Exhibit 99.1

RESMED INC ANNOUNCES RECORD FINANCIAL RESULTS FOR

QUARTER AND SIX MONTHS ENDED DECEMBER 31, 2005

SAN DIEGO, California, February 7, 2006 - ResMed Inc (NYSE: RMD) today announced record revenue and income results for the quarter ended December 31, 2005. Revenue for the quarter was $146.4 million, a 41% increase over the quarter ended December 31, 2004. For the current quarter, pro forma income from operations and pro forma net income were $38.3 million and $26.9 million, an increase of 44% and 49%, respectively (pro forma measures exclude the impact of stock-based compensation costs, restructuring expenses and amortization of acquired intangible assets, which are described below). Pro forma diluted earnings per share for the quarter ended December 31, 2005 were $0.36, an increase of 44%, compared to the December 2004 quarter. GAAP operating income was $32.3 million for the current quarter, while net income was $22.3 million or $0.30 per diluted share. Gross margin was 63% for the quarter ended December 31, 2005.

Pro forma selling, general and administration (SG&A) costs for the quarter were $45.3 million, an increase of $11.8 million, or 35%, over the same period in fiscal 2005 (pro forma SG&A in fiscal 2006 excludes $3.6 million in stock-based compensation costs). GAAP SG&A costs were $48.9 million for the quarter, an increase of $15.4 million, or 46%. The increase in SG&A was primarily due to recent acquisitions, the addition of selling and administration personnel, and infrastructure investment in Europe. Pro forma SG&A costs were 31% of revenue in the December quarter, compared to 32% in the same period in fiscal 2005.

During the quarter, ResMed also donated $255,000 to the ResMed Foundations, which promote research and awareness of serious medical consequences of untreated SDB.

GAAP research and development expenditure during the quarter was $8.6 million or approximately 6% of revenues. GAAP R&D expenses increased 10% year over year and are expected to remain at about 6% of net revenue for fiscal year 2006. Excluding stock-based compensation costs, R&D expenditure was $8.1 million for the quarter.

For the six months ended December 31, 2005 revenues were $273.5 million, an increase of 43% over the $191.6 million for the six months ended December 31, 2004. For the six months ended December 31, 2005, pro forma income from operations and pro forma net income were $68.7 million and $47.6 million, an increase of 39% and 44%, respectively. GAAP net income for the six months ended December 31, 2005 was $38.8 million or $0.53 per diluted share.

Restructuring expenses incurred during the quarter ended December 31, 2005, of $0.2 million ($0.1 million net of tax), predominantly consisted of expenses associated with the previously-announced integration of the Company’s German operations. Amortization of acquired intangibles of $1.5 million ($1.0 million net of tax), incurred during the quarter ended December 31, 2005, consisted of amortization of acquired intangible assets associated with our acquisitions of Resprecare, Hoefner, Saime, Pulmomed and PolarMed. Stock-based compensation costs incurred during the quarter ended December 31, 2005, of $4.3 million ($3.4 million net of tax), consisted of expenses associated with stock options granted to employees and the employee stock purchase plan. The recognition of these stock-based compensation expenses is in accordance with SFAS No. 123(R), which was adopted for the first time in the quarter ended September 30, 2005.

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The Company is providing tabular reconciliation of GAAP operating income and GAAP net income with pro forma operating income (and pro forma net income), excluding the impact of stock-based compensation costs, restructuring expenses and amortization of acquired intangibles, for the three month and six month periods ended December 31, 2005 and December 31, 2004.

Inventory, at $107.5 million, increased by $18.4 million compared to June 2005 levels primarily to accommodate sales growth, particularly in our domestic market. Accounts receivable days sales outstanding, at 70 days, decreased compared to the June 2005 level of 71 days.

Peter C. Farrell Ph.D., Chairman and Chief Executive Officer, commented, “In the second quarter of fiscal 2006, sales in the Americas increased by a record 50 percent over the year ago quarter to $78.3 million, reflecting continued strong demand for our new Mirage Swift™ patient interface and full face mask as well as a rapid adoption of our S8™ flow generator platform. International sales, including incremental revenue contributions from the acquisitions of Resprecare, Hoefner, Saime, Pulmomed and PolarMed, totaled $68.1 million, a 32% increase over last year. Net income for the December quarter, excluding stock-based compensation costs, restructuring and amortization of acquired intangibles, was $26.9 million, an increase of 49% over the same period in 2004, due primarily to strong sales growth. Our operating cash flow for the December quarter was $14.9 million, reflecting working capital increases, particularly accounts receivable and inventory, concomitant with our strong sales growth.”

