Direct Answer
96 SEC filers are classified under the Standard Industrial Classification codes that describe the diabetes devices industry, and their latest annual reports show $210.5 billion of combined revenue and a median operating margin of -27.3%. Investors should still evaluate its revenue model, industry-specific KPIs, valuation framework and the risks that can change the group's economics.
Industry Overview
Diabetes device makers produce continuous glucose monitors, insulin pumps and pens that patients use daily. Recurring sensors and supplies create steady revenue, and coverage expansion drives new users. The first numbers to compare across companies here are active users and new patients, revenue per user and gross margin.
Key Industry Metrics
- Active users and new patients: Number of people using glucose monitors or pumps and those starting. Because users buy sensors repeatedly, growth in the base drives recurring revenue.
- Revenue per user: Average income per user from sensors, pumps and supplies. It changes with product mix, reimbursement and pricing, and shows how monetized the base is.
- Gross margin: Share of sales left after manufacturing cost. Sensors sold in volume benefit from scale, but price cuts or new product costs can reduce it.
- Pump and sensor attach: Share of pump users also using the company's sensors, or sensors used with pumps. Higher attach means users stay in one ecosystem, supporting recurring sales.
- Payer coverage and reimbursement: Whether insurers pay for devices and which patient groups are included. Coverage expansion, such as for type 2 patients, widens the eligible market.
Primary Macro Drivers
- Diabetes prevalence: More people living with diabetes widens the user base, which supports active users and recurring sensor sales.
- Coverage for Type 2 and basal insulin patients: When insurers pay for monitors and pumps for more patient groups, the eligible population grows, which lifts new users and revenue per user.
- Technology such as automated insulin delivery: Systems that adjust insulin automatically raise value per patient and tie users to a platform, which supports revenue per user and retention.
- Competition among platforms: Several firms compete on accuracy, ease and price, so a rival's launch can shift new patient starts and pricing.
Major Risks
- Reimbursement changes: Lower payment rates or tighter coverage reduce revenue per user and patient starts; watch payer coverage and reimbursement changes.
- Competition and pricing: Competitors can offer cheaper sensors or better features, pressuring price and share; watch gross margin and new patient starts.
- Recalls and supply: A safety recall or production problem stops sales, adds cost and hurts trust; watch recall notices and inventory commentary.
- Obesity drug effects on diabetes demand: Weight-loss drugs may reduce the number of patients with diabetes or the need for insulin, which would slow growth; watch user growth and pump attach.
Industry Characteristics
| Characteristic | Profile |
|---|---|
| Cyclicality | Defensive |
| Capital Intensity | Medium |
| Regulatory Intensity | High |
| Industry Maturity | Growth |
| Geographic Importance | U.S. / Global |
Diabetes Devices Filers in the SEC Record
96 companies with annual reports in the dataset are classified by the SEC in the Standard Industrial Classification codes 3841, 3845. Their latest fiscal years end between 2022 and 2026, and together they reported $210.5 billion of revenue. Median revenue growth over the prior year was 15.3%. Median operating margin was -27.3% and median net margin -24.1%. Median total liabilities were 47% of total assets, and 29 of 96 reported a profit in their latest year.
| Company | Revenue | Growth | Operating margin | Net margin | Year |
|---|---|---|---|---|---|
| Medtronic Plc | $36.4 billion | 8.4% | 17.8% | 0.0% | FY 2026 |
| Medline Inc. | $28.4 billion | 11.5% | 7.8% | 4069.4% | FY 2025 |
| Stryker Corp | $25.1 billion | 11.2% | 19.5% | 12.9% | FY 2025 |
| 3m Co | $24.9 billion | 1.5% | 18.6% | 13.0% | FY 2025 |
| Becton Dickinson & Co | $21.8 billion | 8.2% | 11.8% | 7.7% | FY 2025 |
| Boston Scientific Corp | $20.1 billion | 19.9% | 18.0% | 14.4% | FY 2025 |
| Baxter International Inc | $11.2 billion | 5.7% | -2.7% | -8.5% | FY 2025 |
| Solventum Corp | $8.3 billion | 0.9% | 26.2% | 18.7% | FY 2025 |
The 8 largest of 96 by revenue. Source: each company's own annual report as filed with the SEC (XBRL data), figures in U.S. dollars. A company's SIC code reflects its main business as the SEC records it, so it can differ from how an index provider or analyst classifies the company, and a diversified group appears under only one code.
Where to Go Next
The Diabetes Devices guide describes how the industry earns money, what to measure and what can go wrong. To see how it compares, read the neighbouring industries in the same sector, then apply the same checks to a specific company.
More in Health Care
- Health Care sector overview
- Diagnostic Devices
- Dermatology Pharmaceuticals
- Diagnostic Laboratories
- Dental Service Organizations
- Diagnostics & Post-Acute Care
- Dental Equipment
- Dialysis Centers
- Contract Research Organizations
Put it to work
Frequently Asked Questions
What are the main KPIs for the Diabetes Devices industry?
Key performance indicators for the Diabetes Devices industry include: Active users and new patients, Revenue per user, Gross margin, Pump and sensor attach, Payer coverage and reimbursement. Which matter most depends on the company's model, so compare them across several companies rather than relying on one.
How cyclical is the Diabetes Devices industry?
The Diabetes Devices industry is generally defensive, meaning demand tends to remain relatively stable regardless of the economic cycle. Companies in this space can provide portfolio stability during recessions, though growth may lag in strong expansions.
What are the biggest risks in the Diabetes Devices industry?
The primary risks for Diabetes Devices companies include: Reimbursement changes, Competition and pricing, Recalls and supply, Obesity drug effects on diabetes demand. Investors should assess each company's exposure to these factors and its track record of navigating them.