Slide 1: Q2 FY2024 Earnings
Q2 FY2024 Earnings January 24, 2024
Slide 2: Presentation of financial information & forward-looking statements
Presentation of financial information & forward-looking statements Historical financial and operating data in this presentation reflect the consolidated results of ResMed Inc., its subsidiaries, and its legal entities, for the periods indicated. This presentation includes financial information prepa
Slide 3: Our mission is to change 250 million lives in 2025
Our mission is to change 250 million lives in 2025 We're proud to offer digital and connected health solutions that help those with sleep apnea, COPD, and other respiratory diseases live happier, healthier lives in the comfort of home or care setting of their choice During the last 12 months, we cha
Slide 4: ResMed | The global leader in connected and digital health
ResMed | The global leader in connected and digital health Key Statistics1 Headquarters San Diego, CA 12% 12% Founded 1989 Revenue Revenue LTM 2Q24 revenue $4.5B 35% by business 30% by region LTM 2Q24 53% LTM 2Q24 58% Listed (NYSE, ASX) 1995, RMD Market cap2 ~$26B Countries served 140+ ▪ Devices ▪ U
Slide 5: ResMed 2025: a patient-centric, digitally-enabled strategy
ResMed 2025: a patient-centric, digitally-enabled strategy 250 million lives improved in out-of-hospital healthcare in 2025! Purpose Empower people to live happier, healthier, and higher quality lives in the comfort of their home Growth Focus Global health epidemics in sleep apnea, COPD, other major
Slide 6: Market-leading solutions for four of the world's most prevalent chronic diseases
We provide market-leading solutions for four of the world’s most prevalent and significant chronic diseases In our primary market, sleep apnea, the global ~1B prevalence is enormous with sleep apnea and growing1 Our secondary markets of COPD, asthma, and insomnia provide additional opportunities for
Slide 7: Delivering digital health solutions that improve outcomes and lower costs
We do this by delivering digital health solutions that improve outcomes and lower costs ecosystem Patient outcomes Artificial intelligence Connected devices and digital health Out-of-hospital SaaS platforms CLINICIAN DATA Business outcomes APPS/DIGITAL THERAPEUTICS Machine learning IDN PATIENT/ Oper
Slide 8: Priorities that guide our daily focus
Priorities that guide our daily focus Our triple aim: I. Slow chronic Grow and differentiate Deliver world-leading Build the world's best disease progression our core sleep apnea, medical devices and software solutions COPD, and asthma digital health technology network for healthcare II. Reduce over
Slide 9: Global OSA prevalence
ResMed has a very large, under-penetrated opportunity to reach and serve OSA patients globally, including a broad range of pharma impact scenarios TAM without pharma impact TAM mid-pharma impact TAM high-pharma impact Global OSA patient prevalence from latest epidemiology data ResMed Connected Devic
Slide 10: Real-world data shows positive correlation between GLP-1s and PAP therapy
Real-world data analysis in Sleep Apnea (OSA) population shows a significant positive correlation between GLP-1s and PAP therapy GLP-1 initiated1,2 vs. non-GLP-1 initiated OSA patients1 Likely to initiate PAP therapy3 +1000 bps Patients with an OSA diagnosis and prescribed a GLP-1 drug are 10% more
Slide 11: Real-world data shows positive correlation between GLP-1s and PAP therapy
Real-world data analysis in Sleep Apnea (OSA) population shows a significant positive correlation between GLP-1s and PAP therapy GLP-1 initiated1,2 vs. non-GLP-1 initiated OSA patients1 PAP resupply rates4 PAP resupply rates4 1-year post-setup 2-years post-setup Patients with an +500 bps OSA diagnos
Slide 12: Financial Results
Financial Results
Slide 13: Q2 FY24 financial results
Q2 FY24 financial results Revenue by Business Q2 FY24 13% Devices Revenue ($M) Non-GAAP Operating Non-GAAP EPS Masks and other $1,162.8 Income ($M) OOH SaaS 52% 35% $1,033.7 $365.5 $1.88 $1.66 $305.5 Revenue by Region Q2 FY24 U.S., Canada, 13% and Latin America Europe, Asia, Q2 FY23 Q2 FY24 Q2 FY23
Slide 14: Solid balance sheet
Solid balance sheet Operating Cash Flow ($M) Capital Expenditures ($M) Free Cash Flow ($M) $1,079.1 $962.5 Total debt outstanding $1,227M Less: Cash & cash equiv. $210M $577.0 $133.5 $465.0 $112.0 $116.7 Net Debt $1,016M $370.2 $236.7 Unused borrowing capacity $955M LTM 2Q22 LTM 2Q23 LTM 2Q24 LTM 2Q
Slide 15: Track record of strong financial returns for shareholders
Track record of strong financial returns for shareholders (Financial data as of December 31, 2023) Revenue ($B) Non-GAAP Operating Income ($M) Non-GAAP EPS 13% CAGR 15% CAGR 13% CAGR $1,312 $4.5 $6.79 $2.5 $663 $3.68 LTM 2Q19 LTM 2Q24 LTM 2Q19 LTM 2Q24 LTM 2Q19 LTM 2Q24 NOTE: See reconciliation to G
Slide 16: Strategic capital allocation framework
Strategic capital allocation framework Strategic Capital deployed over last 3 years • Reinvest in product development for Growth (through December 31, 2023) Priorities Reinvest for high-return organic growth growth 2% • 6% of revenue invested in R&D • Actively evaluate potential acquisitions 27% 28%
Slide 17: Driving long-term shareholder value
Driving long-term shareholder value Growth & Innovation Market Dynamics Financial Results • Global leader in digital health for • Underpenetrated markets in sleep • Historical revenue and profit growth sleep and respiratory care and COPD • Recurring revenue • Long-term growth opportunities • Healthc
Slide 18: Contact Investor Relations
Contact Investor Relations Phone: (858) 836-5971 Email: investorrelations@resmed.com Website: investor.resmed.com
Slide 19: Appendix
APPENDIX
Slide 20: Reconciliation of non-GAAP financial measures
Reconciliation of non-GAAP financial measures The measures “non-GAAP gross profit” and “non-GAAP gross margin” exclude amortization expense from acquired intangibles related to cost of sales and are reconciled below: (Unaudited; $ in thousands, except for per share amounts) Three Months Ended Six Mo
Slide 21: Reconciliation of non-GAAP financial measures, cont'd
Reconciliation of non-GAAP financial measures, cont’d The measure “non-GAAP income from operations” is reconciled with GAAP income from operations below: (Unaudited; $ in thousands, except for per share amounts) Three Months Ended Six Months Ended December 31, December 31, December 31, December 31,
Slide 22: Reconciliation of non-GAAP financial measures, cont'd
Reconciliation of non-GAAP financial measures, cont’d The measure “non-GAAP net income” and “non-GAAP diluted earnings per share” are reconciled with GAAP net income and GAAP diluted earnings per share in the table below: (Unaudited; $ in thousands, except for per share amounts) Three Months Ended S