德康醫療 (DXCM) 2015 Q1 法說會逐字稿

Welcome to the DexCom first-quarter 2015 earnings release conference call. My name is Anna, and I will be operator for today's call.

歡迎參加 DexCom 2015 年第一季財報發布電話會議。我是 Anna，將擔任今天會議的接線員。

(Operator Instructions)

（接線員指示）

Please note that this conference is being recorded. I will now turn the call over to Kevin Sayer. Kevin Sayer, you may begin.

請注意，本次電話會議將被錄音。我現在把電話交給 Kevin Sayer。Kevin Sayer，您可以開始。

Thank you very much and welcome to our first-quarter 2015 earnings call. We'll start off with the Steve Pacelli and our traditional Safe Harbor statement.

非常感謝，歡迎各位參加我們 2015 年第一季財報電話會議。我們將先由 Steve Pacelli 進行說明，並宣讀我們慣例的「安全港」聲明。

Thanks, Kevin. Some of the statements that we will make in today's call may constitute forward-looking statements. These statements reflect Management's expectations about future events, operating plans and performance and speak only as of the date hereof. These forward-looking statements involve a number of risks and uncertainties.

謝謝你，Kevin。我們今天電話會議中所做的部分陳述可能構成前瞻性陳述。這些陳述反映管理層對未來事件、營運計畫與績效的預期，且僅以本日為準。這些前瞻性陳述涉及多項風險與不確定性。

A list of the factors that could cause actual results to be materially different from those expressed or implied by any of these forward-looking statements is detailed under risk factors and elsewhere in our annual report on Form 10-K, our quarterly reports on Form 10-Q, and or other reports filed with the SEC. We undertake no obligation to update publicly or revise these forward-looking statements for any reason.

可能導致實際結果與任何此等前瞻性陳述所明示或暗示者存在重大差異的因素清單，已在我們的 Form 10-K 年報、Form 10-Q 季報及／或其他向美國證券交易委員會（SEC）提交的報告中的風險因素及其他章節中詳述。我們不承擔因任何原因公開更新或修訂這些前瞻性陳述的義務。

Additionally, we will discuss certain financial information that has not been prepared in accordance with GAAP with respect to the cash-based operating results. This non-GAAP information is provided to enhance your overall understanding of our current financial performance. The presentation of this additional information should not be considered in isolation or as a substitute for results or superior to results prepared in accordance with GAAP.

此外，我們將就以現金為基礎的營運結果，討論若干未依 GAAP 編製的財務資訊。提供此等非 GAAP 資訊旨在增進您對我們目前財務表現的整體理解。此額外資訊之呈現不應被孤立看待，亦不應被視為 GAAP 結果的替代，或優於依 GAAP 編製之結果。

Kevin?

Kevin？

Thank you, Steve. Joining me today are Jess Roper, our Chief Financial Officer, and Steve Pacelli, our Executive Vice President of Strategy and Corporate Development. Sticking with the format we established a during our last earnings call, Steve will start with a review of our detailed first-quarter 2015 financial results, and I will follow with our customary operations update and offer some concluding thoughts before opening the lines for questions.

謝謝你，Steve。今天與我一同出席的還有我們的財務長 Jess Roper，以及策略與企業發展執行副總裁 Steve Pacelli。延續我們在上次財報電話會議所建立的形式，Steve 將先回顧 2015 年第一季的詳細財務結果，接著我會進行我們慣例的營運更新，並在開放提問前做一些結語。

Before I turn the call over to Steve, I want to take a moment to talk about some of our major accomplishments during this first quarter. First, we launched our G4 PLATINUM with Share system in March, just over 30 days after receiving approval. We were planning to launch this product in Q2 and had to accelerate a number of tasks to pull this off. I want to acknowledge the efforts of all of our fine people involved with this project.

在我把電話交給 Steve 之前，我想花點時間談談我們在第一季的一些重大成果。首先，我們在 3 月推出了 G4 PLATINUM with Share 系統，距離取得核准僅略超過 30 天。我們原本計畫在第二季推出此產品，因此必須加速多項工作才能達成。我想肯定所有參與此專案的優秀同仁所付出的努力。

Second, we filed of the DexCom G5 mobile system in February. We have long dreamed of transmitting sensor data directly to a smartphone as have our patients, and we believe that that dream will be realized later this year.

第二，我們在 2 月提交了 DexCom G5 行動系統的申請。我們長期以來一直夢想能將感測器資料直接傳輸到智慧型手機，我們的病患亦然；我們相信這個夢想將在今年稍晚實現。

Concerning our commercial activities, we again experienced significant revenue growth in spite of the fact that the first quarter is always the most challenging from a reimbursement perspective. US new patient growth was exceptional. As on a percentage basis, our new patient growth compared to Q1 last year far exceeded our 55% total revenue growth for the quarter. Finally, we made progress on a number of other strong fronts that we will report on throughout the call.

就商業活動而言，儘管第一季在給付（reimbursement）面向一向最具挑戰，我們仍再次實現顯著的營收成長。美國新病患成長表現出色。以百分比來看，我們相較去年第一季的新病患成長，遠超過本季 55% 的總營收成長。最後，我們也在其他多個強勁面向取得進展，並將在本次電話會議中陸續報告。

With that I'll turn the call over to Steve.

接下來我把電話交給 Steve。

Thanks, Kevin.

謝謝你，Kevin。

DexCom reported revenue of $72.8 million for the first quarter of 2015, compared to $47.1 million for the same quarter in 2014, a $25.7 million or 55% increase. Sequentially, revenue for Q1 of 2015 decreased $11.5 million, down 13.6% from the prior quarter. This sequential decline in revenue was not unexpected due to our typical Q1 seasonality together with the financial impact of the launch of our Share receiver that we will discuss momentarily.

DexCom 2015 年第一季營收為 7,280 萬美元，較 2014 年同期的 4,710 萬美元增加 2,570 萬美元，增幅 55%。按季比較，2015 年第一季營收較前一季減少 1,150 萬美元，下降 13.6%。此一按季下滑並不意外，原因在於我們典型的第一季季節性因素，以及我們 Share 接收器上市所帶來的財務影響，我們稍後將進一步說明。

Our gross profit totaled $46.5 million, generating a gross margin of 64% for the first quarter of 2015 compared to a gross profit of $29.8 million and a gross margin of 63% for the same quarter in the prior year.

我們的毛利合計 4,650 萬美元，2015 年第一季毛利率為 64%；相較之下，前一年度同期毛利為 2,980 萬美元，毛利率為 63%。

We'd like to take this opportunity to give you some clarity on the Q1 financial impact of our sooner than expected FDA approval of the G4 PLATINUM with Share, as this approval affected both of revenues and gross profits for Q1. Under the terms of the upgrade program we previously announced, all US patients who purchased a G4 PLATINUM system from January 1 until the launch of the Share receiver in March have the right to receive a free upgrade to the Share receiver.

我們希望藉此機會，針對 G4 PLATINUM with Share 早於預期取得 FDA 核准對第一季財務的影響提供更清楚的說明，因為該核准同時影響了第一季的營收與毛利。依據我們先前公布的升級方案條款，所有在 1 月 1 日至 3 月 Share 接收器上市期間購買 G4 PLATINUM 系統的美國病患，均有權免費升級至 Share 接收器。

This upgrade program required us to differ $800,000 of our revenue in Q1 related primarily to upgrade receivers which were not shipped prior to quarter's end. However, we expect to recognize most of this revenue in Q2 when we shift the balance of the receiver upgrades.

此升級方案使我們在第一季遞延了 80 萬美元營收，主要與截至季末尚未出貨的升級接收器相關。然而，我們預期在第二季出貨其餘接收器升級時，將認列其中大部分營收。

Additionally, we recorded a charge cost of sales of $2.7 million, related to this early launch. Of the $2.7 million, $700,000 was recorded as a charge to cost of sales with respect to the upgrade receivers and $2 million was a write-down of excess and obsolete inventory related to the prior generation G4 PLATINUM receiver.

此外，我們就此次提前上市在銷貨成本中認列了 270 萬美元費用。其中 270 萬美元中，有 70 萬美元係就升級接收器認列為銷貨成本費用，另有 200 萬美元為與上一代 G4 PLATINUM 接收器相關之過剩及呆滯存貨減記。

The impact of this revenue deferral and the additional cost of goods sold related to the G4 PLATINUM with Share launch was a decrease of approximately 4 margin points. We do not anticipate any additional charges with respect to this launch, and we expect margins to return to normal over the course of 2015.

此一營收遞延以及與 G4 PLATINUM with Share 上市相關的額外銷貨成本，使毛利率約下降 4 個百分點。我們預期不會再就此次上市認列任何額外費用，並預期毛利率將在 2015 年期間逐步回復正常。

Some final thoughts on our revenues and our gross profits. Our mix between durable and consumable products remains steady at approximately 30% durable and 70% consumable, a mix we expect to remain fairly constant going forward. ASPs for sensors remain within our state range of $70 to $75 per sensor. The ASP for our hardware is approximately $800 to $850 per starter kit.

關於我們營收與毛利的最後幾點說明：耐久財與耗材產品的組合仍維持穩定，約為 30% 耐久財、70% 耗材；我們預期未來將大致維持此一組合。感測器的平均銷售價格（ASP）仍維持在我們既定區間每個 70 至 75 美元。硬體的 ASP 約為每套入門套組 800 至 850 美元。

Finally, our international business continued to grow and now represents slightly more than 15% of our revenues. Research and development expense totaled $19.8 million for Q1 of 2015 compared to $14.5 million in Q1 of 2014, with the increase due primarily to additional payroll related costs and expenses related to work on our near-term product pipeline and work on our advanced product pipeline.

最後，我們的國際業務持續成長，目前占營收比重略高於 15%。2015 年第一季研發費用合計 1,980 萬美元，較 2014 年第一季的 1,450 萬美元增加；增加主要來自額外的人事相關成本，以及與我們近期產品管線及先進產品管線研發工作相關的費用。

Sequentially, R&D expense was down $1.8 million; however, we were remind investors that R&D expense can be variable quarter to quarter. And we still expect that R&D expense for the full year will be up approximately 25% on a GAAP basis versus 2014 and approximately 15% on a cash basis. And, similar to prior years and consistent with our commitment to continued innovation, we may take on additional R&D expense if it will better position the business for the future.

按季比較，研發費用減少 180 萬美元；然而，我們提醒投資人研發費用可能會在各季之間波動。我們仍預期全年研發費用在 GAAP 基礎上將較 2014 年增加約 25%，在現金基礎上將增加約 15%。此外，與往年相同並符合我們持續創新的承諾，若能使公司在未來更具競爭優勢，我們可能會承擔額外的研發費用。

Selling, general and administrative expense totaled $39.4 million in Q1 of 2015, compared to $27.6 million during the same quarter 2014. This increase was primarily related to increased headcount in our sales organization, including both field sales and internal sales support staff, which was largely completed during Q1 and some increased IT infrastructure cost. It is also important to note that the year-over-year increase in SG&A expense included $4 million of increased non-cash share-based compensation expense.

