DexCom Surpassed Analyst Expectations in the Second Quarter

Diabetes patients are clamoring to get their hands on DexCom's newest gadget, the G6 continuous glucose monitoring (CGM) system. FDA approved the device in March and the company decided to get the product into customer's hands as soon as possible, even though it had originally planned to launch the device in the second half of the year, CEO Kevin Sayer explained Wednesday during DexCom's second-quarter earnings call. The company ended up launching the new device with about three weeks left in the second quarter. The device is the CGM to score approval as an interoperable CGM, meaning that it can work with other automated insulin dosing systems. While the G6 launch might seem rushed, investors would hardly be able to find fault with that decision after seeing DexCom's second-quarter results. The company posted record revenue performance with sales up 42% compared to the same period last year. DexCom's revenue growth outpaced the increase in operating expenses by more than two times for the first half of the year.  But the decision to launch the G6 device ahead of schedule has put a strain on the organization on a number of fronts, Sayer admitted during the call, according to Seeking Alpha transcripts. Strong demand has driven delays in processing and fulfilling orders, he said, but DexCom expects to "get ahead of this" strain by the end of the third quarter. "To our patient and physician customers, please rest assured the team is working around the cloc...
Source: MDDI - Category: Medical Devices Authors: Tags: Business Source Type: news