DexCom(US:DXCM) ZACKS·2026-02-13 18:35Core Insights - DexCom, Inc. (DXCM) reported Q4 2025 adjusted EPS of 68 cents, exceeding the Zacks Consensus Estimate of 65 cents by 4.6%, and up from 45 cents in the prior-year quarter [1] - Full-year adjusted EPS was $2.09, reflecting a 27.4% increase from 2024 [1] - GAAP net income per share for Q4 was also 68 cents, up from 38 cents year-over-year [1][2] Revenue Performance - Total revenues for Q4 grew 13% year-over-year to $1.26 billion, surpassing the Zacks Consensus Estimate by 0.6% [3] - Full-year revenues for 2025 increased by 16% to $4.66 billion [4] - U.S. revenues, accounting for 70.8% of total revenues, rose 11% to $891.5 million, while international revenues improved 18% to $368.1 million [5] Margin and Operating Income - Adjusted gross profit reached $799.8 million, a 20.9% increase from the prior-year quarter, with an adjusted gross margin of 63.5%, up 410 basis points year-over-year [9] - Total adjusted operating income was $331.5 million, up 58.2% from the previous year, with an adjusted operating margin of 26.3%, an increase of 750 basis points [10] Financial Position - As of the end of Q4, the company had cash, cash equivalents, and marketable securities totaling $2 billion, down from $3.32 billion in Q3 2025 [11] - Total assets were reported at $6.34 billion, a decrease from $7.5 billion [11] Future Guidance - For 2026, DexCom expects revenues between $5.16 billion and $5.25 billion, indicating 11-13% growth year-over-year [12] - The company anticipates an adjusted gross margin of approximately 63-64% and an adjusted operating margin of about 22-23% [12] Strategic Developments - The nationwide launch of the G7 15-Day system is expected to enhance customer experience and drive growth [8] - The company is preparing for potential Medicare coverage for type 2 non-insulin users, which could significantly expand its market [19] - The G7 system's improvements in accuracy and reliability are expected to support ongoing adoption and market share growth [15]