2015 年第一季銷售、一般及行政費用（SG&A）合計 3,940 萬美元，較 2014 年同期的 2,760 萬美元增加。此一增加主要與我們銷售組織人員擴編有關，包括外勤銷售與內部銷售支援人員，而此擴編大多在第一季完成，另亦包含部分 IT 基礎設施成本增加。另需注意的是，SG&A 費用的年增幅中包含 400 萬美元增加的非現金股份基礎給付（share-based compensation）費用。

Our net loss for the first quarter of 2015 totaled $12.9 million and included $18.7 million in non-cash expenses centered in share-based compensation, depreciation and amortization. Absent these non-cash charges, together with the impact of the deferred revenue and the increased cost of sales related to the G4 PLATINUM with Share launch, our cash-based net income was $9.3 million for Q1. This compares quite favorably to a cash-based net loss of $500,000 in Q1 last year.

我們 2015 年第一季淨損合計 1,290 萬美元，其中包含 1,870 萬美元的非現金費用，主要為股份基礎給付、折舊與攤銷。若排除上述非現金費用，並一併排除與 G4 PLATINUM with Share 上市相關的遞延營收影響及銷貨成本增加影響，我們第一季以現金為基礎的淨利為 930 萬美元。相較之下，去年第一季以現金為基礎的淨損為 50 萬美元；本季表現明顯更佳。

We also remind investors that going forward we expect share-based compensation expense to be approximately $21 million to $22 million per quarter through the balance of 2015. Our loss per share for the quarter was $0.17.

我們也提醒投資人，展望未來，預期 2015 年剩餘期間每季的股份基礎給付費用約為 2,100 萬至 2,200 萬美元。本季每股虧損為 0.17 美元。

With respect to our balance sheet, we ended the first quarter with $84 million in cash and marketable securities, an increase of $26 million over Q1 of 2014. Looking forward, we remain comfortable with our FY15 revenue guidance of $340 million to $360 million.

就我們的資產負債表而言，我們在第一季結束時持有8,400萬美元的現金及有價證券，較2014年第一季增加2,600萬美元。展望未來，我們仍對FY15營收指引3.40億至3.60億美元感到有信心。

Before I turn the call back to Kevin, I want to take a moment to acknowledge the outstanding work by our quality and regulatory teams in guiding DexCom through an FDA inspection last week. The inspection resulted in no observations or findings by the FDA, as part of our biannual QSIT audit, and the inspection also clears the warning letter issued back in 2013. Great work by the team.

在我把電話會議交回給Kevin之前，我想花點時間肯定我們品質與法規團隊的傑出表現，他們在上週引導DexCom順利通過FDA稽查。作為我們每兩年一次的QSIT稽核的一部分，此次稽查FDA未提出任何觀察事項或缺失，並且也一併解除2013年所發出的警告信。團隊做得非常好。

With that, I'll turn the call back over to Kevin for a business update.

接下來，我把電話會議交回給Kevin進行業務更新。

Thank you, Steve. The biggest event in Q1 was the launch of the G4 PLATINUM receiver with Share, a huge milestone for DexCom and for our patients. Since that launch we have been flooded with phone calls and emails regarding the benefits of connectivity and sharing data. Several parents have related stories to us regarding their ability to identify serious, low readings of their children, many of them away at college, and help those loved ones properly treat their diabetes.

謝謝你，Steve。第一季最大的事件是推出具備Share功能的G4 PLATINUM接收器，這對DexCom以及我們的病患而言都是一個重大的里程碑。自推出以來，我們接到大量來電與電子郵件，詢問連線與資料分享所帶來的好處。有幾位家長向我們分享，他們能夠辨識孩子嚴重偏低的讀值（許多孩子在外地上大學），並協助親人適當處理糖尿病。

We have also received extremely positive feedback regarding data display on the phone for patients. Again, we are hearing, I don't take my receiver out of my pocket or my backpack or my purse. I just look at my phone, and I love it.

我們也收到病患對於在手機上顯示資料的極度正面回饋。同樣地，我們聽到的是：我不需要把接收器從口袋、背包或手提包裡拿出來；我只要看手機，我很喜歡。

With Apple's launch last week, several fortunate DexCom patients have received their Apple Watch and are viewing glucose information on yet another new platform. We're already getting more screenshots from enthusiastic patients and caretakers following their loved ones. For the Android community, our Android DexCom follow app is scheduled to be released in early summer.

隨著Apple上週的上市，幾位幸運的DexCom病患已收到他們的Apple Watch，並在另一個全新平台上查看葡萄糖資訊。我們已經從熱情的病患與照護者那裡收到更多螢幕截圖，用來追蹤他們所愛的人。對於Android社群，我們的Android版DexCom Follow應用程式預計在初夏發布。

This has always been our goal. Give our patients and their caregivers glucose information whenever and wherever they want it. The DexCom the G4 PLATINUM receiver with Share is only the beginning in a stream of innovation that will drive our growth for the next several years. We believe that today is an appropriate time to provide a deeper look into our future plans.

這一直是我們的目標：讓病患及其照護者在任何時間、任何地點都能取得葡萄糖資訊。具備Share功能的DexCom G4 PLATINUM接收器只是未來一連串創新的起點，這些創新將推動我們未來數年的成長。我們認為現在是適當的時機，對我們的未來計畫提供更深入的說明。

Let's start out with Gen 5. As I stated in my opening remarks, the G5 mobile system was filed with the FDA in February of this year. We have had excellent dialogue with the agency regarding the G5 mobile filing, and we expect to receive FDA approval and launch the G5 mobile system later this year. We believe that this system will truly make the smartphone the center of the diabetes universe for our patients and will completely change the DexCom patient experience.

先從第5代（Gen 5）談起。如我在開場致詞中所述，G5行動系統已於今年2月向FDA遞交申請。我們與主管機關就G5行動系統申請案進行了非常良好的溝通，並預期將在今年稍晚取得FDA核准並推出G5行動系統。我們相信，這套系統將真正讓智慧型手機成為病患糖尿病世界的核心，並徹底改變DexCom病患的使用體驗。

The key component of this system is a smart transmitter. The algorithm currently running on the receiver will instead reside in the transmitter. The smart transmitter will directly send a glucose value via Bluetooth low energy to up to two devices.

此系統的關鍵元件是一個智慧型發射器。目前在接收器上運行的演算法將改由發射器承載。智慧型發射器將透過低功耗藍牙（Bluetooth low energy）直接傳送葡萄糖數值至最多兩個裝置。

Patients will no longer be required to carry a receiver for connectivity, as they do now. The signal will go straight to the smartphone.

病患將不再需要像現在一樣為了連線而攜帶接收器。訊號將直接傳到智慧型手機。

The user interface with the system has been completely redesigned to take advantage of mobile platform visualization. While our first product offerings are iOS based, we plan to develop G5 mobile apps for display on a number of platforms and devices, giving patients and their caregivers a tremendous amount of flexibility.

系統的使用者介面已全面重新設計，以充分運用行動平台的視覺化能力。雖然我們的第一波產品將以iOS為基礎，但我們計畫開發可在多種平台與裝置上顯示的G5行動應用程式，讓病患及其照護者擁有極大的彈性。

The G5 mobile system also incorporates the capabilities of our FDA approved Share platform. With data from our patients going directly to our secure servers, we look forward to the day when we can offer patients, payers, and healthcare professionals advanced analytics to improve outcomes for everyone. We will have a tremendous opportunity to partner with other healthcare entities to include this data in a complete health profile and are in discussions with many such partners right now.

G5行動系統也整合了我們已獲FDA核准的Share平台功能。隨著病患資料直接傳送至我們的安全伺服器，我們期待有一天能為病患、支付方與醫療專業人員提供進階分析，以改善所有人的治療結果。我們也將有極大的機會與其他醫療健康機構合作，把這些資料納入完整的健康檔案；目前我們正與許多此類合作夥伴洽談中。

The G5 mobile platform will obviously make an impact on DexCom as well. The G5 mobile system utilizes our FDA approved G4 PLATINUM sensor with the improved 505 algorithm, so there will be no disruption in sensor operations for this launch.

G5行動平台顯然也會對DexCom產生影響。G5行動系統採用我們已獲FDA核准、搭載改良版505演算法的G4 PLATINUM感測器，因此此次上市不會對感測器業務造成中斷。

The G5 mobile system can impact our revenue models in a number of ways. We believe that this system will be a major catalyst in driving new patient growth, therefore increasing our revenues. We also feel that the improved patient interface and data sharing capability of the system could have a positive impact upon patient retention and sensor utilization. Currently, we believe that the FDA will require each new patient to purchase the DexCom receiver, which will more than likely be used as a backup.

G5行動系統可能以多種方式影響我們的營收模式。我們相信此系統將成為推動新病患成長的主要催化劑，進而提升營收。我們也認為，系統改善的病患介面與資料分享能力，可能對病患留存率與感測器使用量帶來正面影響。目前我們認為FDA將要求每位新病患購買DexCom接收器，而該接收器很可能主要作為備援使用。

Receiver upgrade revenues will probably decrease. Since the Gen 4 PLATINUM receiver with Share will be compatible with G5 mobile and existing patients will more than likely utilize their iPhones and other smartphones as their primary receivers.

接收器升級營收可能會下降。因為具備Share功能的第4代PLATINUM接收器將可與G5行動系統相容，而既有病患很可能會以iPhone及其他智慧型手機作為主要接收裝置。

Total transmitter revenue for a patient over a 12-month period, will remain constant or possibly increase, as the G5 smart transmitter has a shorter useful life than the current transmitter. Just to remind everyone, the Seven Plus transmitter had a labeled useful life of one year, the G4 PLATINUM transmitter has a labeled useful life of six months, and the G5 mobile transmitter will have a labeled useful life of three months.

病患在12個月期間的發射器總營收將維持不變或可能增加，因為G5智慧型發射器的使用壽命比現行發射器更短。提醒大家，Seven Plus發射器標示的使用壽命為一年，G4 PLATINUM發射器標示的使用壽命為六個月，而G5行動發射器標示的使用壽命將為三個月。

Given the need to manufacture more transmitters per patient per year, we are initially anticipating increased costs on the transmitter front. However, we believe that over time, we can eventually make the cost model of our future transmitters equal to the current model through increased volumes, new electronics designs and other manufacturing efficiency projects that are already in process.

