ResMed takes extraordinary steps to overcome supply chain woes

ResMed has been chartering passenger planes to fly in components from Asia to the United States as the company goes to extraordinary lengths to overcome supply chain issues and meet increased demand for its sleep apnoea devices.

ResMed’s unaudited financial results for the first quarter of the financial year ending in 2022 showed revenue up 20 per cent on the previous corresponding period to $US904 million ($1.2 billion), with net income up 14 per cent to $US204 million.

Investors responded warmly to the result, pushing the shares up 5.9 per cent to $37.76.

The sleep apnoea diagnostics, devices and wearables company’s gross margins were squeezed by higher manufacturing and freights costs and lower average selling prices.

“It’s going to be very difficult here in the December quarter with component shortages and in the March quarter with component shortages,” ResMed chief executive Mick Farrell said.

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