Form: 8-K

Current report filing

August 5, 2020

Exhibit 99.1

 

LOGO

 

For investors    For media
Amy Wakeham    Jayme Rubenstein
+1 858-836-5000    +1 858-836-6798
investorrelations@resmed.com    news@resmed.com

ResMed Inc. Announces Results for the Fourth Quarter of Fiscal Year 2020

–     Year-over-year revenue grows 9%, non-GAAP operating profit up 24%

Note: A webcast of ResMed’s conference call will be available at 4:30 p.m. ET today at http://investor.resmed.com

SAN DIEGO, August 5, 2020 – ResMed Inc. (NYSE: RMD, ASX: RMD), a world-leading digital health company, today announced results for its quarter ended June 30, 2020.

Fourth Quarter 2020 Highlights

All comparisons are to the prior year period

 

  •  

Revenue increased 9% to $770.3 million; up 10% on a constant currency basis

 

  •  

GAAP gross margin of 58.3%; non-GAAP gross margin expanded 60 bps to 59.9%

 

  •  

Net operating profit increased 84%; non-GAAP operating profit up 24%

 

  •  

GAAP diluted earnings per share of $1.22; non-GAAP diluted earnings per share of $1.33

Full Year 2020 Highlights

All comparisons are to the prior year period

 

  •  

Revenue increased 13% to $3.0 billion; up 15% on a constant currency basis

 

  •  

GAAP gross margin of 58.1%; non-GAAP gross margin expanded 80 bps to 59.8%

 

  •  

Net operating profit increased 40%; non-GAAP operating profit up 24%

 

  •  

GAAP diluted earnings per share of $4.27; non-GAAP diluted earnings per share of $4.76

“Our fourth quarter results reflect the strength and resiliency of our business in today’s uncertain environment. We finished fiscal year 2020 with double-digit revenue growth to $3.0 billion and operating profit up 24% on a non-GAAP basis,” said Mick Farrell, ResMed’s CEO. “Throughout our fiscal fourth quarter, we continued to support the COVID-19 pandemic response through increased manufacturing of our ventilators, including bilevels, and ventilation mask systems while also supporting our customers with digital health solutions and other innovative tools to enable remote care for patients. Looking ahead, we are confident in our ability to navigate through the ongoing challenging clinical and economic environment to deliver for all our stakeholders. Sleep labs and physician practices are reopening across many geographies, and we’re seeing accelerated adoption of digital health solutions which supports our long-term strategy. We remain vigilant and thoughtful about the outlook for our business as we continue to serve our customers, and we believe our strong foundation will accelerate our growth over the longer term.”


 

 

RMD Fourth Quarter 2020 Earnings Press Release – August 5, 2020    Page 2 of 10

 

Financial Results and Operating Metrics

Unaudited; $ in millions, except for per share amounts

 

     Three Months Ended  
     June 30,
2020
    June 30,
2019
    % Change     Constant
Currency (A)
 

Revenue

   $ 770.3     $ 705.0       9     10

Gross margin (B)

     58.3     57.1     2    

Non-GAAP gross margin (B)

     59.9     59.3     1    

Selling, general and administrative expenses

     165.4       171.6       (4     0  

Research and development expenses

     52.5       51.1       3       4  

Income from operations

     223.2       121.1       84    

Non-GAAP income from operations (B)

     243.4       196.2       24    

Net income

     177.8       68.8       158    

Non-GAAP net income (B)

     193.3       137.6       40    

Diluted earnings per share

   $ 1.22     $ 0.48       154    

Non-GAAP diluted earnings per share (B)

   $ 1.33     $ 0.95       40    
     Twelve Months Ended  
     June 30,
2020
    June 30,
2019
    % Change     Constant
Currency (A)
 

Revenue

   $  2,957.0     $  2,606.6       13     15

Gross margin (B)

     58.1     57.3     1    

Non-GAAP gross margin (B)