鑑於每位病患每年需要製造更多發射器，我們初期預期發射器端成本將上升。然而，我們相信隨著時間推進，透過更大的出貨量、新的電子設計以及其他已在進行中的製造效率專案，我們最終可以讓未來發射器的成本模型與目前的模型相當。

The shorter transmitter also provides the DexCom community with another benefit. Upgrades to new platforms will be significantly shortened and much simpler. For example, when Gen 6 is launched, the Gen 6 smart transmitter with its corresponding app will be available to all existing patients during their normal purchasing cycles within a few short months.

較短的發射器週期也為DexCom社群帶來另一項好處：升級到新平台的時間將大幅縮短且更為簡單。舉例來說，當第6代（Gen 6）推出時，搭配相對應應用程式的Gen 6智慧型發射器，將可在短短幾個月內於既有病患的正常購買週期中提供給所有既有病患。

Shifting to Gen 6, we expect to conduct a pre-pivotal with our next generation sensor this summer. After that pre-pivotal study, we'll finalize our IDE with pivotal studies coming after that. We currently see Gen 6 as a first-half 2017 commercial launch, but that timing could change based on a number of factors.

轉到第6代（Gen 6），我們預期今年夏天將以我們的下一代感測器進行一項關鍵性試驗前研究（pre-pivotal）。在該研究之後，我們將完成IDE，並在其後展開關鍵性試驗（pivotal studies）。目前我們預期Gen 6將於2017年上半年商業化上市，但該時程可能會因多項因素而改變。

Gen 6 will be an extended-wear sensor most likely 10 days. Extended sensor life will provide us with yet another opportunity to reevaluate our business model. Gen 6 will also have a reduced calibration scheme and a completely new algorithm architecture. Based upon the performance we have seen with this sensor to date and the capabilities of our next-generation algorithm platform, we believe that calibrations could be completely eliminated with this future system.

Gen 6將是一款延長配戴型感測器，最可能為10天。延長的感測器壽命將為我們帶來另一個重新評估商業模式的機會。Gen 6也將採用較少的校正方案，以及全新的演算法架構。根據我們迄今所見的感測器表現，以及我們下一代演算法平台的能力，我們相信在此未來系統中，校正有可能被完全取消。

However, as we work with the FDA on a non-injunctive claim for our current sensor platform and as we work with the various artificial pancreas groups around the globe, we've come to recognize that it may be prudent to require the safety of some finger-stick confirmations during a sensor session. So as the Gen 6 sensor evolves, we may end up with multiple product offerings levering the same core sensor technology with different algorithms, different user interfaces and different labeling.

然而，當我們與FDA就現行感測器平台的非治療性（non-injunctive）宣稱進行合作，以及與全球各地的人工胰臟團隊合作時，我們逐漸認知到，在一次感測器使用期間要求進行部分指尖採血確認以確保安全，可能是較為審慎的作法。因此，隨著Gen 6感測器的演進，我們最終可能會推出多種產品方案：採用相同的核心感測器技術，但搭配不同的演算法、不同的使用者介面與不同的標示。

For example, think of an AP sensor that is labeled for use as part of an automated system but still requires calibration for safety, and a non-AP sensor with different algorithm, a different user interface that would not require calibration but might have a different labeled indication. Ultimately, we do plan to eliminate finger sticks for all indications, but that will take some time and some more experience.

例如，可以想像一款AP感測器，標示可作為自動化系統的一部分使用，但為了安全仍需要校正；以及一款非AP感測器，採用不同演算法與不同使用者介面，不需要校正，但其核准適應症標示可能不同。最終，我們確實計畫在所有適應症上取消指尖採血，但這需要一些時間與更多經驗累積。

The other thing that the Gen 6 platform will offer the Company is the ability to expand into other markets: diagnostics for non-insulin using Type IIs, hospitals, pregnancy, even pre-diabetes and obesity. The performance and future cost reduction features of this system combined with the connectivity and data features carried over from previous generations will provide us with tremendous opportunities in the future.

Gen 6平台還將為公司帶來拓展至其他市場的能力：例如非胰島素治療的第二型糖尿病患者之診斷、醫院、妊娠，甚至糖尿病前期與肥胖。此系統的效能與未來降成本特性，結合從前幾代延續而來的連線與資料功能，將在未來為我們帶來巨大的機會。

Not to be lost in all of the Gen 5 and Gen 6 discussions are our efforts to make improvements in our products that will affect the current system and several generations of products thereafter. Activities related to an insulin dosing claim for current system continue with the FDA. The agency has been extremely thoughtful and progressive in this area.

在所有關於第5代與第6代的討論中，也不應忽略我們持續改良產品的努力，這些改良將影響現行系統以及其後數代產品。與現行系統胰島素劑量宣稱相關的工作仍在與FDA持續進行中；主管機關在此領域一直非常審慎且具前瞻性。

We are also actively working on similar labeling in the OUS markets. We're also making good progress on that the next insertion system, a lower-cost, higher-quality Wi-Fi enabled receiver and several generations of transmitters. All designed to be more convenient for our patients and to reduce costs and improve reliability for DexCom.

我們也正在 OUS 市場積極推動類似的標示工作。同時，我們在下一代插入系統、低成本且更高品質的 Wi‑Fi 連線接收器，以及數代發射器方面也取得了良好進展。這些設計皆旨在讓病患使用更便利、降低成本，並提升 DexCom 的可靠性。

Shifting to our integration partnerships Johnson & Johnson reported positive feedback regarding the launch of Animus Vibe in the US during its earnings call a few weeks back. Tandem continues to have discussions with the FDA regarding their integrated system and remains on track for a launch later in 2015.

轉到我們的整合合作夥伴方面，Johnson & Johnson 在幾週前的財報電話會議中表示，Animus Vibe 在美國上市獲得正面回饋。Tandem 仍持續就其整合系統與 FDA 討論，並維持在 2015 年稍晚推出的進度上。

As we look to the next phase of our integration partnerships, display will be available on the pump or on the smartphone. Again, glucose where you want it. Our sharing capabilities will also be enabled.

展望我們整合合作夥伴關係的下一階段，顯示功能將可在幫浦上或智慧型手機上呈現。再次強調，血糖資訊在你想要的地方。我們的分享功能也將啟用。

Current plans for future integrated systems using our advanced technologies will call for them to do more than display glucose values on a pump. We are committing future technology to these partners only if they can commit to develop products that go beyond mere display and offer some measure of insulin control based on CGM data. We have also committed to provide additional support to these partners, provided they are willing to step up and develop these type of advanced systems.

目前對於未來採用我們先進技術的整合系統之規劃，將不僅僅是在幫浦上顯示血糖數值。我們只會在合作夥伴承諾開發超越單純顯示、並能基於 CGM 數據提供某種程度胰島素控制的產品時，才會將未來技術投入給這些合作夥伴。我們也承諾在合作夥伴願意挺身投入並開發此類先進系統的前提下，提供額外支援。

Innovation at DexCom is not limited to product development. We have committed to simplify our distribution channel, and efforts in that area are progressing nicely.

DexCom 的創新不僅限於產品開發。我們已承諾簡化我們的通路分銷體系，而該領域的工作進展良好。

We continue to make progress on the pharmacy benefit front, executing some important contracts this quarter. Legislation has been introduced into both the House and Senate for Medicare CGM coverage. And we will continue to pursue the legislative path as well as several other paths to make CGM available to this ever-growing and vulnerable Type I population.

我們在藥局給付（pharmacy benefit）方面持續取得進展，本季也簽署並執行了幾項重要合約。眾議院與參議院均已提出 Medicare 對 CGM 給付的相關法案。我們將持續推動立法途徑以及其他多條途徑，讓 CGM 能夠提供給這個持續成長且脆弱的第一型糖尿病族群。

Just to remind everyone, the majority of these Medicare patients had private insurance coverage up to age 65 and after that, most of them are paying 100% of their CGM costs out-of-pocket. We've made progress with several Medicaid plans, with the 10 states now having coverage for CGM and others which have opened up policy review.

提醒大家，多數 Medicare 病患在 65 歲之前都有私人保險給付，但之後多數人需自費負擔 100% 的 CGM 成本。我們也在多個 Medicaid 計畫上取得進展，目前已有 10 個州提供 CGM 給付，另有一些州已啟動政策審查。

CGM awareness continues to grow, particularly with all of the positive feedback received on the Gen 4 PLATINUM receiver with Share, integrated with the various Apple platforms. As Steve said earlier on the call, we have completed our sales expansion for the year. But with a groundbreaking connectivity and the anticipated launch of G5 mobile later this year, we will be making larger scale investments on the awareness side throughout the rest of the year.

CGM 的認知度持續提升，特別是 Gen 4 PLATINUM with Share 接收器與各種 Apple 平台整合後，收到大量正面回饋。正如 Steve 先前在電話會議中提到的，我們已完成今年的銷售團隊擴編。不過，憑藉突破性的連線能力，以及預期今年稍晚推出的 G5 mobile，我們將在今年剩餘期間於市場認知推廣方面進行更大規模的投資。

I'd now like to open things up for questions.

接下來我想開放提問。

(Operator Instructions)

（接線員指示）

Mike Weinstein, JPMorgan.

Mike Weinstein，JPMorgan。

Thank you, and good afternoon. Kevin, I want to start with the comment you made in your upfront remarks, just talking about patient growth relative to revenue growth. I forget how you phrased it, but I think you may have used the word exceptional. The comment was that patient growth this quarter was actually far outstripping revenue growth, so maybe you can just clarify, what exactly you said and shed some light on what's happening there?

謝謝，下午好。Kevin，我想先從你在開場談話中的一段評論開始，談到病患成長相對於營收成長。我忘了你怎麼措辭，但我記得你可能用了「exceptional（非常出色）」這個字。你的意思是本季病患成長其實遠遠超過營收成長，所以你能否澄清你到底說了什麼，並說明一下那裡發生了什麼事？

Mike, I was pretty proud that I gave that much detail, but what I said is our revenues grew 55%, our new patient growth exceeded that number. So if you compare the new patients we added in Q1 of last year, we added more than 55% more than we added last year.

Mike，我其實還蠻自豪我提供了那麼多細節。我說的是，我們營收成長 55%，而我們的新病患成長超過這個數字。也就是說，如果你比較去年第一季我們新增的新病患數，我們今年新增的數量比去年多出超過 55%。

The incremental momentum that you think you're seeing, is that in pediatrics or do have enough of a sense to be able to identify where it's coming from?

你認為看到的這股額外動能，是來自兒科嗎？還是你已經有足夠的掌握可以辨識它主要來自哪裡？

It's all across the board. Pediatrics has been very helpful, but we had pediatrics, I believe -- I don't know that we had it in Q1 last year.

是全面性的。兒科確實很有幫助，但我們在兒科方面，我記得——我不確定去年第一季是否已經有了。

February of last year.

去年二月。

We had it in Q1 of last year, so it's across the board.

