RM

ResMed Inc. stock research

Jun 30, 2023

FY2023 Q4

ResMed (RMD) Gross Margin — Quarter Ended Jun 30, 2023

Revenue was stable compared to the prior quarter and higher than the same quarter last year. Gross profit was slightly lower than the prior quarter but higher year over year, while cost of revenue increased relative to both periods, resulting in a gross margin that weakened sequentially and declined from the year-ago level.

Gross margin takeaway

Quarter ended Jun 30, 2023 · FY2023 Q4

Revenue was stable compared to the prior quarter and higher than the same quarter last year. Gross profit was slightly lower than the prior quarter but higher year over year, while cost of revenue increased relative to both periods, resulting in a gross margin that weakened sequentially and declined from the year-ago level.

  • The gross margin weakened sequentially and year over year, driven by a higher cost of revenue relative to revenue in both comparisons.
  • Compared to the prior quarter, revenue was stable while cost of revenue was higher, leading to a slightly lower gross profit and a weakened gross margin. Versus the same quarter last year, revenue and gross profit were higher, but cost of revenue increased more, resulting in a lower gross margin.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

55.0%

Gross profit

$617.4M

Revenue

$1.1B

Cost of revenue

$504.7M

Quarter-over-quarter change

-0.3 pts

Year-over-year change

-2.1 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2023$1.1B$617.8M$499.1M55.3%
Jun 30, 2023$1.1B$617.4M$504.7M55.0%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Mar 31, 2023

-0.3 pts

Year-over-year change

Jun 30, 2022

-2.1 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The gross margin weakened sequentially and year over year, driven by a higher cost of revenue relative to revenue in both comparisons.

Compared to the prior quarter, revenue was stable while cost of revenue was higher, leading to a slightly lower gross profit and a weakened gross margin. Versus the same quarter last year, revenue and gross profit were higher, but cost of revenue increased more, resulting in a lower gross margin.

Monitor the trend in cost of revenue relative to revenue, as its increase has outpaced revenue growth in both comparisons.

RMD Gross Margin — Quarter Ended Jun 30, 2023