     59.8     59.0     1    

Selling, general and administrative expenses

     676.7       645.0       5       7  

Research and development expenses

     201.9       180.7       12       14  

Income from operations

     809.7       579.3       40    

Non-GAAP income from operations (B)

     890.9       716.3       24    

Net income

     621.7       404.6       54    

Non-GAAP net income (B)

     692.8       526.4       32    

Diluted earnings per share

   $ 4.27     $ 2.80       53    

Non-GAAP diluted earnings per share (B)

   $ 4.76     $ 3.64       31    

 

(A)

In order to provide a framework for assessing how our underlying businesses performed excluding the effect of foreign currency fluctuations, we provide certain financial information on a “constant currency basis,” which is in addition to the actual financial information presented. In order to calculate our constant currency information, we translate the current period financial information using the foreign currency exchange rates that were in effect during the previous comparable period. However, constant currency measures should not be considered in isolation or as an alternative to U.S. dollar measures that reflect current period exchange rates, or to other financial measures calculated and presented in accordance with U.S. GAAP.

(B)

See the reconciliation of non-GAAP financial measures in the table at the end of the press release.

Discussion of Fourth Quarter Results

All comparisons are to the prior year period unless otherwise noted

 

  •  

Revenue in the U.S., Canada, and Latin America, excluding Software as a Service, grew by 4 percent, driven by strong sales across our mask product portfolio and increased demand for our ventilators due to COVID-19, partially offset by a decrease in demand for our sleep devices.

 

  •  

Revenue in combined Europe, Asia, and other markets grew by 22 percent on a constant currency basis, primarily driven by sales across our device product portfolio, including increased demand for our ventilators due to COVID-19.

 

  •  

Software as a Service revenue increased by 7 percent, due to continued growth in resupply service offerings and stabilizing patient flow in out-of-hospital care settings.


 

 

RMD Fourth Quarter 2020 Earnings Press Release – August 5, 2020    Page 3 of 10

 

  •  

Gross margin expanded by 120 basis points while non-GAAP gross margin expanded by 60 basis points. These expansions were primarily due to benefits from product mix changes, partially offset by declines in manufacturing and procurement efficiencies driven by higher air freight costs.

 

  •  

Selling, general, and administrative expenses decreased by 4 percent or consistent on a constant currency basis. SG&A expenses improved to 21.5 percent of revenue in the quarter, compared with 24.3 percent in the same period of the prior year. These changes in SG&A expenses were mainly due to savings in travel and other cost management as a result of the COVID-19 pandemic.

 

  •  

Income from operations increased by 84 percent and non-GAAP income from operations increased by 24 percent.

 

  •  

Net income grew by 158 percent and diluted earnings per share grew by 154 percent, largely attributable to the impact of legal settlement expenses in the prior year. Non-GAAP net income grew by 40 percent and non-GAAP diluted earnings per share grew by 40 percent, predominantly attributable to strong ventilator device sales and controlled operating costs.

 

  •  

Cash flow from operations for the quarter was $330.3 million, compared to net income in the current quarter of $177.8 million. During the quarter we paid $56.5 million in dividends.

Other Business and Operational Highlights

 

  •  

Accelerated the launch of cloud-based remote monitoring software for ventilators and Lumis devices across Europe, via the AirView platform. Through the new release, clinicians and care providers can remotely monitor patients’ respiratory rate and blood oxygen saturation, two key indicators to track changes in a respiratory patient’s condition.

 

  •  

Launched ResMed MaskSelector, a digital tool to make remote patient mask selection and sizing easier and more effective, helping patients receive the care they need from home. ResMed MaskSelector creates personalized ResMed mask recommendations based on a patient’s sleep attributes and facial measurements enabling HMEs to support patients when they can’t physically set them due to physical distancing.