我們去年第一季就有了，所以是全面性的。

Okay. Then, can you just help -- I want to -- you covered so much on this call. I want to understand a little bit about the comments you made on your partners on the insulin delivery side. You made a comment that talking about how you're working with the partners and that I think you said you were only going to be supplying the CGM integration capability to companies that basically had a bigger vision, that were looking to do more than dual display? Can you just expand on that?

了解。那麼，你能否再幫我——我想——你在這通電話會議中涵蓋了很多內容。我想更了解你對胰島素輸注端合作夥伴的評論。你提到你們與合作夥伴合作時，我想你說你們只會把 CGM 整合能力提供給那些基本上有更大願景、想做的不只是雙重顯示（dual display）的公司？你能否再延伸說明一下？

Yes, Mike. This is Steve, I'll take this one. Let's talk first and foremost with Gen 5 we moved display to the mobile phone. We've already heard even with G4 PLATINUM with Share, nobody's pulling out their receivers anymore. People are ecstatic about interacting with their CGM on the phone. Our belief, and I think our partners by and large share this belief, that once the data is on the mobile phone, nobody's going to pull out there pump just to look at their CGM readings.

可以，Mike。我是 Steve，我來回答這題。先談最重要的一點：在 Gen 5，我們把顯示移到手機上。即使是 G4 PLATINUM with Share，我們已經聽到沒有人再把接收器拿出來看了。大家對於在手機上與自己的 CGM 互動感到非常興奮。我們的看法——而且我認為我們多數合作夥伴也同意——是，一旦資料在手機上，就沒有人會為了看 CGM 讀值而把幫浦拿出來。

Going forward, what we're saying to the partners, and I think most of the partners are understanding and onboard with this, for advanced technologies and moving beyond Gen 5, think Gen 6 and beyond, that they've got to do something with the sensor data other than just display it. Because these projects they're work for us for our R&D teams, too, and to put a bunch of resources forward for something that's really not that necessary for a display only is just not something that were interested in going forward.

往後我們對合作夥伴的意思是——我想多數合作夥伴都理解並支持——在更先進的技術、超越 Gen 5（想像 Gen 6 以及之後）時，他們必須對感測器資料做的不只是顯示。因為這些專案對我們的研發團隊而言也很吃力；若要投入大量資源去做一個其實並非必要、僅用於顯示的功能，未來我們並不感興趣。

The comment really just as partners, you need to step up and commit resources to doing something not necessarily calling it an artificial pancreas, but something more automated with sensor doing some sort of control of the pump, before you're going to get access to our future technologies.

所以這段話的重點是：作為合作夥伴，你們需要挺身而出並承諾投入資源，去做一些不一定要稱為人工胰臟，但更自動化的事情，讓感測器能以某種方式對幫浦進行控制；在此之前，你們不會取得我們未來技術的使用權。

I'll just add one comment to Steve's, Mike. I also said we'd do more to support them, and we will. We'll be involved in, if we're going to make more automated systems and systems that do more, we probably know as much about algorithms, given our experience with all these artificial pancreas groups, as anybody in the world. As these companies make their commitments, we will make commitments with them.

Mike，我再補充 Steve 的一點。我也說過我們會做更多來支持他們，而且我們會的。如果我們要打造更自動化、功能更多的系統，我們基於與各個人工胰臟團隊合作的經驗，在演算法方面可能不輸世界上任何人。當這些公司做出承諾時，我們也會與他們做出相應承諾。

Okay. Then, let me ask you just on -- so if G5 is approved later this year, can you just talk about the transition for the company from G4 to G5 and any incremental thoughts on how that's going to play out and how long that takes?

了解。那我再問一個：如果 G5 在今年稍晚獲准，你能否談談公司從 G4 轉換到 G5 的過渡，以及你對這將如何展開、需要多久的任何額外看法？

You know what? It'll happen the day that -- as soon as we get approval, it'll be very similar to the Gen 4 launch. The 4 will go very quickly, provided we don't get an approval two months ahead of where we planned, getting it like we got with this receiver.

你知道嗎？一旦我們拿到核准就會立刻發生，會非常類似 Gen 4 的上市。只要我們不會比原先規劃早兩個月就拿到核准——就像這次接收器一樣——那麼 Gen 4 會很快就轉過去。

Now, our G4 PLATINUM with Share receivers have the capability to receive the Gen 5 transmitter signal through a software revision. Those patients aren't going to have to buy new receivers to get the Gen 5 transmitter. They can go directly to that. That transmitter will speak directly to a phone, patients will have to download the new app, we're not planning on charging for the app for Gen 5.

另外，我們的 G4 PLATINUM with Share 接收器透過軟體更新，就具備接收 Gen 5 發射器訊號的能力。這些病患不需要購買新的接收器就能使用 Gen 5 發射器，可以直接升級。該發射器會直接與手機通訊，病患需要下載新的 App；我們不打算對 Gen 5 的 App 收費。

With respect to sensor manufacturing, it is a G4 PLATINUM sensor. The transmitter is the same -- to start, the transmitter is going to be similar form factor to the G4 transmitter, so we're not going to have to change anything operationally. We'll be producing the exact same sensor, so it's going to be all systems go from day one.

在感測器製造方面，它仍是 G4 PLATINUM 感測器。發射器也是相同——至少一開始，發射器的外形尺寸將與 G4 發射器相近，因此我們在營運上不需要做任何變更。我們會生產完全相同的感測器，所以從第一天起就能全面啟動。

Okay, but the transmitter, that's going to be, basically, every three months the patient will need a new transmitter starting with G5?

好的，但發射器方面，基本上從 G5 開始，病患每三個月就需要更換一個新的發射器，對嗎？

That's what it's labeled for. Our current one is labeled every six months, and we know some of our patients get a lot longer than six months out of it. This one will be labeled for three months use because Bluetooth radio requires a lot more energy, and we did not feel like going a bunch bigger for the patients. So, we wanted to keep the same footprint.

標示上是這樣。我們目前的發射器標示為每六個月更換一次，而我們也知道有些病患實際使用時間遠超過六個月。這一款會標示為可使用三個月，因為 Bluetooth 無線電需要更多能量，而我們不希望為了病患而把尺寸做大很多，所以我們希望維持相同的外形尺寸。

Understood. We have a lot more questions, but we'll let some others jump in. Thank you.

了解。我們還有很多問題，但我們先讓其他人加入。謝謝。

William Plovanic, Canaccord Genuity.

William Plovanic，Canaccord Genuity。

Great. Thanks. Good evening, can you hear me okay?

很好，謝謝。晚安，你們聽得到我說話嗎？

Absolutely.

當然。

I'm just going to have one question here in a couple parts. It really focuses on the whole shift to the pharmacy benefit, and I'm just wondering, can you help us understand how this is going to impact the business? Maybe step back and say short term, what are the pros and cons? And then longer term, how does this play out and impact the overall business?

我這邊只有一個問題，但分成幾個部分。主要聚焦在整體轉向藥局給付（pharmacy benefit）的變化，我想請你們協助我們理解這將如何影響業務？也許先退一步談短期：優點與缺點是什麼？再談長期：這會如何發展並影響整體業務？

Well, longer term, the effect -- I'll start with longer term. Longer term it's going to be much easier for our patients and for us and for everybody involved, because if you can go to Rite Aid or Walgreens or wherever and pick up your sensors and your transmitter every three months, possibly as a bundled package, that makes life much easier. Pharmacy co-pays are typically lower than DME deductibles and all the other things involved in that cycle. That will things much better for the patients.

嗯，長期的影響——我先從長期說起。長期來看，這對我們的病患、對我們、以及對所有相關方都會容易得多，因為如果你可以每三個月到 Rite Aid 或 Walgreens 或任何地方，領取你的感測器和發射器，甚至可能以組合包的方式一次拿齊，生活就會輕鬆很多。藥局的自付額（co-pay）通常低於 DME 的自付額門檻（deductible）以及那個流程中涉及的其他項目。這會讓病患的情況好很多。

Over the long term for us, quite honestly, that will reduce the number of distributors that we manage and ship product to. We will still have some business always in DME. As we look out over 3 to 5 years, it probably is 70% 30% ratio. That would be our goal, pharmacy versus DME to do that.

對我們而言，長期來說，坦白講，這會減少我們需要管理並出貨產品給的經銷商數量。我們仍然會一直保留一部分 DME 業務。展望 3 到 5 年後，比例大概會是 70%/30%。這會是我們的目標，也就是藥局相對於 DME 的占比。

With respect to pricing, we're in the middle of negotiating pricing contracts for pharmacy benefit. Pricing, it's going to be different. It's negotiated differently, but what people tend to forget is we already sell to distributors and give part of our price away to them to begin with, so it's going to balance out over time. What we hope to do is keep pricing relatively constant over time, and we go to great measures to evaluate each and every one of these contracts and what they do.

就定價而言，我們正在協商藥局給付的定價合約。定價會不一樣，協商方式也不同，但大家常忘了，我們本來就賣給經銷商，並且一開始就把部分價格讓利給他們，所以長期來看會逐步平衡。我們希望能讓定價隨時間維持相對穩定；我們也會投入很大心力去評估每一份合約及其影響。

From an operating expense perspective, we think it could be a huge impact for us because we just can't keep -- we can't go lease buildings to deal with all the phone calls on the DME side. It is not a scalable business model for us over time, given how many patients we're going to add and use this product. We feel the need to, as they often say, change before you have to, and we'll push the business in that direction.

從營運費用的角度，我們認為這可能對我們有很大的影響，因為我們不可能一直——我們不可能一直去租大樓來處理 DME 端所有的電話。以我們未來要新增的病患數量以及產品使用規模來看，這不是一個可長期擴張（scalable）的商業模式。我們覺得有必要——就像常說的——在不得不改變之前先改變，因此我們會把業務往那個方向推進。

Then, just help us from the near term? As you're making this transition, where are you today in terms of how much of the business is going through PMBMs today? How does this impact of the P&L short term? Is this going to cause -- I think you said the longer-term pricing will stay constant. Is there going to be initial incremental costs or lower pricing up front, or anything we should be thinking about as you go through this?

那麼，能否也協助我們理解近期的情況？在你們進行這個轉換時，目前有多少業務是透過 PBM（藥局福利管理機構）在走？短期對損益表（P&L）的影響如何？這會不會造成——我想你說長期定價會維持不變——但一開始是否會有額外的增量成本或前期較低的定價，或有任何我們在你們推進過程中需要留意的事項？

We've been moving business through that channel, and pricing on an overall basis really hasn't changed. We don't disclose the percentage that we moved. We are going to give everybody, really, more of a report card on this later on in the fall, as some of the contracts were in the process of negotiating fall into place, which will have an affect on our business probably going forward for the rest of the year. Short term, it hasn't affected as much yet. I don't think you'll have much affect on 2015 because I don't think we can push enough of the business there to really have a big impact.

