ResMed Inc (RMD)

Operating profit margin

Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020
Operating income (ttm) US$ in thousands 1,612,039 1,560,355 1,418,207 1,319,892 1,213,942 1,140,029 1,145,129 1,131,871 1,112,000 1,045,594 1,014,111 1,000,285 986,526 975,687 948,692 903,675 885,285 879,359 855,452 809,658
Revenue (ttm) US$ in thousands 5,021,540 4,926,780 4,807,490 4,546,017 4,444,877 4,364,797 4,235,737 4,222,994 4,015,671 3,763,271 3,624,405 3,578,126 3,539,492 3,443,759 3,348,896 3,196,825 3,091,065 3,091,753 3,027,899 2,957,011
Operating profit margin 32.10% 31.67% 29.50% 29.03% 27.31% 26.12% 27.03% 26.80% 27.69% 27.78% 27.98% 27.96% 27.87% 28.33% 28.33% 28.27% 28.64% 28.44% 28.25% 27.38%

March 31, 2025 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $1,612,039K ÷ $5,021,540K
= 32.10%

The operating profit margin of ResMed Inc. has exhibited a generally stable trend over the analyzed period, with fluctuations within a narrow range. Starting at approximately 27.38% on June 30, 2020, the margin increased steadily through the subsequent quarters, reaching around 28.44% by December 31, 2020. This upward trend continued into 2021, with margins consistently hovering in the high 28% range, peaking at approximately 28.64% on March 31, 2021.

From mid-2021 into 2022, the operating profit margin remained relatively stable, fluctuating slightly around 27.8% to 28.0%. Notably, there was a modest decline in 2022, with the margin dropping to approximately 27.78% by the end of that year and further to around 27.69% at the end of the first quarter of 2023. Throughout 2023, the operating profit margin generally remained within the 26.8% to 27.0% range, reflecting slight compression.

However, starting from the second quarter of 2024, a positive trend emerges. The operating profit margin increased markedly, reaching 29.03% by June 30, 2024, and continuing upward to 29.50% by September 2024. This growth persisted into the end of 2024, with the margin rising to 31.67% by December 31, 2024. In the first quarter of 2025, the margin further increased to 32.10%.

This overall trajectory indicates that ResMed Inc. experienced a period of stability with marginal fluctuations from 2020 through early 2023, followed by a significant and consistent improvement commencing in mid-2024. The recent increases suggest enhanced operational efficiency or improved profitability, culminating in the highest recorded operating profit margin within the analyzed timeframe.