ResMed Q2 Earnings: Mask Revenue Growth Fuels Analyst Optimism

ResMed (RMD) is gearing up for a pivotal quarterly earnings announcement, with Wall Street analysts forecasting an earnings per share of $2.68, reflecting robust growth of 10.3% year-over-year. The company’s anticipated revenue of $1.39 billion represents an 8.3% increase from the prior-year period, signaling sustained momentum in the respiratory and sleep health markets. Notably, earnings estimates have been nudged upward by 0.2% over the past month, demonstrating analysts’ growing confidence in the company’s near-term performance. This upward revision underscores the market’s reassessment of ResMed’s operational trajectory and earnings potential.

Projected Mask Product Revenue: A Strategic Growth Engine

One of the most telling indicators of ResMed’s performance lies in its mask product portfolio, a cornerstone of the company’s diversified revenue streams. Analysts project mask product and complementary offerings to generate $500.27 million in global revenue, representing a year-over-year increase of 9.6%. This growth rate stands as a compelling testament to sustained demand for respiratory health solutions in an aging global population. When examined alongside the broader product lineup, mask revenue contributes substantially to the company’s overall profitability and market positioning. The mask segment’s 9.6% growth trajectory reflects both market expansion and ResMed’s ability to capture emerging opportunities in personal respiratory protection and clinical-grade ventilation markets.

Breaking down mask revenue by geography reveals distinct growth patterns. In U.S., Canada, and Latin America combined, mask and ancillary product revenues are expected to reach $367.97 million, marking a 10% year-over-year advance. This outpaces the broader device segment’s 6% growth in the same region, underscoring mask products’ particular strength in developed North American markets. In Europe, Asia, and other international territories, analysts forecast mask product revenues of $132.30 million, climbing 8.6% from the year-ago quarter. This consistent double-digit percentage growth across major geographic regions suggests that mask and complementary products are not merely maintaining their market share but actively gaining ground against competitive alternatives.

Sleep and Breathing Health Division Shows Strong Momentum

Beyond masks, ResMed’s broader Sleep and Breathing Health division—encompassing ventilators, diagnostic equipment, and related software—is projected to generate $1.20 billion globally, representing 6.3% year-over-year growth. This division forms the backbone of the company’s respiratory portfolio, addressing critical care, home care, and digital health segments. The convergence of mask products’ accelerated growth with this foundational division’s steady expansion creates a compelling growth narrative for ResMed in 2026.

Geographic Market Performance Across Key Regions

ResMed’s diversified global footprint continues to support balanced growth. The U.S., Canada, and Latin America region is expected to contribute $807.32 million in total revenue, growing 7.8% year-over-year, with device revenue projected at $439.35 million (+6%). Combined Europe, Asia, and other international markets are forecast to deliver $405.06 million in total revenue, advancing 7.6% annually. Within this segment, device revenue should reach $272.76 million, up 7.1% from the prior year.

The device segment’s steady but moderate growth—hovering in the 6-7% range across regions—contrasts sharply with mask products’ more vigorous expansion in the 8.6-10% range. This divergence suggests that mask products represent a particularly dynamic and evolving category within ResMed’s portfolio, potentially benefiting from pandemic-driven behavioral shifts and heightened respiratory health awareness among consumers and healthcare providers alike.

Market Outlook: Zacks Rank Buy Rating for ResMed

ResMed’s stock performance has outpaced broader market trends, delivering returns of 5.2% over the past month relative to the S&P 500’s more modest 0.4% advance. Armed with a Zacks Rank #2 (Buy) designation, ResMed is positioned to continue outperforming market expectations in the near term. This optimistic assessment reflects not only the company’s solid earnings growth but also the strength of its mask product line and the durability of demand for respiratory health solutions in an increasingly health-conscious global marketplace.

For investors seeking exposure to companies with strong earnings momentum and strategic product strength in high-demand segments like respiratory masks and breathing health solutions, ResMed’s upcoming earnings report may offer compelling entry points ahead of what many analysts view as a sustained growth phase in 2026.