ResMed, HeartWare boost June quarter revenue

ResMed, HeartWare boost June quarter revenue

ASX-listed medical device makers ResMed (ASX:RMD) and HeartWare (ASX:HIN) on Friday both reported strong gains in revenue for the quarter ending in June.

ResMed - which develops medical products to help diagnose, treat and manage respiratory disorders – increased its revenue for the quarter 17% to US$341.9 million ($325.8 million). For the year ending in June, revenue grew 14% to US$1.2 billion.

Profit grew to US$58.5 million for the quarter, and US$227 million for the year – up 10% and 19% respectively.

But SG&A expenses grew 22% to US$102.3 million, or 29.9% of revenue, partly as a result of the appreciation of the Australian dollar. R&D expenses also grew 35% to US$26 million.

ResMed on Friday also revealed it had acquired Germany's Grundler GmbH, a medical humidification product developer, but said the transaction is not expected to have a material impact on its financial results.

Also on Friday, heart pump developer HeartWare posted a 109% increase in June quarter revenue to US$20.4 million.

International markets accounted for 69% of June-quarter revenues, and sales in the US more than tripled to US$6.3 million.

But the company reported a wider net loss of US$10.1 million for the quarter, from a US$10 million loss a year ago.

For the six months ending in June it was a similar story, with revenue growing to US$38.4 million from US$20.5 million a year earlier, but the net loss increasing to US$19.5 million from US$14.5 million.

HIN shares fell 2.94% in Friday's trading to $1.650, while RMD dipped 1.47% to $2.680.

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Tags financial resultsmedicalHeartwareResmedAustralian dollarASX:HINASX:RMD

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