Dexcom, a glucose-monitoring company based in San Diego, is laying off 350 employees.
The company announced Wednesday that it was cutting 3% of its global workforce. Of the 350 laid off, 196 workers were based in San Diego. Most of the San Diego employees affected were in operations and manufacturing.
“Dexcom is taking proactive steps to position ourselves for long-term success through strategic changes to our organizational model and operating structure. This includes a reduction in force as we realign our structure to enhance our ability to deliver on our commitments,” a Dexcom spokesperson wrote in a statement to The Times.
The layoffs follow the company’s recent move to manufacture outside California. Last year, it announced a shift to centralize manufacturing in Arizona and eliminated 536 positions in San Diego.
Founded in 1999, Dexcom has become a leading developer of the continuous glucose monitor. For people with diabetes, wearing a glucose monitor eliminates the need for fingerstick tests and allows their blood sugar levels to be tracked around the clock. When a patient’s blood sugar shifts dangerously, Dexcom will alert them.
Initially, the company’s products primarily served people with Type 1 diabetes, an autoimmune disease that typically develops in adolescence. Over time, its research expanded to include those with Type 2 diabetes as well.
The company also aims to expand its services to support customers with pre-diabetes and those who wish to monitor their glucose levels for wellness purposes.
Most recently, it announced a new monitor that will be wearable for up to 15 days. Previously, the monitor was wearable for 10 days at most. The new version is scheduled for release in the next few months.
This year, Dexcom also faced two recalls amid problems with the alerts on some of its glucose monitors.
Dexcom’s shares fell about 2% Thursday.
The company’s net income from the second quarter was $179.8 million, up from $143.5 million in the previous period last year, and revenue grew 15%, from $1.004 billion to $1.157 billion.
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