Net Profit Margin
since 2005
Calculation
DexCom Inc., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net income (loss)1 | ÷ | Revenue1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2022 | 11.73% | = | 100 | × | 341,200) | ÷ | 2,909,800) |
| Dec 31, 2021 | 6.32% | = | 100 | × | 154,700) | ÷ | 2,448,500) |
| Dec 31, 2020 | 25.62% | = | 100 | × | 493,600) | ÷ | 1,926,700) |
| Dec 31, 2019 | 6.85% | = | 100 | × | 101,100) | ÷ | 1,476,000) |
| Dec 31, 2018 | -12.32% | = | 100 | × | (127,100) | ÷ | 1,031,600) |
| Dec 31, 2017 | -6.99% | = | 100 | × | (50,200) | ÷ | 718,500) |
| Dec 31, 2016 | -11.44% | = | 100 | × | (65,600) | ÷ | 573,300) |
| Dec 31, 2015 | -14.33% | = | 100 | × | (57,600) | ÷ | 402,000) |
| Dec 31, 2014 | -8.64% | = | 100 | × | (22,400) | ÷ | 259,200) |
| Dec 31, 2013 | -18.63% | = | 100 | × | (29,800) | ÷ | 160,000) |
| Dec 31, 2012 | -54.55% | = | 100 | × | (54,500) | ÷ | 99,900) |
| Dec 31, 2011 | -58.67% | = | 100 | × | (44,746) | ÷ | 76,266) |
| Dec 31, 2010 | -113.45% | = | 100 | × | (55,170) | ÷ | 48,631) |
| Dec 31, 2009 | -180.26% | = | 100 | × | (53,524) | ÷ | 29,693) |
| Dec 31, 2008 | -560.93% | = | 100 | × | (55,184) | ÷ | 9,838) |
| Dec 31, 2007 | -991.53% | = | 100 | × | (45,878) | ÷ | 4,627) |
| Dec 31, 2006 | -2,147.42% | = | 100 | × | (46,599) | ÷ | 2,170) |
| Dec 31, 2005 | — | = | 100 | × | (30,890) | ÷ | —) |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
The financial trajectory from 2006 to 2022 is characterized by a prolonged period of negative profitability followed by a definitive transition to positive net margins and significant revenue scaling.
- Long-term Margin Convergence
- Between 2006 and 2014, a consistent trend of margin improvement is observed. Although the net profit margin remained negative, the deficit narrowed substantially from -2,147.42% in 2006 to -8.64% in 2014. This period indicates a phase of aggressive scaling where revenue growth began to outpace the growth of net losses.
- Profitability Inflection Point
- A period of volatility occurred between 2015 and 2018, with net profit margins fluctuating between -6.99% and -14.33%. The inflection point was reached in 2019, marking the first instance of positive net income and a corresponding net profit margin of 6.85%. This transition indicates the achievement of a critical mass in revenue sufficient to cover all operating and non-operating expenses.
- Recent Margin Volatility and Stabilization
- The period from 2020 to 2022 is marked by significant fluctuations in profitability. A peak net profit margin of 25.62% was recorded in 2020, the highest in the analyzed period. This was followed by a sharp contraction to 6.32% in 2021, before recovering to 11.73% in 2022. These shifts suggest that while the organization has established a baseline of profitability, margins remain sensitive to changes in cost structures or investment cycles.
- Revenue and Income Correlation
- Revenue demonstrated uninterrupted annual growth, rising from 2.17 million US dollars in 2006 to 2.91 billion US dollars by 2022. The correlation between exponential revenue growth and the eventual shift to positive net profit margins suggests a business model based on high initial investment followed by operating leverage as the scale of operations increased.