Dividend program

The ResMed board of directors today declared a quarterly cash dividend of $0.39 per share. The dividend will have a record date of August 20, 2020, payable on September 24, 2020. The dividend will be paid in U.S. currency to holders of ResMed’s common stock trading on the New York Stock Exchange. Holders of CHESS Depositary Interests (“CDIs”) trading on the Australian Securities Exchange will receive an equivalent amount in Australian currency, based on the exchange rate on the record date, and reflecting the 10:1 ratio between CDIs and NYSE shares. The ex-dividend date will be August 19, 2020, for common stockholders and for CDI holders. ResMed has received a waiver from the ASX’s settlement operating rules, which will allow ResMed to defer processing conversions between its common stock and CDI registers from August 19, 2020, through August 20, 2020, inclusive.     


 

 

RMD Fourth Quarter 2020 Earnings Press Release – August 5, 2020    Page 4 of 10

 

Webcast details

ResMed will discuss its fourth quarter fiscal year 2020 results on its webcast at 1:30 p.m. U.S. Pacific Time today. The live webcast of the call can be accessed on ResMed’s Investor Relations website at investor.resmed.com. Please go to this section of the website and click on the icon for the “Q4 2020 Earnings Webcast” to register and listen to the live webcast. A replay of the earnings webcast will be accessible on the website and available approximately two hours after the live webcast. In addition, a telephone replay of the conference call will be available approximately two hours after the webcast by dialing +1 833-241-4253 (U.S.) or +1 647-689-4204 (outside U.S.) and entering the passcode 2498310. The telephone replay will be available until August 19, 2020.

About ResMed

At ResMed (NYSE: RMD, ASX: RMD) we pioneer innovative solutions that treat and keep people out of the hospital, empowering them to live healthier, higher-quality lives. Our digital health technologies and cloud-connected medical devices transform care for people with sleep apnea, COPD, and other chronic diseases. Our comprehensive out-of-hospital software platforms support the professionals and caregivers who help people stay healthy in the home or care setting of their choice. By enabling better care, we improve quality of life, reduce the impact of chronic disease, and lower costs for consumers and healthcare systems in more than 140 countries. To learn more, visit ResMed.com and follow @ResMed.

Safe harbor statement

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 ResMed’s projections of future revenue or earnings, expenses, new product development, new product launches, new markets for its products, the integration of acquisitions, litigation, and tax outlook – are subject to risks and uncertainties, which could cause actual results to materially differ from those projected or implied in the forward-looking statements. Additional risks and uncertainties are discussed in ResMed’s periodic reports on file with the U.S. Securities & Exchange Commission. ResMed does not undertake to update its forward-looking statements.

– More –


 

 

RMD Fourth Quarter 2020 Earnings Press Release – August 5, 2020    Page 5 of 10

 

RESMED INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Income

(Unaudited; $ in thousands, except for per share amounts)

 

     Three Months Ended     Twelve Months Ended  
     June 30,
2020
    June 30,
2019
    June 30,
2020
    June 30,
2019
 

Net revenue

   $  770,343     $  704,964     $  2,957,013     $  2,606,572  

Cost of sales

     308,991       287,114       1,189,624       1,069,987  

Amortization of acquired intangibles (1)

     11,980       15,418       49,603       42,514  
  

 

 

   

 

 

   

 

 

   

 

 

 

Total cost of sales

   $ 320,971     $ 302,532     $ 1,239,227     $ 1,112,501  
  

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

   $ 449,372     $ 402,432     $ 1,717,786     $ 1,494,071  

Selling, general and administrative

     165,385       171,600       676,689       645,010  

Research and development

     52,520       51,138       201,946       180,651  

Amortization of acquired intangibles (1)

     8,220       8,019       30,092       32,424  

Restructuring expenses (1)

     —         9,401       —         9,401  

Litigation settlement expenses (1)

     —         41,199       (600     41,199  

Acquisition-related expenses (1)

     —         —         —         6,123  
  

 

 

   

 

 

   

 

 

   

 

 

 

Total operating expenses

   $ 226,125     $ 281,357     $ 908,127     $ 914,808  

Income from operations

     223,247       121,075       809,659       579,263  

Other income (expenses), net:

        