我們一直在把業務往那個通路移動，而整體而言定價其實沒有改變。我們不揭露移轉的比例。我們會在今年秋天稍晚給大家一份更像「成績單」的更新，因為目前正在協商的一些合約在秋天會逐步到位，這可能會影響我們接下來今年剩餘時間的業務。短期來看，影響還不大。我不認為 2015 年會有太大影響，因為我不覺得我們能把足夠多的業務推到那邊去，從而產生很大的影響。

We'll see how it goes in 2016, but again let's not forget something else. Then we go to a 10-day sensor. If we can get 10 days of reimbursement for sensor versus 7 days for a sensor, that certainly would eclipse anything we would lose on the pharmacy benefit front. As we go through these business evolutions, we're contemplating a whole bunch of variables while we do this.

我們看看 2016 年會如何，但也別忘了另一件事：我們之後會轉到 10 天感測器。如果我們能讓感測器的給付從 7 天變成 10 天，那所帶來的效益肯定足以蓋過我們在藥局給付端可能損失的任何部分。在推進這些業務演進時，我們同時在考量一大堆變數。

Then, just clarification, the 10-day sensor, that was part of the G6 was it not, or will that be an amendment to G5?

那再確認一下，10 天感測器是 G6 的一部分對嗎？還是會作為 G5 的修訂？

No, that will be a Gen 6 sensor, not Gen 5.

不，那會是第 6 代（Gen 6）感測器，不是第 5 代（Gen 5）。

Which is a 2017 event from your comments?

依你剛才的說法，那會是 2017 年的事件？

That's where it's scheduled for today.

以今天的排程來看，是的。

Okay. Great. That's all I had. Thanks.

好的，很好。我就這些。謝謝。

Ben Andrew, William Blair.

Ben Andrew，William Blair。

Good afternoon, guys. A few questions for you, if I might? It appears from the commentary, Kevin, on the patient adds, that you had a, obviously, very strong quarter there. To fit the total revenues with a 30% contribution from hardware inside what you reported, does that suggest you had a bit more seasonality and purchasing for sensors this quarter?

各位下午好。我可以問幾個問題嗎？從你對新增病患的評論來看，Kevin，很明顯你們那一季表現非常強勁。若把你們所報告的總營收中硬體占比 30% 這點納入考量，是否意味著本季在感測器的採購上有更明顯的季節性因素？

You know what? We always have in the first quarter -- our existing patients don't buy as many sensors as they buy in other quarters, because a lot of them have loaded up in December when all their co-pays and deductibles and all the other stuff has been met and they still have their flexible spending accounts. So, you have an increase in hardware purchase that's driven to a large extent by new patients, who buy receivers and transmitters in Q1, and then buy some sensors. Then, we have some other sensor purchases, but the rest of the upgrade cycle is a little slower in Q1. That's how the 30/70 ratio remains relatively consistent from Q4 to Q1.

你知道嗎？我們第一季一向如此——既有病患購買的感測器數量不如其他季度多，因為很多人在 12 月時，當他們的自付額（co-pay）、自付額門檻（deductible）以及其他項目都已達成，而且他們還有彈性支出帳戶（FSA）可用時，就會先囤貨。所以，硬體採購的增加在很大程度上是由新病患帶動的：他們在第一季會買接收器和發射器，然後也會買一些感測器。接著我們還會有一些其他的感測器採購，但其餘的升級循環在第一季會慢一些。這就是為什麼 30/70 的比例從第四季到第一季仍能維持相對一致。

But remember, Ben, one thing we commented on in our year-end call a couple months ago, was that we've gotten much, much better at processing and pushing product out the door. What we commented on the last call was that we did an exceptional job in Q4 of pushing everything we possibly could --

但 Ben，請記得，我們在幾個月前的年終電話會議中提到一點：我們在處理流程與把產品出貨方面，已經做得好很多、很多。我們在上次電話會議中提到的是，我們在第四季把所有能做的都做到了，盡可能把所有產品——

-- out the door.

——都出貨。

In terms of sensor disposable.

就感測器耗材而言。

Sure. My specific point is, I had 30% patient growth baked into our model to drive towards $360 million, and if I grow patients at 56%, I've got to cut sensors in Q1. And it's a bear to hold the model at $360 million, because then the durable mix drops to about 25% for the balance of the year. So, my patient numbers for the balance of the year are either really, really to low or you got a spike in patient adds in Q1 and it's going to drop off in Q2 because you had the launch. Do you think you're going to grow patients sequentially in Q2, patient adds?

當然。我具體想說的是：我在模型裡假設病患成長 30% 來推到 3.6 億美元的營收；但如果病患成長是 56%，那我就得在第一季把感測器下修。要把模型維持在 3.6 億美元其實很難，因為那樣一來，全年剩餘期間的耐用設備（durable）占比會降到大約 25%。所以，我對全年剩餘期間的病患數要嘛是非常、非常偏低；要嘛就是第一季新增病患出現尖峰，然後第二季會因為你們已經上市而回落。你認為第二季的新增病患會較第一季呈現季增嗎？

You know what? Our plans would currently indicate that. How much they grow over Q2 of last year, I wouldn't talk about today, but our team is certainly looking forward to adding more patients in Q2 than we did in Q1.

你知道嗎？我們目前的計畫顯示會是那樣。至於相較去年第二季會成長多少，我今天不談，但我們團隊確實期待第二季新增的病患會比第一季更多。

Okay.

好的。

The hardware mix, Ben, is also going to be affected with the Gen 5 launch because then the new patients may buy receivers but the new receiver upgrade cycle is going to go away -- or it's not going to go away, it's just going to decrease a lot; so all these factors are going to affect the business model throughout the rest of the year.

Ben，硬體組合也會受到第 5 代（Gen 5）上市的影響，因為新病患可能會買接收器，但新的接收器升級循環會消失——或者說不會消失，只是會大幅下降；因此，這些因素都會在今年剩餘時間影響商業模型。

Right, but is it your intention to maintain roughly the same hardware revenue per patient, or total revenue per patient as you switch to the shorter-lived transmitter?

了解，但你們的意圖是，在切換到壽命較短的發射器時，仍大致維持每位病患的硬體營收，或每位病患的總營收大致不變嗎？

I think the revenues -- the hardware revenue could go up slightly, but we also think that there could be -- one of the comments in Kevin's prepared remarks was that we think that sensor utilization could go up with Gen 5 because we think there's going to be a stronger compliance, particularly in the pediatric segment. I think hardware revenues from a transmitter perspective could go up slightly.

我認為營收——硬體營收可能會小幅上升；但我們也認為可能會——Kevin 在事先準備的講稿中有一點提到：我們認為第 5 代（Gen 5）可能會提高感測器使用率，因為我們認為依從性（compliance）會更強，特別是在兒科族群。我認為從發射器的角度，硬體營收可能會小幅上升。

Yes, but we won't get the receiver upgrade we had in the past.

是的，但我們不會再有過去那種接收器升級帶來的收入。

The receiver replacement cycle of 12 to 18 months probably extends out because people are going to keep their receiver at home in their briefcase, backpack, desk. They're just not going to use it as much, so they're not going to need to replace it.

接收器 12 到 18 個月的更換週期可能會拉長，因為人們會把接收器放在家裡、放在公事包、背包或桌上。他們不會那麼常用，所以也不需要更換。

Of course.

當然。

We'd like to keep patient revenue the same, but the split will probably change. So the 30/70 mix, as you look at Gen 5, will probably start moving down closer to 25%.

我們希望病患端營收維持不變，但組合占比可能會改變。因此，當你看第5代（Gen 5）時的30/70組合，可能會開始往下移，接近25%。

Got it. Okay. That's fair.

了解。好，這很合理。

That would be what we would anticipate.

這會是我們所預期的。

Then, Kevin, how do you think about the dosing claim in terms of either timing or size of clinical studies? When can we expect an update on that? Because absent the -- along with a calibration progress, that's an important one for you.

那麼，Kevin，你怎麼看待「可用於給藥」這項宣稱，在臨床研究的時程或規模方面的影響？我們何時可以期待這方面的更新？因為若缺少這個——再加上校準進度——這對你們來說是很重要的一項。

It is very important and this is largely a function of our meetings and discussions with the agency, and we're still in the middle of discussing clinical study sizes and efforts. I would tell you the biggest effort here -- one of the big efforts is going to be human factors. Because when we have a claim that you can dose insulin with this device, we have to make sure the user interface and the manuals and the training and everything actually teach someone how to use the system and how to dose insulin from it, so we're headed into some new ground here.

這非常重要，而這在很大程度上取決於我們與主管機關的會議與討論；我們仍在討論臨床研究的規模與投入。我會告訴你，這裡最大的工作——其中一項重大工作——將是人因工程（human factors）。因為當我們宣稱可以用這個裝置來給胰島素劑量時，我們必須確保使用者介面、說明手冊、訓練以及所有內容，確實能教會使用者如何使用系統、以及如何透過它來給胰島素劑量，所以我們正在進入一些新的領域。

I don't have timing for you today. We will upgrade that more at the end of the Q2 call, but I think it's going to be something we work on as we go. And it is independent of the Gen 5 filing. It's independent of the Gen 5 launch. We're going to have to prepare user guides and cut over to that claim at some point in time, but we've kept that effort independent of the core technologies.

我今天無法給你時程。我們會在第二季電話會議結束時再多更新一些，但我認為這會是我們邊做邊推進的事情。而且它與Gen 5送件無關，也與Gen 5上市無關。我們將必須在某個時間點準備使用者指南並切換到這項宣稱，但我們一直讓這項工作獨立於核心技術之外。

Okay. Then, last thing for me is just the applicator, is that still early 2016 or has that changed?

好的。那我最後一個問題是關於施用器（applicator），仍然是2016年初嗎？還是有變？

We're -- it's certainly -- we're hopeful for 2016. It does change depending on a lot upon Gen 6 timing, depending upon dosing claim timing, depending on how we do with the Gen 5, it's a little bit fluid. We have run studies on the applicator system, and they have gone extremely well. So our design is very much locked down right now. Now, it's a question of how quickly can we scale up.

我們——當然——我們仍希望在2016年。它會因很多因素而改變，取決於Gen 6的時程、取決於給藥宣稱的時程、也取決於我們在Gen 5上的進展，所以有點浮動。我們已經對施用器系統做過研究，而且結果非常好。因此我們目前的設計基本上已經定案。現在的問題是我們能多快把產能擴大。

Okay. Thank you.

好的，謝謝。

Brooks West, Piper Jaffray.

