DexCom — Third Quarter 2026 Earnings Summary

Financial Performance:

• Worldwide revenue grew 11% year-over-year to $1.344 billion on a reported basis, up from $1.209 billion in the third quarter of 2025; organic revenue also grew 11% year-over-year.
• U.S. revenue grew 14% year-over-year to $969.8 million, while international revenue grew 5% year-over-year to $374.7 million.
• GAAP operating income was $327.2 million (24.3% of revenue), an increase of 420 basis points compared to the third quarter of 2025 ($242.5 million).
• Non-GAAP operating income was $339.5 million (25.3% of reported revenue), an increase of 270 basis points compared to the third quarter of 2025 ($272.9 million).
• GAAP gross profit totaled $864.4 million (64.3% of revenue), compared to $731.4 million (60.5% of revenue) in the third quarter of 2025.
• Non-GAAP gross profit was $875.3 million (65.1% of reported revenue), compared to $741.3 million (61.3% of reported revenue) in the third quarter of 2025.
• GAAP net income was $275.1 million ($0.72 per diluted share), compared to $283.8 million ($0.70 per diluted share) in the third quarter of 2025.
• Non-GAAP net income was $275.0 million ($0.73 per diluted share), compared to $242.5 million ($0.61 per diluted share) in the third quarter of 2025.
• Adjusted EBITDA for the quarter was $435.2 million, compared to $368.4 million in the third quarter of 2025.
• Cash, cash equivalents, and marketable securities totaled $1.82 billion as of September 30, 2026; the revolving credit facility remains undrawn.
• Long-term senior convertible notes increased slightly to $1,243.7 million as of September 30, 2026, from $1,240.9 million as of December 31, 2025.

Guidance and Future Outlook:

• Raised the midpoint of fiscal year 2026 revenue guidance to $5.20–$5.25 billion, representing approximately 12–13% growth.
• Reiterated fiscal year 2026 Non-GAAP Gross Profit Margin guidance of approximately 64%.
• Increased fiscal year 2026 Non-GAAP Operating Margin guidance to approximately 24%.
• Increased fiscal year 2026 Adjusted EBITDA Margin guidance to approximately 32%.
• Management expressed confidence in delivering on long-term objectives outlined at Investor Day.

Business Segments and Product Lines:

• Published the CONNECT randomized clinical trial in The New England Journal of Medicine, showcasing outcomes driven by Dexcom G7 for people with Type 2 diabetes not on insulin.
• Launched the fully redesigned Stelo experience, featuring enhanced glucose insights, simplified meal logging, and detailed nutritional information.
• Advanced the rollout of the Dexcom G7 15 Day System in the U.S.
• Secured the first two G7 15 Day international regulatory clearances, positioning for the global transition to the extended wear platform.

Other Key Points:

• Announced a share repurchase authorization of up to $1.0 billion.
• Treasury stock increased to 39.7 million shares at September 30, 2026, from 25.9 million shares at December 31, 2025.
• Issued and outstanding common shares increased to 412.7 million at September 30, 2026, from 410.7 million at December 31, 2025.
• Inventory increased to $770.7 million as of September 30, 2026, from $629.1 million as of December 31, 2025.
• Conference call scheduled for October 29, 2026, at 4:30 p.m. Eastern Time.