Interest income (expense), net

   $ (8,942   $  (12,264   $ (39,356   $ (33,857

Loss attributable to equity method investments

     (5,976     (6,463     (25,058     (15,833

Other, net

     3,765       (6,587     (12,157     (10,726
  

 

 

   

 

 

   

 

 

   

 

 

 

Total other income (expenses), net

     (11,153     (25,314     (76,571     (60,416
  

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

   $ 212,094     $ 95,761     $ 733,088     $ 518,847  

Income taxes

     34,259       26,964       111,414       114,255  
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income

   $ 177,835     $ 68,797     $ 621,674     $ 404,592  
  

 

 

   

 

 

   

 

 

   

 

 

 

Basic earnings per share

   $ 1.23     $ 0.48     $ 4.31     $ 2.83  

Diluted earnings per share

   $ 1.22     $ 0.48     $ 4.27     $ 2.80  

Non-GAAP diluted earnings per share (1)

   $ 1.33     $ 0.95     $ 4.76     $ 3.64  

Basic shares outstanding

     144,792       143,435       144,338       143,111  

Diluted shares outstanding

     145,866       144,687       145,652       144,484  

 

(1)

See the reconciliation of non-GAAP financial measures in the table at the end of the press release.

– More –


 

 

RMD Fourth Quarter 2020 Earnings Press Release – August 5, 2020    Page 6 of 10

 

RESMED INC. AND SUBSIDIARIES

Condensed Consolidated Balance Sheets

(Unaudited; $ in thousands)

 

     June 30,
2020
    June 30,
2019
 

ASSETS

    

Current assets:

    

Cash and cash equivalents

   $ 463,156     $ 147,128  

Accounts receivable, net

     474,643       528,484  

Inventories

     416,915       349,641  

Prepayments and other current assets

     168,745       120,113  
  

 

 

   

 

 

 

Total current assets

   $ 1,523,459     $ 1,145,366  

Non-current assets:

    

Property, plant and equipment, net

   $ 417,335     $ 387,460  

Operating lease right-of-use assets

     118,348       —    

Goodwill and other intangibles, net

     2,338,492       2,378,399  

Deferred income taxes and other non-current assets

     189,742       196,457  
  

 

 

   

 

 

 

Total non-current assets

   $ 3,063,917     $ 2,962,316  
  

 

 

   

 

 

 

Total assets

   $ 4,587,376     $ 4,107,682  
  

 

 

   

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY:

    

Current liabilities:

    

Accounts payable

   $ 135,786     $ 115,725  

Accrued expenses

     270,353       266,359  

Operating lease liabilities, current

     21,263       —    

Deferred revenue

     98,617       88,667  

Income taxes payable

     64,755       73,248  

Short-term debt

     11,987       11,992  
  

 

 

   

 

 

 

Total current liabilities

   $ 602,761     $ 555,991  

Non-current liabilities:

    

Deferred revenue

   $ 87,307     $ 81,143  

Deferred income taxes

     13,011       11,380  

Operating lease liabilities, non-current

     101,880       —    

Other long term liabilities

     8,347       2,058  

Long-term debt

     1,164,133       1,258,861  

Long-term income taxes payable

     112,910       126,056  
  

 

 

   

 

 

 

Total non-current liabilities

   $ 1,487,588     $ 1,479,498  
  

 

 

   

 

 

 

Total liabilities

   $ 2,090,349     $ 2,035,489  
  

 

 

   

 

 

 

STOCKHOLDERS’ EQUITY:

    

Common stock

   $ 580     $ 575  

Additional paid-in capital

     1,570,694       1,511,473  

Retained earnings

     2,832,991       2,436,410  

Treasury stock

     (1,623,256     (1,623,256

Accumulated other comprehensive income

     (283,982     (253,009
  

 

 

   

 

 

 

Total stockholders’ equity

   $ 2,497,027     $ 2,072,193  
  

 

 

   

 

 

 

Total liabilities and stockholders’ equity

   $ 4,587,376     $ 4,107,682  
  

 

