Sleep disorder equipment supplier ResMed’s annual profit is up 12 per cent due to stronger revenue in the United States.
ResMed, which makes a range of sleep masks and associated products which improve breathing for people who snore or have sleep apnoea, posted a net profit of $254.9 million in the year to June 30, up from $227 million in the prior year.
ResMed securities were 27 cents, or 8.94 per cent, higher at $3.29 at 1544 AEST on Friday.
ResMed’s profit in the final three months of the financial year was up 31 per cent to $76.8 million, compared to the prior corresponding period.
ResMed chief executive Peter Farrell said the last quarter of the year and the full financial year had been “extremely solid”.
Dr Farrell said ResMed’s air flow generator and mask categories had performed well.
“We believe that superior product quality continues to drive our growth,” Dr Farrell said in a briefing for analysts.
California-based ResMed said revenue from its Americas operations increased by 13 per cent in the final quarter of the financial year.
Revenue outside of the Americas increased by three per cent or 13 per cent on a constant currency basis.
Dr Farrell said Europe continued to be challenging due to the difficult micro-economic environment but sales were relatively strong in Germany and the United Kingdom.
The Asia-Pacific region had a solid quarter, particularly in Japan.
Emerging markets such as India, China and the Middle East also did very well during the quarter.
Dr Farrell said all of ResMed’s categories of masks had exhibited strong growth, and ResMed continued to gain market share, particularly with the Mirage nasal mask, a product which he described as a “seeming game changer”.
Global growth in the flow generators during the last quarter was primarily driven by high-end devices that were smaller, quieter and more appealing.
Growth in flow generators was also driven by the ongoing growth of home sleep testing and physicians shifting patients onto devices that provided more flexible therapy, and improved patient comfort, and which appeared to enhance patient compliance to treatment.
ResMed is listed on the Australian Securities Exchange (ASX) and the New York Stock Exchange.
It has operations in more than 70 countries.
