德康醫療 (DXCM) 2023 Q3 法說會逐字稿

Welcome to the DexCom Third Quarter 2023 Earnings Release Conference Call. My name is Mandeep and I will be your operator for today's call. (Operator Instructions) As a reminder, the conference is being recorded.

歡迎參加 DexCom 2023 年第三季財報發布電話會議。我的名字是 Mandeep，我將擔任您今天通話的接線員。 （操作員說明）謹此提醒，會議正在錄製中。

I will now turn the call over to Sean Christensen, Vice President of Finance and Investor Relations. Mr. Sean Christensen, you may begin.

我現在將把電話轉給財務和投資者關係副總裁 Sean Christensen。肖恩·克里斯滕森先生，您可以開始了。

Thank you, operator, and welcome to DexCom's Third Quarter 2023 Earnings Call. Our agenda begins with Kevin Sayer, DexCom's Chairman, President and CEO, who will summarize our recent highlights and ongoing strategic initiatives, followed by a financial review and outlook from Jereme Sylvain, our Chief Financial Officer. Following our prepared remarks, we will open the call up for your questions. At that time, we ask analysts to limit themselves to one question so we can provide an opportunity for everyone participating today. Please note that there are also slides available related to our third quarter performance on the DexCom Investor Relations website on the Events and Presentations page.

謝謝您，運營商，歡迎參加 DexCom 的 2023 年第三季財報電話會議。我們的議程由 DexCom 董事長、總裁兼執行長 Kevin Sayer 開始，他將總結我們最近的亮點和正在進行的策略舉措，然後由我們的財務長 Jereme Sylvain 進行財務回顧和展望。在我們準備好的發言之後，我們將開始徵集您的問題。屆時，我們要求分析師只回答一個問題，這樣我們就可以為今天參與的每個人提供一個機會。請注意，DexCom 投資者關係網站的活動和簡報頁面上也提供了與我們第三季業績相關的幻燈片。

With that, let's review our safe harbor statement. Some of the statements we will make in today's call may constitute forward-looking statements. These statements reflect management's intentions, beliefs and expectations about future events, strategies, competition, products, operating plans and performance. All forward-looking statements included in this presentation are made as of the date hereof based on information currently available to DexCom, are subject to various risks and uncertainties and actual results could differ materially from those anticipated in the forward-looking statements.

接下來，讓我們回顧一下我們的安全港聲明。我們將在今天的電話會議中發表的一些聲明可能構成前瞻性聲明。這些陳述反映了管理層對未來事件、策略、競爭、產品、營運計劃和績效的意圖、信念和期望。本簡報中包含的所有前瞻性陳述均根據DexCom 目前掌握的資訊在本新聞稿發布之日作出，受到各種風險和不確定性的影響，實際結果可能與前瞻性陳述中的預期存在重大差異。

The factors that could cause actual results to differ materially from those expressed or implied by any of these forward-looking statements are detailed in DexCom's annual report on Form 10-K, most recent quarterly report on Form 10-Q and other filings with the Securities and Exchange Commission. Except as required by law, we assume no obligation to update any such forward-looking statements after the date of this presentation or to conform these forward-looking statements to actual results.

可能導致實際結果與任何這些前瞻性陳述明示或暗示的結果有重大差異的因素詳見 DexCom 表格 10-K 年度報告、最新表格 10-Q 季度報告以及其他向證券公司提交的文件和交易委員會。除法律要求外，我們不承擔在本簡報發布之日後更新任何此類前瞻性陳述或使這些前瞻性陳述與實際結果保持一致的義務。

Additionally, during the call, we will discuss certain financial measures that have not been prepared in accordance with GAAP with respect to our non-GAAP and cash-based results. Unless otherwise noted, all references to financial metrics are presented on a non-GAAP basis. 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. Please refer to the tables in our earnings release and the slides accompanying our third quarter earnings presentation reconciliation of these measures to their most directly comparable GAAP financial measure.

此外，在電話會議期間，我們將討論某些未根據 GAAP 就我們的非 GAAP 和現金業績制定的財務指標。除非另有說明，所有對財務指標的引用均以非公認會計原則為基礎。不應孤立地考慮此附加資訊的呈現，也不應將其視為結果的替代品或優於根據 GAAP 準備的結果。請參閱我們的收益發布中的表格以及我們第三季度收益演示中的幻燈片，這些指標與最直接可比較的公認會計準則財務指標進行了核對。

Now I will turn it over to Kevin.

現在我將把它交給凱文。

Thank you, Sean, and thank you, everyone, for joining us. Today, we reported another great quarter for DexCom with third quarter organic revenue growth of 26% compared to the third quarter of 2022. This year is proving to be one of the most exciting periods in our company's history. Access is expanding faster than ever before, and we are seeing new levels of enthusiasm for our differentiated products. This can be seen firsthand in our broader rollout of G7 in the U.S. Building upon our legacy of being the most accurate sensor, G7's focus on simplicity and affordability continues to attract new customers and prescribers to our platform. Similar to last quarter, the majority of G7 customers continue to be new to DexCom, and we took yet another step forward in expanding our prescribing base. There are now nearly 18,000 physicians writing scripts for DexCom that were not prescribing our products before the G7 launch.

謝謝肖恩，也謝謝大家加入我們。今天，我們報告了 DexCom 又一個出色的季度，與 2022 年第三季度相比，第三季度有機收入增長了 26%。事實證明，今年是我們公司歷史上最激動人心的時期之一。訪問範圍的擴展速度比以往任何時候都快，我們看到人們對我們的差異化產品的熱情達到了新的水平。這一點可以從我們在美國更廣泛推出的 G7 中直接體現。基於我們作為最準確感測器的傳統，G7 對簡單性和經濟性的關注繼續吸引新客戶和處方者使用我們的平台。與上季類似，大多數 G7 客戶仍然是 DexCom 的新客戶，我們在擴大處方基礎方面又向前邁出了一步。現在有近 18,000 名醫生為 DexCom 編寫處方，但在 G7 推出之前並未開過我們的產品。

This represents a notable increase in our prescribing community in only a short period of time as more clinicians recognize G7's unique feature set, ease of use and market-leading levels of coverage. This combination has made it incredibly easy for physicians to prescribe DexCom CGM and drive greater levels of engagement within their patient populations. Additionally, our G7 software platform is enhancing our value proposition across all patient types. We've implemented new software updates almost monthly since launch with improvements to features like connectivity and alarm personalization. As one example, we have established new lines of communication in our app to simplify the process of engaging with our customers. We are constantly working behind the scenes to improve the customer experience, and we will continue to operate with this type of focus to ensure that we have the most user-friendly and engaging products on the market.

隨著越來越多的臨床醫生認識到 G7 的獨特功能集、易用性和市場領先的覆蓋水平，這表明我們的處方群體在短時間內顯著增加。這種組合使醫生可以非常輕鬆地開出 DexCom CGM 處方，並提高患者群體的參與度。此外，我們的 G7 軟體平台正在增強我們針對所有患者類型的價值主張。自推出以來，我們幾乎每月都會實施新的軟體更新，並對連接和警報個性化等功能進行改進。舉個例子，我們在應用程式中建立了新的溝通管道，以簡化與客戶互動的過程。我們不斷在幕後努力改善客戶體驗，我們將繼續以這種關注點進行運營，以確保我們擁有市場上最用戶友好和最具吸引力的產品。

Our customers know that when you join the DexCom ecosystem, you get all of the benefits today and tomorrow associated with our leading innovation. Our latest product cycle has also coincided with the largest expansion of coverage in our company's history, with significant reimbursement now established beyond intensive insulin use. There are more people with covered access to DexCom CGM than ever before. As a reminder, Medicare coverage went live in mid-April for people with type 2 diabetes using basal insulin only as well as certain non-insulin individuals that experience hypobychemia. Collectively, these 2 populations represent nearly 7 million people in the U.S. with approximately half being of Medicare age.

我們的客戶知道，當您加入 DexCom 生態系統時，您將獲得與我們領先的創新相關的所有今天和明天的好處。我們最新的產品週期也恰逢我們公司歷史上最大規模的覆蓋範圍擴大，除了強化胰島素使用之外，現在還建立了大量報銷。能夠使用 DexCom CGM 的人數比以往任何時候都多。提醒一下，醫療保險承保範圍於 4 月中旬開始生效，適用於僅使用基礎胰島素的 2 型糖尿病患者以及某些出現低血糖的非胰島素患者。這兩個群體總共代表了美國近 700 萬人，其中約一半處於醫療保險年齡。

Encouragingly, commercial coverage continues to build for this group. We have established market-leading levels of basal-only reimbursement as payers clearly recognize the potential for better outcomes driven by DexCom. This further supports our industry low out-of-pocket cost for our customers. With a full quarter of broad coverage now under our belt, we continue to be very encouraged by early prescribing transfer this cohort. We noted last quarter that we experienced an immediate uptick in new patient starts once coverage went live, and we have seen a clear continuation of this trend since that time. In fact, we delivered another record Medicare new patient start quarter in Q3 as physicians have quickly adjusted their prescribing patterns to match the new reimbursement landscape.

令人鼓舞的是，該族群的商業覆蓋範圍不斷擴大。我們已經建立了市場領先的純基礎報銷水平，因為付款人清楚地認識到 DexCom 帶來的更好結果的潛力。這進一步支持了我們行業為客戶提供的低自付費用。現在我們已實現了整個季度的廣泛覆蓋，我們繼續對早期開出轉移該隊列的處方感到非常鼓舞。我們在上個季度指出，一旦承保範圍生效，新患者數量立即增加，並且自那時以來，我們看到這一趨勢明顯延續。事實上，我們在第三季的醫療保險新患者開始季度再創新高，因為醫生迅速調整了他們的處方模式以適應新的報銷情況。

While early, basal adoption trends look very similar to those we previously experienced once broad coverage became available for intensively managed type 2 diabetes. We view this as a very positive sign of things to come. Importantly, when you combine this broader coverage with our leading sensor technology, we feel incredibly confident in our market position. Since the launch of G7, we have gained share across all reimbursed channels and patient segments in the U.S. and that trend continued this quarter.

