07.20.22
Rank: #30 (Last year: #29)
$3.19 Billion
Prior Fiscal: $2.96 Billion
Percentage Change: +7.7%
R&D Expenditure: $225M
Best FY21 Quarter: Q4 $876M
Latest Quarter: Q3 $865M
No. of Employees: 7,970
Global Headquarters: San Diego, Calif.
KEY EXECUTIVES:
Michael “Mick” Farrell, CEO
Rob Douglas, President and COO
Brett Sandercock, CFO
Carlos M. Nunes, M.D., Chief Medical Officer
Lucile Blaise, President, Sleep & Respiratory Care
Bobby Ghoshal, President, SaaS
Primasun—which translates to “first light”—is a new name in the study of untreated sleep apnea and the high-tech effort to identify and treat millions of Americans suffering from it. This joint venture between Alphabet subsidiary Verily and ResMed began in 2018.
The name evokes the image of the dawn that people should be so lucky to see after a full, restorative night of sleep—and the new light the venture aims to shine on a disease that affects about 54 million Americans, but remains over 80% undiagnosed, according to ResMed.
“We need a full night’s sleep right alongside a healthy diet and regular exercise for a strong immune system, the most energy, our best mood—in essence, to be our best selves,” Primasun CEO Jonathon Lobbins said in a press release announcing the new name last April. “Only when sleep apnea stops robbing sleep from millions of Americans can we truly know how healthy we can feel and be, as well as how safe and healthy our communities and our economy can be.”
A recent entry into the Top 30, digital health and sleep-tech firm ResMed accrued $3.19 billion in revenue in its previous fiscal year (ended June 30), growing the business 7.7%. Last fiscal year’s Sleep and Respiratory Care franchise revenue grew 8% to $2.82 million. The segment’s growth was driven by boosted device and mask unit sales that included recovery of ResMed’s core sleep patient flow previously impacted by COVID. Last year’s product recall of Philips’ sleep apnea and ventilator machines also worked in the company’s favor.
In fact, CEO Mick Farrell told investors during a first-quarter FY 2022 earnings call that Philips’ recall could result in as much as $350 million of sales of sleep apnea and ventilator devices over the next 12 months. But the exec also warned that unprecedented supply chain issues are hampering efforts to meet the demand for these products. Farrell said the recall was “tenfold higher than any in the industry to date” and meeting surging demand is simply not possible.
“We are facing the challenge of providing the volume for our own No. 1 market share position and also trying to meet as much of their No. 2 market share position as possible around the world,” Farrell said in the call. “Supply bottlenecks continue to restrict our access to critical electronic components, especially semiconductor chips, that ultimately limit our net production output.”
Device proceeds accounted for just over half of the business’s sales last fiscal year, expanding 7% to $1.61 billion. Growth was strongest in the U.S., Canada, and Latin America, each growing 9% year over year.
Mask sales in FY 2021 rose 11% over the prior year to reach $1.21 billion. ResMed’s combined Europe, Asia, and other markets region reigned supreme for that business, each raising sales 11%.
Last August saw the launch of the company’s AirSense 11 PAP (positive airway pressure) device for sleep apnea therapy. AirSense 11’s personal therapy assistant offers step-by-step tutorials on the myAir app to set up the device and acclimate to therapy pressure. Care check-in employs a questionnaire that clinicians can view with consent to guide patients through key treatment milestones.
AirSense 11’s auto-adjusting PAP delivers breath-by-breath therapy adjustments, tweaks for female-specific sleep apnea characteristics, and CPAP (continuous PAP). Remote software updates also make sure users are up to date on the latest versions of those tools.
The company acquired cloud-connected home sleep apnea test device maker Ectosense for an undisclosed sum in October. ResMed has been a minority investor in the company since July 2020 and has distributed Ectosense’s FDA-approved NightOwl device in Australia, New Zealand, and India since then as “ResMed onesleeptest.”
Software as a Service (SaaS) makes up the remainder of ResMed’s portfolio. This segment garnered $373.6 million last fiscal year, growing 5%. The company attributed the increase to continued resupply service offerings.
The company expanded its AirView for Ventilation cloud-based remote respiratory care patient monitoring and management platform in India last April. Already available in the U.S. and Europe, AirView for Ventilation lets clinicians monitor large numbers of patients remotely, safely, and efficiently.
ResMed’s earlier transaction for Citus Health closed last May. The digital health company specializes in patient engagement solutions that enable real-time, secure collaboration between patients and caregivers. The addition fuels ResMed’s out-of-hospital SaaS ecosystem that already includes strategic acquisitions Brightree, HEALTHCAREfirst, MatrixCare, Apacheta, and SnapWorx.
Finally, on Sept. 1 last year, Chief Technology Officer Bobby Ghoshal was promoted to president of the SaaS business. From February 2016 to April 2018, Ghoshal was COO for Brightree, the cloud-based SaaS for out-of hospital care provider acquired by ResMed.
