ResMed Inc.

Strong Q3 financial performance + margin expansion - Revenue: $1.43B, +11% headline (+8% constant currency) YoY. - Gross margin: 62.8%, +290 bps YoY and +50 bps sequentially, driven by component cost improvements and manufacturing/logistics efficiencies (plus minor mix/FX). - Operating leverage: operating profit +18% YoY; operating margin 36.7% vs 34.4% prior year. - Profitability: non-GAAP EPS +21%; non-GAAP operating income +18%. - Cash flow: $520M free cash flow; $554M cash from operations; >100% free cash flow conversion again. - Tax: effective tax rate 20.9% (vs 20.1%); FY26 ETR guided 21%–23%.

Full-year 2026 outlook reiterated (and guidance details) - Gross margin guidance: still 62%–63% for FY2026 (subject to currency). - Operating expense guidance: - SG&A: 19%–20% of revenue (subject to currency). - R&D: 6%–7% of revenue (subject to currency). - Management reiterated a long-term gross margin improvement path: gross margin accretion through 2030, double-digit basis points improvements each year (despite geopolitical/external cost pressure).

Capital return: dividends + accelerated buybacks - Dividend declared: $0.60 per share quarterly. - Q3 buybacks: $175M (repurchased ~673k shares). - FY2026 buyback intent: continue buying “to at least $175M” during 2026. - Overall: strong cash generation enabling both reinvestment and shareholder returns.