雖然早期的基本採用趨勢看起來與我們先前在第 2 型糖尿病強化管理得到廣泛覆蓋後所經歷的趨勢非常相似。我們認為這是未來事情的一個非常積極的跡象。重要的是，當您將更廣泛的覆蓋範圍與我們領先的感測器技術相結合時，我們對我們的市場地位充滿信心。自 G7 推出以來，我們在美國所有報銷管道和患者細分市場中的份額都獲得了增長，並且這一趨勢在本季度仍在繼續。

Even among non-reimbursed channels, we are seeing more and more interest in DexCom CGM. We are also seeing similar dynamics across our international footprint. We have never been better positioned to compete globally from a product to access or capacity perspective. And we once again took international share this quarter as a result.

即使在非報銷管道中，我們也看到人們對 DexCom CGM 越來越感興趣。我們在國際業務中也看到了類似的動態。從產品、准入或產能的角度來看，我們處於前所未有的全球競爭優勢。因此，我們本季再次獲得了國際市場份額。

Our product portfolio continues to be a key contributor to this success. By having multiple products available, we can tailor our offerings to meet the unique needs of individual geographies and reimbursement structures. A great example of this was Senior France this past quarter, where Dexcom ONE secured reimbursement for all people on intensive insulin therapy, which represents around 0.5 million people, and we have submitted our evidence to extend that coverage to the basal population.

我們的產品組合仍然是這項成功的關鍵因素。透過提供多種產品，我們可以客製化我們的產品，以滿足各個地區和報銷結構的獨特需求。上個季度的 Senior France 就是一個很好的例子，Dexcom ONE 為所有接受強化胰島素治療的人（約 50 萬人）提供了報銷，我們已經提交了證據，將這一覆蓋範圍擴大到基礎人群。

In addition to advancing our product offerings, we've been continuously working to build greater commercial scale and flexibility to serve each market more effectively. As we discussed at our Investor Day, one way to drive scale is through the conversion of key international markets from distributor to direct operations. Historically, these consents have been followed by a notable uptick in performance as we provide greater levels of support and focus to these markets once we oversee all facets of sales and distribution. Along those lines, we recently made the strategic decision to go direct in Japan. As a reminder, Japan became one of the first countries to establish broad reimbursement for anyone taking insulin late last year, representing more than 1 million lives.

除了改善我們的產品供應外，我們還不斷努力建立更大的商業規模和靈活性，以更有效地服務每個市場。正如我們在投資者日討論的那樣，擴大規模的一種方法是將主要國際市場從分銷商轉變為直接運營。從歷史上看，在獲得這些同意後，業績會顯著上升，因為一旦我們監督銷售和分銷的各個方面，我們就會向這些市場提供更大水準的支持和關注。沿著這些思路，我們最近做出了直接進軍日本的戰略決定。提醒一下，日本去年年底成為首批為任何服用胰島素的人提供廣泛報銷的國家之一，代表了超過 100 萬人的生命。

Despite this, the market remains in its very early stages, and we will continue to work to drive much greater CGM adoption over time as we initiate direct sales in the second quarter of next year.

儘管如此，市場仍處於早期階段，隨著時間的推移，我們將繼續努力推動 CGM 的採用，並在明年第二季開始直接銷售。

Finally, at the ASD this month, we added to our substantial base of distinctive clinical evidence with new data around long-term DexCom CGM outcomes and adherence, the impact of Dexcom ONE for type 2 diabetes and performance within the pregnancy setting. Study after study, we continue to demonstrate DexCom's position as a cornerstone within the evolving diabetes care and metabolic health landscape. Across a wide range of customers in care settings, our product plays a unique role in providing real-time information that can drive behavior change, greater patient accountability and Warren farm therapy decisions.

最後，在本月的 ASD 上，我們在豐富的獨特臨床證據基礎上添加了有關長期 DexCom CGM 結果和依從性、Dexcom ONE 對 2 型糖尿病的影響以及妊娠環境中表現的新數據。經過一項又一項的研究，我們繼續證明 DexCom 在不斷發展的糖尿病護理和代謝健康領域中的基石地位。在護理環境中的廣泛客戶中，我們的產品在提供即時資訊方面發揮著獨特的作用，這些資訊可以推動行為改變、更大的患者責任感和沃倫農場治療決策。

Like everyone else, we have also been interested to see the latest data behind new drug therapies. We believe these drugs play an important role in the care continuum, and it is encouraging to see new solutions emerging and a growing appreciation around the need for better and earlier care. Data continues to demonstrate that clinicians prefer to use CGM together with these drugs to drive the best possible outcomes. In fact, we shared claims data this quarter that showed prescribing trends for CGM increase once someone has initiated GLP-1 therapy, as clinicians favor DexCom for its protective features and ability to support lifestyle management. As an update, we looked at trailing 12-month data through August 2023 would suggest this dynamic is even more pronounced among the newest generation of these drugs. The data clearly shows that CGM usage grows faster in GLP-1 users than those who are not on therapy. This further demonstrates the complementary nature of DexCom CGM across all therapy regimes in diabetes.

和其他人一樣，我們也有興趣了解新藥物療法背後的最新數據。我們相信這些藥物在連續護理中發揮著重要作用，令人鼓舞的是看到新的解決方案不斷湧現，人們越來越認識到更好、更早護理的需求。數據繼續表明，臨床醫生更喜歡將 CGM 與這些藥物一起使用，以實現最佳結果。事實上，我們本季分享的索賠數據顯示，一旦有人開始 GLP-1 治療，CGM 的處方趨勢就會增加，因為臨床醫生因其保護功能和支持生活方式管理的能力而青睞 DexCom。作為更新，我們查看了截至 2023 年 8 月的追蹤 12 個月數據，這表明這種動態在最新一代的這些藥物中更為明顯。數據清楚地表明，GLP-1 使用者的 CGM 使用量比未接受治療的使用者成長得更快。這進一步證明了 DexCom CGM 在所有糖尿病治療方案中的互補性。

As we look forward, we continue to ensure that we advance our unique role within the ecosystem of care as we progress our mission of empowering people to take control of help. This will include launching new products such as our non-insulin product coming next summer as well as advancing our ongoing clinical work across much broader populations. We are still very early in our story in terms of potential impact and the number of lives we can ultimately touch. Our future is incredibly bright.

展望未來，我們將繼續確保我們在護理生態系統中發揮獨特的作用，同時推進我們的使命，讓人們掌控幫助。這將包括推出新產品，例如明年夏天推出的非胰島素產品，以及在更廣泛的人群中推廣我們正在進行的臨床工作。就潛在影響和我們最終能夠影響的生命數量而言，我們還處於起步階段。我們的未來非常光明。

With that, I will turn it over to Jereme for a review of the third quarter financials. Jereme?

這樣，我將把它交給傑里姆，以審查第三季度的財務狀況。傑雷姆？

Thank you, Kevin. As a reminder, unless otherwise noted, the financial metrics presented today will be discussed on a non-GAAP basis. Reconciliations to GAAP can be found in today's earnings release as well as on our IR website. For the third quarter of 2023, we reported worldwide revenue of $975 million compared to $770 million for the third quarter of 2022, representing growth of 27% on a reported basis and 26% on an organic basis. As a reminder, our definition of organic revenue excludes currency in addition to non-CGM revenue acquired or divested in the trailing 12 months.

謝謝你，凱文。提醒一下，除非另有說明，今天提出的財務指標將在非公認會計原則的基礎上進行討論。您可以在今天的收益報告以及我們的投資者關係網站上找到 GAAP 的調整表。 2023 年第三季度，我們報告的全球營收為 9.75 億美元，而 2022 年第三季為 7.7 億美元，報告成長 27%，有機成長 26%。提醒一下，我們對有機收入的定義不包括貨幣以及過去 12 個月內獲得或剝離的非 CGM 收入。

U.S. revenue totaled $714 million for the third quarter compared to $573 million in the third quarter of 2022, representing growth of 24%. Between the ongoing success of our G7 launch and significant expansion of coverage for DexCom this year, our U.S. business is really hitting its stride. This is particularly noticeable when looking at our new customer start trends, which again outpaced our expectations for this quarter. This dynamic has now played out for several quarters in a row, and we are seeing the direct result of that continued momentum.

第三季美國營收總計 7.14 億美元，而 2022 年第三季為 5.73 億美元，成長 24%。今年 G7 推出的持續成功和 DexCom 覆蓋範圍的顯著擴大，我們的美國業務確實取得了長足發展。在觀察我們的新客戶啟動趨勢時，這一點尤其明顯，該趨勢再次超出了我們對本季的預期。這種動態現已連續幾季顯現，我們正在看到這種持續勢頭的直接結果。

In the third quarter, we saw revenue growth accelerate compared to last quarter, and we delivered our fastest quarterly growth rate in over 2 years. International revenue grew 33%, totaling $261 million in the third quarter. International organic revenue growth was 30% for the third quarter. We continue to execute incredibly well in our international markets. Our product portfolio strategy, ongoing access work and growing commercial traction helped us again gain share this quarter. We had a particularly strong quarter across our European footprint as we saw our growth remain similar to the accelerated level we saw in the second quarter.

第三季度，我們的營收成長較上季度加快，實現了兩年多來最快的季度成長率。第三季國際營收成長 33%，總計 2.61 億美元。第三季國際有機收入成長 30%。我們繼續在國際市場上表現出色。我們的產品組合策略、持續的接觸工作和不斷增長的商業吸引力幫助我們在本季再次獲得了市場份額。我們在歐洲的業務表現尤其強勁，因為我們看到我們的成長仍與第二季的加速水平相似。

An item of note is we did have slower growth coming from our non-CGM business as well as relatively flat performance in Japan as we work with our distributor partner to start the process of transitioning to direct sales. As a reminder, when we made our distributor acquisition in 2021, we also inherited a business that distributed products outside the diabetes space. We recently made the decision to spin off this unit to focus entirely on our CGM and diabetes technologies in this region, which we think will enhance our execution in the market. We expect the deal to close in early 2024, and we want to thank our employees for their continued strong work through the transition in the space.

