NASDAQ$DXCM

DexCom Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Dexcom's revenue grew, strategic initiatives advanced, but execution fell short of expectations, leading to updated guidance and a share repurchase program announcement.

DexCom reported a 15% year-over-year revenue increase to $1.004 billion for Q2 2024. The company launched Direct-to-Watch, secured coverage for Dexcom ONE in France, and advanced pump connectivity. However, execution did not meet expectations, prompting updated fiscal year 2024 guidance and a $750 million share repurchase program.

  • Revenue increased by 15% year-over-year to $1.004 billion.
  • U.S. revenue grew by 19%, while international revenue increased by 7%.
  • GAAP operating income was $158.0 million, representing 15.7% of revenue.
  • Launched Direct-to-Watch in the U.S. and several international markets.

Headline financials

Total Revenue

$1B

Previous: $871M+15.3%
EPS

$0.35

Previous: $0.34+2.9%
GAAP Operating Margin

15.7%

Previous: 14.7%+6.8%
Non-GAAP Operating Margin

19.5%

No prior period
GAAP Gross Profit Margin

62.4%

No prior period
Non-GAAP Gross Profit Margin

63.5%

No prior period
Capital Expenditures

-$123M

Previous: -$134M+8.0%
Free Cash Flow

$20.5M

Previous: -$17.8M+215.2%
Net Income

$144M

Previous: $116M+23.8%
Operating Income

$158M

Previous: $128M+23.3%
Gross Profit

$627M

Previous: $546M+14.7%
Cash & Equivalents

$939M

Previous: $1.19B-21.4%
Total Assets

$6.8B

Previous: $6.82B-0.3%
R&D Expense

$136M

No prior period
Stock-Based Comp

$44.7M

Previous: $39.7M+12.6%

Revenue & EPS history

DexCom · Revenue · Quarterly

$1B

Q2 2024+15.3%vs Q2 2023
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Forward guidance

Dexcom is updating fiscal year 2024 guidance for Revenue and Non-GAAP Gross Profit Margin, and reiterating guidance for Non-GAAP Operating Margin and Adjusted EBITDA Margin. Third quarter 2024 Revenue of approximately $975 million to $1.00 billion (1 - 3% organic growth).

Tailwinds

  • Revenue of approximately $4.00 - 4.05 billion (11 - 13% organic growth)
  • Non-GAAP Gross Profit Margin of approximately 63%
  • Non-GAAP Operating Margin of approximately 20%
  • Adjusted EBITDA Margin of approximately 29%
  • Third quarter 2024 Revenue of approximately $975 million to $1.00 billion (1 - 3% organic growth)

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

+1.6%

Avg return

Earnings day

+2.0%

Avg return

5 days after

+1.8%

Avg return

30 days after

56%

36 / 64 earnings

Positive

+31.1%

Q2 2018

Best reaction

-42.8%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+9.8%+1.4%+23.8%
Q4 2025+7.6%+11.9%-1.3%
Q3 2025+1.6%-13.1%-6.9%
Q1 2025+16.0%+18.6%+22.1%
Q4 2024+5.9%+6.6%-15.9%
Q3 2024+1.3%-0.3%+0.5%
Q2 2024-42.8%-37.7%-33.8%
Q1 2024-9.8%-7.6%-7.6%
Q4 2023-4.8%-7.6%+6.8%
Q3 2023+5.9%+5.3%+33.9%
Q2 2023+1.3%-6.6%-22.9%
Q1 2023-2.9%-5.5%-7.9%
Q4 2022+7.3%+7.9%-1.9%
Q3 2022+17.8%+16.0%+9.2%
Q2 2022-4.3%+2.9%-1.5%
Q1 2022-1.1%-4.3%-30.0%
Q4 2021-6.1%-6.8%-12.9%
Q3 2021+11.6%+14.5%+6.0%
Q2 2021+12.1%+13.3%+13.2%
Q1 2021-9.3%-12.8%-13.2%
Q4 2020+3.3%+1.2%-10.4%
Q3 2020-16.5%-23.5%-25.2%
Q2 2020+0.9%+2.9%+1.0%
Q1 2020+3.1%+1.9%+8.0%
Q4 2019+15.4%+20.3%-0.8%
Q3 2019+26.8%+33.9%+46.4%
Q2 2019-5.2%-9.1%+9.7%
Q1 2019-0.6%+0.9%+0.2%
Q4 2018-5.9%-4.1%-11.3%
Q3 2018+10.5%+14.2%-1.0%
Q2 2018+31.1%+28.1%+51.8%
Q1 2018+14.2%+16.6%+25.6%
Q4 2017-1.4%+6.6%+3.0%
Q3 2017+6.1%+11.1%+29.0%
Q2 2017+7.1%+6.8%+12.0%
Q1 2017-7.1%-4.3%-16.0%
Q4 2016+2.9%+1.6%+7.3%
Q3 2016-19.6%-20.9%-19.0%
Q2 2016-1.9%-1.5%-1.0%
Q1 2016-5.5%
Q4 2015+1.4%
Q3 2015-3.0%
Q2 2015+9.9%
Q1 2015-0.7%
Q4 2014+0.6%
Q3 2014+15.7%
Q2 2014+10.9%
Q1 2014-1.8%
Q4 2013-3.1%
Q3 2013+16.4%
Q2 2013+18.7%
Q1 2013+10.0%
Q4 2012+9.2%
Q3 2012-1.5%
Q2 2012+2.4%
Q1 2012+2.0%
Q4 2011-3.6%
Q3 2011-16.2%
Q2 2011-17.7%
Q1 2011-1.7%
Q4 2010+5.3%
Q3 2010-22.1%
Q2 2010+5.5%
Q1 2010-9.2%

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