Navigation Links
ResMed Inc. Announces Record Financial Results for the Quarter Ended and Six Months Ended December 31, 2010
Date:1/27/2011

SAN DIEGO, Jan. 27, 2011 /PRNewswire/ -- ResMed Inc. (NYSE: RMD) today announced record revenue and income for the quarter ended December 31, 2010.  Revenue for the quarter ended December 31, 2010 was $306.0 million, an 11% increase (a 14% increase on a constant currency basis) over the quarter ended December 31, 2009.  For the quarter ended December 31, 2010, income from operations was $69.9 million and net income was $58.5 million, an increase of 21% and 27%, respectively, compared to the quarter ended December 31, 2009.  Diluted earnings per share for the quarter ended December 31, 2010 were $0.37, an increase of 23% compared to the quarter ended December 31, 2009.  

(Logo: http://photos.prnewswire.com/prnh/20100203/RESMEDLOGO)

SG&A expenses were $91.6 million for the quarter ended December 31, 2010, an increase of $7.5 million, or 9% (a 10% increase on a constant currency basis) over the quarter ended December 31, 2009.  The increase in SG&A was primarily due to expenses necessary to support sales growth.  SG&A costs were 30% of revenue in the quarter ended December 31, 2010, compared to 31% in the quarter ended December 31, 2009.R&D expenses were $22.0 million for the quarter ended December 31, 2010, or 7% of revenue.  R&D expenses increased by 15% (a 10% increase on a constant currency basis) compared to the quarter ended December 31, 2009.  R&D expenses were negatively impacted by the depreciation of the U.S. dollar against the Australian dollar.

The company amortized acquired intangibles of $2.6 million ($1.7 million, net of tax) during the quarter ended December 31, 2010.  Stock-based compensation costs incurred during the quarter ended December 31, 2010 of $8.2 million ($5.1 million, net of tax) consisted of expenses associated with stock options, restricted stock units, and our employee stock purchase plan.  

For the six months ended December 31, 2010, revenue was $588.0 million, an increase of 13% over the six months ended December 31, 2009 (a 15% increase on a constant currency basis).  For the six months ended December 31, 2010, income from operations and net income were $136.3 million and $115.2 million, an increase of 23% and 31%, respectively, compared to the six months ended December 31, 2009.  Diluted earnings per share for the six months ended December 31, 2010 were $0.73 per diluted share, an increase of 28% compared to the six months ended December 31, 2009.

Inventory, at $214.9 million, increased by $29.2 million compared to June 30, 2010.  Accounts receivable days sales outstanding, at 67 days, decreased by 4 days compared to June 30, 2010.

Kieran T. Gallahue, President and Chief Executive Officer, commented, "In the second quarter of fiscal 2011 we continued to show strong growth year-over-year especially in Europe and the Asia-Pacific region.  Revenue in the Americas increased by 10% to $163.2 million over the prior year's quarter.  Revenue outside the Americas increased by 12% to $142.8 million over the prior year's quarter, or a 17% increase on a constant currency basis.  The growth in flow generators was mainly driven by sales of the S9™ AutoSet.  Masks sales did extremely well in all regions with the recent launches of several new masks across all categories.  Operating profit for the December quarter was $69.9 million and cash flow from operations was $68.3 million, demonstrating excellent operating performance.

"We expect the growth of all of our products to continue to benefit from the vastly under-penetrated and growing sleep-disordered breathing market.  The findings from clinical studies continue to demonstrate the importance of diagnosing and treating sleep-disordered breathing (SDB).  During the quarter, new 10-year study results published in the Journal of the American Heart Association showed that severe obstructive sleep apnea increased the risk of fatal and non-fatal cardiovascular events two-to five fold and can increase the risk of stroke.  Recommendations were made for evaluation of SDB particularly for those with obesity, hypertension, heart disease or drug-resistant hypertension(1).  Increasingly, there is evidence coming to light that early intervention in the treatment of SDB may slow or prevent the progression of these co-morbidities.  The increase in awareness of the role that SDB plays in these costly and debilitating co-morbidities and in the reduction in workplace safety and productivity, should continue to be a major driver of market expansion."