值得注意的是，隨著我們與經銷商合作夥伴開始向直銷轉型，我們的非 CGM 業務成長確實放緩，而且日本的業績相對持平。提醒一下，當我們在 2021 年收購經銷商時，我們也繼承了一項在糖尿病領域以外分銷產品的業務。我們最近決定剝離該部門，完全專注於我們在該地區的 CGM 和糖尿病技術，我們認為這將增強我們在市場上的執行力。我們預計交易將於 2024 年初完成，我們要感謝我們的員工在該領域過渡期間持續做出的出色工作。

Our third quarter gross profit was $630 million or 64.7% of revenue compared to 64.2% of revenue in the third quarter of 2022. We are very proud of our gross margin performance in the quarter. This is another testament to the top tier work our operations team continue to deliver this year. Despite managing through a new product launch, we have improved yields on both the G6 and G7 platforms. In addition, Q3 gross margins benefited from a stronger-than-expected mix of G6 customers as our pump users eagerly await G7 AID integration. When this transition starts in the coming weeks, we expect an acceleration in our base shift to G7. While G7 currently has a higher unit cost profile than G6 and will over the near term, we expect this to become our highest margin product as we drive greater volumes and economies of scale over the course of 2024 and beyond.

我們第三季的毛利為 6.3 億美元，佔營收的 64.7%，而 2022 年第三季佔營收的 64.2%。我們對該季度的毛利率表現感到非常自豪。這是我們營運團隊今年繼續完成的頂級工作的另一個證明。儘管透過了新產品的發布，我們還是提高了 G6 和 G7 平台的產量。此外，第三季的毛利率受益於 G6 客戶組合強於預期，因為我們的泵浦用戶熱切等待 G7 AID 整合。當這種轉變在未來幾週內開始時，我們預計我們的基地將加速向七國集團轉變。雖然 G7 目前的單位成本高於 G6，而且在短期內也會如此，但我們預計，隨著我們在 2024 年及以後推動更大的銷售和規模經濟，G7 將成為我們利潤率最高的產品。

Operating expenses were $392 million for Q3 of 2023, compared to $333 million in Q3 of 2022. Our focus on cost management again stood out this quarter as we delivered over 300 basis points of operating expense leverage. This now marks the seventh straight quarter that we have generated at least 250 basis points of year-over-year operating expense leverage. We will continue to invest in the growth of the business while finding ways to be even more efficient.

2023 年第三季的營運費用為3.92 億美元，而2022 年第三季的營運費用為3.33 億美元。本季我們對成本管理的關注再次突出，因為我們實現了超過300 個基點的營運費用槓桿。這標誌著我們連續第七個季度營運費用槓桿年增至少 250 個基點。我們將繼續投資於業務成長，同時尋找提高效率的方法。

Operating income was $238.9 million or 24.5% of revenue in the third quarter of 2023 compared to $160.8 million or 20.9% of revenue in the same quarter of 2022. This margin represents a new quarterly record for DexCom.

2023 年第三季營業收入為 2.389 億美元，佔營收的 24.5%，而 2022 年第三季營業收入為 1.608 億美元，佔營收的 20.9%。這一利潤率創下了 DexCom 的新季度記錄。

Adjusted EBITDA was $345 million or 32.3% of revenue for the third quarter compared to $226.6 million or 29.4% of revenue for the third quarter of 2022. This margin also represents a new quarterly record for DexCom. Net income in the third quarter was $203 million or $0.50 per share. We remain in a very strong financial position as we closed out the quarter with better than $3.2 billion of cash and cash equivalents. Our ability to generate consistent and growing free cash flow has become more apparent every quarter, and we delivered the highest free cash flow quarter in our company's history in Q3. This provides a lot of flexibility to be thoughtful and opportunistic in our capital allocation decisions. Along those lines, we are excited to announce a $500 million share repurchase program today. Given our very strong underlying fundamentals and outlook, we see this as a great time to step into the market and buy back our stock. This program also provides the added benefit of more than offsetting any remaining dilution related to our 2023 convertible notes as the remainder of these are reaching maturity in the coming weeks.

第三季調整後 EBITDA 為 3.45 億美元，佔營收的 32.3%，而 2022 年第三季為 2.266 億美元，佔營收的 29.4%。這一利潤率也創下了 DexCom 的新季紀錄。第三季淨利為 2.03 億美元，即每股 0.50 美元。我們仍然保持著非常強勁的財務狀況，本季末我們擁有超過 32 億美元的現金和現金等價物。我們每個季度產生持續且不斷增長的自由現金流的能力都變得更加明顯，並且我們在第三季度實現了公司歷史上最高的自由現金流季度。這為我們在資本配置決策中進行深思熟慮和機會主義提供了極大的靈活性。沿著這些思路，我們今天很高興地宣布一項 5 億美元的股票回購計畫。鑑於我們非常強勁的基本面和前景，我們認為這是進入市場並回購股票的好時機。該計劃還提供了額外的好處，不僅可以抵消與我們的 2023 年可轉換票據相關的任何剩餘稀釋，因為其餘可轉換票據將在未來幾週內到期。

Turning to guidance. We are raising our full year 2023 revenue guidance to a range of $3.575 billion to $3.6 billion, representing growth of 23% to 24% for the year. Our updated revenue guidance reflects an increase of over $60 million at the midpoint compared to our previous guidance. It is more than $165 million higher than where we guided to start the year. From a margin perspective, we are raising our full year non-GAAP gross margin guidance to approximately 64%. We are also increasing our non-GAAP operating and adjusted EBITDA margin guidance for the year to approximately 19% and 28%, respectively.

轉向指導。我們將 2023 年全年營收指引上調至 35.75 億美元至 36 億美元，相當於全年成長 23% 至 24%。我們更新後的收入指引顯示，與先前的指引相比，中位數增加了超過 6,000 萬美元。這比我們年初的指導值高出 1.65 億美元以上。從利潤率角度來看，我們將全年非 GAAP 毛利率指引提高至約 64%。我們也將今年的非 GAAP 營運利潤率和調整後 EBITDA 利潤率指引值分別提高至約 19% 和 28%。

With that, I will pass it back to Kevin.

這樣，我會將其傳回給凱文。

Thanks, Jereme. I would now like to open up the call for Q&A. We also have Jacob Leach, our Chief Operating Officer; and Teri Lawver, our Chief Commercial Officer, joining us for our question-and-answer session. Sean?

謝謝，傑雷姆。我現在想開啟問答環節。我們還有首席營運長雅各布·利奇 (Jacob Leach)；我們的首席商務官 Teri Lawver 加入我們的問答環節。肖恩？

Thank you, Kevin. (Operator Instructions) Operator, please provide the Q&A instructions.

謝謝你，凱文。 （操作員說明）操作員，請提供問答說明。

(Operator Instructions) We will take our first question from Robbie Marcus with JPMorgan.

（操作員說明）我們將接受摩根大通的 Robbie Marcus 提出的第一個問題。

Congrats on an absolutely fantastic quarter. There is a lot to talk about here, but just keeping it to one question. What really showed just so much upside was the U.S. number this quarter, along with the profitability. So question really is, one, how much of that do we ascribe to the new basal indication with growth from both Medicare and commercial patients? And we started to see this in France and Japan, and I hear that a lot of European countries might over the course of '24 start covering for Basal. So the question is really how much is Basal contributing today? And how big can it be over the coming years if all of Europe starts to bring on enhanced reimbursement something that would have been unimaginable just 12 months ago?

恭喜這個絕對精彩的季度。這裡有很多話要說，但只討論一個問題。真正顯示出如此大的上升空間的是本季美國的數據以及獲利能力。所以問題實際上是，第一，我們將其中有多少歸因於新的基礎適應症以及醫療保險和商業患者的成長？我們開始在法國和日本看到這種情況，我聽說許多歐洲國家可能會在 24 年開始涵蓋 Basal。所以問題是巴薩爾今天貢獻了多少？如果整個歐洲開始加強報銷，這在 12 個月前還是難以想像的，那麼未來幾年的規模會有多大？

Thanks, Robbie. This is Jereme. Appreciate the comments. I can take that one and address it from there. In terms of what the contribution was this quarter from Basal. Obviously, we had a really strong quarter this quarter, record new patients once again and obviously raised the guide on the year. Now some of that does come from Basal. There's no question there as we continue to open up reimbursement, the new patients are coming along. Kevin mentioned it. We're starting to see basal follow similar patterns to type 2 intensive, which when you think about coming into this year, it's about 40% to 45% adoption, but really the curve is starting to follow that. So we're very excited about the opportunity there. And so that's in the U.S. And certainly, clearly, that's playing out here.

謝謝，羅比。這是傑雷姆。感謝您的評論。我可以拿走那個並從那裡解決它。就 Basal 本季的貢獻而言。顯然，我們本季的季度表現非常強勁，再次記錄了新患者，並顯著提高了今年的指導值。現在其中一些確實來自Basal。毫無疑問，隨著我們繼續開放報銷，新患者不斷湧現。凱文提到過。我們開始看到 basal 遵循與 2 型強化類似的模式，當你想到今年的情況時，它的採用率約為 40% 到 45%，但實際上曲線已經開始遵循這一趨勢。所以我們對那裡的機會感到非常興奮。所以這就是在美國，當然，顯然，這也在這裡上演。

In terms of OUS it's a great opportunity. One of the things we've seen outside the U.S. is as access is created, creates significant opportunities for growth. And -- you've seen our actions over the course of the past few years. We've created a lot of access for our products. And in turn, our international markets have grown incredibly well. And there's a large population outside the U.S. that this would ultimately apply it to once you have Basal coverage. So -- it could be an absolute tailwind for us for years and years to come. It's something obviously we're very excited about. We don't want to get ahead of ourselves, right? We have to get that coverage in place. But the bullish issue here about the U.S. experience is what we would expect to see as more and more coverage comes. And so we leave very excited about what the future holds.

對於OUS來說，這是一個很好的機會。我們在美國以外看到的事情之一是，隨著准入的增加，創造了重要的成長機會。而且—您已經看到了我們過去幾年的行動。我們為我們的產品創建了許多存取權限。反過來，我們的國際市場也成長得令人難以置信。一旦您擁有基礎保險，美國以外的大量人口最終將適用於此。因此，在未來的歲月裡，這對我們來說絕對是一股順風。顯然，我們對此感到非常興奮。我們不想超越自己，對吧？我們必須將覆蓋範圍落實到位。但隨著越來越多的報導出現，我們預計會看到有關美國經驗的樂觀問題。因此，我們離開時對未來感到非常興奮。

Our next question comes from Malgorzata Kaczor Andrew with William Blair.

