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Medical device company ResMed (NYSE:RMD) will be announcing earnings results tomorrow after market close. Here’s what to look for.
ResMed beat analysts’ revenue expectations by 1% last quarter, reporting revenues of $1.28 billion, up 10.3% year on year. It was a strong quarter for the company, with a narrow beat of analysts’ constant currency revenue estimates and a decent beat of analysts’ EPS estimates.
Is ResMed a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting ResMed’s revenue to grow 7.8% year on year to $1.29 billion, in line with the 7.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.36 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. ResMed has missed Wall Street’s revenue estimates twice over the last two years.
Looking at ResMed’s peers in the healthcare equipment and supplies segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Abbott Laboratories delivered year-on-year revenue growth of 4%, meeting analysts’ expectations, and Neogen reported a revenue decline of 3.4%, falling short of estimates by 1.5%. Abbott Laboratories traded up 3.8% following the results, while Neogen was down 20%.
Read our full analysis of Abbott Laboratories’s results here and Neogen’s results here.
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