ResMed reported strong Q3 FY2026 results with 11% revenue growth, 290 bps gross margin expansion, and 21% EPS growth, driven by operational excellence and cost improvements. Management also announced a tuck-in acquisition of Noctrix Health for $340M to enter the restless leg syndrome market and provided bullish commentary on GLP-1s driving CPAP demand, reinforcing its long-term growth outlook. Delivered Q3 revenue of $1.43B, up 8% constant currency, and raised non-GAAP EPS by 21%.
ResMed reported strong Q3 FY2026 results with 11% revenue growth, 290 bps gross margin expansion, and 21% EPS growth, driven by operational excellence and cost improvements. Management also announced a tuck-in acquisition of Noctrix Health for $340M to enter the restless leg syndrome market and provided bullish commentary on GLP-1s driving CPAP demand, reinforcing its long-term growth outlook. Delivered Q3 revenue of $1.43B, up 8% constant currency, and raised non-GAAP EPS by 21%.
ResMed reported strong Q3 FY2026 results with 11% revenue growth, 290 bps gross margin expansion, and 21% EPS growth, driven by operational excellence and cost improvements. Management also announced a tuck-in acquisition of Noctrix Health for $340M to enter the restless leg…
Management expressed confidence in strong results, reiterated long-term growth targets, and highlighted multiple growth catalysts (fabric masks, GLP-1 synergy, new M&A), despite acknowledging macro uncertainties.
Gross margin expanded 290bps YoY to 62.8%, driven by supply-chain optimization and component cost improvements.
Guidance tone
Management emphasized AI-driven innovation in device algorithms, noting they have already received FDA clearance for an AI-powered product (Smart Comfort) and plan to introduce more intelligent therapies over time, while staying "productively paranoid" about competitive AI threats.
GLP-1 combination therapy increases PAP adherence and resupply. Management expressed confidence in strong results, reiterated long-term growth targets, and highlighted multiple growth catalysts (fabric masks, GLP-1 synergy, new M&A), despite acknowledging macro uncertainties.
Capital expenditure in Q3 FY26 was $34 million, reflecting disciplined spending. Management reiterated ongoing investment in R&D and sales/marketing for growth, with capex levels not explicitly guided but consistent with prior trends.
Management expressed confidence in strong results, reiterated long-term growth targets, and highlighted multiple growth catalysts (fabric masks, GLP-1 synergy, new M&A), despite acknowledging macro uncertainties.
“And now we also have real world data that shows that the AirTouch N30i drives 6% higher 90-day compliance than its silicone equivalent. Those of you that truly understand the clinical and business relevance of adherence know that those 600…”
“We looked at patients on PAP who subsequently start GLP-1 therapy to see what happened to their PAP use versus a control group that only has PAP therapy. Our findings were that PAP patients who subsequently start GLP-1 therapy show higher…”
The statement references Baxter as the prior employer of the incoming CFO Aaron Bloomer, providing historical context on his background but containing no forward-looking signal about Baxter's business.
“Aaron brings more than 17 years of global financial leadership, most recently serving as the CFO of Exact Sciences. He has a strong track record of driving strategic growth, operational excellence, financial discipline across complex”
… shape the company's culture, and his legacy is embedded in our impact on the lives of many millions of patients worldwide. Brett leaves ResMed in a position of strength with a very disciplined and experienced global financial team. I am tremendously grateful to Brett for his service, his leadership, his friendship, and his commitment to ResMed. I'd also like to now welcome Aaron Blumer to ResMed. Aaron brings more than 17 years of global financial leadership, most recently serving as the CFO of Exact Sciences. He has a strong track record of driving strategic growth, operational excellence, financial discipline across complex global organizations, including prior financial leadership roles at 3M and at Baxter. Aaron's international perspective will be invaluable here at ResMed as we continue to execute on our global 2030 strategy to accelerate our business and to deliver long-term value for our shareholders around the world. We look forward to introducing you to Aaron over the coming quarters. Okay, now turning to the third quarter, we delivered another set of strong results, including 11% growth in headline revenue or 8% growth on a constant currency basis. We delivered …
The statement references 3M as a prior employer of the incoming CFO, providing background information without any commercial or operational implications for 3M.
“He has a strong track record of driving strategic growth, operational excellence, financial discipline across complex global organizations, including prior financial leadership roles at 3M and at Baxter.”
… of patients worldwide. Brett leaves ResMed in a position of strength with a very disciplined and experienced global financial team. I am tremendously grateful to Brett for his service, his leadership, his friendship, and his commitment to ResMed. I'd also like to now welcome Aaron Blumer to ResMed. Aaron brings more than 17 years of global financial leadership, most recently serving as the CFO of Exact Sciences. He has a strong track record of driving strategic growth, operational excellence, financial discipline across complex global organizations, including prior financial leadership roles at 3M and at Baxter. Aaron's international perspective will be invaluable here at ResMed as we continue to execute on our global 2030 strategy to accelerate our business and to deliver long-term value for our shareholders around the world. We look forward to introducing you to Aaron over the coming quarters. Okay, now turning to the third quarter, we delivered another set of strong results, including 11% growth in headline revenue or 8% growth on a constant currency basis. We delivered operating leverage leading to margin expansion both year on year as well as sequentially, resulting in 21% …
ResMed's analysis of 1.7 million patient records shows PAP patients who start GLP-1 therapy have higher PAP adherence (5.1% higher two-year, 6.2% higher three-year resupply rates), and of 2.1 million patients, those with both PAP and GLP-1 scripts are 11% more likely to start PAP and 6% more likely to have a resupply event at three years, positioning GLP-1s as a significant demand driver for the CPAP market.