Financial Data and Key Metrics Changes - The company reported worldwide revenue of $1,160 million for Q2 2025, a 15% increase compared to $1,000 million in Q2 2024 [21] - U.S. revenue totaled $841 million for Q2 2025, up 15% from $732 million in Q2 2024 [22] - International revenue grew 16% to $316 million in Q2 2025, with organic revenue growth of 14% [23] - Gross profit was $695.9 million, representing 60.1% of revenue, compared to 63.5% in Q2 2024 [25] - Operating income was $221.8 million, or 19.2% of revenue, compared to $195.4 million, or 19.5% of revenue in Q2 2024 [26] - Adjusted EBITDA was $327.6 million, or 28.3% of revenue, consistent with the previous year [27] - Net income for Q2 was $192.8 million, or $0.48 per share [27] Business Line Data and Key Metrics Changes - The company experienced strong growth from the type two non-insulin population, contributing to market share gains [10] - The Stello app, aimed at glucose biosensing, has been downloaded over 400,000 times, indicating growing brand awareness [10] - The DexCom OnePlus platform saw significant growth, particularly in international markets [23][24] Market Data and Key Metrics Changes - The company established reimbursement for nearly six million type two non-insulin lives in the U.S. [9] - Coverage for insulin users was expanded in Canada through the Ontario Drug Benefit Program, enhancing market presence [24] Company Strategy and Development Direction - The company is focused on expanding access to its technology and innovating its product portfolio to improve health outcomes [30] - A succession plan was announced, with Jake Leach set to take over as CEO in 2026, indicating a strategic leadership transition [29] - The company is balancing long-term platform innovation with rapid software development, introducing 17 app updates in 2025 [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to meet revenue guidance due to strong performance in the first half of the year [36] - The management team is closely monitoring the competitive bidding process for Medicare, which could impact pricing and market dynamics [41][46] - The company is optimistic about the future, with ongoing clinical trials expected to bolster the case for broader access and adoption of CGM technology [101][104] Other Important Information - The company is working on a new 15-day G7 system, with FDA clearance secured and plans for launch in the second half of the year [12][70] - The company has prioritized maintaining continuity for customers amid supply chain challenges, resulting in record production levels [17][25] Q&A Session Summary Question: About the ability to raise full-year guidance - Management noted strong new starts and confidence in the non-insulin opportunity, leading to an increase in full-year revenue guidance [34][36] Question: Exposure to Medicare competitive bidding - Management indicated that approximately 15% of the business is fee-for-service Medicare and emphasized the importance of ensuring no interruption to beneficiaries [41][46] Question: Margin progression through the year - Management expects sequential improvement in margins as inventory levels stabilize and production efficiency increases [52][56] Question: Update on G8 and competitive dual analyte sensors - Management expressed excitement about G8's development and emphasized the importance of safety features in their CGM systems [60][64] Question: FDA progress and outlook for the 15-day system - Management reported positive progress with the FDA and confirmed the upcoming launch of the 15-day sensor [68][70] Question: Competitive dynamics in the type one patient population - Management highlighted the strong outcomes from their systems and the importance of continuous innovation to maintain their competitive edge [75][78] Question: Utilization rates for type two non-insulin users - Management reported high utilization rates of 75-80% among covered users and emphasized the value of integrated features in driving engagement [82][84] Question: Update on Stello app and user demographics - Management confirmed the guidance for Stello remains at 2-3% of sales, with a shift in user demographics towards health and wellness as coverage expands [88][90] Question: Guidance for the back half of the year - Management reiterated their commitment to meeting revenue guidance while remaining optimistic about growth opportunities [96][97] Question: Update on clinical trials for type two non-insulin users - Management confirmed ongoing trials aimed at improving glycemic control and expected readouts early next year [100][101]

Financial Data and Key Metrics Changes - The company reported worldwide revenue of $1,160 million for Q2 2025, a 15% increase compared to $1,000 million in Q2 2024 [22] - U.S. revenue totaled $841 million for Q2 2025, up 15% from $732 million in Q2 2024 [23] - International revenue grew 16% to $316 million in Q2 2025, with organic revenue growth of 14% [24] - Gross profit was $695.9 million, representing 60.1% of revenue, compared to 63.5% in Q2 2024 [27] - Operating income was $221.8 million, or 19.2% of revenue, compared to $195.4 million, or 19.5% of revenue in Q2 2024 [28] - Adjusted EBITDA was $327.6 million, or 28.3% of revenue, consistent with the previous year [29] Business Line Data and Key Metrics Changes - Strong growth was observed in the type two non-insulin population, contributing to market share gains [11] - The Stello app, an over-the-counter glucose biosensor, has been downloaded over 400,000 times, indicating growing brand awareness [11] - The company introduced a new smart food logging feature across its apps, enhancing user experience [13] Market Data and Key Metrics Changes - The company established reimbursement for nearly six million type two non-insulin lives in the U.S. [9] - Coverage expansion in Canada for insulin users through the Ontario Drug Benefit Program represents a significant market opportunity [25] Company Strategy and Development Direction - The company aims to expand coverage for the entire type two non-insulin population in the U.S. [10] - Focus on long-term platform innovation while embracing rapid software development akin to consumer technology companies [14] - The upcoming launch of the 15-day G7 system is anticipated in the second half of the year [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to capitalize on future opportunities and maintain momentum [30] - The transition of CEO responsibilities to Jake Leach is seen as a strategic move to ensure continued growth [30] - Management is closely monitoring macroeconomic conditions and capital market environments [29] Other Important Information - The company presented nearly 40 studies at the American Diabetes Association's Scientific Sessions, focusing on metabolic health management [19] - The company is working on a randomized controlled trial for type two non-insulin users, with results expected early next year [104] Q&A Session Summary Question: About the ability to raise guidance for the full year - Management noted strong performance in new starts and non-insulin opportunities, leading to increased confidence in revenue guidance [38][41] Question: Exposure to Medicare and potential risks - Management indicated that approximately 15% of the business is fee-for-service Medicare and emphasized the importance of ensuring no interruption to beneficiaries [44][49] Question: Margin progression through the year - Management expects sequential improvement in margins as inventory levels stabilize and operational efficiencies are realized [54][58] Question: Update on G8 and competitive dual analyte sensors - Management expressed excitement about G8's development and emphasized the importance of safety features in their offerings [62][65] Question: Update on FDA progress and 15-day launch - Management reported positive progress with the FDA and confirmed the 15-day product will be launched in the current quarter [71][72] Question: Competitive dynamics with insulin pump integration - Management highlighted their strong position in the market and ongoing innovation to maintain competitive advantages [75][78] Question: Utilization rates for type two non-insulin users - Management reported high utilization rates of 75-80% among covered users, driven by the value of the product [85][86] Question: Update on Stello app and user demographics - Management confirmed the guidance for Stello remains at 2-3% of sales, with a shift in user demographics towards health and wellness [90][92]

Raymond James Institutional Investors Conference 2 Forward-looking statements include all statements that are not historical facts and can be identified by terms such as "anticipates," "believes," "could," "seeks," "estimates," "targets," "guidance," "expects," "intends," "may," "plans," "potential," "predicts," "prospects," "projects," "should," "will," "would" or similar expressions and the negatives of those terms, although not all forward-looking statements contain these identifying words. Forward-looki ...