Key View
- The integration of continuous glucose monitoring systems with remote patient monitoring platforms will be supported by partnerships, led by Dexcom.
- Senseonics will continue to emerge as a competitor in the CGM market through its partnership with Rimidi and following iCGM designation status of its Eversense CGM.
- Increased governmental recognition of personalised diabetes management devices will support their access and use in 2024.
The integration of continuous glucose monitoring(CGM) systems with remote patient monitoring (RPM) platforms will be supported by partnerships, led by Dexcom.We expect that wearable continuous glucose monitoring systems will increasingly be integrated into care platforms such as electronic health records, which will streamline workflows for private and public healthcare providers in developed markets, enhance patient engagement and improve health outcomes. We expect Dexcom to remain a leader in this field, following its recent partnerships with US-based software company MD Revolution in April 2024 and with StrideMD for its RPM Glutality in May 2024, which we anticipate will support the company’s long-term revenue growth. Both partnerships aim to integrate Dexcom’s CGM systems with their respective remote care platforms, enabling the real-time data provided by Dexcom's CGM systems to be shared with healthcare professionals. In particular, as companies continue to advance CGM technologies and integrate them with RPM services, we expect an increased focus on patient-centric design that prioritises user experience and convenience, which will further drive the uptake of these devices. In turn, we anticipate that this will enable healthcare professionals to make more informed decisions and offer better support for patients, who can manage their diabetes more effectively, through more streamlined remote care.
Merger And Acquisition Activity To Support Dexcom’s Revenue Growth
Dexcom – Quarterly Revenue (LHS) & Y-o-y % Change (RHS), USDbn (Q1 2023-Q1 2024)
Source: Dexcom, BMI
Senseonics will continue to emerge as a competitor in the CGM market through its partnership with Rimidi and following integrated CGM (iCGM) designation status of its Eversense CGM.In May 2024, Senseonics announced a strategic partnership with Rimidi, to integrate its Eversense glucose data with Rimidi's clinical management platform through a remote patient monitoring program. This is following Senseonics being granted iCGM designation from the US FDA, which allows the company to be able to market its CGM through the US FDA’s de novo pathway. Through this decision, the US FDA also recognises that the device can be used in conjunction with other compatible medical devices, such as insulin pumps, to form part of an Automated Insulin Delivery (AID) system. The Senseonics Eversense CGM is the first fully implantable CGM device that can integrate with insulin pumps, and it provides patients with long-term glucose monitoring of up to 180 days. This will therefore drive uptake of Eversense CGMs, providing revenue growth for Senseonics in the near to medium term. We expect this to further increase competition in the CGM market, which may shift consumers away from short-term CGM’s such as the likes of the Dexcom G7 and Abbot’s FreeStyle Libre, which can be worn for up to 10 days and 14 days respectively.
Senseonics Revenue To Grow In 2024 Following iCGM US FDA Grant
Senseonics – Quarterly Revenue (LHS) & Y-o-y % Change (RHS), USDmn (Q1 2023-Q1 2024)
Source: Senseonics, BMI
Increased governmental recognition of personalised diabetes management devices will support their access and use in 2024.With artificial intelligence (AI) advancements driving diabetes technology to become more customised, devices such as Insulet’st Omnipod 5 are able todetect patterns and provide patients with more accurate recommendations of how to manage their condition, as well as enabling healthcare professionals to provide more timely and accurate details about their patients’ diabetes. We expect to see an expansion in access to diabetes management devices that utilise AI to provide personalised insights to improve diabetes management through regulatory approvals and insurance reimbursem*nt. For example, in May 2024,Omnipod 5was recognised as a reimbursable product in France, which is a significant indicator of the evolving landscape of diabetes management. We expect this to increase the use of these devices in the market. This follows the UK's National Institute for Health and Care Excellence endorsem*nt of the use of AID systems to treat Type I diabetes, announced in 2023.
This commentary is published by BMI, a Fitch Solutions company, and is not a comment on Fitch Ratings Credit Ratings. Any comments or data included in the report are solely derived from BMI and independent sources. Fitch Ratings analysts do not share data or information with BMI. Copyright © 2023 Fitch Solutions Group Limited. All rights reserved. 30 North Colonnade, London E14 5GN, UK.
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