ResMed reported adjusted earnings of $2.81 per share for the second quarter of fiscal 2026, surpassing the consensus estimate of $2.72. Quarterly revenue rose 11% year-over-year to $1.42 billion, outpacing the Street’s forecast of $1.396 billion. On a constant currency basis, sales grew 9%, driven by robust demand for CPAP devices, masks and accessories. Residential Care Software revenue contributed with a 5% increase in constant currency. Adjusted operating income climbed 19% to $517.2 million, while adjusted gross margin expanded by 310 basis points to 62.3%, reflecting manufacturing efficiencies and lower component costs.

In December 2025, the U.S. Food and Drug Administration approved ResMed’s Personalized Therapy Comfort Settings (PTCS) as the first AI-enabled medical device for obstructive sleep apnea. Branded Smart Comfort, the feature will debut in early 2026 through a limited U.S. beta within the myAir consumer app, paired with the AirSense 11 platform. A broader rollout to new myAir users is planned later in the year. Smart Comfort leverages machine learning to recommend individualized pressure settings, aiming to improve patient adherence and reduce therapy drop-outs.

Analysts at William Blair reaffirmed their Outperform rating, projecting high single-digit revenue growth and 15% adjusted EPS growth for fiscal 2026. Stifel maintained a Hold stance but raised its price forecast, while Wells Fargo and Piper Sandler kept Neutral/Equal-Weight ratings with upward revisions to their targets. Despite concerns over competitive pressures and the potential impact of GLP-1 therapies, Brandon Vazquez at William Blair emphasized that ResMed’s execution track record and durable market share—50–60% in sleep apnea devices across 140+ countries—underpin a resilient growth trajectory.

During the third quarter, AlphaQuest LLC increased its stake in ResMed by 1,038%, ending the period with 15,363 shares valued at approximately $4.2 million. Other institutional moves included a 1,433% rise by SJS Investment Consulting and new positions by WFA of San Diego and GoalVest Advisory, reflecting growing confidence among asset managers. Insider transactions saw Directors and the CEO sell modest stakes—2,000 and 8,011 shares respectively—without materially altering their substantial holdings, which collectively exceed 0.65% of total shares outstanding.