ResMed dividend
The forecast starts from a $0.66 quarterly rate; its annual dividend is $2.64 in the bear case, $2.706, $2.9844 and $3.28284 in the base case, and $2.7192, $3.045504 and $3.41096448 in the bull case. Its free cash flow exceeded net income in FY2026, although it fell slightly from FY2025 as capital spending increased and more cash moved into operating needs.
How much does ResMed pay in dividends?
Dividends start from the $0.66 quarterly rate. The bear case holds the annual dividend at $2.64 because the board may pause increases. The base case assumes another 10% annual increase, producing $2.706, $2.9844 and $3.28284 across the three windows. The bull case assumes 12% increases, producing $2.7192, $3.045504 and $3.41096448. The base path follows five years of increases and the latest 10% raise, while the bear path allows for Astral, portfolio and cash demands.
| Jun 2026 | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | |
|---|---|---|---|---|---|
| EPS, diluted | 10.43 | 9.51 | 6.92 | 6.09 | 5.30 |
| − Dividends paid, per share | 2.39 | 2.11 | 1.91 | 1.75 | 1.67 |
| = FCF not paid out, per share | 4.11 | 7.13 | 5.89 | 2.14 |
What this means. The company's own free cash flow per share is higher by $0.71 because it does not subtract the value of shares given to employees as pay; we subtract it because those new shares reduce what each existing share gets.
Is ResMed's dividend covered by its cash?
Free cash flow starts with cash from operations and subtracts purchases of property, plant and equipment. In FY2026, free cash flow exceeded net income, which supports the quality of reported earnings. It nevertheless fell slightly from FY2025 because capital spending increased and more cash moved into operating needs.
After the repair, buybacks accelerated and distributions claimed a larger share of free cash flow. ResMed still retained cash for acquisitions and other investment, while new-share proceeds mean gross repurchases should not be confused with the net reduction in shares outstanding.
| Jun 2026 | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | |
|---|---|---|---|---|---|
| Free cash flow | 1,649,544 | 1,661,723 | 1,301,800 | 573,627 | 216,312 |
| − Dividends paid | 349,662 | 310,880 | 282,320 | 258,276 | 245,341 |
| − Share buybacks | 700,037 | 300,025 | 150,011 | 0 | 0 |
| = Free cash flow not paid out | 599,845 | 1,050,818 | 869,469 | 315,351 | |
| Paid out, % of free cash flow | 63.6% | 36.8% | 33.2% | 45.0% | 113.4% |
What this means. The company's own net cash and net debt numbers differ slightly because it subtracts borrowing costs from debt and rounds the result to whole millions, while this table uses the full debt amount.
What could change ResMed's dividend?
The first base-case test is fiscal 2027 guidance: core constant-currency revenue growth of 5%–7% and EPS of $12.00–$12.25. Continued device and mask demand, manufacturing efficiency and cash generation would support the base case through 2028 and 2029.
The view moves toward the bear case if Philips wins back provider orders during 2027–2029, Astral’s suspension and remediation persist, or GLP-1 treatment and provider capacity slow starts and mask resupply.
What is ResMed's dividend yield today?
| Today (Oct 19, 2026) | |
|---|---|
| Share price | 239.77 |
| P/E, last 12 months (calculated) | 23.0x |
| Dividend yield (calculated) | 1.1% |
What this means. The whole business is valued lower than the stock market value because the company has more cash and short-term investments than debt.