Post Reply 
[News] ResMed's New CEO A Scion Of The Times
Author Message
ApneaNews Offline
Apnea News Correspondent
Advisory Members

Posts: 170
Joined: Feb 2012

Machine: IBM Selectric II
Mask Type: Full face mask
Mask Make & Model: 3M N95 (it gets dusty in the newsroom)
Humidifier: Sears Kenmore (circa 1979)
CPAP Pressure: 3200 psi
CPAP Software: Other Software

Other Comments: I report, therefore I am.

Sex: Undisclosed
Location: In the newsroom (where else?)

Post: #1
ResMed's New CEO A Scion Of The Times
ResMed's New CEO A Scion Of The Times

When Michael Farrell took the helm of ResMed in March, he came aboard in interesting times.

His father, Peter Farrell, had founded and built the company into a leader in devices to treat sleep apnea — disruptions to breathing while sleeping — with rock-steady quarterly growth and a frequent residency in the IBD 50.

But 2013 has been a difficult year for the industry. ObamaCare brought with it a new tax on devices, and the second round of competitive bidding under the 2003 Medicare Modernization Act has been squeezing prices. The magnitude of the latter was one reason ResMed's fiscal first quarter, reported in late October, missed expectations and hurt the stock.

Yet, Farrell is confident in the growth prospects for ResMed (RMD), as it continues to penetrate sleep apnea and branches out into respiratory care. He spoke with IBD recently about his new gig.

IBD: The impact of the competitive bidding seemed to take Wall Street by surprise in the last quarter. Did it surprise you?

Farrell: To put things in perspective, the U.S. market is about 50% of our global business, and Medicare is about 25% of that. So you're talking about 12% or less of the covered lives ResMed looks after.

It's been a two- or three-year process since competitive bidding, round one, started. Round one was nine cities, and competitive bidding round two was 91 cities. So we already knew there would be different impacts, but clearly there's been some temporary distraction of our channel through round two. We had indicated it to the market and had discussions about it. I think when the reality of it hit in Q1, there were some investors who may have been slightly surprised. But we always knew it would be a challenge, and we said on the (earnings conference) call that it will take a number of months for the distraction to clear up.

But the real focus is the long-term growth, which is incredibly exciting. What we focused on, talking about the rest of FY2014 and beyond, (was) that patient volumes — even in the U.S. market, even affected with ObamaCare, even with global financial crisis recovery and unemployment rates where they are — the patients turning up in primary-care offices, getting referrals to specialists in sleep diagnosis and therapy, (are) solid. So it's like you've got a garden hose with a bit of a crimp in it. Over the coming months, the garden hose is going to straighten out and start fertilizing the lawn.


Fair use from:
http://news.investors.com/technology-tec...erview.htm

The above post may contain copyrighted material the use of which has not always been specifically authorized by the copyright owner. The material available is intended to advance the understanding of Sleep Apnea treatment and to advance the educational level of Sleep Apnea patients with regard to their health. Sometimes included is the full text of articles and documents rather than a simple link because outside links frequently "go bad" or change over time. This constitutes a "fair use" of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material in this post is distributed without fee or payment of any kind for research and educational purposes. If you wish to use copyrighted material from this post for purposes of your own that go beyond "fair use", you must obtain permission from the copyright owner.
(This post was last modified: 01-08-2014 01:27 PM by ApneaNews.)
01-08-2014 01:23 PM
Find all posts by this user Post Reply Quote this message in a reply

Donate to Apnea Board
Post Reply 


Possibly Related Threads...
Thread: Author Replies: Views: Last Post
  Compliance times on Philips Dreamstation jeroen1758 3 596 05-15-2016 10:27 PM
Last Post: robysue
  Still sleeping 11 hours at times iloveoliver 6 773 05-07-2016 10:33 AM
Last Post: Sleepster
  Establishing times of mask leaks skydoc01 6 1,099 01-24-2015 10:51 PM
Last Post: skydoc01
  Why are my clock times crazy on Res-Scan data? TheManseHen 9 1,749 01-20-2015 04:50 PM
Last Post: PaulaO2
  LOW AHI, but now waking up three times every night. mdh235 7 1,868 07-08-2014 09:22 PM
Last Post: mdh235
  My AHI 5 times higher with a Facial mask than with the Nasal One Rouletabille 22 6,206 04-03-2014 11:40 AM
Last Post: PaytonA
  How many times you get up at night to pee? zonk 45 14,119 05-19-2013 09:09 AM
Last Post: sleepnewjersey

Forum Jump:

Who's Online (Complete List)