ResMed Inc.

Strong Q4 & FY26 momentum (good) - Q4 headline revenue: +$9% YoY ( +8% constant-currency ) to $1.5B. - Q4 non-GAAP EPS: +$16% YoY to $2.95. - FY26: +10% headline revenue ( +8% constant-currency ) and +17% non-GAAP EPS; free cash flow (FCF) > $1.6B. - Bottom line strength outpacing sales: earnings growth consistently higher than revenue growth.

Gross margin support, but near-term sequential pressure (mixed) - Q4 non-GAAP gross margin: 62.3%, +90 bps YoY (benefit from supply chain productivity offsetting inflation). - Sequentially: gross margin was ~50 bps down QoQ, mainly due to rising inflation in electronic components and freight, plus ~20 bps FX headwind. - Astral field action provision: $42M Q4 provision (excluded from non-GAAP); this weighed on FCF.

Capital returns accelerating + dividend increase (good) - Q4 shareholder returns: $287M (buybacks + dividend). - FY26: returned >$1B, +72% vs prior year. - FY27 plan: total capital returns well north of $1.5B (per Mick), and guidance implies > $1.85B between share repurchases + dividends. - Dividend: quarterly dividend raised 10% to $0.66/share. - Buybacks ramp: expects ~$1.5B in share repurchases in FY27, including a $450M accelerated share repurchase funded partly by MatrixCare proceeds.