Revenue Jump Sees Resmed On The Rise
American investors couldn’t get enough of Resmed shares overnight Tuesday - the chased the stock so hard that at one stage it was outperforming Netflix. In early trading resmed shares were up 17.7% against a 13.2% gain for Netflix.
Near the end of Wall Street trading Resmed shares were up 14.8% at $US100.25, the first time share shares have cracked that level. Netflix shares were up more than 10% at over $US251.
Resmed was the best performed share in the S&P 500 after they were up 8.4% on Tuesday to $A11.97. At Tuesday’s Wall Street levels Resmed is valued at more than $US14.2 billion, an all time high.
ResMed shares surged in Australia after it revealed strong sales numbers for the December quarter.
Overall revenue for the three months to December was up 13% to $US601.3 million. Revenue for Brightree, cloud-based clinical software business acquired in April 2016, was $38.7 million, an increase of 14%.
“We had a strong quarter with double-digit revenue and operating profit growth” said Mick Farrell, ResMed’s chief executive officer.
“Our masks have performed well around the world, device sales are solid, and our cloud-based software continues to grow rapidly..
The company said it will release its ResMed-branded portable oxygen concentrator, Mobi, before the end of the current quarter.
Glenn Dyer has been a finance journalist and TV producer for more than 40 years. He has worked at Maxwell Newton Publications, Queensland Newspapers, AAP, The Australian Financial Review, The Nine Network and Crikey.
At the AFR he was a finance writer, Finance Editor, News Editor and Chief of Staff. At the Nine Network he was supervising producer of Business Sunday for more than 16 years. He has also written for other online and analogue print publications here and overseas.