8-KEarnings & Results

DEXCOM INC 8-K Report, Financial Results (Jan 12, 2011)

Filed January 12, 2011For Securities:DXCM

Summary

DexCom, Inc. (DXCM) filed an 8-K on January 12, 2011, to report preliminary financial results and provide forward-looking guidance. The company announced estimated unaudited product revenues of approximately $13.6 million for the fourth quarter of 2010, representing a significant 26% sequential increase. This growth was driven by a 24% increase in starter kit unit sales and a 27% rise in sensor revenues compared to the third quarter of 2010. Furthermore, DexCom provided a revenue outlook for the full fiscal year 2011, projecting product revenues to be in the range of $67.5 million to $72.5 million. These results were discussed in connection with remarks made at the J.P. Morgan 29th Annual Healthcare Conference, and the company cautioned that these figures are subject to finalization. The filing also reiterated various risk factors associated with DexCom's business, including dependence on its SEVEN PLUS product, market acceptance, regulatory actions, supply chain issues, and intellectual property disputes.

Key Highlights

  • 1Q4 2010 estimated product revenue of approximately $13.6 million, a 26% sequential increase.
  • 2Q4 2010 starter kit unit sales increased by approximately 24% sequentially.
  • 3Q4 2010 sensor revenues increased by approximately 27% sequentially.
  • 4Full fiscal year 2011 product revenue guidance of $67.5 million to $72.5 million.
  • 5Results presented at the J.P. Morgan 29th Annual Healthcare Conference.
  • 6Unaudited financial results are subject to finalization.
  • 7Reiteration of significant business risks, including dependence on SEVEN PLUS, market acceptance, and legal challenges.

Frequently Asked Questions

DexCom reported estimated, unaudited product revenues of approximately $13.6 million for the fourth quarter of 2010. This represents a substantial 26% increase from the previous quarter, driven by a 24% rise in starter kit unit sales and a 27% increase in sensor revenues sequentially.

For the full fiscal year 2011, DexCom provided an estimate for product revenue in the range of $67.5 million to $72.5 million.

These financial results and the 2011 outlook were presented by DexCom's President and CEO, Terry Gregg, at the J.P. Morgan 29th Annual Healthcare Conference in San Francisco on January 12, 2011. The information was also filed with the SEC via this Form 8-K.

No, the financial results reported in this 8-K are estimated and unaudited. They are subject to finalization during the preparation of DexCom's Annual Report on Form 10-K for the period ending December 31, 2010.