我們的下一個問題來自 Malgorzata Kaczor Andrew 和 William Blair。

Obviously, a lot of talk in the quarter, and I'm sure a lot of people will get to that, but one of the things that I wanted to ask here was any dialogue you may be having with clinical society and where CGM fits within the treatment paradigm? Specifically focused on non-insulin users. And I ask because, obviously, there could be a change in guidelines with TLPs right now. And so can you use some of those discussions to pull forward CGM use as well? And again, it's not now, when or does it even matter?

顯然，本季度有很多討論，我相信很多人都會談到這一點，但我想在這裡問的一件事是您可能與臨床協會進行的任何對話以及 CGM 的適用範圍治療範式？特別關注非胰島素使用者。我之所以這麼問，是因為顯然 TLP 的指導方針現在可能會改變。那麼您能否利用其中一些討論來推動 CGM 的使用？再說一遍，這不是現在，什麼時候，甚至重要嗎？

Malgorzata, this is Kevin. I'll take that. We have had discussions with the societies on expanding coverage for people with type 2 diabetes not on insulin. And those -- this gets continue. We've seen a gradual uptick for lack of a better word, in the guidelines as CGM use from all professional societies over the last several years. And as we gather more data, as we see more data come in from studies we're aware of over the next 12 months, we believe we can continue to build a better case. Every time we are in a study or look at a study from this population in this group, people on CGM do better. It's just simple. They have better outcomes. They are more adherent to their meds. They have a feedback loop that they don't have any other way. We're very excited about this opportunity. That's why we're going with the product where we've talked about filing before the end of this year and launching next year, our product is designed for people not on insulin. And we think it's going to be a great product offering on this front going forward. So we're looking forward to it, and I think we'll be able to write the script the same way we've written the script in our industry so far.

馬爾戈扎塔，這是凱文。我會接受的。我們與各協會就擴大第 2 型糖尿病患者的覆蓋範圍（而非胰島素治療）進行了討論。而那些——這會繼續下去。在過去幾年中，所有專業協會使用的 CGM 指南中，我們發現由於缺乏更好的詞彙而逐漸增加。隨著我們收集更多數據，當我們看到更多數據來自我們所知的未來 12 個月的研究時，我們相信我們可以繼續建立更好的案例。每當我們進行一項研究或查看針對該族群的一項研究時，接受 CGM 的人都會做得更好。這很簡單。他們有更好的結果。他們更堅持服藥。他們有一個反饋循環，他們沒有任何其他方式。我們對這個機會感到非常興奮。這就是為什麼我們要開發我們已經討論過的產品，即在今年年底前提交申請並於明年推出，我們的產品是為不使用胰島素的人設計的。我們認為，未來這將是這方面的一個出色的產品。所以我們很期待它，我認為我們將能夠像我們行業迄今為止編寫腳本的方式來編寫腳本。

Our next question comes from Larry Biegelsen with Wells Fargo.

我們的下一個問題來自富國銀行的拉里·比格爾森。

I reiterate my congratulations on a really strong quarter here. Jereme, I wanted to ask about the guidance and comments on next year. The math -- if I'm doing it correctly, it implies Q4 growth slows by about 400 basis points, and you don't get the same quarter-over-quarter lift you typically see. And so why is that? And any reason why the momentum for sales growth would slow next year? And anything we should think about on the margin such as the implications from Japan?

我再次祝賀本季的強勁表現。 Jereme，我想詢問明年的指導和意見。數學——如果我計算正確的話，這意味著第四季度增長放緩約 400 個基點，而且你不會獲得通常看到的季度環比增長。那麼這是為什麼呢？明年銷售成長動能放緩的原因是什麼？我們應該考慮一些邊緣問題，例如日本的影響？

Yes. So question, Larry. So in terms of where the guide goes, I think you're right, it does imply a tad of a decel. Most of that, I would say, is related to really comps historically over time. And Larry, you've tracked us for a while. So as we move more out of commercial DME and into pharmacy, typically, we have an uptick into Q4 in those DME environments. As more and more of our folks go through the retail channel, you kind of lose some of that. So really, you're playing about -- it's really about seasonality within the course of the year. So we're not trying to imply anything. Really, what we're trying to say is -- this is the trajectory we see it going with seasonality. This is our -- again, our base case as we start to look at guidance over the course of the year. And so the trends -- underlying trends, there's nothing to say there. I mean, the underlying trends in this business remains strong. I don't think we're trying to imply anything other than that. We do expect you kind of reference Japan, there could be around the fringes until we go direct a little bit of a stable as opposed to necessarily growing story around Japan. And so that is around the fringe, but that represents a really small piece of the business on the international side. Really, what you're seeing is just us being mindful about seasonality in our base case. And then certainly, if we can outperform, we'll do what we traditionally do, we just try to do so.

是的。那麼問題來了，拉里。因此，就指南的走向而言，我認為你是對的，它確實意味著一點減速。我想說，其中大部分與歷史上隨著時間的真實比較有關。拉里，你跟踪我們有一段時間了。因此，隨著我們更多地從商業 DME 轉向製藥領域，通常情況下，我們在這些 DME 環境中的數量會在第四季度有所上升。隨著越來越多的人透過零售管道，你會失去一些。所以，實際上，你正在玩的是——這實際上是一年中的季節性。所以我們並不是想暗示什麼。事實上，我們想說的是——這就是我們看到的季節性軌跡。這是我們的基本情況，因為我們開始考慮今年的指導。所以趨勢——潛在的趨勢，沒什麼好說的。我的意思是，該行業的基本趨勢仍然強勁。我不認為我們試圖暗示除此之外的任何事情。我們確實希望你能參考日本，在我們直接講述一些穩定的故事之前，可能會有一些邊緣的故事，而不是圍繞日本發展的故事。因此，這處於邊緣，但這只代表了國際業務的一小部分。實際上，您所看到的只是我們在基本情況下注意季節性。當然，如果我們能夠表現出色，我們就會做我們傳統上會做的事情，我們只是嘗試這樣做。

Our next question comes from Danielle Antalffy with UBS.

我們的下一個問題來自瑞銀集團的 Danielle Antalffy。

I will also say congrats on a really great quarter. I was just curious. So Jereme, you alluded to the fact that BaChampionl seems to be starting to ramp similar to how the insulin-intensive type 2 did when you got coverage there. What about from a utilization perspective? Any color you can give on how these basal patients are adopting technology? Is it similar to what you saw in the mobile study? I know it's early, but we should have had some reorders by now. So just curious what you're seeing.

我還要祝賀這個季度非常出色。我只是好奇而已。 Jereme，您提到 BaChampionl 似乎開始增加，類似於您在那裡承保時胰島素密集型 2 型的情況。從利用的角度來看又如何呢？對於這些基礎患者如何採用技術，您能給什麼顏色嗎？是不是和你在行動學習中看到的很相似？我知道現在還早，但我們現在應該已經重新訂購了一些。所以只是好奇你看到了什麼。

Yes. Really -- and I appreciate the congrats. Thanks. What we see is -- and Teri is here. So what I can do is I can give you kind of what we're seeing maybe numbers-wise, but maybe Teri can kind of take you into the data to interaction with patients. Number wise, we haven't seen much of a change at this point. The population does -- has reorders relatively in the same capacity as in the past. And so that's a good early indicator. But maybe Teri can take you through what he's hearing and seeing in the field around the excitement around Basal and who wants to use it.

是的。真的——我很感激你們的祝賀。謝謝。我們看到的是──泰瑞就在這裡。所以我能做的是我可以給你一些我們所看到的可能是數字方面的信息，但也許泰瑞可以帶你進入數據與患者互動。從數量上看，我們目前還沒有看到太大的變化。人口確實以與過去相同的能力進行了相對重新排序。所以這是一個很好的早期指標。但也許 Teri 可以帶您了解他在現場聽到和看到的關於 Basal 的興奮以及誰想要使用它。

Sure. Thanks, Jereme, and thanks, Danielle. The trends, as Kevin referenced, that we see in Basel in terms of uptake and intention to prescribe from physicians mirror what we've seen in other segments of the marketplace. And the coverage is certainly a big driver of that. We track coverage very closely for DexCom for the industry. And in Basel, as with the rest of the market, DexCom continues to be the most covered CGM with the lowest out-of-pocket co-pay. We also have the benefit of being out in front of the payers and the healthcare providers with the mobile state, demonstrating the benefit and the outcomes that DexCom drives for this population. So we see a nice trajectory, I think, in line with what we would expect, and we expect that to continue.

當然。謝謝傑里姆，謝謝丹妮爾。正如凱文所提到的，我們在巴塞爾看到的醫生處方使用率和意願方面的趨勢反映了我們在市場其他領域看到的趨勢。報道範圍無疑是其中一個重要的推手。我們非常密切地追蹤 DexCom 對業界的報導。在巴塞爾，與其他市場一樣，DexCom 仍然是覆蓋範圍最廣、自付費用最低的 CGM。我們還有一個優勢是能夠透過行動狀態站在付款人和醫療保健提供者面前，展示 DexCom 為這一人群帶來的好處和成果。因此，我認為，我們看到了一個很好的軌跡，符合我們的預期，我們希望這種情況能持續下去。

Our next question comes from Matt Taylor with Jefferies.

我們的下一個問題來自傑弗里斯的馬特泰勒。

Congrats on the results. I guess I wanted to ask you, Kevin, you talked a bit more here about the basic combination therapy or benefit that CGMs see with GLP-1s. And I was wondering if you had thought about partnering with the pharma company, maybe running studies to show that over time. There is a benefit to using CGM with the drugs, things like that, that might give investors even more confidence longer term in the future of CGM in the GIP world?

祝賀結果。我想我想問您，Kevin，您在這裡詳細討論了 CGM 與 GLP-1 的聯合治療或益處。我想知道您是否考慮過與製藥公司合作，也許進行研究來證明這一點。將 CGM 與藥物一起使用有一個好處，諸如此類，從長遠來看，這可能會讓投資者對 CGM 在 GIP 領域的未來更有信心？

Well, certainly, we think about partnering with the drug companies, but they're doing so well right now. There -- they're very busy. We do have relationships with them and have had discussions. With respect to studies, we certainly talk about some of those internally. We saw clinical evidence over at the EASD meeting recently where that was a large topic of discussion the team brought back, and we're very aware of studies coming out over the first half of 2024 that are going to show some of these data for the use of these combo of these new drugs in CGM in combination and how that works for people. So we know there's evidence coming in investigator-initiated studies, and we're looking at some of our own right now. I think the data will continue to support it.

