The Dexcom logo is visible on the smartphone screen and in the background.
Pavlo Gonchar | SOPA images | Lightrocket | Getty Images
Shares of Dexcom The stock plunged more than 35% in extended trading Thursday after the diabetes management company reported disappointing second-quarter sales and issued weak guidance.
This is how the company performed:
- Earnings per share: 43 cents adjusted against 39 cents expected by LSEG
- Revenue: USD 1 billion compared to USD 1.04 billion expected by LSEG
Dexcom's revenue increased 15% from the same period last year ($871.3 million). The company reported net income of $143.5 million, up from $115.9 million in the same period last year.
For the third quarter, Dexcom expects revenue between $975 million and $1 billion to “account for certain one-time items impacting seasonality in 2024,” the press release said. Dexcom updated its full-year guidance and expects revenue between $4 billion and $4.05 billion, down from the $4.20 billion to $4.35 billion it had forecast last quarter.
“While Dexcom advanced several key strategic initiatives in the second quarter, our execution did not meet our high standards,” said Kevin Sayer, CEO of Dexcom, in the press release. “We have a unique opportunity to serve millions more customers around the world with our differentiated product portfolio, and we are taking actions to improve our execution and best position ourselves for continued long-term growth.”
Dexcom offers a range of tools such as continuous glucose monitors for patients diagnosed with diabetes. In March, the company announced its new The over-the-counter CGM called Stelo has been cleared for use by the U.S. Food and Drug Administration. Stelo is designed for patients with type 2 diabetes who do not use insulin, and Dexcom announced Thursday that it will officially launch in August.
