Revenue and profitability
- Revenue: $1,223,195,000; YoY +9.01%; QoQ +2.19%
- Gross Profit: $704,265,000; Gross Margin 57.58% (0.5758); YoY +14.07%; QoQ +3.33%
- EBITDA: $422,036,000; EBITDA Margin ~34.50% (0.3450)
- Operating Income: $381,217,000; Operating Margin 31.17% (0.3117); YoY +38.49%; QoQ +1.77%
- Net Income: $292,236,000; Net Margin 23.89% (0.2389); YoY +27.25%; QoQ −2.75%
- Earnings per Share (EPS): $1.99; Diluted EPS $1.98; Weighted Avg Shares Out ~146.9m/147.5m
Liquidity, cash flow and balance sheet
- Net Cash Provided by Operating Activities: $440,114,000
- Free Cash Flow: $413,791,000
- CFO Conversion: robust given operating income and capex profile
- Cash and Cash Equivalents: $238,361,000; Total Debt: $873,935,000; Net Debt: $635,574,000
- Total Assets: $6,872,394,000; Total Equity: $4,864,043,000; Total Liabilities: $2,008,351,000
- Capital structure: Debt to Capitalization ~15.2%, Debt to Equity ~0.18, Interest coverage not disclosed in the period data but implied acceptable given margins and cash flow
Efficiency and working capital
- Current Ratio: 2.59; Quick Ratio: 1.69; Cash Ratio: 0.26
- Days Sales Outstanding (DSO): 61.6 days; Days Inventory Outstanding (DIO): 148.1 days; Payables Outstanding: 42.8 days; Cash Conversion Cycle: ~166.9 days
- Asset turnover: 0.178; Fixed Asset Turnover: 1.75; Inventory turnover: 0.61; Receivables turnover: 1.46
Valuation and profitability context
- P/E: ~24.1x; P/B: ~5.78x; P/S: ~22.98x; Dividend Yield: ~0.25%
- Return metrics: ROA ~4.25%, ROE ~6.01%, ROCE ~6.39%
- Payout Ratio: ~24.1% (dividends in line with cash flow generation)
- Net debt to EBITDA: ~1.50x,
indicating modest leverage given a cash-generative base
Segment and geographic considerations
- Company profile emphasizes two growth pillars: Sleep and Respiratory Care devices and Software as a Service (SaaS) platforms (AirView, myAir, Brightree, MatrixCare, HEALTHCAREfirst, etc.). The QQ4 results are presented consolidated; the favorable margin profile suggests higher-margin software contributions partially offset by device cost of goods sold. Management commentary and investor materials typically frame upside from cross-selling devices with software subscriptions and services across ~140 countries.