ResMed closed the fiscal year by choosing a narrower company. Management agreed to sell the MatrixCare senior-living software stack to Frazier Healthcare Partners for $490 million in cash and used the same window to buy Noctrix Health, a restless-legs wearable that rides the same sleep-physician and home-equipment channel as the core franchise. The debate is whether a cleaner sleep-and-breathing company still compounds earnings faster than the reported growth rate implies.
The fourth-quarter print already shows the split personality. Group revenue rose 9 percent on a reported basis. Constant-currency growth sat one point lower, and non-GAAP earnings per share advanced 16 percent. Masks and fabric interfaces carried the volume story. Life-support devices did the opposite after a field-safety action on the Astral ventilator platform. Productivity still lifted non-GAAP gross margin even as component and freight inflation stopped being fully offset by factory gains. That is the tension inside an otherwise clean year: the installed-base resupply engine is healthy, and the life-support line is being voluntarily shrunk.
For the new year, management guides reported revenue into a band of $5.75 billion to $5.85 billion. Non-GAAP earnings guidance sits between $12.00 and $12.25. Those ranges already bake in MatrixCare leaving the stack, Noctrix dilution, and an Astral sales pause. The question the next several quarters resolve is whether core sleep volume plus buybacks still produce the mid-teens core earnings growth implied after those adjustments, or whether inflation, a Philips re-entry, or a slower diagnostic funnel flatten the compounding.