嗯，當然，我們考慮與製藥公司合作，但他們現在做得很好。那裡——他們非常忙碌。我們確實與他們有關係並進行過討論。關於研究，我們當然會在內部討論其中的一些內容。我們最近在 EASD 會議上看到了臨床證據，這是團隊帶回的一個重要討論主題，我們非常清楚 2024 年上半年發布的研究將顯示其中的一些數據這些新藥的組合在CGM 中的組合使用以及它如何對人們起作用。所以我們知道研究人員發起的研究中有證據，我們現在正在研究一些我們自己的研究。我認為數據將繼續支持這一點。

Our next question comes from Matthew O'Brien with Piper Sandler.

我們的下一個問題來自馬修·奧布萊恩和派珀·桑德勒。

Can you -- maybe, Jereme, you mentioned this, but you talked about the G7 integration that's upcoming here in the next few weeks. Is that literally sometime in November, we'll start to see that? And then just talk about what that's going to do in terms of trying to access new patients, but also convert existing G6 users over to G7. Any kind of disruption that, that could cause in Q4 than early next year?

Jereme，也許你提到過這一點，但你談到了未來幾週即將到來的 G7 整合。真的是在 11 月的某個時候，我們會開始看到這一點嗎？然後談談在嘗試接觸新患者以及將現有 G6 用戶轉換為 G7 方面將要做些什麼。這可能會在明年初的第四季造成任何干擾嗎？

Yes. Matt, we have Jake here right now who is intimately familiar with me, Jake, what do you think?

是的。馬特，我們現在有傑克，他和我非常熟悉，傑克，你覺得怎麼樣？

Yes, sure. So we are very excited about transitioning our G6 -- users over to G7 once those pump partners have compatibility. That's coming very rapidly. And we really think it's going to be important for those users to be able to access the benefits of G7. It's the most accurate sensor. So having that driving those AID systems, we're really looking forward to seeing that out in the marketplace. No real disruption. Those users will basically just switch over for Tandem. It's a firmware update to the pump, and they'll just sort of G6 -- or G7 once they get their G6 supplies are utilized and they get the new prescription for G7. So very much looking forward to that product being in the field.

是的，當然。因此，一旦這些泵合作夥伴具有相容性，我們對將 G6 用戶過渡到 G7 感到非常興奮。這來得非常快。我們確實認為，對於這些用戶來說，能夠享受 G7 的好處非常重要。這是最準確的感測器。因此，有了它來驅動這些輔助系統，我們真的很期待在市場上看到它。沒有真正的干擾。這些用戶基本上只會切換到 Tandem。這是對泵浦的韌體更新，一旦他們使用了 G6 供應，他們就會成為 G6 或 G7，並且他們獲得了 G7 的新處方。非常期待該產品投入使用。

Our next question comes from Mathew Blackman with Stifel.

我們的下一個問題來自 Mathew Blackman 和 Stifel。

So we did a big CGM survey last month. And one of the most interesting takeaways were very positive early expectations for the non-insulin opportunity. The docs expect to peak penetration over time to approach the 50-plus percent range and with a pretty steep curve. So really does seem somewhat similar to the type 2 intensive rollout. Just hoping for any color on how that tracks versus your expectations for non-insulin assuming some reimbursement over time? Just any color there would be helpful.

因此，我們上個月進行了一項大型 CGM 調查。最有趣的收穫之一是對非胰島素機會的早期預期非常積極。文件預計，隨著時間的推移，滲透率峰值將接近 50% 以上的範圍，且曲線相當陡峭。所以看起來確實有點類似類型 2 的密集部署。只是希望有任何顏色可以說明它如何追蹤與您對非胰島素的期望（假設隨著時間的推移會有一些報銷）？任何顏色都會有幫助。

You know what, I'll take that one, and I appreciate the question. It's long been our view. And in fact, one of the things I tell the guys here frequently as well, it took us many years to build the intensive insulin market and get this technology adopted rapidly. I don't believe the curve is going to be near that long in this type 2 world once people start using this product, and we gear an experience towards what will be meaningful to them because what is meaningful to them is different than what's meaningful to our current patients, again, driven by the performance of our product, and they have accurate data. But once we hear an experience that enhances their lives with respect to the performance of the medications, performance -- what exercise does, what their various nutrition does in their lives and can add other insights from other sensors, we think we can create a tremendous healthcare experience in this market. And we do think we can ultimately push towards reimbursement and possibly even creation of a new product category altogether for those individuals. We're pretty thrilled about it. I think it's going to be a great, great opportunity.

你知道嗎，我會接受這個問題，我很感激這個問題。這一直是我們的觀點。事實上，我也經常告訴這裡的人一件事，我們花了很多年的時間來建立密集的胰島素市場並迅速採用這項技術。我不相信一旦人們開始使用這個產品，在這個2 型世界中，曲線就不會那麼長，我們會調整對他們有意義的體驗，因為對他們有意義的東西與對他們有意義的東西不同的。我們現有的患者再次受到我們產品性能的驅動，他們擁有準確的數據。但是，一旦我們聽到一種在藥物性能、表現（運動的作用、各種營養在生活中的作用）方面改善他們生活的體驗，並且可以添加來自其他感測器的其他見解，我們認為我們可以創造一個巨大的該市場的醫療保健經驗。我們確實認為我們最終可以推動報銷，甚至可能為這些人創建一個新的產品類別。我們對此感到非常興奮。我認為這將是一個非常非常好的機會。

Yes. And Matt, it's -- and thank you for that study. Obviously, we saw it as well. In terms of timing, I think one of the things that is our obligation as a management team is just to make sure, as we start to see it and as we launch products that are geared to this population, we keep you in line with what we see, so we can have a collective understanding about where that market is going over time. So we should be assured, as we start to get more line of sight into it. Obviously, you can tell we're very bullish on the opportunity. We'll make sure we communicate that as quarters proceed.

是的。馬特，謝謝你的研究。顯然，我們也看到了。就時間安排而言，我認為作為管理團隊，我們的義務之一就是確保，當我們開始看到這一點時，當我們推出適合這一人群的產品時，我們讓您與我們的目標保持一致。我們看到了，這樣我們就可以對市場隨時間的走向有一個集體的了解。因此，當我們開始更多地關注它時，我們應該放心。顯然，你可以看出我們非常看好這個機會。我們將確保在季度進行時傳達這一點。

Our next question comes from Joanne Wuensch with Citi Bank.

我們的下一個問題來自花旗銀行的 Joanne Wuensch。

Let me also say, quite the quarter. One of the things that really stuck out to me this quarter was margins and operating margins, of course, the two are tied. But even your SG&A was well contained. Does this create a new, I don't know, go-forward rate? Or how do I think about this? Because that's where that's quite nice.

我還要說，相當一季。本季真正讓我印象深刻的事情之一是利潤率和營業利潤率，當然，兩者是相關的。但即使是您的 SG&A 也得到了很好的控制。這是否會創造一個新的（我不知道）前進率？或者我該如何看待這個問題？因為那是非常好的地方。

Yes. Thanks for the question. I'll take the portion on the gross margin and then Jereme can talk about operating margins. So with gross margin, we're really thrilled with the results this quarter. It's really a testament to how well our operations teams are executing across both G6 and G7. Our yields on the G7 scale up or a little ahead of where we planned, which is a fantastic thing to -- place to be. As we look at the transition from the AID patients from G6 to G7, one of the things that is implied in our guide there for gross margin for the year and into next year, we look in the long range. We are going to be switching those patients over to G7, which G7 today is at a slightly lower gross margin, just based on where it is in its product life cycle. G6 is a higher-margin product today. Over time, as we do switch our base all over to G7 and continue to scale that product, we have a very good path to getting to lower costs than G6 on that over time. But we're trying to be on that guy as transparent around the margin -- gross margin for the product just as we do that transition.

是的。謝謝你的提問。我將討論毛利率部分，然後 Jereme 可以談論營業利潤率。因此，就毛利率而言，我們對本季的業績感到非常興奮。這確實證明了我們的營運團隊在 G6 和 G7 中的執行情況。我們七國集團的收益率有所上升或略高於我們的計劃，這是一件很棒的事。當我們審視 AID 患者從 G6 到 G7 的轉變（我們的今年和明年的毛利率指南中暗示的事情之一）時，我們著眼於長期。我們將把這些患者轉移到 G7，僅根據其在產品生命週期中的位置，G7 目前的毛利率略低。 G6 是當今利潤率較高的產品。隨著時間的推移，當我們將我們的基礎全部切換到 G7 並繼續擴展該產品時，我們有一個很好的途徑來實現比 G6 更低的成本。但我們正努力讓那個人在利潤方面保持透明——就像我們進行轉型一樣，產品的毛利率。

Yes. And then to your question on operating margin and how our spend profile lays out, certainly a great quarter. And I think we're really happy with it. At the end of the day, we raised our full year guidance to 19% on the op margin perspective, and that's on the back of some of the work we're doing around it. Investor Day, we talked about a cost to execute initiative and a lot of that was around driving profitability. So I think you can expect us to continue to look at driving operating margin over time. There will be ebbs and flows as we invest in the business for growth. And so I think it's reasonable to expect ebbs and flows. But I'll kind of rewind back to where we started the year, right? Around JPMorgan, we issued guidance of around 16.5% operating margin. And now we're talking about exiting the year at 19%. And that's just all around the work of just being highly efficient around how we deliver service, how we deliver support how we look to acquire customers. All of the things that we try to do. You can tell we are absolutely focused on making sure we do so in an efficient manner while continuing to reinvest in the business.

是的。然後是關於營業利潤率以及我們的支出狀況如何安排的問題，這無疑是一個很棒的季度。我認為我們對此非常滿意。最終，我們從營運利潤率角度將全年指導提高至 19%，這是我們圍繞該目標所做的一些工作的結果。投資者日，我們討論了執行計劃的成本，其中許多都是圍繞著提高獲利能力。因此，我認為您可以期望我們隨著時間的推移繼續考慮提高營業利潤率。當我們投資業務以實現成長時，會有起起落落。所以我認為預期潮起潮落是合理的。但我會回到今年開始的地方，對嗎？針對摩根大通，我們發布了 16.5% 左右營業利潤率的指引。現在我們討論的是今年結束時的成長率為 19%。這就是我們如何有效率地提供服務、如何提供支援以及如何獲取客戶的全部工作。我們嘗試做的所有事情。您可以看出，我們絕對專注於確保以有效的方式做到這一點，同時繼續對業務進行再投資。

Our next question comes from Jeff Johnson with Baird.

