It will be interesting to watch how the market reacts to this news.
ResMed is looking to double or triple the output of ventilators, and scale up ventilation mask production more than tenfold to meet surging demand from hospitals treating critically ill COVID-19 patients around the world. Resmed is one of the top five global manufacturer of ventilators – which are crucial in the treatment of patients with severe COVID-19 symptoms – and top two manufacturer of bilevels and masks. That makes it a critical player in fighting the pandemic.
A ResMed spokesman told The Australian Financial Review that when the news from the virus epicentre of Wuhan in China began trickling out in January, the company began ramping up production.
"Last year ResMed produced tens of thousands of ventilators, we are doubling or tripling that level this year to meet this demand," he said. "We were watching the outbreak along with everyone else and we knew there was going to be a heightened need for ventilators."
was market expecting more ?ResMed has overcome challenges posed by a shortage of critical electronic components, recording a 16 per cent jump in revenue for the first half. With $US1.8 billion in revenue, its net profit rose 13 per cent to $US405.4 million.
The company narrowly missed analyst consensus estimates, according to Bloomberg, which had predicted the company would generate $US1.83 billion revenue in the first half. It was also tipped to bank $US623.7 million of earnings before interest, tax, depreciation and amortisation and a net profit of $US408.1 million.
The dual-listed medtech business has faced “extraordinary demand” for its products thanks to competitor Philips’ recall of its Continuous Positive Airway Pressure (CPAP), Bi-Level Positive Airway Pressure (Bi-Level PAP) devices and mechanical ventilators, due to risks posed by a foam component in the devices.
And declared a quarterly cash dividend of $0.42 per share.
ResMed's success is more or less directly proportional to sleepless nights of many of usResMed’s revenues increased by 12 per cent to $US864.5 million in the March quarter lead by strong demand for sleep and respiratory care devices. A recent product recall by one of ResMed’s competitors also helped.
The company reported diluted earnings per share of $US1.22. Gross margin decreased by 140 basis points due to higher freight and manufacturing costs. Revenue in Europe, Asia, and other markets grew by 11 percent.
- has sold down from that $40 high of last Aug/ Sept to be just above $30. (*ten years ago it was $4)
The blurring of technology and healthcare is taking medical-device companies in new directions. ResMed could transform into a global health-solutions company that uses data to identify a range of medical conditions during sleep.
As I said last year, Remed increases market share and revenue with more people spend sleepless nights.ResMed has reported an 18 per cent increase in revenue to $US4.2 billion ($6.41 billion) for the full financial year, as chief executive Mick Farrell outlined plans to launch artificial intelligence products for patients and doctors.
ResMed reported a full-year net income of $US897 million, up 15 per cent, and gross margin declined by 0.8 per cent to 55.8 per cent thanks to higher component costs, warranty increases and freight costs.
It declared a US48¢ per share quarterly dividend.
Mr Farrell said early testing of its new AI products was “very positive” and ResMed planned to introduce several AI-powered data products for doctors and patients over the next several quarters.
@DrBourse - I will be keen to hear more from you on RMD as well. DNH.Good to see RMD is back to within its last years IV calculations of $23.47 to $27.83....
Another example of the 3 Valuations at play - The Co's, The Calculated IV, & The Broker/Analysts Guestimate....
This years Calcs will be interesting when I eventually get around to them...
@DrBourseHi Miner.....
Not sure when the RMD Financials will hit the deck - I had a note that they were due 11/8/23, not so sure abt that now.....
Last year we had the following 17 day sequence of announcements B4 the Annual Report was released....
View attachment 160728
This year we have only rec'd one (below) dated 4/8/23, (guess that was the one I expected on 4/8/23)....
View attachment 160729
So if RMD are true to form it may be another 2 weeks B4 they release the Final Audited "CSL Annual Report".....
Sheep & Beginners work off Briefings, Results Announcements or Statutory Accounts, which by the way are USUALLY UNAUDITED - I don't, because way too many 'things' go missing B4 the Annual Report lobs in our court....
Guess I will post something early Sept....
Cheers....
Hi Miner.....Hi Miner.....
Not sure when the RMD Financials will hit the deck - I had a note that they were due 11/8/23, not so sure abt that now.....
View attachment 160730
The above 4/8/23 announcement is all UNAUDITED & UNSIGNED....
Only Sheep & Beginners make decisions on that info, way too many 'things' go missing B4 the Final ResMed Form 10-k Annual Report is issued..... Hence the current SP 'Knee Jerk Reaction".....
Guess I will post something early Sept....
Cheers....
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