device company’s higher-valued flow generators.

Sales from the Americas increased 4% to US$201.5 million, while revenue from outside the region were up 5%.

R&D expenses increased 1% to US$27.4 million, but without the positive impact of the depreciation of the Australian dollar, R&D costs would have increased 9%.

ResMed CEO Mick Farrell said the company has been encouraged by early sales of its recently released new mask products, including its Quattro Air, which is on track to being its best mask launch ever.

But he added that the company “continued to face a tough competitive product cycle this quarter”.

The ResMed board has declared a quarterly dividend of $0.25 per share for the company’s NYSE-listed common stock, and an equivalent sum in Australian dollars for its ASX-listed CDI holders, based on exchange rates and the 10:1 CDI-to-share ratio.

ResMed (ASX:RMD) CDIs were trading 1.29% lower at $5.34 as of around 1 pm on Monday.