About ResMedResMed is a leading developer, manufacturer and distributor of medical equipment for treating, diagnosing, and managing sleep-disordered breathing and other respiratory disorders. The company is dedicated to developing innovative products to improve the lives of those who suffer from these conditions and to increasing awareness among patients and healthcare professionals of the potentially serious health consequences of untreated sleep-disordered breathing. For more information on ResMed, visit www.resmed.com.

ResMed will host a conference call at 1:30 p.m. US Pacific Time today to discuss these quarterly results.  Individuals wishing to access the conference call may do so via ResMed's Website at www.resmed.com or by dialing 1-800-291-9234 (domestic) or +1 617-614-3923 (international) and entering conference pass code no. 33911596. Please allow extra time prior to the call to visit the Web site and download the streaming media player (Windows Media Player) required to listen to the Internet broadcast.  The online archive of the broadcast will be available approximately 90 minutes after the live call and will be available for two weeks.  A telephone replay of the conference call is available by dialing 1-888-286-8010 (domestic) and +1 617-801-6888 (international) and entering conference I.D. No. 69512540.

Further information can be obtained by contacting Constance Bienfait at ResMed Inc., San Diego, at (858) 836-5971; Brett Sandercock at ResMed Limited, Sydney, on (+612) 8884-2090; or by visiting the Company's multilingual Web site at www.resmed.com.  

Statements contained in this release that are not historical facts are "forward-looking" statements as contemplated by the Private Securities Litigation Reform Act of 1995. These forward-looking statements, including statements regarding the Company's future revenue, earnings or expenses, new product development and new markets for the Company's products, are subject to risks and uncertainties, which could cause actual results to materially differ from those projected or implied in the forward-looking statements. Those risks and uncertainties are discussed in the Company's Annual Report on Form 10-K for its most recent fiscal year and in other reports the Company files with the U.S. Securities & Exchange Commission.  Those reports are available on the Company's Web site.

(1) Goldstein et al.  AHA 12/2010RESMED INC AND SUBSIDIARIESCondensed Consolidated Statements of Income (Unaudited)

(In US$ thousands, except per share data)Three Months Ended

December 31,

Six Months Ended

December 31,2010

2009

2010

2009Net revenue

$305,986

$275,134

$587,998

$522,126Cost of sales

119,987

110,929

228,045

207,743Gross profit

185,999

164,205

359,953

314,383Operating expenses:Selling, general and administrative

91,581

84,094

176,371

160,850Research and development

21,972

19,059

41,712

36,973Amortization of acquired intangible assets

2,573

2,130

4,604

3,975Donation to Foundation

-

1,000

1,000

2,000Total operating expenses

116,126

106,283

223,687

203,798Income from operations

69,873

57,922

136,266

110,585Other income (expenses), net:Interest income (expense), net

6,005

3,166

11,102

5,290Other, net

3,043

2,009

8,106

5,127Total other income (expenses), net

9,048

5,175

19,208

10,417Income before income taxes

78,921

63,097

155,474

121,002Income taxes

20,465

17,114

40,310

32,917Net income

$58,456

$45,983

$115,164

$88,085Basic earnings per share

$0.38

$0.31

$0.76

$0.59Diluted earnings per share

$0.37

$0.30

$0.73

$0.57Basic shares outstanding

152,420

150,246

152,006

150,544Diluted shares outstanding

157,593

154,068

157,276

153,748All share and per share information has been adjusted to reflect the two-for-one stock split effected in the form of a 100% stock dividend that was declared on August 5, 2010 and distributed on August 30, 2010.RESMED INC AND SUBSIDIARIESCondensed Consolidated Balance Sheets (Unaudited)

(In US$ thousands except share and per share data)December 31,

June 30,2010

2010ASSETSCurrent assets:Cash and cash equivalents

$616,201

$488,776Accounts receivable, net

235,083

226,911Inventories

214,886

185,642Deferred income taxes

7,447

14,112Income taxes receivable

5,577

5,317Prepaid expenses and other current assets

66,060

64,583Total current assets

1,145,254

985,341Property, plant and equipment, net

441,049

387,148Goodwill

219,220

198,625Other intangibles

50,627

30,925Deferred income taxes

19,829

19,042Other assets

8,232

5,316Total non-current assets

738,957

641,056Total assets

$1,884,211

$1,626,397LIABILITIES AND STOCKHOLDERS' EQUITYCurrent liabilities:Accounts payable