我們的下一個問題來自 Jeff Johnson 和 Baird。

I will admit, I missed most of the prepared comments. I jumped on right as Matt O'Brien was asking his question. But it was a G7 integration question from Matt. And Jake, from your answer, I just wanted to ask one follow-up question. I guess, we started here just in the last week or 2 that maybe there's a maybe newer version of G7 that have to come along to fully integrate with Control-IQ. Just if you clarify what I'm hearing in the field or help me understand what I'm hearing in the field and that, that newer version of G7 is only going to be available for the first couple of months here in the DME channel and eventually in pharmacy as of January 1. So what's going on there? And is that anything at all from an investor perspective, we need to think about, worry about impact numbers at all? It doesn't sound like to me, but just would love the insight there.

我承認，我錯過了大部分準備好的評論。當馬特·奧布萊恩問他的問題時，我跳了上去。但這是馬特提出的七國集團整合問題。傑克，從你的回答來看，我只想問一個後續問題。我想，我們是在過去一兩週才開始的，也許有一個更新版本的 G7 必須與 Control-IQ 完全整合。只要您澄清我在現場聽到的內容或幫助我理解我在現場聽到的內容，那麼新版本的 G7 只會在 DME 頻道的前幾個月提供，並且最終從1 月1 日開始在藥房銷售。那麼到底發生了什麼事？從投資人的角度來看，我們需要考慮、擔心影響數字嗎？這聽起來不像我，但只是喜歡那裡的洞察力。

Yes. Thanks for the question, Jeff. So yes, as we continually scale in the G7, we've actually made several enhancements to the product, both on the software side, but also on the hardware side. So we actually recently made an update to the Bluetooth capability on the product, both increasing the frequency that it can reconnect to a device as well as the performance of the Bluetooth radio itself. So that product is compatible with the Tandem pump and is already shipping globally, both here in the U.S. and internationally, and we don't expect there to be any issue with people being able to upgrade their tandem pumps to the G7 compatibility.

是的。謝謝你的提問，傑夫。所以，是的，隨著我們不斷擴展 G7，我們實際上對產品進行了多項增強，無論是在軟體方面，還是在硬體方面。因此，我們實際上最近對產品的藍牙功能進行了更新，既提高了它重新連接到設備的頻率，也提高了藍牙無線電本身的性能。因此，該產品與串聯泵相容，並且已經在美國和國際範圍內向全球發貨，我們預計人們將其串聯泵升級到 G7 相容性不會出現任何問題。

Yes. And Jeff, no margin concerns, no question. This is really par for the course in what we do in terms of iterations over time. A lot of times, you don't necessarily hear about it. We went through this with G6, you'll remember it. We had a transmitter swap out, which ultimately came through at a lower cost, higher performance. I would expect more of these types of changes over time, whether it's software and hardware as we continue to make improvements to the platform over time as part of just continuous improvement.

是的。傑夫，沒有保證金問題，毫無疑問。這與我們隨著時間的推移進行迭代所做的課程確實是一樣的。很多時候，你不一定聽過它。我們在 G6 中經歷過這個，你會記得的。我們更換了發射器，最終以更低的成本、更高的性能實現了。我預計隨著時間的推移，無論是軟體還是硬件，都會出現更多此類變化，因為我們會隨著時間的推移不斷改進平台，作為持續改進的一部分。

The DME only availability through the end of this year, is that just a control kind of access initially or just anything I'm missing there?

DME 僅在今年年底可用，這只是最初的一種控制存取方式還是我缺少的任何東西？

No, there's nothing you're missing there. There's product that will be out in all channels. And so really, I think what you're hearing is timing questions about when you burn through things. That's, I think, more anecdotal than anything else. Everybody is going to be able to have access to this thing in short order. It might start through the DME just because that's the channel that you can generally start through. But -- this product will be available everywhere.

不，那裡沒有你錯過的東西。有產品將在所有通路上市。所以說真的，我認為你聽到的是關於你什麼時候燒毀事情的時間問題。我認為，這比其他任何事情都更有趣。每個人都將能夠在短時間內獲得這個東西。它可能會透過 DME 啟動，因為這是您通常可以通過的通道啟動。但是——這種產品將隨處可見。

Well, that also accommodates a lot of our tandem pumpers because they get a lot of their supplies through the DME channel, too, Jeff. So this has been well thought out.

嗯，這也可以容納我們的許多串聯泵，因為他們也通過 DME 通道獲得大量補給，傑夫。所以這是經過深思熟慮的。

Our next question comes from Travis Steed with Bank of America.

我們的下一個問題來自美國銀行的 Travis Steed。

Congrats everybody on the quarter. Maybe just talk about the buyback, the thought process for the buyback, how much of that's related to the convert versus just seeing your stock at an attractive valuation and is buyback something we should think about you doing more going forward now that you've got your free cash flow at a good level?

恭喜本季的所有人。也許只是談論回購，回購的思考過程，其中有多少與轉換有關，而不是僅僅看到你的股票處於有吸引力的估值，回購是我們應該考慮的事情，因為你已經擁有了您的自由現金流處於良好水平嗎？

Yes. So we think about the buybacks in multiple different ways. Certainly, we want to limit dilution, and that's something we always think about as we launch converts. One of the other things we do when we launch converts, obviously, they come at a lower cash cost. And so when we have the opportunity to take the incremental cash that we're making through those and give that back to shareholders, we certainly do so. And then look, at the end of the day, while it's not for us to comment on share price, that's certainly for others. We are highly, highly, highly bullish on our business over the long term. And so when we see an opportunity to invest in our business, either in the form of investment in capabilities or by purchasing stock back, we certainly want to take those opportunities. Whether or not we do these all the time, look, it's been 2 consecutive years we've done that. So it's something we'll certainly always look at. You can tell we're not shy about it. but we'll always take a look at it and make sure that we're opportunistic around it as well as representing the bullishness we have in our business.

是的。因此，我們以多種不同的方式考慮回購。當然，我們希望限制稀釋，這是我們在推出轉換者時始終考慮的事情。顯然，我們在推出轉換者時所做的另一件事是，它們的現金成本較低。因此，當我們有機會將透過這些方式賺取的增量現金回饋給股東時，我們當然會這樣做。然後看看，歸根結底，雖然我們不應該對股價發表評論，但這當然是其他人的事。從長遠來看，我們非常非常看好我們的業務。因此，當我們看到投資我們業務的機會時，無論是透過能力投資還是回購股票的形式，我們當然希望抓住這些機會。不管我們是否一直這樣做，看，我們已經連續兩年這樣做了。所以這是我們肯定會一直關注的事情。你可以看出我們對此並不害羞。但我們會始終關注它，並確保我們對此持機會主義態度，並代表我們對業務的樂觀態度。

Our next question comes from Marie Thibault with BTIG.

我們的下一個問題來自 BTIG 的 Marie Thibault。

I hope you could just expand on the comment in the prepared remarks about even more pronounced dynamic of complementary between CGM use in the GLP-1s. Just curious to get more details on the magnitude of that? And any thoughts on why that would be even more pronounced with the latest generation?

我希望您能在準備好的評論中擴展關於 GLP-1 中 CGM 使用之間更明顯的互補動態的評論。只是想了解更多有關其嚴重程度的詳細資訊嗎？你有什麼想法為什麼這在最新一代中會更加明顯？

Well, this is Kevin. I'll have Jereme jump in too because he's more familiar with the underlying data than I am, but the underlying data as we research this as much as we can, indicates with the new compounds. The physicians are also pursuing CGM for the GLP-1 users as they add GLP-1 to diabetes therapies. They're already existing. They want to give these patients a scoreboard to let them know how they're doing and they're seeing very good results from the GLP-1s in combination with other therapies they're on. And then you add a sensor to it, you can see, "Okay, I've taken this drug and look how my habits have changed. Look how my average glucose has changed over the course of a week or a month versus where it was before." And so we think we're a vital tool and a very good tool. And the underlying data that we're seeing in prescriptions supports that. I don't know, Jereme, if you have anything else to add?

嗯，這是凱文。我也會讓 Jereme 加入進來，因為他比我更熟悉基礎數據，但當我們盡可能多地研究這個問題時，基礎數據表明了新化合物。當醫生將 GLP-1 加入糖尿病治療時，他們也正在為 GLP-1 使用者尋求 CGM。它們已經存在了。他們希望為這些患者提供一個記分板，讓他們知道自己的情況如何，並且他們看到 GLP-1 與他們正在接受的其他療法相結合取得了非常好的結果。然後你給它添加一個感測器，你可以看到，「好吧，我服用了這種藥物，看看我的習慣發生了怎樣的變化。看看我的平均血糖在一周或一個月內與原來相比有何變化前。”所以我們認為我們是一個重要的工具，也是一個非常好的工具。我們在處方中看到的基礎數據也支持了這一點。 Jereme，我不知道你還有什麼要補充的嗎？

No, that's exactly it. And you're asking kind of why the reason, Marie, I mean, we have clinicians tell us all the time. To administer drugs as potent as these are and ultimately to ensure that they are effective, both while they're on the drug and while they're coming off the drug and how they ultimately engage going forward, there is a high correlation of interest in CGM. And the more and more folks we speak to they're saying, why wouldn't you want to understand what's going on in the body as to how to better understand, one, to titrate the drugs, but then how to change behaviors and get folks off the drugs over the long haul. So you're just seeing more and more of that, and the script data proves it.

不，正是這樣。你問的是為什麼，瑪麗，我的意思是，我們一直有臨床醫生告訴我們。為了施用如此有效的藥物並最終確保它們有效，無論是在用藥期間還是在停藥期間以及它們最終如何繼續前進，都存在高度相關性連續GM。我們採訪的越來越多的人說，為什麼你不想了解身體裡發生了什麼，以及如何更好地理解，第一，滴定藥物，然後如何改變行為並獲得人們長期戒毒。所以你會看到越來越多的這種情況，腳本資料也證明了這一點。

Our next question comes from William Plovanic from with Canaccord.