Brooks West，Piper Jaffray。

Hi. Thanks for taking the questions. Guys, I wanted to circle back to the commentary around the pump partnerships, just so I'm clear. If you think about even how far ahead you guys are in terms of your technology versus the pump partners, does it really, especially with G5 on the horizon, does it really matter given what we know about the current generation pumps and even the next generation pumps, if those partnerships exist or not in terms of driving pump sales? Because your system almost works better independently. If I'm correct with that thought then what, obviously short of an artificial pancreas, but what do you need to see from the pump guys to really invest more in those relationships?

嗨，謝謝讓我提問。各位，我想回到你們對幫浦合作夥伴的評論，確認我理解正確。若考慮你們的技術相對於幫浦合作夥伴領先多少，尤其是G5即將推出，在我們已知現有世代幫浦甚至下一代幫浦的情況下，這些合作關係是否存在，對推動幫浦銷售真的重要嗎？因為你們的系統幾乎在獨立運作時更好用。如果我這樣想是對的，那麼——當然除了人工胰臟之外——你們需要從幫浦廠看到什麼，才會更願意在這些關係上投入？

You know what? Brooks, we have been involved with enough research projects that we know automated insulin delivery is going to come. Medtronics spends in an inordinate amount of time talking about that, how -- about their 640G, their 670G and their future products. We want a product in that space. We want a partner to be in that space. We think we can help that group of patients, who truly want some type of control, maybe just a during the nighttime, maybe during the day, however they want to configure it, control within a range; there are a number of studies going on.

你知道嗎？Brooks，我們參與過足夠多的研究專案，知道自動化胰島素輸注一定會到來。Medtronic花了不成比例的時間在談這件事——談他們的640G、670G以及未來產品。我們想要在那個領域有產品。我們也希望有合作夥伴在那個領域。我們認為我們能幫助那群病患，他們確實想要某種形式的控制，可能只是在夜間、也可能在白天，或依他們想要的方式設定，在某個範圍內控制；目前有許多研究正在進行。

We do believe in the pump market, those products are going to be important. We believe our partners can get there, but we don't want to go back and spend a bunch of time reengineering the Gen 4 or Gen 5 system and continue to have to support it and build it for another 10 years to support somebody who gets a sensor augmented pump approved in 3 [years]. We're pushing to go faster. We're pushing to go to our future platforms, and we're offering to help.

我們確實相信在幫浦市場中，那些產品會很重要。我們相信合作夥伴能做到，但我們不想回頭花大量時間重新設計第4代或第5代系統，並且還得持續支援、持續建置，再支援10年，只為了配合某個在3年後才讓「感測器增強型幫浦」獲准的廠商。我們正在推動更快。我們正在推動走向未來平台，也願意提供協助。

We're prepared to run the business -- our models are as a standalone, to a large extent internally, certainly for the short-term period. We think as we look out over 10 years and become a force in the diabetes world, bigger than we are, we need products offerings there. The fact is, patients deserve the best sensor technology and they're not going to get it someplace else.

我們已準備好以獨立營運的方式來經營業務——至少在內部模型上很大程度如此，當然在短期內更是如此。我們認為，放眼10年，當我們在糖尿病領域成為比現在更大的力量時，我們需要在那裡有產品組合。事實是，病患值得擁有最好的感測器技術，而他們在其他地方得不到。

Okay. That makes a lot of sense, but, Kevin, do agree with the statement that maybe over the next year to even three years, it's a nice marketing statement to say DexCom onboard, but does it really drive pump sales? Then, you get this question from time to time, but would you entertain entering the pump business on your own? Thanks.

好的，這很有道理。不過，Kevin，你是否同意這樣的說法：也許在接下來一年到三年，「搭載DexCom」作為行銷說法很不錯，但它真的能帶動幫浦銷售嗎？另外，這個問題你們偶爾會被問到：你們會考慮自己進入幫浦業務嗎？謝謝。

We're not in the pump business, today. Call us when we're $2 billion or $3 billion in sensor revenue and we'll think about it. With respect to the pump partners, I do think display on their pumps is going to be helpful in the short term, because people do want integrated solutions with DexCom. I think over the next couple of years, as we evolve our products faster than they/re able to, it will be a little problematic for them, but we'll work with them. We'll make these relationships work as best we can.

我們目前不做幫浦業務。等我們感測器營收做到20億或30億美元時再打給我們，我們會考慮。至於幫浦合作夥伴，我確實認為短期內在他們的幫浦上顯示（DexCom資料）會有幫助，因為人們確實想要與DexCom整合的解決方案。我認為在接下來幾年，當我們產品演進速度比他們能跟上的更快時，對他們會有點棘手，但我們會與他們合作。我們會盡可能讓這些關係運作得最好。

Great. Thank you.

很好，謝謝。

Jayson Bedford, Raymond James.

Jayson Bedford，Raymond James。

Hi, guys. This is Mike Rich calling for Jayson. Can you hear me okay?

嗨，各位。我是代Jayson來電的Mike Rich。你們聽得到我嗎？

Yes.

聽得到。

Great. Thanks for taking the questions. First off, you mentioned the very strong new user growth in the first quarter. I'm wondering if J&J's Vibe provided a significant contribution to that growth? And if so, can you give us an idea of how much?

太好了，謝謝讓我提問。首先，你們提到第一季新用戶成長非常強勁。我想知道J&J的Vibe是否對這個成長有顯著貢獻？如果有，能否給我們一個大概的量級？

It helped, but I wouldn't call it significant.

有幫助，但我不會說很顯著。

Okay.

好的。

It helped, but it wasn't a large percentage of it, no.

有幫助，但占比不大，不是。

Okay. Thanks. Then, can you give us an idea what percent of the user base either purchased or upgraded to the Share receiver in the first quarter, and what the pipeline for upgrades looks like going forward?

好的，謝謝。那你們能否說明第一季用戶中，有多少比例購買或升級到Share接收器？以及未來升級的管線情況如何？

We've got, certainly, as we discussed in the financial section, the upgrades that we promised for free, we have everything -- all the revenue on that deferred. That program will be completed by the end of the second quarter. Other people's receivers will upgrade over the course of their normal upgrade cycle, if they choose to. That's just part of our normal sales. We don't have a schedule for that, nor can I tell you what percent -- or would we disclose, what percentage of our patients did upgrade in this quarter.

我們當然——如同我們在財務段落討論的——對於我們承諾免費提供的升級，我們已將相關收入全部遞延。該計畫將在第二季末完成。其他人的接收器若選擇升級，會在其正常的升級週期中進行。那只是我們正常銷售的一部分。我們沒有那方面的排程；我也無法告訴你比例——或者我們也不會揭露——本季有多少比例的病患進行了升級。

Just anecdotally, does it feel like people are accelerating a receiver upgrade that maybe they'd be due for a few months from now or are they just going to go through the normal lifecycle of a receiver?

就經驗觀察而言，你覺得大家是否在加速接收器升級——也許原本幾個月後才需要換——還是他們只是照接收器的正常生命週期走？

What we've learned over time here is our patient community is very pressed on the cost side, and to accelerate an upgrade and pay more than you would pay with a co-pay or deductible, is not something most of our patients do. Now, we have had some pediatric patients in particular, the day this thing was announced, call up and say, I got to have this tomorrow, but that isn't a majority of them. We even learned with the Gen 4, when we launched that back in 2012, we offered reduced price upgrades and several things, and not that many people took advantage of them. I don't see that as going crazy. I think it'll typically between -- happen during the normal course of use and during normal purchasing patterns.

我們長期以來學到的是，我們的病患社群在成本面壓力很大；要加速升級並支付比透過自付額（co-pay）或自負額（deductible）更高的費用，並不是大多數病患會做的事。當然，我們確實有一些病童患者，特別是在這件事宣布的當天就打來說「我明天就要」，但那不是多數。我們在第4代也學到同樣的事：2012年推出時我們提供了降價升級等方案，但真正利用的人並不多。我不認為會出現瘋狂搶升級的情況。我認為通常會在正常使用過程與正常購買模式中發生。

Okay. Great. That's it for me. Thank you.

好的，很好。我就這些。謝謝。

Tao Levy, Wedbush.

Tao Levy，Wedbush。

Great. Thanks. Just a quick clarification. I think last quarter you'd said the starter kit was around $850 $900 and this quarter you said it was a little bit lower. It was $800 to $850. Is that more international, US or -- ?

很好，謝謝。只是快速釐清一下。我記得上季你們說入門套件大約是850到900美元，而這季你們說稍微低一些，是800到850美元。這是比較偏國際市場、美國市場，還是——？

No, it's a combination of things. It's a combination of mix between -- in the US, we sell a portion of our business direct through payer contracts and a portion through distribution. We sell 100% through distribution. It depends on the mix of distributors in a given quarter, a mix, the insurance plan pricing varies, not dramatically, but it varies enough to move the needle. That's all that's going on there.

不，這是多種因素的組合。這是多種因素交織的結果——在美國，我們有一部分業務是透過與付款方（payer）的合約直接銷售，另一部分則透過經銷通路。我們則是 100% 透過經銷通路銷售。這取決於某一季不同經銷商的組合；另外，各保險方案的定價也會有所不同，雖然差異不算巨大，但足以影響數字。那裡發生的就只是這些。

Okay. Great. You didn't mention the potential price of the G5 transmitter. Is that going to be at the same levels?

好的。很好。你沒有提到 G5 發射器的潛在價格。那會維持在相同水準嗎？

No, we haven't disclosed anything regarding pricing for G5 yet.

不，我們尚未披露任何關於 G5 定價的資訊。

What we did say is the cash flow of transmitter revenues on an annual basis should be -- (multiple speakers)

我們所說的是，發射器營收的年度現金流應該會——（多位講者）

Yes, we are selling more.

是的，我們賣得更多。

If not a little more than they were on Gen 4. But all that stuff has to cycle through our payer arrangements and everything, so that's going to take time.

即使不是比第 4 代（Gen 4）時期多一點點。但所有這些都必須透過我們與付款方的安排等流程循環一遍，所以這需要時間。

Then, just lastly, with the expedited access program the FDA just implemented, how does that factor into your prior discussions with FDA around the insulin dosing claim?

那麼最後一個問題，FDA 剛剛實施的加速取得（expedited access）計畫，這會如何影響你們先前與 FDA 就胰島素劑量（insulin dosing）宣稱所進行的討論？

Our discussions with the FDA have been very aggressive on the dosing or non-injunctive claim from when we started earlier this year. I don't know if that's the initiative that sparked their interest or got us talking more about that, but they have been very progressive. We have very routine of dialogues with them on it, so I can't attribute it to that or anything else other than they know that patient's use our sensor to dose. They see patients in the FDA who wear our system, who use it to dose, and so they want to put some parameters around that type of activity.

