Insulet cuts sales growth forecast on slower US insulin-pump sales; shares fall
Insulet cuts sales growth forecast on slower US insulin-pump sales; shares fall Aug 5 (Reuters) - Insulet PODD.O lowered its annual sales growth forecast on Wednesday, pointing to a softer second half of 2026 particularly for U.S. sales of its Omnipod insulin pumps, sending shares of the company down more than 12% before the bell.
The medical-device maker now expects 2026 revenue to grow 20% to 22%, compared with its previous forecast of 21% to 23%.
Insulet cut its U.S. Omnipod sales growth forecast to between 17% and 19% from 20% to 22%, while raising its international forecast to between 30% and 32% from 26% to 28%.
"While we are updating our outlook to reflect what we’re learning as we scale in type 2 (diabetes), our conviction in the long-term opportunity remains unchanged," CEO Ashley McEvoy said.
Omnipod is a wearable insulin pump that delivers insulin without tubes and reduces the need for daily injections. Sales have grown since Omnipod 5 gained U.S. approval for people with both type 1 and type 2 diabetes.
"Investors have been worried about a steep fall off in growth from patch pump competition next year, but we’re starting to see it today already," said J.P. Morgan analyst Robbie Marcus.
"With decelerating trends in 2H, and assuming this wasn’t a record new patient quarter again, this will stoke investor fears that US growth could fall out near 10% or even lower in 2027," Marcus added.
Quarterly Omnipod sales rose 24.6% to $795.9 million, with U.S. sales increasing 20.1% to $544.1 million.
Insulet posted second-quarter adjusted profit of $1.66 per share, above analysts' estimate of $1.45, according to data compiled by LSEG. Quarterly revenue rose 23.5% to $801.7 million, beating estimates of $787.2 million.
The company raised its annual adjusted profit growth forecast to more than 30% from more than 25%.
(Reporting by Kunal Das in Bengaluru; Editing by Devika Syamnath)