Dexcom (DXCM) Wells Fargo 21st Annual Healthcare Conference summary

CONNECT study and type 2 non-insulin opportunity

• CONNECT trial results were strong and are expected to be published in a major journal soon, with additional follow-up studies ongoing and more data to be released over time.

• Two CMS submissions are under review: one for all type 2 patients (mirroring commercial coverage) and another for those on glucose-lowering medication; CMS decision expected by mid-2027.

• No discussions with CMS have included A1C thresholds or step therapy; focus remains on broad access and prevention.

• Anticipated CMS coverage would significantly increase market coverage, potentially accelerating growth above the current 10%+ rate.

• Achieving critical mass in coverage (around 70%) is expected to drive higher physician adoption and utilization.

Market trends, growth, and product performance

• Patient base growth remains strong, with high-teens global growth expected this year, and new patient scripts growing at a similar rate to last year.

• Recent commercial wins and expanded PBM coverage are improving access and driving recurring revenue.

• The 15-Day product is performing well, with a goal to have about 50% of U.S. G-Series users transitioned by year-end; G6 production has been phased out.

• No significant patient loss observed during the G6 to G7 transition; most users are moving smoothly to new products.

• New patient starts hit record levels in Q1 and Q2 globally, with strong U.S. momentum and OUS performance influenced by tender timing.

Product innovation and pipeline

• Smart Basal and "So What?" features are being developed to enhance patient engagement and outcomes, with AI coaching and integration of health data in Stelo and G-Series apps.

• Stelo serves as a feeder to commercial coverage and is evolving with more consumer-centric features; $100 million in first 12 months despite limited initial features.

• G8 is targeted for launch at the end of 2027 or early 2028, with design and software development progressing; potassium and ketones are prioritized as next analytes.

• Hospital CGM is on track for a late 2027 launch, with regulatory pathway clarified and significant long-term opportunity anticipated.