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SAN DIEGO – Tandem Diabetes Care, Inc. (NASDAQ: NASDAQ:), a leading insulin delivery and diabetes technology company, reported fourth-quarter earnings per share (EPS) of -$0.46, below analyst expectations. It fell below $0.27. The company had revenue of $196.8 million for the quarter, which also missed the consensus estimate of $203.49 million.
The company’s stock plummeted 9% due to the poor financial results. The decline reflects investor concerns that the company’s profits fell short of analyst expectations.
Despite the fourth quarter shortfall, Tandem Diabetes gave an optimistic revenue outlook for fiscal 2024, projecting non-GAAP sales of approximately $850 million, which is the analyst consensus. That’s more than $841.8 million. This positive guidance indicates the company’s expectation to return to growth primarily through recurring revenue sources.
John Sheridan, President and CEO, commented on the company’s performance: “We ended the year on a high note, demonstrating positive momentum in our key business areas, including the unprecedented introduction of four new products in the United States.” ” He emphasized the strategic positioning of Tandem’s portfolio to improve the lives of people with diabetes around the world and expressed his confidence in the company’s potential in the coming year.
For the full year 2023, Tandem’s GAAP revenue was $747.7 million, down from $801.2 million in the prior year. GAAP net loss widened to $222.6 million compared to 2022 net loss of $94.6 million. The company’s global installed base grew by 7%, reaching approximately 452,000 insured customers.
Lee Vosseler, executive vice president and chief financial officer, highlighted the company’s investments in multiple new product launches, which he believes will be catalysts for further growth. He also noted that these investments are reflected in the company’s margin expectations.
Looking to the future, Tandem Diabetes is leveraging innovative products such as the Tandem Mobi system and the t:slim X2 insulin pump with Control-IQ advanced hybrid closed-loop technology to strengthen its market position and improve its operations. We aim to promote this.
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