Corporate & Investor Presentation

Reconciliation of non-GAAP financial measures, cont'd The measure "non-GAAP income from operations" is reconciled with GAAP income from operations below: (Unaudited; $ in thousands, except for per share amounts) 39 Three Months Ended Six Months Ended December 31, 2020 December 31, 2019 December 31, 2020 December 31, 2019 GAAP income from operations $ 221,716 $ Amortization of acquired intangibles - cost of sales (A) 11,164 197,809 12,052 $ 438,612 $ 368,912 23,143 25,488 Amortization of acquired intangibles - operating 7,689 8,556 15,932 13,599 expenses (A) Restructuring - cost of sales (A) 5,232 5,232 - Restructuring operating expenses (A) 8,673 8,673 Deferred revenue fair value adjustment (A) 657 2,102 Litigation settlement expenses (A) Non-GAAP income from operations $ 254,474 $ (600) 218,474 (600) $ 491,592 $ 409,501 (A) ResMed adjusts for the impact of the amortization of acquired intangibles, restructuring expenses, deferred revenue fair value adjustment, and the (gain) loss on equity investments from their evaluation of ongoing operations, and believes that investors benefit from adjusting these items to facilitate a more meaningful evaluation of current operating performance. ResMed believes that non-GAAP diluted earnings per share is an additional measure of performance that investors can use to compare operating results between reporting periods. ResMed uses non-GAAP information internally in planning, forecasting, and evaluating the results of operations in the current period and in comparing it to past periods. ResMed believes this information provides investors better insight when evaluating ResMed's performance from core operations and provides consistent financial reporting. The use of non-GAAP measures is intended to supplement, and not to replace, the presentation of net income and other GAAP measures. Like all non-GAAP measures, non-GAAP earnings are subject to inherent limitations because they do not include all the expenses that must be included under GAAP. © 2021 ResMed | Corporate & Investor Presentation - updated 28JAN21 ResMed

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