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Comparison to Competitors
DexCom Inc., net profit margin, long-term trends, comparison to competitors
| DexCom Inc. | Abbott Laboratories | Elevance Health Inc. | Intuitive Surgical Inc. | Medtronic PLC | UnitedHealth Group Inc. | |
|---|---|---|---|---|---|---|
| Dec 31, 2022 | 11.73% | 15.88% | 3.87% | 21.25% | 15.90% | 6.25% |
| Dec 31, 2021 | 6.32% | 16.42% | 4.46% | 29.85% | 11.97% | 6.06% |
| Dec 31, 2020 | 25.62% | 12.99% | 3.78% | 24.33% | 16.56% | 6.03% |
| Dec 31, 2019 | 6.85% | 11.56% | 4.66% | 30.80% | 15.16% | 5.76% |
| Dec 31, 2018 | -12.32% | 7.74% | 4.11% | 30.29% | 10.36% | 5.33% |
| Dec 31, 2017 | -6.99% | 1.74% | 4.31% | 21.09% | 13.56% | 5.28% |
| Dec 31, 2016 | -11.44% | 6.71% | 2.93% | 27.21% | 12.27% | 3.81% |
| Dec 31, 2015 | -14.33% | 21.68% | 3.27% | 24.69% | 13.20% | 3.72% |
| Dec 31, 2014 | -8.64% | 11.28% | 3.52% | 19.65% | 18.02% | 4.33% |
| Dec 31, 2013 | -18.63% | 11.79% | 3.55% | 29.62% | 20.90% | 4.62% |
| Dec 31, 2012 | -54.55% | 14.95% | 4.37% | 30.14% | 22.35% | 5.03% |
| Dec 31, 2011 | -58.67% | 12.17% | 4.42% | 28.17% | 19.43% | 5.08% |
| Dec 31, 2010 | -113.45% | 13.15% | 4.99% | 27.02% | 19.59% | 4.95% |
| Dec 31, 2009 | -180.26% | 18.68% | 7.80% | 22.11% | 14.86% | 4.42% |
| Dec 31, 2008 | -560.93% | 16.53% | 4.04% | 23.35% | 16.51% | 3.70% |
| Dec 31, 2007 | -991.53% | 13.92% | 5.56% | 24.06% | 22.78% | 6.26% |
| Dec 31, 2006 | -2,147.42% | 7.64% | 5.52% | 19.33% | 22.55% | 5.89% |
| Dec 31, 2005 | — | 15.10% | 5.53% | 41.41% | 17.94% | 7.36% |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Health Care Equipment & Services)
DexCom Inc., net profit margin, long-term trends, comparison to sector (health care equipment & services)
| DexCom Inc. | Health Care Equipment & Services | |
|---|---|---|
| Dec 31, 2022 | 11.73% | 7.05% |
| Dec 31, 2021 | 6.32% | 7.14% |
| Dec 31, 2020 | 25.62% | 6.82% |
| Dec 31, 2019 | 6.85% | 6.91% |
| Dec 31, 2018 | -12.32% | 5.87% |
| Dec 31, 2017 | -6.99% | 5.60% |
| Dec 31, 2016 | -11.44% | 4.73% |
| Dec 31, 2015 | -14.33% | 5.78% |
| Dec 31, 2014 | -8.64% | 5.76% |
| Dec 31, 2013 | -18.63% | 6.37% |
| Dec 31, 2012 | -54.55% | 8.05% |
| Dec 31, 2011 | -58.67% | 7.40% |
| Dec 31, 2010 | -113.45% | 7.67% |
| Dec 31, 2009 | -180.26% | 8.63% |
| Dec 31, 2008 | -560.93% | 6.88% |
| Dec 31, 2007 | -991.53% | 8.40% |
| Dec 31, 2006 | -2,147.42% | 7.20% |
| Dec 31, 2005 | — | 9.04% |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Health Care)
DexCom Inc., net profit margin, long-term trends, comparison to industry (health care)
| DexCom Inc. | Health Care | |
|---|---|---|
| Dec 31, 2022 | 11.73% | 14.65% |
| Dec 31, 2021 | 6.32% | 15.24% |
| Dec 31, 2020 | 25.62% | 10.27% |
| Dec 31, 2019 | 6.85% | 14.56% |
| Dec 31, 2018 | -12.32% | 12.61% |
| Dec 31, 2017 | -6.99% | 9.26% |
| Dec 31, 2016 | -11.44% | 12.80% |
| Dec 31, 2015 | -14.33% | 13.94% |
| Dec 31, 2014 | -8.64% | 14.40% |
| Dec 31, 2013 | -18.63% | 15.04% |
| Dec 31, 2012 | -54.55% | 13.92% |
| Dec 31, 2011 | -58.67% | 12.06% |
| Dec 31, 2010 | -113.45% | 11.90% |
| Dec 31, 2009 | -180.26% | 17.77% |
| Dec 31, 2008 | -560.93% | 13.00% |
| Dec 31, 2007 | -991.53% | 12.52% |
| Dec 31, 2006 | -2,147.42% | 15.30% |
| Dec 31, 2005 | — | 14.61% |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).