DexCom, Inc. (NASDAQ:DXCM) stock fell 2.66% (As on Feb 11, 11:53:10 AM UTC-4, Source: Google Finance) after the company posted better than expected result for the fourth quarter of FY 21. Volume growth in conjunction with strong new customer additions continues to be the primary driver of revenue growth as awareness of real-time CGM increases. Non-GAAP gross profit totaled $472.6 million or 67.7% of revenue for the fourth quarter of 2021, compared to $399.1 million or 70.2% of revenue in the fourth quarter of 2020. Non-GAAP net income was $69.0 million for the fourth quarter of 2021, compared to non-GAAP net income of $90.4 million for the same quarter of 2020. The fourth quarter 2021 non-GAAP amount excludes $87.1 million non-cash charge related to our 2018 collaboration and licensing agreement with Verily, $20.9 million of non-cash interest expense related to Dexcom’s senior convertible notes, $11.6 million of income from the sale of equity investments, $9.9 million of intellectual property litigation costs, and $19.9 million of tax adjustments primarily related to excess tax benefits from stock compensation vesting. As of December 31, 2021, Dexcom held $2.73 billion in cash, cash equivalents and marketable securities and our revolving credit facility remains undrawn. The cash balance represents significant financial and strategic flexibility as Dexcom continues to expand production capacity and explore new market opportunities.

DXCM in the fourth quarter of FY 21 has reported the adjusted earnings per share of 68 cents, missing the analysts’ estimates for the adjusted earnings per share of 86 cents, according to the Zacks Consensus Estimate. The company had reported the adjusted revenue growth of 23 percent to $698.2 million in the fourth quarter of FY 21, beating the analysts’ estimates for revenue of $696.7 million. Non-GAAP operating income for the fourth quarter of 2021 was $99.0 million, compared to non-GAAP operating income of $104.4 million for the fourth quarter of 2020.

For fiscal 2022, the company expects revenue to be in the range of approximately $2.82 – 2.94 billion (15-20% growth), Non-GAAP Gross Profit Margin to be of approximately 65%, Non-GAAP Operating Margin of approximately 16% and Adjusted EBITDA Margin to be of approximately 25%.

Meanwhile, the company has submitted a comprehensive 510(k) pre-market notification to the U.S. Food and Drug Administration for regulatory review of the Dexcom G7 CGM System in accordance with the iCGM Special Controls.