 

   

 

 

 

– More –


 

 

RMD Fourth Quarter 2020 Earnings Press Release – August 5, 2020    Page 7 of 10

 

RESMED INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Cash Flows

(Unaudited; $ in thousands)

 

     Twelve Months Ended  
     June 30,
2020
    June 30,
2019
 

Cash flows from operating activities:

    

Net income

   $ 621,674     $ 404,592  

Adjustment to reconcile net income to cash provided by operating activities:

    

Depreciation and amortization

     154,850       150,795  

Amortization of right-of-use-assets

     26,523       —    

Stock-based compensation costs

     57,559       52,073  

Loss attributable to equity method investments

     25,058       15,833  

Impairment of equity investments

     14,519       15,007  

Gain on previously held equity interest

     —         (1,909

Changes in fair value of business combination contingent consideration

     (7     (286

Changes in operating assets and liabilities, net of effect of acquisitions:

    

Accounts receivable, net

     54,383       (18,013

Inventories, net

     (69,881     (84,188

Prepaid expenses, net deferred income taxes and other current assets

     (58,999     (47,575

Accounts payable, accrued expenses and other

     (23,424     (27,278
  

 

 

   

 

 

 

Net cash provided by operating activities

   $ 802,255     $ 459,051  

Cash flows from investing activities:

    

Purchases of property, plant and equipment

     (95,330     (68,710

Patent registration costs

     (10,608     (8,632

Business acquisitions, net of cash acquired

     (27,910     (951,383

Purchases of investments

     (31,616     (46,717

Proceeds / (Payments) on maturity of foreign currency contracts

     (14,397     (264
  

 

 

   

 

 

 

Net cash used in investing activities

   $ (179,861   $  (1,075,706

Cash flows from financing activities:

    

Proceeds from issuance of common stock, net

     48,182       36,727  

Taxes paid related to net share settlement of equity awards

     (46,061     (28,104

Purchases of treasury stock

     —         (22,844

Payment of business combination contingent consideration

     (302     (909

Proceeds from borrowings, net of borrowing costs

     1,190,000       1,519,230  

Repayment of borrowings

     (1,284,012     (711,745

Dividends paid

     (225,093     (211,712
  

 

 

   

 

 

 

Net cash (used in) / provided by financing activities

   $ (317,286   $ 580,643  
  

 

 

   

 

 

 

Effect of exchange rate changes on cash

   $ 10,920     $ (5,561
  

 

 

   

 

 

 

Net increase / (decrease) in cash and cash equivalents

     316,028       (41,573

Cash and cash equivalents at beginning of period

     147,128       188,701  
  

 

 

   

 

 

 

Cash and cash equivalents at end of period

   $ 463,156     $ 147,128  
  

 

 

   

 

 

 

– More –


 

 

RMD Fourth Quarter 2020 Earnings Press Release – August 5, 2020    Page 8 of 10

 

RESMED INC. AND SUBSIDIARIES

Reconciliation of Non-GAAP Financial Measures

(Unaudited; $ in thousands, except for per share amounts)

The measures “non-GAAP gross profit” and “non-GAAP gross margin” excludes amortization expense from acquired intangibles related to cost of sales and are reconciled below:

 

     Three Months Ended     Twelve Months Ended  
     June 30,
2020
    June 30,
2019
    June 30,
2020
    June 30,
2019
 

Revenue

   $  770,343   $  704,964   $  2,957,013   $  2,606,572

Add back: Deferred revenue fair value adjustment (A)

     —         1,065     2,102     5,348
  

 

 

   

 

 

   

 

 

   

 

 

 

Non-GAAP Revenue

   $  770,343   $  706,029   $  2,959,115   $  2,611,920

GAAP Cost of sales

   $  320,971   $  302,532   $  1,239,227   $  1,112,501

Less: Amortization of acquired intangibles (A)

     (11,980     (15,418     (49,603     (42,514
  

 

 

   

 

 