44,329

57,535Accrued expenses

92,527

80,883Deferred revenue

37,030

29,507Income taxes payable

7,884

22,656Deferred income taxes

464

402Current portion of long-term debt

64,358

121,689Total current liabilities

246,592

312,672Non-current liabilities:Deferred income taxes

9,615

10,793Deferred revenue

14,986

12,755Income taxes payable

2,216

2,641Total non-current liabilities

26,817

26,189Total liabilities

273,409

338,861Stockholders' Equity:Common stock

614

605Additional paid-in capital

737,300

660,185Retained earnings

1,000,040

884,876Treasury stock

(381,101)

(344,505)Accumulated other comprehensive income

253,949

86,375Total stockholders' equity

1,610,802

1,287,536Total liabilities and stockholders' equity

$1,884,211

$1,626,397
'/>"/>

SOURCE ResMed Inc.
Copyright©2010 PR Newswire.
All rights reserved

Related medicine technology :

1. ResMed Acquires Laboratoires Narval
2. ResMed Inc Announces Record Financial Results for the Quarter and Six Months Ended December 31, 2009
3. ResMed Inc. Announces Record Financial Results for the Quarter Ended September 30, 2009
4. ResMed Inc. to Present at Upcoming Conferences
5. ResMed Announces Deferred Conversions in Connection With Stock Split
6. ResMed Inc. Announces Completion of Two-for-One Stock Split
7. Study Shows ResMeds New CPAP Device Increases Patient Compliance
8. ResMed Announces Conference Call and Webcast to Discuss First Quarter 2011 Results
9. ResMed Inc. Announces Record Financial Results for the Quarter Ended September 30, 2010
10. ResMed Announces Conference Call and Webcast to Discuss Second Quarter 2011 Results
11. Dendreon Announces Publication of Phase 1 Study Highlighting Immunologic and Clinical Activity of Lapuleucel-T (Neuvenge(R)) in Advanced Breast Cancer Patients
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/23/2016)... 2016  In a startling report released today, National Safety ... lacking a comprehensive, proven plan to eliminate prescription opioid overdoses. ... how states are tackling the worst drug crisis in recorded U.S. ... Kentucky , New Mexico , ... Of the 28 failing states, three – Michigan ...
(Date:6/23/2016)... 2016 Capricor Therapeutics, Inc. ... biotechnology company focused on the discovery, development and ... enrollment in its ongoing randomized HOPE-Duchenne clinical trial ... of its 24-patient target. Capricor expects the trial ... of 2016, and to report top line data ...
(Date:6/23/2016)... , June 23, 2016 , ... on Thursday, July 7, 2016 , , , , LOCATION: ... , , , , EXPERT PANELISTS:  , , , ... Senior Industry Analyst, Christi Bird; Senior Industry Analyst, Divyaa Ravishankar and ... The global pharmaceutical industry is witnessing an exceptional era. ...
Breaking Medicine Technology:
(Date:6/25/2016)... Beach, CA (PRWEB) , ... June 25, 2016 , ... ... UCLA with Magna Cum Laude and his M.D from the David Geffen School of ... Diego and returned to Los Angeles to complete his fellowship in hematology/oncology at the ...
(Date:6/25/2016)... ... , ... On Friday, June 10, Van Mitchell, Secretary of the Maryland Department ... in recognition of their exemplary accomplishments in worksite health promotion. , The Wellness at ... Wellness Symposium at the BWI Marriott in Linthicum Heights. iHire was one of 42 ...
(Date:6/24/2016)... Los Angeles, CA (PRWEB) , ... June 24, 2016 , ... ... plastic surgery procedures that most people are unfamiliar with. The article goes on to ... known procedures, but also many of these less common operations such as calf and ...
(Date:6/24/2016)... ... June 24, 2016 , ... June 19, 2016 is World Sickle Cell Observance ... and the benefits of holistic treatments, Serenity Recovery Center of Marne, Michigan, ... Disease. , Sickle Cell Disease (SCD) is a disorder of the red blood cells, ...
(Date:6/24/2016)... , ... June 24, 2016 , ... ... and Scientific Sessions in Dallas that it will receive two significant new grants ... grants came as PHA marked its 25th anniversary by recognizing patients, medical professionals ...
Breaking Medicine News(10 mins):