Operating Profit Margin
since 2005
Calculation
DexCom Inc., operating profit margin, long-term trends, calculation
| Operating profit margin | = | 100 | × | Operating income (loss)1 | ÷ | Revenue1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2022 | 13.44% | = | 100 | × | 391,200) | ÷ | 2,909,800) |
| Dec 31, 2021 | 10.86% | = | 100 | × | 265,800) | ÷ | 2,448,500) |
| Dec 31, 2020 | 15.54% | = | 100 | × | 299,500) | ÷ | 1,926,700) |
| Dec 31, 2019 | 9.64% | = | 100 | × | 142,300) | ÷ | 1,476,000) |
| Dec 31, 2018 | -18.06% | = | 100 | × | (186,300) | ÷ | 1,031,600) |
| Dec 31, 2017 | -5.92% | = | 100 | × | (42,500) | ÷ | 718,500) |
| Dec 31, 2016 | -11.15% | = | 100 | × | (63,900) | ÷ | 573,300) |
| Dec 31, 2015 | -14.20% | = | 100 | × | (57,100) | ÷ | 402,000) |
| Dec 31, 2014 | -8.29% | = | 100 | × | (21,500) | ÷ | 259,200) |
| Dec 31, 2013 | -18.06% | = | 100 | × | (28,900) | ÷ | 160,000) |
| Dec 31, 2012 | -55.76% | = | 100 | × | (55,700) | ÷ | 99,900) |
| Dec 31, 2011 | -58.80% | = | 100 | × | (44,843) | ÷ | 76,266) |
| Dec 31, 2010 | -93.13% | = | 100 | × | (45,290) | ÷ | 48,631) |
| Dec 31, 2009 | -154.36% | = | 100 | × | (45,833) | ÷ | 29,693) |
| Dec 31, 2008 | -536.97% | = | 100 | × | (52,827) | ÷ | 9,838) |
| Dec 31, 2007 | -1,008.77% | = | 100 | × | (46,676) | ÷ | 4,627) |
| Dec 31, 2006 | -2,272.76% | = | 100 | × | (49,319) | ÷ | 2,170) |
| Dec 31, 2005 | — | = | 100 | × | (32,430) | ÷ | —) |
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 operating profit margin exhibits a long-term transition from substantial early-stage losses to sustained profitability, characterized by a gradual convergence toward a break-even point followed by a structural shift in earnings capacity.
- Early-Stage Loss Phase (2006–2013)
- During this period, the operating profit margin was deeply negative, starting at -2,272.76% in 2006. While margins improved consistently as revenue grew from 2.17 million to 160 million US dollars, the company operated at a significant deficit. By 2013, the margin had narrowed to -18.06%, indicating that revenue growth was beginning to offset operating expenses.
- Convergence and Volatility (2014–2018)
- The margin continued to trend toward zero, reaching a relative peak of -5.92% in 2017. However, a significant reversal occurred in 2018, where the operating profit margin dropped to -18.06% concurrently with a sharp increase in operating losses to 186.3 million US dollars. This period suggests a phase of intensified investment or increased operational costs despite revenue exceeding 1 billion US dollars for the first time.
- Profitability and Stabilization (2019–2022)
- A definitive pivot to profitability occurred in 2019, with the operating profit margin turning positive at 9.64%. The margin peaked at 15.54% in 2020, coinciding with operating income of 299.5 million US dollars. Between 2021 and 2022, the margin stabilized between 10.86% and 13.44%, reflecting an ability to maintain operational efficiency while scaling revenue toward 2.9 billion US dollars.
Overall, the data demonstrates a classic growth trajectory where initial heavy losses were mitigated by rapid revenue expansion, eventually resulting in a positive and stable operating margin by the end of the observed period.
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Comparison to Competitors
DexCom Inc., operating profit margin, long-term trends, comparison to competitors
| DexCom Inc. | Abbott Laboratories | Intuitive Surgical Inc. | Medtronic PLC | UnitedHealth Group Inc. | |
|---|---|---|---|---|---|
| Dec 31, 2022 | 13.44% | 19.16% | 25.35% | 18.15% | 8.83% |
| Dec 31, 2021 | 10.86% | 19.56% | 31.89% | 14.89% | 8.40% |
| Dec 31, 2020 | 15.54% | 15.48% | 24.09% | 16.57% | 8.76% |
| Dec 31, 2019 | 9.64% | 14.21% | 30.69% | 20.51% | 8.19% |
| Dec 31, 2018 | -18.06% | 11.94% | 32.21% | 22.20% | 7.71% |
| Dec 31, 2017 | -5.92% | 6.30% | 33.71% | 17.94% | 7.60% |
| Dec 31, 2016 | -11.15% | 15.27% | 34.95% | 18.35% | 7.03% |
| Dec 31, 2015 | -14.20% | 14.05% | 31.04% | 18.59% | 7.05% |
| Dec 31, 2014 | -8.29% | 12.84% | 25.56% | 22.42% | 7.92% |
| Dec 31, 2013 | -18.06% | 12.03% | 37.64% | 26.53% | 7.90% |
| Dec 31, 2012 | -55.76% | 20.28% | 40.30% | 0.00% | 8.42% |
| Dec 31, 2011 | -58.80% | 14.81% | 39.54% | 0.00% | 8.36% |
| Dec 31, 2010 | -93.13% | 17.31% | 39.29% | 0.00% | 8.41% |
| Dec 31, 2009 | -154.36% | 20.27% | 35.87% | 0.00% | 7.35% |
| Dec 31, 2008 | -536.97% | 19.28% | 35.53% | 0.00% | 6.54% |
| Dec 31, 2007 | -1,008.77% | 17.67% | 34.41% | 0.00% | 10.57% |
| Dec 31, 2006 | -2,272.76% | 9.09% | 28.81% | 0.00% | 9.88% |
| Dec 31, 2005 | — | 19.53% | 30.25% | 0.00% | 11.98% |
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).