Kevin Sayer, CEO of Dexcom
Scott Mullin | CNBC
shares Dexcon Shares fell 9% in after-hours trading Thursday following the company’s announcement. Third quarter results That beat analysts’ expectations but showed an annual decline in U.S. revenue.
Here’s what the company does:
- Earnings per share: Adjusted for 45 cents, vs. LSEG forecast of 43 cents
- income: US$994 million vs. LSEG’s expected US$990 million
The company’s revenue grew 2% to $994.2 million from $975 million in the same period last year. Dexcom’s U.S. revenue fell 2% from $713.6 million the previous year. The company reported net income of $134.6 million, or 34 cents a share, up from $120.7 million, or 29 cents a share, a year earlier.
Dexcom offers a suite of tools, such as continuous glucose monitors (CGM), for patients diagnosed with diabetes. In August, the company launched its first over-the-counter product, called Stelo, for adults who don’t take insulin.
The company maintained its full fiscal year guidance, projecting revenue of $4 billion to $4.05 billion. Last quarter, Dexcom lowered its forecast to $4.35 billion from $4.2 billion Season 1.
The guidance cut and lower-than-expected revenue sent Dexcom shares down more than 40% after it released second-quarter results in July. CEO Kevin Sayer attributed the challenges to a reorganization of the company’s sales team, a lower-than-expected number of new customers and lower revenue per user.
Sayer said on a conference call with investors Thursday that those issues improved in the third quarter.
The company also announced that Dexcom Chief Commercial Officer Teri Lawver will retire at the end of this year. Lawver will remain in an advisory role until early next year, while Sayer will lead the commercial organization as Dexcom searches for a replacement.
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