DexCom, Inc. (NASDAQ:DXCM) stock rose 10.04% (As on February 10, 11:40:01 AM UTC-4, Source: Google Finance) after the company posted better than expected results for the fourth quarter of FY 22. U.S. revenue growth of 17% and international revenue growth of 15% on a reported basis. International revenue growth was 27% on an organic basis. The company delivered Non-GAAP operating income of $172.1 million or 21.1% of revenue, an increase of 1,940 basis points compared with the same quarter of the prior year. Non-GAAP net income was $136.3 million, for the fourth quarter of 2022, compared to non-GAAP net loss of $2.4 million, for the same quarter of 2021. As of December 31, 2022, Dexcom held $2.46 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 22 has reported the adjusted earnings per share of 34 cents, beating the analysts’ estimates for the adjusted earnings per share of 26 cents, according to Zacks Investment Research. The company had reported the adjusted revenue growth of 17 percent to $815.2 million in the fourth quarter of FY 22, beating the analysts’ estimates for revenue of $815 million. 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 $543.7 million or 66.7% of revenue for the fourth quarter of 2022, compared to $472.6 million or 67.7% of revenue in the fourth quarter of 2021.
Moreover, during the quarter, the company received FDA clearance for the Dexcom G7 CGM system for people with diabetes ages two years and older. Dexcom G7 represents the most accurate2 and simple CGM system from the most covered CGM brand. In support of National Diabetes Awareness Month, partnered with Dexcom Warriors Patti LaBelle, Mark Andrews and Bambi Northwood-Blyth in an awareness campaign designed to advocate for greater access to diabetes care. The company has advanced international portfolio strategy with the introduction of Dexcom ONE in Belgium, Croatia, Greece, Italy and Romania
For fiscal 2023, the company expects Revenue of approximately $3.35 – 3.49 billion (15-20% growth), Non-GAAP Gross Profit Margin of 62-63%, Non-GAAP Operating Margin of approximately 16.5% and Adjusted EBITDA Margin of approximately 26%.