Shares of Tandem Diabetes Care (NASDAQ:TNDM) soared 5.34% in after-hours trading on Wednesday following the release of its first-quarter earnings report, which showcased better-than-expected sales figures and reassuring forward guidance.
The medical device company, specializing in insulin delivery systems, reported Q1 sales of $234.42 million, significantly surpassing the analyst consensus estimate of $220.20 million. This represents a robust 22.30% increase compared to the same period last year. Despite the strong top-line performance, Tandem's adjusted earnings per share came in at a loss of $(0.67), slightly missing the expected loss of $(0.61) per share.
Investors appeared to focus on the revenue beat and the company's forward-looking statements. Tandem Diabetes Care provided fiscal year 2025 revenue guidance of $997 million to $1.007 billion, aligning closely with the consensus estimate of $999 million. This outlook, combined with a reported gross margin of 51% for Q1, seems to have bolstered investor confidence in the company's growth trajectory and operational efficiency, driving the stock's after-hours rally.
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