$3.19 Billion
Prior Fiscal: $2.96 Billion
Percentage Change: +7.7%
R&D Expenditure: $225M
Best FY21 Quarter: Q4 $876M
Latest Quarter: Q3 $865M
No. of Employees: 7,970
Global Headquarters: San Diego, Calif.
KEY EXECUTIVES:
Michael “Mick” Farrell, CEO
Rob Douglas, President and COO
Brett Sandercock, CFO
Carlos M. Nunes, M.D., Chief Medical Officer
Lucile Blaise, President, Sleep & Respiratory Care
Bobby Ghoshal, President, SaaS
Primasun—which translates to “first light”—is a new name in the study of untreated sleep apnea and the high-tech effort to identify and treat millions of Americans suffering from it. This joint venture between Alphabet subsidiary Verily and ResMed began in 2018.
The name evokes the image of the dawn that people should be so lucky to see after a full, restorative night of sleep—and the new light the venture aims to shine on a disease that affects about 54 million Americans, but remains over 80% undiagnosed, according to ResMed.
“We need a full night’s sleep right alongside a healthy diet and regular exercise for a strong immune system, the most energy, our best mood—in essence, to be our best selves,” Primasun CEO Jonathon Lobbins said in a press release announcing the new name last April. “Only when sleep apnea stops robbing sleep from millions of Americans can we truly know how healthy we can feel and be, as well as how safe and healthy our communities and our economy can be.”
A recent entry into the Top 30, digital health and sleep-tech firm ResMed accrued $3.19 billion in revenue in its previous fiscal year (ended June 30), growing the business 7.7%. Last fiscal year’s Sleep and Respiratory Care franchise revenue grew 8% to $2.82 million. The segment’s growth was driven by boosted device and mask unit sales that included recovery of ResMed’s core sleep patient flow previously impacted by COVID. Last year’s product recall of Philips’ sleep apnea and ventilator machines also worked in the company’s favor.
In fact, CEO Mick Farrell told investors during a first-quarter FY 2022 earnings call that Philips’ recall could result in as much as $350 million of sales of sleep apnea and ventilator devices over the next 12 months. But the exec also warned that unprecedented supply chain issues are hampering efforts to meet the demand for these products. Farrell said the recall was “tenfold higher than any in the industry to date” and meeting surging demand is simply not possible.
“We are facing the challenge of providing the volume for our own No. 1 market share position and also trying to meet as much of their No. 2 market share position as possible around the world,” Farrell said in the call. “Supply bottlenecks continue to restrict our access to critical electronic components, especially semiconductor chips, that ultimately limit our net production output.”
Device proceeds accounted for just over half of the business’s sales last fiscal year, expanding 7% to $1.61 billion. Growth was strongest in the U.S., Canada, and Latin America, each growing 9% year over year.
Mask sales in FY 2021 rose 11% over the prior year to reach $1.21 billion. ResMed’s combined Europe, Asia, and other markets region reigned supreme for that business, each raising sales 11%.
Last August saw the launch of the company’s AirSense 11 PAP (positive airway pressure) device for sleep apnea therapy. AirSense 11’s personal therapy assistant offers step-by-step tutorials on the myAir app to set up the device and acclimate to therapy pressure. Care check-in employs a questionnaire that clinicians can view with consent to guide patients through key treatment milestones.
AirSense 11’s auto-adjusting PAP delivers breath-by-breath therapy adjustments, tweaks for female-specific sleep apnea characteristics, and CPAP (continuous PAP). Remote software updates also make sure users are up to date on the latest versions of those tools.
The company acquired cloud-connected home sleep apnea test device maker Ectosense for an undisclosed sum in October. ResMed has been a minority investor in the company since July 2020 and has distributed Ectosense’s FDA-approved NightOwl device in Australia, New Zealand, and India since then as “ResMed onesleeptest.”
Software as a Service (SaaS) makes up the remainder of ResMed’s portfolio. This segment garnered $373.6 million last fiscal year, growing 5%. The company attributed the increase to continued resupply service offerings.
The company expanded its AirView for Ventilation cloud-based remote respiratory care patient monitoring and management platform in India last April. Already available in the U.S. and Europe, AirView for Ventilation lets clinicians monitor large numbers of patients remotely, safely, and efficiently.
ResMed’s earlier transaction for Citus Health closed last May. The digital health company specializes in patient engagement solutions that enable real-time, secure collaboration between patients and caregivers. The addition fuels ResMed’s out-of-hospital SaaS ecosystem that already includes strategic acquisitions Brightree, HEALTHCAREfirst, MatrixCare, Apacheta, and SnapWorx.
Finally, on Sept. 1 last year, Chief Technology Officer Bobby Ghoshal was promoted to president of the SaaS business. From February 2016 to April 2018, Ghoshal was COO for Brightree, the cloud-based SaaS for out-of hospital care provider acquired by ResMed.