   

 

 

   

 

 

 

Non-GAAP cost of sales

   $  308,991   $  287,114   $  1,189,624   $  1,069,987

GAAP gross profit

     449,372     402,432     1,717,786     1,494,071

GAAP gross margin

     58.3     57.1     58.1     57.3

Non-GAAP gross profit

     461,352     418,915     1,769,491     1,541,933

Non-GAAP gross margin

     59.9     59.3     59.8     59.0

The measure “non-GAAP income from operations” is reconciled with GAAP income from operations below:

 

     Three Months Ended      Twelve Months Ended  
     June 30,
2020
     June 30,
2019
     June 30,
2020
     June 30,
2019
 

GAAP income from operations

   $  223,247    $  121,075    $  809,659    $  579,263

Amortization of acquired intangibles - cost of sales (A)

     11,980      15,418      49,603      42,514

Amortization of acquired intangibles - operating expenses (A)

     8,220      8,019      30,092      32,424

Deferred revenue fair value adjustment (A)

     —          1,065      2,102      5,348

Restructuring expenses (A)

     —          9,401      —          9,401

Litigation settlement expenses (A)

     —          41,199      (600      41,199

Acquisition related expenses (A)

     —          —          —          6,123
  

 

 

    

 

 

    

 

 

    

 

 

 

Non-GAAP income from operations

   $  243,447    $  196,177    $  890,856    $  716,272
  

 

 

    

 

 

    

 

 

    

 

 

 


 

 

RMD Fourth Quarter 2020 Earnings Press Release – August 5, 2020    Page 9 of 10

 

RESMED INC. AND SUBSIDIARIES

Reconciliation of Non-GAAP Financial Measures

(Unaudited; $ in thousands, except for per share amounts)

The measures “non-GAAP net income” and “non-GAAP diluted earnings per share” are reconciled with GAAP net income and GAAP diluted earnings per share in the table below:

 

     Three Months Ended      Twelve Months Ended  
     June 30,
2020
     June 30,
2019
     June 30,
2020
     June 30,
2019
 

GAAP net income

   $  177,835    $ 68,797    $  621,674    $  404,592

Amortization of acquired intangibles - cost of sales, net of tax (A)

     9,167      11,447      37,933      32,477

Amortization of acquired intangibles - operating expenses, net of tax (A)

     6,290      5,954      23,012      24,769

Deferred revenue fair value adjustment, net of tax (A)

     —          786      1,610      4,067

Restructuring expenses, net of tax (A)

     —          7,205      —          7,205

Litigation settlement expenses, net of tax (A)

     —          36,248      (528      36,248

Fair value impairment of investment (A)

     —          5,000      9,100      5,000

U.S. tax reform

     —          2,149      —          6,654

Acquisition-related expenses (A)

     —          —          —          5,362
  

 

 

    

 

 

    

 

 

    

 

 

 

Non-GAAP net income (A)

   $  193,292    $  137,586    $  692,801    $  526,374
  

 

 

    

 

 

    

 

 

    

 

 

 

Diluted shares outstanding

     145,866      144,687      145,652      144,484

GAAP diluted earnings per share

   $ 1.22    $ 0.48    $ 4.27    $ 2.80

Non-GAAP diluted earnings per share (A)

   $ 1.33    $ 0.95    $ 4.76    $ 3.64

 

(A)

ResMed adjusts for the impact of the amortization of acquired intangibles, deferred revenue fair value adjustment, restructuring expenses, litigation settlement expenses, fair value impairment of investment, the impact of U.S. tax reform on income tax expense and acquisition-related expenses from their evaluation of ongoing operations, and believes that investors benefit from adjusting these items to facilitate a more meaningful evaluation of current operating performance.

ResMed believes that non-GAAP diluted earnings per share is an additional measure of performance that investors can use to compare operating results between reporting periods. ResMed uses non-GAAP information internally in planning, forecasting, and evaluating the results of operations in the current period and in comparing it to past periods. ResMed believes this information provides investors better insight when evaluating ResMed’s performance from core operations and provides consistent financial reporting. The use of non-GAAP measures is intended to supplement, and not to replace, the 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.

