Shares in Dexcom (NSDQ:DXCM) dropped nearly 6.8% this morning following comments by a company executive that the company is facing “headwinds” that could hamper third-quarter results, according to a report by SeekingAlpha.
EVP and CFO Quentin Blakford told attendees at Morgan Stanley’s Healthcare Conference in New York that comparisons to Q3 2018 results could be difficult, and that growth will continue to be “depressed,” the SeekingAlpha report said.
Dexcom posted second-quarter results in July that beat the consensus forecast on Wall Street, and raised its outlook for the rest of the year.
The San Diego–based continuous glucose monitoring (CGM) technology company reported a loss of $10.5 million, or -$0.12 per share, on sales of $336.4 million for the three months ended June 30. Sales were up 39% compared with Q2 2018, which saw profits of $30.2 million, or $0.34 per share.
Adjusted to exclude one-time items, earnings per share were $0.08, 8¢ ahead of The Street, where analysts were looking for sales of $304.4 million.
CNBC reported in June that Dexcom was launching upgrades for its G6 diabetes system and had plans to launch its direct-to-Apple Watch version over the next year. The Apple and Dexcom collaboration would allow diabetes patients to track glucose through the Apple Watch, a consumer wearable, the network reported.
Dexcom had said in its Q2 earnings report that it expects to log a non-GAAP operating margin of roughly 7% this year, versus previous expectations of 6%, and upped its top-line outlook to $1.325 billion to $1.375 billion, compared with $1.25 billion to $1.30 billion previously.
DXCM shares were trading at $150.29 today during late-morning trading.