我們的下一個問題來自 Canaccord 的 William Plovanic。

This is Kyle on for Bill Plovanic. Congrats on a great quarter. Just maybe touch on the non-insulin product. I think you mentioned it was going to come out next summer. Any more color you can provide on the specific product features that you haven't talked about before? And any updates kind of on the price point or where you are with payer conversations.

這是凱爾為比爾·普洛瓦尼克發言。恭喜您度過了一個出色的季度。也許只是談談非胰島素產品。我想你提到過它將在明年夏天推出。對於您之前沒有討論過的具體產品功能，您還可以提供更多的資訊嗎？以及有關價格點或付款人對話情況的任何更新。

Yes, this is Jake. I'll take the first part about the process. Yes, we're extremely excited about it. We've already finished the clinical trial required for that submission before the end of this year for the product. It's a 15-day meet iCGM criteria. So really good about that. And the product is all about helping people really engage with their health. So it is a different -- completely different software experience than what our G-Series and Dexcom ONE products are. I'm not going to get into all the specific features yet, but rest assured, our focus is to ensure that people get the benefit of CGM and basically helping them connect the dots to their lifestyle. And it's really an important tool to help them learn about no matter what therapy they're on and how their metabolic health can be improved. And so really excited team is just finishing up validations in the product. We're looking forward to launching it next year.

是的，這是傑克。我將介紹有關該過程的第一部分。是的，我們對此感到非常興奮。我們已經在今年年底前完成了該產品提交所需的臨床試驗。為期 15 天的活動符合 iCGM 標準。真的很好。該產品旨在幫助人們真正關注自己的健康。因此，與我們的 G 系列和 Dexcom ONE 產品相比，這是一種完全不同的軟體體驗。我不會詳細介紹所有具體功能，但請放心，我們的重點是確保人們從 CGM 中受益，並從根本上幫助他們將各個點與他們的生活方式聯繫起來。這確實是一個重要的工具，可以幫助他們了解無論他們正在接受什麼治療，以及如何改善他們的代謝健康。非常興奮的團隊剛完成產品的驗證。我們期待明年推出它。

Kyle, it's Teri. Thanks for the question. This product, like all of our products starts with unique insights into the needs of our customers. So we're really excited to bring a product to the market that is designed specifically for those who are not on insulin. This is a highly motivated group, but who has different needs -- different health needs, different lifestyle needs and different product and feature needs versus those who are on insulin. So we've designed the product specifically for that group, understanding what additional medications they might be on, and we are excited to bring this to the market probably in summer of next year is what we're trying to.

凱爾，我是泰瑞。謝謝你的提問。與我們所有的產品一樣，該產品始於對客戶需求的獨特見解。因此，我們非常高興能夠將一款專為不使用胰島素的人設計的產品推向市場。這是一個積極的群體，但與使用胰島素的人相比，他們有不同的需求——不同的健康需求、不同的生活方式需求以及不同的產品和功能需求。因此，我們專門為該群體設計了該產品，了解他們可能服用哪些其他藥物，我們很高興能在明年夏天將其推向市場，這就是我們正在努力的目標。

And over time, we'll look for reimbursement. We've talked about this as a cash pay option to start, and that's how we'll do it as far as the exact pricing that remains to be determined when we launch. We're not going to give that out yet. So -- we're excited, as you can tell.

隨著時間的推移，我們會尋求補償。我們已經將其作為現金支付選項來開始討論，這就是我們將如何做到的，具體定價仍有待我們在推出時確定。我們還不打算透露這一點。所以——正如你所知，我們很興奮。

Our next question comes from Jayson Bedford with Raymond James.

我們的下一個問題來自傑森貝德福德和雷蒙德詹姆斯。

So two questions that require one word answer. What's the timeline on Basal coverage in France? And then maybe for Jereme, what's the annual revenue contribution from that business that you expect to sell off in the first half of '24?

所以兩個問題需要一個字來回答。法國的 Basal 覆蓋範圍的時間表是怎樣的？然後，對於 Jereme 來說，您預計在 24 年上半年出售的該業務的年收入貢獻是多少？

Yes. So easy answer is Basal expected 2024 in France. Timing exactly will depend on the government bodies, but we expect it in the first half of 2024. And the approximate contribution from the business being spun off is $30 million annual run rate.

是的。簡單的答案是 Basal 預計 2024 年在法國上市。具體時間將取決於政府機構，但我們預計在 2024 年上半年。剝離業務的貢獻約為每年 3000 萬美元。

Our next question comes from Michael Polark with Wolf Research.

我們的下一個問題來自 Wolf Research 的 Michael Polark。

In the prepared remarks, you mentioned you believe you gained share across all reimbursement channels and segments and then added even in non-reimbursed channels. I'm curious, I mean, clearly, we know about the innovation work here and the product launch and that might be the answer. But is there anything commercially you're doing different in the cash pay market today that's influencing that comment?

在準備好的評論中，您提到您相信您在所有報銷管道和細分市場中都獲得了份額，甚至在非報銷管道中也增加了份額。我很好奇，我的意思是，顯然，我們了解這裡的創新工作和產品發布，這可能是答案。但是，您在當今的現金支付市場上所做的商業上有什麼不同的事情影響了這一評論嗎？

No. We do have a cash pay program right now with G7, but we've not done anything significant. I'll go back mainly to our coverage. I mean G7 coverage has come at a rate faster than anything we've done before, not just on the Basal side but also on the intensive insulin side in every place else. So we're widely covered and people find it very easy to get, and very easy to pick it up in the channel that they choose to pursue. And we offer the cash pay program and that there are people taking advantage of it. They like G7. They like the different form factor. The ease of use and the things that we offer. So we have seen an increase there. But it's not something we're pushing really hard.

不。我們現在確實有與 G7 的現金支付計劃，但我們還沒有做任何重大的事情。我將主要回到我們的報道。我的意思是，G7 的覆蓋率比我們以前所做的任何事情都快，不僅在基礎方面，而且在其他每個地方的強化胰島素方面也是如此。因此，我們的覆蓋範圍很廣，人們發現它很容易獲得，並且很容易在他們選擇的管道中找到它。我們提供現金支付計劃，並且有人利用它。他們喜歡G7。他們喜歡不同的外形。易用性和我們提供的東西。所以我們看到了那裡的成長。但這並不是我們真正努力推動的事情。

Our next question comes from Steve Lichtman with Oppenheimer & Company.

我們的下一個問題來自奧本海默公司的史蒂夫·利希特曼。

Congrats, guys. Obviously, a lot of focus on basal was expected but you do, of course, have coverage now for non-insulin hypo at risk, which is a sizable population in its own right. Can you talk about what you're hearing from physicians on the use of CGM there? And are you hearing anything in the field that changed your initial view on how big that opportunity can be in particular?

恭喜，夥計們。顯然，人們預計會專注於基礎水平，但當然，您現在已經承保了有風險的非胰島素低下症，這本身就是一個相當大的人群。您能談談您從醫生那裡聽到的關於 CGM 使用情況嗎？您是否在該領域聽到任何事情改變了您對這個機會有多大的最初看法？

Thanks, Steve. It's Teri. We're only about 6 months in since the implementation of that CMS decision. So still an evolving landscape for the problematic hypoglycemia group. But we see a real opportunity to continue to build coverage with the payers to continue to educate them and to build education with the HCP community, keeping in mind that this is a population where historically, we haven't thought a lot about CGM use in utilization, but the data that we now have that supported the CMS decision and that we'll continue to build to bring the payers is really compelling. So we see a tremendous opportunity here and one that's still quite nation with a lot of upside in the future.

謝謝，史蒂夫。是泰瑞。自從 CMS 決定實施以來，我們僅過了大約 6 個月的時間。因此，對於有問題的低血糖群體來說，情況仍然在不斷變化。但我們看到了一個真正的機會，可以繼續與付款人建立覆蓋範圍，繼續教育他們，並與HCP 社區一起建立教育，請記住，從歷史上看，這是一個人群，我們並沒有對CGM 的使用進行太多思考。利用率，但我們現在擁有的支援 CMS 決策的數據以及我們將繼續建立的數據確實令人信服。因此，我們在這裡看到了巨大的機會，而且仍然是一個相當大的國家，未來有很大的上升空間。

Our next question comes from Josh Jennings with TD Cowen.

我們的下一個問題來自 TD Cowen 的 Josh Jennings。

I know you have a lot in front of you with type 2 Basal and the cash pay product being launched next year, but you did mention that you're pursuing reimbursement, Kevin, for type 2 and non-insulin using patients. I was just hoping to better understand the road map of the clinical development program and should we -- investors be thinking 2 to 3 years for that potential reimbursement to come in or 3 to 5 years? And then just on top of that, just what's giving you optimism that you can show a clinically meaningful statistic segment reduction? (inaudible) that type 2 non-insulin using population. I think you had some registry data. I know you had some red at ADA this year, but any other signals and drivers of your confidence.

我知道您在 2 型 Basal 和明年推出的現金支付產品方面有很多工作要做，但您確實提到，凱文，您正在為 2 型和不使用胰島素的患者尋求報銷。我只是希望更了解臨床開發計畫的路線圖，我們投資者應該考慮 2 到 3 年才能獲得潛在的報銷，還是 3 到 5 年？除此之外，是什麼讓您樂觀地認為您可以顯示出具有臨床意義的統計分段減少？ （聽不清楚）2 型非胰島素使用族群。我想你有一些註冊表資料。我知道今年你在 ADA 上遇到了一些麻煩，但還有其他訊號和驅動你信心的因素。

Look, we've done numerous studies and every time we introduce CGM to this population, we see lower A1c, higher time in range and all the other vital signs of these patients get better. And so we're confident that we have positive impact. I'll add a couple of other things that we've heard in my own travels and travels of the group. One of the things everybody is concerned about is adherence to meds. With CGM, we can -- patients can see what happens when they're inherent to their meds and when they take them, be it whichever type 2 therapy they're on. They can see what happens, they take their metformin every morning or their -- Two pill or even the effect of their GLP-1 injection every week. They can see what happens and that adherence to drugs leads to better health on an overall basis. So let's be clear, it's not like diabetes growth has slowed down anywhere. Diabetes still continues to grow rapidly and the cost of diabetes care as great as all of our technologies have been continues to increase. So if we can be a cog in that wheel to whereby we add an element of cost, it's not, not that significant when you look at the grand scheme of things, but can reduce many other costs and reduce complications that they spend on other things and possibly slow down the train on some of the meds people have to move to. We think we have a great role to play here. And that's how we look at it. I don't think it's going to take 5 years. I think this is more a 2- to 3-year journey. But you know what, that's the gospel according to me. I don't have anything else but you'll see data continue to pile up in this segment, particularly as we launch a CAPE product to start and then get some basic reimbursement from that from others. We're making our case obviously, building a case with CMS, like we did for mobile on Basal, that was data produced by DexCom. We're pretty good at that. So we'll keep pushing.