我們與 FDA 的討論，從今年年初開始就一直非常積極，聚焦在劑量宣稱或非禁令（non-injunctive）宣稱上。我不確定是否是那個倡議引發了他們的興趣、或讓我們更深入地談這件事，但他們確實非常開明、也很有進展。我們就此有非常例行性的對話，因此我無法把它歸因於那個計畫或其他任何事情；除了他們知道病患會用我們的感測器來決定劑量。他們在 FDA 也看到配戴我們系統、並用它來決定劑量的病患，所以他們希望為這類行為設定一些參數。

But just if you have to apply to the program, get accepted and then pursue?

但如果你們必須申請該計畫、獲得接受，然後再推進呢？

Well, we haven't applied to anything.

嗯，我們沒有申請任何東西。

Okay. All right. Thank you.

好的。好。謝謝。

Shaun Rodriguez, Cowen and Company.

Shaun Rodriguez，Cowen and Company。

Hi, this is Ryan Blicker filling in for Shaun. Thanks for taking my question. Thanks for all the pipeline commentary, that was very helpful. Going back into the backlog commentary you made, how successful you were at clearing the backlog exiting Q4, you also noted that backlog was especially strong exiting February. Can you provide an update on how the backlog progressed throughout the end of the quarter, and did you exit the quarter with similar strength?

嗨，我是 Ryan Blicker，代替 Shaun 提問。謝謝你們回答我的問題。也謝謝你們對產品管線的所有評論，這非常有幫助。回到你們提到的積壓訂單（backlog）評論：你們談到在第 4 季結束時清理積壓訂單很成功，也提到 2 月底時積壓訂單特別強勁。你們能否更新一下在本季末之前積壓訂單的進展情況？以及你們在季末是否仍以類似的強勁程度收尾？

Our pipeline's great.

我們的產品管線很棒。

Okay. Thank you. Shifting to international, you mentioned in the past that international patients tend to utilize the sensors less frequently than US patients. Can you provide an update on where sensor utilization is per patient per month, maybe, if available in your core European markets like Germany, Sweden, the Netherlands and Italy? Do you have an idea for where CGM penetration is in these markets?

好的，謝謝。轉到國際市場，你們過去提到國際病患的感測器使用頻率往往低於美國病患。你們能否更新一下每位病患每月的感測器使用量（若有資料），例如在你們的核心歐洲市場：德國、瑞典、荷蘭與義大利？你們是否了解這些市場的 CGM 滲透率大概是多少？

No. I mean, to be honest, we don't have great visibility. We only have I think three international employees at this point, maybe four.

沒有。老實說，我們的能見度不高。目前我們只有我想大概三位國際員工，可能四位。

Four, we just added our fourth.

四位，我們剛新增了第四位。

All of our business internationally is through distribution, so we don't get great visibility into -- we're making estimates based on discussions with distributors and selling patterns into clinics and whatnot, but we really don't have a good sense of what the utilization is. We know that in Europe, there's a much more predominant use of the system as a professional-use system, meaning that the clinic or the hospital or the doctor's office owns the hardware and then uses it with multiple patients on a more periodic basis. We just don't have great visibility there.

我們所有的國際業務都是透過經銷通路，因此我們對——的能見度不高；我們是根據與經銷商的討論、以及銷售到診所等的模式來做估算，但我們確實無法很好掌握實際使用量。我們知道在歐洲，該系統更常被用作專業用途（professional-use）系統，也就是診所、醫院或醫師診間擁有硬體，然後以較週期性的方式供多位病患使用。我們在那方面的能見度確實不高。

Okay. Thanks. Then one last quick one, what should we expect for timing of the pediatric indication for the G4 AP algorithm? Do you know if that algorithm is available for international patients yet?

好的，謝謝。那最後一個快問：G4 AP 演算法的兒科適應症（pediatric indication）時程預期如何？你們知道該演算法是否已提供給國際病患使用了嗎？

That algorithm is not available for international patients yet. We are working on when exactly to drop that in. With respect to pediatrics, we continue to have an open dialogue with the FDA on that. The study results and our filing has been in for a reasonable amount of time, but certainly not to the point where we are concerned about timing. The dialogue has been ongoing. It should be available a little bit later this year, probably in the first half of this year.

該演算法目前尚未提供給國際病患。我們正在規劃確切何時導入。至於兒科方面，我們持續與 FDA 保持開放對話。研究結果與我們的申報文件已提交一段合理的時間，但當然還不到讓我們對時程感到擔憂的程度。對話一直在進行中。它應該會在今年稍晚推出，可能在今年上半年。

Okay. Thank you.

好的，謝謝。

Danielle Antalffy, Leerink Partners.

Danielle Antalffy，Leerink Partners。

Hey, good afternoon, guys. Thanks so much for taking the question. I was hoping we could talk about the pipeline a little bit more and how we think about the ramp of G5 and then G6 in 2017 if it comes in? You guys have said in the past that these new product cycles are meant to sustain the 40% product growth that you've talked about. But now in the early days with integrated systems, the Share wireless, do you think that -- do you still stick to that 40% long-term growth number or do you think that it could actually be better than that?

嗨，下午好，各位。非常感謝讓我提問。我希望我們能再多談一點產品管線，以及我們如何看待 2017 年 G5 的放量（ramp），以及若 G6 也在 2017 年推出的話會如何？你們過去曾說，這些新產品週期是為了支撐你們所談到的 40% 產品成長。但現在在整合式系統、Share 無線等早期階段，你們是否仍堅持 40% 的長期成長數字，還是你們認為實際上可能會更好？

We will stick to 40%. If we do better like we did this quarter, that is great. Everybody forgets, 40% growth means you double every two years. That's a lot of growth, and that's a lot to sustain. I do think we need these new products and these new platforms to expand our markets, to get different types of patients, to get more new patients, to get on new patients more quickly, but again, if we double our business every two years that is a lot of growth to manage for anybody. So, we'll stick to that, and if acceleration continues like this, we'll be thrilled. I mean we've kept up with over 50% growth for something like 10 quarters in a row, without a back order. I don't think there are many companies who can do that, so kudos to our team. We'll just keep driving to keep doing that. But we'll just have to see.

我們會維持 40%。如果我們表現得更好、像本季一樣，那很好。大家常忘了，40% 成長代表每兩年就翻倍。那是很大的成長，也很難長期維持。我確實認為我們需要這些新產品與新平台來擴大市場、觸及不同類型的病患、獲得更多新病患、並更快讓新病患上線；但再說一次，如果我們每兩年把業務翻倍，對任何公司而言都是很大的成長需要管理。所以我們會維持這個目標；如果像這樣的加速持續下去，我們會非常高興。我的意思是，我們在沒有缺貨（back order）的情況下，已經連續大約 10 個季度維持超過 50% 的成長。我不認為有很多公司能做到這點，所以要稱讚我們的團隊。我們會持續推動、努力維持這樣的表現。但最終還是要再觀察。

Okay. That's fair. Then, I was wondering if you guys could give an update on where we are with the Type II patient population? Not to get greedy, but much longer term of course, that's a potentially massive market. I know you guys have some coverage there. Where are we with the CGM in Type II patients? Thanks so much.

好的，這很合理。那我想請問你們能否更新一下第 II 型糖尿病（Type II）病患族群的進展？不是要貪心，但當然從更長期來看，那可能是一個非常龐大的市場。我知道你們在那裡已有一些給付覆蓋。那麼 CGM 在第 II 型病患的進展如何？非常感謝。

We are gradually and slowly increasing the use of CGM for insulin using Type II patients, and many of our payer contracts are now being renegotiated to cover all insulin using patients, which would cover the insulin using Type IIs. One of the problems with this is a lot of those are Medicare patients, and we don't get to play in that space right now. As we look out over time and other Type II patients who may not be on insulin or who may be needing to make the choice to go on insulin, we really think, and particularly as we look at Gen 6 and all the cost improvement models that we're working on with transmitters, insertion devices and all other new product flow, that we can offer something very, very economical in a wonderful platform for Type IIs for intermittent use and diagnostic, pre-diabetes diagnostics, evaluating the effectiveness of drugs.

我們正在逐步、緩慢地增加 CGM 在使用胰島素的第 II 型病患中的使用率，而我們許多付款方合約目前也正在重新談判，以涵蓋所有使用胰島素的病患，這也會涵蓋使用胰島素的第 II 型病患。這其中一個問題是，很多這類病患是 Medicare 病患，而我們目前還無法參與那個市場。隨著時間推進，對於其他可能未使用胰島素、或正面臨是否要開始使用胰島素選擇的第 II 型病患，我們確實認為——特別是當我們展望第 6 代（Gen 6）以及我們正在推進的各種成本改善模型（包含發射器、插入裝置以及其他新產品流程）——我們可以為第 II 型病患提供非常、非常具經濟性的方案，並在一個很棒的平台上支援間歇性使用與診斷用途，例如糖尿病前期（pre-diabetes）診斷、評估藥物效果。

We have a reasonably sized, not a huge, but a reasonably sized sales effort for clinical studies for diabetes drugs. Some of these drugs, when you see how they affect Type II patients, on the CGM, it's pretty remarkable and their glucose curves go down very rapidly with these compounds. There is no better way to titrate these compounds. There is no better way to determine which ones are effective and which ones aren't, than a CGM worn for a couple of weeks. As we go to extended wear, as we go to possibly disposable transmitter and no calibrations and some of the other things we're doing, we think we can play there very nicely. But it's going to be a little while.

我們針對糖尿病藥物的臨床研究有一支規模尚可的銷售團隊——不算很大，但也有一定規模。有些藥物在 CGM 上看到其對第 II 型病患的影響時相當驚人，這些化合物會讓他們的葡萄糖曲線非常快速地下移。要調整這些化合物的劑量（titrate），沒有比這更好的方式；要判斷哪些有效、哪些無效，也沒有比配戴 CGM 兩週更好的方式。隨著我們走向延長配戴（extended wear）、可能的一次性（disposable）發射器、免校正（no calibrations）以及我們正在做的其他事情，我們認為我們可以在那個領域做得很好。但還需要一點時間。

We've got enough road to hoe with insulin using Type IIs and Type Is today. That'll be our focus. Then over time, we'll move to the others.

就目前而言，我們在使用胰島素的第 II 型與第 I 型病患上，已經有夠多的工作要做了。那會是我們的重點。之後隨著時間推進，我們再轉向其他族群。

All right. That's very helpful. Thank you.

好的。這非常有幫助。謝謝。

Greg Chodaczek, CRT Capital.

Greg Chodaczek，CRT Capital。

Thanks. Just a couple quick ones. Number one, I'm assuming definition of new user is number of starter kits sold? Is that still correct?

謝謝。就幾個很快的問題。第一，我假設「新用戶」的定義是售出的入門套件數量？現在仍然是這樣嗎？

Definition for us of a new user is somebody who hasn't purchased a starter kit from us ever or maybe a two-year gap or something like that.