– More –


 

 

RMD Fourth Quarter 2020 Earnings Press Release – August 5, 2020    Page 10 of 10

 

RESMED INC. AND SUBSIDIARIES

Revenue by Product and Region

(Unaudited; $ in millions, except for per share amounts)

 

     Three Months Ended  
     June 30, 2020
(A)
     June 30, 2019
(A)
     % Change     Constant
Currency (B)
 

U.S., Canada and Latin America

          

Devices

   $ 205.9      $ 202.9        1  

Masks and other

     194.7        182.6        7    
  

 

 

    

 

 

    

 

 

   

Total Sleep and Respiratory Care

   $ 400.5      $ 385.5        4    

Software as a Service

     91.5        85.2        7    
  

 

 

    

 

 

    

 

 

   

Total

   $ 492.0      $ 470.7        5    
  

 

 

    

 

 

    

 

 

   

Combined Europe, Asia and other markets

          

Devices

   $ 205.8      $ 155.5        32     35

Masks and other

     72.6        78.8        -8       -6  
  

 

 

    

 

 

    

 

 

   

 

 

 

Total Sleep and Respiratory Care

   $ 278.3      $ 234.3        19       22  

Global revenue

          

Devices

   $ 411.6      $ 358.4        15     16

Masks and other

     267.2        261.4        2       3  
  

 

 

    

 

 

    

 

 

   

 

 

 

Total Sleep and Respiratory Care

   $ 678.9      $ 619.8        10       11  

Software as a Service

     91.5        85.2        7       7  
  

 

 

    

 

 

    

 

 

   

 

 

 

Total

   $ 770.3      $ 705.0        9       10  
  

 

 

    

 

 

    

 

 

   

 

 

 
     Twelve Months Ended  
     June 30, 2020
(A)
     June 30, 2019
(A)
     %
Change
    Constant
Currency (B)
 

U.S., Canada and Latin America

          

Devices

   $ 792.8      $ 743.1        7  

Masks and other

     779.6        677.4        15    
  

 

 

    

 

 

    

 

 

   

Total Sleep and Respiratory Care

   $  1,572.3      $  1,420.5        11    

Software as a Service

     354.6        275.8        29    
  

 

 

    

 

 

    

 

 

   

Total

   $ 1,927.0      $ 1,696.3        14    
  

 

 

    

 

 

    

 

 

   

Combined Europe, Asia and other markets

          

Devices

   $ 715.1      $ 618.5        16     19

Masks and other

     315.0        291.8        8       11  
  

 

 

    

 

 

    

 

 

   

 

 

 

Total Sleep and Respiratory Care

   $ 1,030.1      $ 910.3        13       16  

Global revenue

          

Devices

   $ 1,507.8      $ 1,361.6        11     12

Masks and other

     1,094.6        969.2        13       14  
  

 

 

    

 

 

    

 

 

   

 

 

 

Total Sleep and Respiratory Care

   $ 2,602.4      $ 2,330.8        12       13  

Software as a Service

     354.6        275.8        29       29  
  

 

 

    

 

 

    

 

 

   

 

 

 

Total

   $ 2,957.0      $ 2,606.6        13       15  
  

 

 

    

 

 

    

 

 

   

 

 

 

 

(A)

Totals and subtotals may not add due to rounding.

(B)

In order to provide a framework for assessing how our underlying businesses performed excluding the effect of foreign currency fluctuations, we provide certain financial information on a “constant currency basis,” which is in addition to the actual financial information presented. In order to calculate our constant currency information, we translate the current period financial information using the foreign currency exchange rates that were in effect during the previous comparable period. However, constant currency measures should not be considered in isolation or as an alternative to U.S. dollar measures that reflect current period exchange rates, or to other financial measures calculated and presented in accordance with U.S. GAAP.

– End –