看，我們已經做了很多研究，每次我們向這一人群引入 CGM 時，我們都會看到 A1c 降低、範圍時間延長以及這些患者的所有其他生命體徵都得到改善。因此，我們有信心能夠產生正面的影響。我將添加一些我們在我自己的旅行和團隊旅行中聽到的其他事情。每個人都關心的事情之一是堅持服藥。透過 CGM，我們可以——患者可以看到當他們服用藥物時以及服用藥物時會發生什麼，無論他們接受的是哪種 2 型療法。他們可以看到會發生什麼，他們每天早上服用二甲雙胍，或每週服用兩片藥物，甚至每週注射 GLP-1 的效果。他們可以看到發生了什麼，並且堅持用藥可以改善整體健康狀況。所以我們要明確一點，糖尿病的成長並沒有在任何地方放緩。糖尿病仍然繼續快速增長，糖尿病護理的成本與我們所有的技術一樣持續增加。因此，如果我們可以成為那個輪子上的齒輪，透過它添加一個成本元素，那麼當你考慮事物的宏偉計劃時，它並沒有那麼重要，但可以減少許多其他成本並減少他們在其他事情上花費的複雜性並可能減慢人們必須轉向的一些藥物的火車速度。我們認為我們可以在這裡發揮重要作用。我們就是這樣看待它的。我認為這不需要5年。我認為這更像是一個兩到三年的旅程。但你知道嗎，對我來說這就是福音。我沒有其他任何東西，但您會看到該細分市場中的數據繼續堆積，特別是當我們推出 CAPE 產品並從其他產品中獲得一些基本報銷時。顯然，我們正在做我們的案例，用 CMS 建立一個案例，就像我們在 Basal 上為行動裝置所做的那樣，這是由 DexCom 產生的資料。我們在這方面很擅長。所以我們會繼續努力。

Our next question comes from Matt Miksic with Barclays.

我們的下一個問題來自巴克萊銀行的馬特·米克西奇。

Congrats on the quarter and appreciate all the color today on the call. Just if I could follow up on a comment you made, Kevin, earlier about the number of new prescribers post driven by the G7 launch and get some color if you could share it around is that sort of getting further into the sort of simple -- simplicity, simple user segment of the market? Is it linked in any way in the Basal coverage. What's your assessment of what's been driving that? And other than G7 just being great. But -- and then also maybe the implications for share trends in the U.S., if that continues?

恭喜本季度，並欣賞今天電話會議中的所有色彩。 Kevin，如果我能跟進您之前發表的有關 G7 發布推動的新處方醫生數量的評論，並獲得一些信息（如果您能分享的話），那就是進一步深入了那種簡單的事情——簡單、簡單的市場用戶細分？它是否以任何方式與基礎覆蓋範圍相關聯。您對推動此趨勢的因素有何評價？除了 G7 很棒。但是，如果這種情況持續下去，可能會對美國股市趨勢產生影響？

Matt, this is Jereme. I can take this. And by the way, it's all intentional, right? We have a commercial team that's done an incredible job of identifying areas to go and doctors to really certainly focus on where we can come in with the product, demonstrate obviously, it's the most accurate. Certainly, it's easy to use. And with the coverage we have, I think it really demonstrates to the physicians and their prescribing patterns. Look, we can -- we have the lowest out-of-pockets for these patients, and we can ultimately keep them on therapy and adherence for a much longer period. So I think that in addition to obviously G7 and all the features it has inherent in it has allowed these physicians to make the change. But -- it's so wonderful product, wonderful coverage and absolutely intentionality by the sales team. I mean, just a great job by those -- that team identifying who those targets are going out there and addressing it. So it's no coincidence. And 18,000 incremental prescribers, a significant amount in the PCP space and a lot of folks are switching. These PCPs are switching from who they prescribed today and moving over to DexCom. So we're really proud of it. And obviously, it was 1,000 in the first quarter, 8,000 in the second quarter and another 9,000 this quarter. So it is -- the message is getting out, and it's meaningful.

馬特，這是傑瑞姆。我可以接受這個。順便說一句，這都是故意的，對吧？我們有一個商業團隊，他們在確定要進行的領域方面做了令人難以置信的工作，而醫生確實專注於我們可以使用該產品的地方，顯然，它是最準確的。當然，它很容易使用。透過我們的覆蓋範圍，我認為這確實向醫生及其處方模式展示了。看，我們可以——我們為這些患者提供最低的自付費用，並且我們最終可以讓他們在更長的時間內接受治療和堅持治療。所以我認為，除了 G7 及其固有的所有功能之外，這些醫生還可以做出改變。但是——這是如此出色的產品、出色的報道以及銷售團隊的絕對用心。我的意思是，這些人的工作非常出色——團隊確定了那些目標是誰，並解決了這個問題。所以這並非巧合。 18,000 名增量處方者，在 PCP 領域佔很大一部分，而且很多人正在更換。這些 PCP 正在從他們今天的處方轉向 DexCom。所以我們真的為此感到自豪。顯然，第一季為 1,000，第二季為 8,000，本季又增加了 9,000。事實就是如此——資訊正在傳播出去，而且很有意義。

Our next question comes from Mike Kratky with Leerink Partners.

我們的下一個問題來自 Leerink Partners 的 Mike Kratky。

Just going back to Basal only, what's the latest basal-only commercial coverage you have in place? And how are you thinking about both the cadence and what's needed to bridge that gap to get more full coverage?

回到僅 Basal，您最新的僅 basal 商業報道是什麼？您如何考慮節奏以及彌補這一差距以獲得更全面覆蓋所需的內容？

Yes. This is Teri. Happy to take that one. We track coverage very closely for DexCom and for the industry, and DexCom is the most covered CGM with the lowest out-of-pocket co-pay. That is true for the overall population in U.S. commercial lives, and it's also true for the Basal population. And I would say, keep in mind that we were out with the mobile study in front of the payers even before the CMS decision came through. So we continue to -- we'll continue to lead in the coverage for this population.

是的。這是泰瑞。很高興接受那個。我們非常密切地追蹤 DexCom 和整個產業的覆蓋範圍，DexCom 是覆蓋範圍最廣、自付費用最低的 CGM。對於美國商業生活中的總人口來說是這樣，對於基礎人口也是如此。我想說的是，請記住，甚至在 CMS 決定通過之前，我們就已經在付款人面前推出了行動研究。因此，我們將繼續在覆蓋這一人群方面保持領先地位。

Yes. And then your question was how much -- what more do we need to go? The answer is it's not warm. A lot of commercial payers are already really covering this. You now -- Teri referenced, we have the most wide coverage on Basal. It's really now just -- it's time. It takes time to get in front of payers, Medicaid payers, government payers. And so it's just canvassing. And by the way, this is not something that we didn't face with type 1. It's not something we didn't face with type 2 intensive. And so just give us time, but a majority of people walking around with using Basal insulin now have access to CGM technology. It's a wonderful thing for the population.

是的。然後你的問題是我們還需要做什麼？答案是不熱。許多商業付款人已經真正涵蓋了這一點。現在，泰瑞提到，我們對 Basal 的報導最為廣泛。現在確實是時候了。到達付款人、醫療補助付款人、政府付款人面前需要時間。所以這只是拉票。順便說一句，這不是我們在類型 1 中沒有遇到的問題。這也不是我們在類型 2 密集型中沒有遇到的問題。所以請給我們時間，但大多數使用基礎胰島素的人現在都可以使用 CGM 技術。這對人們來說是一件美妙的事。

This concludes our question-and-answer session for today. I will now turn the call over to Mr. Kevin Sayer for closing remarks.

我們今天的問答環節到此結束。現在我將把電話轉給凱文·塞耶先生做總結發言。

Thank you. This was truly a banner quarter for us. This was our first quarter with over $200 million in year-over-year quarterly growth and the second consecutive quarter of record financial performance and market share gains on all fronts. Our G7 launch remains in its early stages. There's tremendous amount of momentum left in this launch with our plan upgrades to the system and also our upcoming AID integrations. In addition to continuing to perform in these traditional metrics, our company's growth as a world-class organization on a number of fronts continues to be recognized.

謝謝。這對我們來說確實是一個標誌性的季度。這是我們第一季年增超過 2 億美元，也是連續第二季在各方面實現創紀錄的財務表現和市佔率成長。我們的 G7 發布仍處於早期階段。我們的系統計劃升級以及即將推出的 AID 集成為這次發布留下了巨大的動力。除了繼續在這些傳統指標上表現出色之外，我們公司在許多方面作為世界級組織的成長也繼續得到認可。

DexCom was recognized by Forbes as one of the top 5 organizations to work for in the state of California. By the way, 3 of the top 5 were universities. So we're 1 of 2 companies in that group. We are recognized by Newsweek as one of the 300 top green organizations and acknowledging our great work of our teams to advance our sustainability initiatives, and we are considering this very thoroughly in all of our product development efforts going forward. Finally, we've been recognized by Fast Technologies as one of the brands that matters. Great honors for our company. I want to thank everybody here at DexCom who makes these great things happen, and thank everybody for your continued support. Thank you.

DexCom 被福布斯評為加州最適合工作的 5 個組織之一。順便說一下，前5名中有3所是大學。所以我們是該組中的兩家公司之一。我們被《新聞周刊》評為 300 家頂級綠色組織之一，並認可我們團隊為推進可持續發展計劃所做的出色工作，並且我們在未來所有產品開發工作中都非常徹底地考慮這一點。最後，我們被 Fast Technologies 評為重要品牌之一。我們公司獲得了巨大的榮譽。我要感謝 DexCom 的每個人，是你們讓這些偉大的事情發生，並感謝大家一直以來的支持。謝謝。

Thank you, ladies and gentlemen. This concludes today's conference. You may now disconnect.

謝謝你們，女士們、先生們。今天的會議到此結束。您現在可以斷開連線。