Dexcom CEO Kevin Sayer.
Scott Mlyn | CNBC
Shares of Dexcom fell 9% in extended trading on Thursday after the company reported third-quarter results that beat analysts' expectations but showed a year-over-year decline in U.S. sales.
Here's what the company reported compared to Wall Street's expectations, based on an LSEG analyst survey:
- Earnings per share: 45 cents adjusted versus 43 cents expected
- Revenue: $994 million versus expected $990 million
The company's revenue rose 2% to $994.2 million from $975 million a year ago. Dexcom's U.S. revenue fell 2% from $713.6 million a year ago. The company reported net income of $134.6 million, or 34 cents per share, compared with $120.7 million, or 29 cents per share, in the same period last year.
Dexcom offers a range of tools such as continuous glucose monitors, or CGMs, for patients diagnosed with diabetes. In August, the company launched its first over-the-counter product called Stelo, intended for adults who don't take insulin.
The company maintained its guidance for the full fiscal year, expecting revenue of $4 billion to $4.05 billion. Last quarter, Dexcom lowered its forecast to $4.35 billion from the $4.20 billion it forecast in the first quarter.
That lowered guidance and a revenue miss caused Dexcom shares to plunge more than 40% following its second-quarter earnings release in July. The company's CEO, Kevin Sayer, attributed the challenges to a restructuring of the company's sales team, fewer new customers than expected and lower revenue per user.
Sayer said in a call with investors Thursday that those issues improved in the third quarter.
The company also announced that Teri Lawver, Dexcom's chief commercial officer, will retire at the end of the year. Lawver will serve as a consultant until early next year and Sayer will lead the commercial organization while Dexcom searches for a replacement.
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