01—Abstract
Summary
Summary of the 8-K filed April 30, 2026. Cited figures are marked; the original filing is the authoritative source.
DexCom reported first quarter 2026 results that beat on profitability and grew revenue strongly.
Revenue rose 15% year-over-year to $1.192 billiona (12% organic, excluding $26.6 million of FX benefit), with U.S. revenue up 11% and international up 26% on a reported basis. GAAP operating income more than doubled to $255.3 million, a 21.4% margin, up 850 basis points from a year earlier, while non-GAAP operating margin reached 22.2%. GAAP diluted EPS was $0.51 versus $0.27, and non-GAAP diluted EPS was $0.56 versus $0.32.
Gross margin expanded to 62.9% GAAP and 63.5% non-GAAP, and Adjusted EBITDA rose to $364.5 millionb from $230.4 million. Management raised its FY2026 non-GAAP operating margin guidance (now approximately 23-23.5%) and adjusted EBITDA margin guidance (approximately 31-31.5%), while reiterating revenue guidance of $5.16-$5.25 billion (roughly 11-13% growth) and non-GAAP gross margin of approximately 63-64%.
The company ended the quarter with $2.42 billionc in cash and marketable securities, an undrawn revolver, and a balance sheet that now shows total equity of $2.96 billion. Investors should note that the organic growth rate (12%) is lower than reported growth (15%), that the implied full-year growth guidance is a wide band, and that the company will host an Investor Day in the coming weeks to discuss its long-term opportunity.
02—Key points
Key Highlights
- Revenue grew 15% YoY to $1.192B reported (12% organic); U.S. +11%, international +26% reported (+17% organic).
- GAAP operating margin expanded 850 bps to 21.4% ($255.3M), with non-GAAP operating margin at 22.2%.
- GAAP diluted EPS of $0.51 vs. $0.27 a year ago; non-GAAP diluted EPS of $0.56 vs. $0.32.
- Raised FY2026 non-GAAP operating margin guidance to ~23-23.5% and adjusted EBITDA margin guidance to ~31-31.5%; revenue guidance of $5.16-$5.25B reiterated.
- Gross margin improved to 62.9% GAAP (from 56.9%) and 63.5% non-GAAP (from 57.5%).
- Adjusted EBITDA increased to $364.5M from $230.4M; cash and marketable securities of $2.42B with undrawn revolver.
- Share count rose: 412.3M shares outstanding at March 31, 2026 vs. 385.9M at year-end, a notable increase in outstanding shares to note.
03—Questions
Frequently Asked Questions
How strong was DexCom's Q1 2026 revenue growth, and how much came from currency?
Reported revenue grew 15% to $1.192 billion. Organic growth was 12% to $1.165 billion, excluding $26.6 million of favorable foreign exchange impact. International revenue grew 26% reported and 17% organic, while U.S. revenue grew 11%.
Did DexCom's profitability improve meaningfully?
Yes. GAAP operating income rose to $255.3 million from $133.7 million, expanding the margin to 21.4% from 12.9%. Non-GAAP operating margin reached 22.2% versus 13.8% a year earlier. GAAP net income nearly doubled to $199.5 million.
What changed in full-year 2026 guidance?
DexCom raised its non-GAAP operating margin guidance to approximately 23-23.5% and its adjusted EBITDA margin guidance to approximately 31-31.5%. Revenue guidance of $5.16-$5.25 billion (about 11-13% growth) and non-GAAP gross margin guidance of 63-64% were reiterated.
Is DexCom's balance sheet strong enough to fund expansion?
DexCom held $2.42 billion in cash, cash equivalents and marketable securities at March 31, 2026, and its revolving credit facility remains undrawn. Management cited this liquidity as supporting continued production capacity expansion and new market exploration. Long-term senior convertible notes total about $1.24 billion.
What should investors watch next?
Investors should watch the Investor Day, which management said would occur in the coming weeks to highlight long-term growth opportunities. They should also monitor whether U.S. growth can accelerate from 11% and whether the wide full-year revenue guidance range narrows as the year progresses.
04—Continue