About ResMed

ResMed is a leading manufacturer of medical equipment for the treatment and management of sleep-disordered breathing and other respiratory disorders. We are dedicated to developing innovative products to improve the lives of those who suffer from these conditions and to increasing awareness among patients and healthcare professionals for the potentially serious health consequences of untreated sleep-disordered breathing. For more information on ResMed, visit www.resmed.com.

ResMed will host a conference call at 1:30 p.m. Pacific Standard Time (USPST) today to discuss these quarterly results. Individuals wishing to access the conference call may do so via ResMed’s Web site at www.resmed.com or by dialing (866) 203-2528 (domestic) or +1 (617) 213-8847 (international) and entering participant passcode 72896897. Please allow extra time prior to the call to visit the Web site and download the streaming media player (Windows Media Player) required to listen to the Internet broadcast. The online archive of the broadcast will be available approximately 90 minutes after the live call and will be available for two weeks. A telephone replay of the conference call is available by dialing (888) 286-8010 (domestic) and +1 (617) 801-6888 (international) and entering passcode 89121733.

Further information can be obtained by contacting Hillary Theakston at ResMed Inc San Diego (858) 746-2610; Brett Sandercock ResMed Limited Sydney on +61 (2) 9886-5406; or by visiting the Company’s multilingual Web site at www.resmed.com.

Statements contained in this release that are not historical facts are “forward-looking” statements as contemplated by the Private Securities Litigation Reform Act of 1995. These forward-looking statements, including statements regarding the Company’s future revenue, earnings or expenses, new product development and new markets for the Company’s products, are subject to risks and uncertainties, which could cause actual results to materially differ from those projected or implied in the forward-looking statements. Those risks and uncertainties are discussed in the Company’s Annual Report on Form 10-K for its most recent fiscal year and in other reports the Company files with the U.S. Securities & Exchange Commission. Those reports are available on the Company’s Web site.

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RESMED INC AND SUBSIDIARIES

Consolidated Statements of Income (Unaudited)

(In US$ thousands, except per share data)

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RESMED INC AND SUBSIDIARIES

Consolidated Balance Sheets (Unaudited)

(In US$ thousands except share and per share data)

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Reconciliation of Non-GAAP Financial Measures (Unaudited)

(Dollars in thousands except per share amounts)

In managing its business, ResMed makes use of certain non-GAAP financial measures in evaluating the Company’s results of operations. The measure, “pro forma operating income” is reconciled with GAAP operating income in the table below:

The measure, “pro forma net income” is reconciled with GAAP net income in the table below:

ResMed believes that presenting diluted earnings per share, excluding the impact of stock-based compensation costs, restructuring expenses and amortization of acquired intangible assets, is an additional measure of performance that investors can use to compare operating results between reporting periods. Management of the Company uses non-GAAP information internally in planning, forecasting, and evaluating the Company’s results of operations in the current period and in comparing it to past periods. The Company also uses these non-GAAP measures in evaluating management performance for compensation purposes. Management believes that this information also provides investors better insight in evaluating the Company’s earnings performance from core operations and provides consistency in financial reporting.

The Company initially adopted SFAS No. 123(R) on July 1, 2005 using the modified prospective method, which resulted in stock-based compensation expenses being recognized during the three months and six months ended December 31, 2005 without corresponding expenses in the same periods in fiscal 2005. In addition, the events giving rise to the restructuring expenses are not associated with the Company’s normal operating business and are expected to result in future market opportunities, cost savings, and other benefits.

Management believes disclosure of non-GAAP earnings has economic substance because the excluded expenses represent non-cash expenditures, or relate to transactions that are variable in nature between reporting periods.

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Our use of non-GAAP earnings is intended to supplement, and not to replace, our presentation of net income and other GAAP measures. Like all non-GAAP measures, non-GAAP earnings are subject to inherent limitations because they do not include all the expenses that must be included under GAAP. We compensate for the inherent limitations of non-GAAP measures by not relying exclusively on non-GAAP measures, but rather by using such information to supplement GAAP financial measures.

Reconciliation of Basic and Diluted Earnings per Share (Unaudited)

(Dollars in thousands except per share amounts)

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