我們對新用戶的定義是：從未向我們購買過入門套件的人，或者可能中間有兩年的空窗期之類的。

Over some long period of time. Remember, a starter kit could still go to an out-of-warranty patient if the insurance company will approve both the starter kit and another transmitter.

在相當長的一段時間內。請記得，即使是保固期外的病患，只要保險公司願意核准入門套件以及另一個發射器，入門套件仍然可能提供給他們。

That's why I ask. Can you talk about market share, where are the new users coming from? Are they Medtronic, disenfranchised Medtronic users? Are they new to CGM? I'm just trying to figure out where this big large bolus of new users are coming from?

這就是我問的原因。你能談談市占率嗎？新用戶是從哪裡來的？他們是 Medtronic 的用戶、對 Medtronic 感到失望的用戶嗎？還是 CGM 的新用戶？我只是想弄清楚這一大波新用戶到底是從哪裡來的？

They're coming from everywhere. We're still getting a nice chunk of MDI patients. Certainly, we find that, again, there's some Animas users, certainly in the new patient group. Certainly more new Animas users this quarter than there have been in the other periods because of that Vibe launch. Tandem patients, Insulet patients, many of those patient using our sensors. I don't think disenchanted Medtronic users are the biggest factor in our growth, but I can tell you I have seen independent marketing data that says that we -- while we were losing a lot of our patients to 530G when it came out, with respect wearing DexCom sensors, the percentage of 530G patients now using DexCom sensors is beginning to increase. That's from an independent source, not from what we have here. So we're picking some of that up as well. It's across the board.

他們來自各個地方。我們仍然有相當一部分是 MDI 病患。當然，我們發現，重申一次，新病患族群中有一些 Animas 用戶。由於 Vibe 的上市，本季的新 Animas 用戶確實比其他期間更多。Tandem 病患、Insulet 病患，其中很多病患都在使用我們的感測器。我不認為對 Medtronic 不滿的用戶是我們成長的最大因素，但我可以告訴你，我看過獨立的行銷數據指出——雖然 530G 剛推出時，我們有很多病患流向 530G（就配戴 DexCom 感測器而言），但目前 530G 病患使用 DexCom 感測器的比例開始上升。這是獨立來源，不是我們內部的資料。所以我們也在吸收其中一部分。整體來看是全面性的。

What do you think the percentage of Type Is in the US use a CGM?

你認為美國第一型糖尿病患者使用 CGM 的比例是多少？

15%.

15%。

Between 10% and --

介於 10% 和——

10% and 15%.

10% 到 15%。

Okay. Kevin, do you know, when a Vibe user switches on a G4 and they ordered, do you see that or do you just see a new user and you don't know where it's coming from? The reason I ask is, J&J was talking about the Vibe a little bit more than usual. It's no longer a dead product for them, and I'm assuming it has to do with you guys. Can you expand on that a little bit?

好的。Kevin，你知道嗎？當 Vibe 用戶切換到 G4 並下單時，你們看得到這件事嗎？還是你們只看到一個新用戶，但不知道來源？我之所以問，是因為 J&J 談到 Vibe 的頻率比以往高一些。對他們來說它不再是個死產品了，我猜這跟你們有關。你能多談一點嗎？

Yes. This is Steve. I'll take this one. You're right, J&J in their earnings call and even subsequent to that has commented that the Vibe is actually helping their sales in the US. I think in response, I think it was Brooks that asked the question about the impact of CGM on pump sales. I think J&J has acknowledged that it has helped. You're right, that when we look at our patient base, when we look at our pump portion of our patient base, certainly a big chunk of them were Animas Vibe users previously, and so when they come in, we would not count them as a new patient. That would not be a net new patient to us. That would be just a patient who would continue to buy G4 PLATINUM sensors, but now they can connect their transmitter directly to the pump.

是的。我是 Steve。我來回答這題。你說得對，J&J 在他們的財報電話會議上，甚至在那之後也提到，Vibe 確實正在幫助他們在美國的銷售。我想這也回應了（我記得是）Brooks 問到 CGM 對幫浦銷售的影響；我認為 J&J 已經承認這確實有幫助。你說得對，當我們看我們的病患基礎、看我們病患基礎中的幫浦用戶部分時，其中相當大一部分先前就是 Animas Vibe 用戶，所以他們進來時，我們不會把他們算作新病患。對我們而言那不是淨新增病患；那只是會繼續購買 G4 PLATINUM 感測器的病患，只是現在他們可以把發射器直接連到幫浦上。

And they did purchase a new Vibe pump, so they can have an integrated system. There certainly were some of those sales as well.

而且他們確實購買了新的 Vibe 幫浦，因此可以擁有整合式系統。這類銷售當然也有一些。

Do you think that would drop off a little when G5 comes around?

你覺得等到 G5 推出時，這會不會稍微下滑？

I don't know.

我不知道。

I don't know. We'll just have to see.

我不知道。我們只能到時候再看。

Okay. But it certainly helping sell more pumps for J&J and in -- ?

好的。但它確實正在幫助 J&J 賣出更多幫浦，並且在——？

You know what? As we say on every one of these calls, as long as we sell more sensors, we're happy.

你知道嗎？就像我們每次電話會議都說的，只要我們能賣出更多感測器，我們就很開心。

And in terms of buying a pump company, if you said yes, I know Terry would have reached out from wherever he is and strangled you, but we'll leave it at that.

至於收購一家幫浦公司，如果你說「是」，我知道 Terry 不管他人在哪裡都會伸手過來掐你，但我們就先到此為止。

Actually, Terry is on an airplane and he cannot reach me at this point in time. (laughter)

其實 Terry 正在飛機上，他現在這個時間點聯絡不到我。（笑聲）

Thanks, guys.

謝謝，各位。

Thanks, Greg.

謝謝你，Greg。

Erik Shoger, Northcoast Research.

Erik Shoger，Northcoast Research。

All right, thanks, guys. I wanted to just a drill down on one comment you made earlier about awareness, and I think you said making some investments in awareness. I just want to clarify what, first, what that comment meant a little more generally?

好的，謝謝各位。我想針對你們先前提到的一句關於「認知度」的評論再深入問一下，我記得你說你們正在對認知度做一些投資。我想先釐清一下，首先，這句話更一般性地是什麼意思？

You know what? We've spent a lot of time and marketing and sales dollars on marketing to the healthcare provider and healthcare professional community. You're going to see, over the next year, we're going to go to the people. Everybody understands what an iPhone looks like. Everybody understands sharing data. They understand what iWatches look like. That iWatch app is beautiful, if you look at the user visualization on that. We have tried some pilot programs to go more direct to consumer in some magazines, in some newspapers. We even tried a little bit of directed television stuff to see what we can do. We are going to get bigger and go out to broader bases. We need to take this message to the people.

你知道嗎？我們在行銷與銷售預算上，花了很多時間與資源去對醫療服務提供者與醫療專業社群做行銷。接下來一年你會看到，我們要走向大眾。每個人都知道 iPhone 長什麼樣子；每個人都理解資料分享；他們也知道 iWatch 長什麼樣子。那個 iWatch App 很漂亮，如果你看使用者端的視覺化呈現。我們嘗試過一些試點計畫，更直接地面向消費者，在一些雜誌、一些報紙上投放。我們甚至也嘗試了一點定向的電視投放，看看能做到什麼。我們會做得更大，觸及更廣的族群。我們需要把這個訊息帶給大眾。

So should I take that to mean that doctors, maybe not intentionally, but are holding you back a little bit? I mean, certainly the new patient growth was through moon this quarter, but obviously you think there's more that could be done to drive additional adoption?

所以我是否可以理解為，醫師可能不是故意的，但在某種程度上有點拖慢你們？我的意思是，本季新病患成長非常驚人，但顯然你們認為還能做更多來推動進一步採用？

Doctors are doing fine, but we think more can be done to drive additional adoption as patients become more aware. We need to drive some of that awareness. One of the most effective ways for patients to get on CGM is to have them walk into the doctor's office and say, I've seen this. I would like this. We learned that, Terry and I learned that way back when in our pump days, as we drove awareness with some very focused campaigns, and we're going to start doing some of that here. So stay tuned, you'll see.

醫師做得很好，但我們認為，隨著病患認知度提高，還能做更多來推動進一步採用。我們需要推動其中一部分的認知度。讓病患使用 CGM 最有效的方法之一，是讓他們走進醫師診間說：「我看過這個，我想要用這個。」我們早在以前做幫浦的年代就學到這點——Terry 和我透過一些非常聚焦的活動來提升認知度，而我們也會在這裡開始做一些類似的事。所以敬請期待，你會看到的。

Okay. All right. Great. Thanks for the clarity.

好的。好。謝謝你說明得這麼清楚。

Thanks, Erik.

謝謝你，Erik。

(Operator Instructions)

（接線員指示）

I show no questions at this time.

目前沒有提問。

Okay. All right, then I'll just offer a few concluding remarks, and, everybody, we can all have a great day.

好的。那我就做幾點結語，然後各位今天都可以有個美好的一天。

This was a great quarter for DexCom. Our revenues increased by approximately $26 million. And even though our financials are a little bit fuzzy here with the launch and the charges we had to take, as adjusted, our net income on a cash basis was $10 million higher than it was a year ago. So we, in essence, we kept pretty close to 35% of everything that we increased on the top line. Our business model is working very well, in spite of significant investments on the commercial and on the product development side.

這對 DexCom 來說是很棒的一季。我們的營收增加了約 2,600 萬美元。雖然因為上市以及我們必須認列的費用，使得這裡的財務數字看起來有點模糊，但在調整後，以現金基礎計算，我們的淨利比一年前高出 1,000 萬美元。因此，本質上，我們在營收（頂線）增加的部分中，保留了接近 35%。即便在商業端與產品開發端進行了重大投資，我們的商業模式仍運作得非常好。

We've always believed that mobile platforms would be key to moving this Company to the next level. It's happening as we speak. We've also taken on a lot of infrastructure this quarter. We've opened up a new building, and we're increasing our manufacturing capacity seamlessly. Finally, as you can tell from our enthusiasm on our product pipeline, it's progressing at an amazing pace. Our commitment to our patients is unparalleled and will never go away. You can continue to expect great things from us. Thank you very much.

我們一直相信，行動平台將是把公司帶到下一個層級的關鍵。這正在此刻發生。本季我們也建置了大量基礎設施。我們啟用了一棟新大樓，並且順利、無縫地提升我們的製造產能。最後，從我們對產品研發管線的熱情你也看得出來，它正以驚人的速度推進。我們對病患的承諾無與倫比，而且永遠不會改變。你可以持續期待我們帶來很棒的成果。非常謝謝。

Thank you, ladies and gentlemen, this concludes today's conference. Thank you for the participating. You may now disconnect.

謝謝各位女士先生，今天的會議到此結束。感謝各位參與。您現在可以掛線。