Tandem Diabetes Care, Inc.

Good day and thank you for standing by. Welcome to the Tandem Diabetes Care Second Quarter 2025 earnings conference call. At this time, all participants are in a listen only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1-1 on your telephone. You will then hear an automated message, advising your hand is raised. To withdraw your question, please press star 1-1 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Susan Morrison, Executive Vice President and Chief Administrative Officer. Please go ahead.

Hello everyone and welcome to Tandem Second Quarter 2025 earnings call. Today's discussion will include forward looking statements. These statements reflect management's expectations about future events, our product pipeline, development timelines and financial performance and operating plans and speak only as of today's date. There are risks and uncertainties that could cause actual results to differ materially from those anticipated or projected in our forward looking statements, which are described in our press release issued earlier today and under the risk factors portion of our most recent quarterly report on form 10Q. Today's discussion will also include references to a number of gap and non-gap financial measures. Please refer to our earnings release issued earlier today and available on the Investor Center portion of our website for a reconciliation of these measures to their most directly comparable gap financial measure and other information regarding our use of non-gap financial measures. Today's call will be led by John Sheridan, Tandem's President and CEO, who will be joined by Lee Vossler, Executive Vice President and Chief Financial Officer. Following their prepared remarks, the operator will open up the call for questions. Thank you in advance for limiting yourself to one question before getting back in the queue. John, you may begin.

Thank you, Susan. And thanks everyone for joining our call today. Looking back at the first half of 2025 and the second quarter in particular, I'm proud of the progress our team has demonstrated. We achieved record second quarter sales, both in the US and internationally. We've strengthened our business model by progressing our multi-channel market access strategy, including accelerating our pharmacy channel initiative. In addition, we made meaningful progress in transforming key business systems to improve our commercial teams effectiveness and increase profit margins. Lastly, we achieved significant product development milestones in Q2 that keep innovation at the heart of our business and lay the foundation for future growth. We'll be speaking to each of these accomplishments on today's call, and we'll also provide color on how we're thinking about the back half of the year. Starting with a commercial update, in the US we saw year over year increase in pump shipments. This includes continued double digit growth and renewals. Renewals were just over half of our pump shipments, and as a trend we anticipate, we'll continue through the end of the year, which demonstrates our strong retention. Our growth in pump shipments also reflects the adoption of our technology by people using multiple daily injections. People converting from MDI once again, made up about two thirds of our new pump starts this quarter, which is a reflection of our continued focus on attracting people who are new to pump therapy. We continue to be an industry leader in new durable pump starts. This is a testament to our technology and the transformation we've been making in TANF's commercial organization. We've broadened our operations and refined processes while investing in systems and talent. Our technology also continues to stand out among customers and healthcare providers, with number one ratings in categories such as, reducing the burden of living with diabetes, performance of an AID algorithm, clinical outcomes and favorite pump. I recently heard a customer comment that Control IQ remembers when I forget. It was a succinct and powerful statement that captures what we strive for, improving the lives of people with diabetes. Our high customer satisfaction scores, reflect that we are furthering this mission. TANF Mobi, our newest pump platform, continues to receive positive feedback for its versatility in wear, comfort and flexibility to detach. It was a key contributor to new user demand of Q2, as evidenced by year over year increases in its adoption. This comparison is important because Q2 of last year, was the first full quarter that Mobi was available and it likely benefited from some pent up demand. Mobi also represented a greater percentage of our new pump starts in Q2 compared to a year ago, on track for achieving our near and longer term financial goals. We are pleased with Mobi's performance and our goal remains to expand its addressable market through additional features and integrations, starting with the addition of Android Control before the end of the year. Our flagship pump, Tislin X2, continues to receive high customer satisfaction scores for its larger volume insulin reservoir, multiple sensor integrations and the convenience of having touchscreen control on the pump. In the second quarter, we announced Tislin's compatibility with Abbott's Freestyle Livery 3 Plus sensor. Early access for this integration is now underway and we plan to expand to full US availability this fall, followed by launching internationally and integrating with Tandem Mobi. Another exciting market expansion opportunity is our ability to bring Tandem's technology to people with type 2 diabetes. Following FDA clearance earlier this year, we began to pilot type 2 commercial activities. This provided valuable insight for our portfolio positioning, sales force planning, patient training and reimbursement strategy. In the pilot territories, we saw greater type 2 adoption compared to the non-pilot areas. The strength of our New England Journal data and the value proposition provided compelling evidence that Control IQ Plus is easy to start, easy to use and easy to personalize. This lends itself to a new and exciting development and our active efforts to drive improved access for the type 2 Medicare patient population, which includes approximately 1.3 million people with diabetes who use insulin intensive therapy. The Senate Appropriation Committee recently approved a bill that would require CMS to address coverage for insulin pumps to ensure that all requirements, including measurement of C-peptide levels, are consistent with clinical standards of care. If enacted, CMS would be required to provide a briefing within 180 days. In the third quarter, we are expanding our type 2 efforts, which will continue throughout the remainder of the year. One of our top priorities is improving channel access by reducing the barriers that discourage people from adopting pump therapy. We will discuss more on our pharmacy channel progress, but there is one update that I would like to highlight. Beginning in Q4, we plan to start selling T-SIM supplies through the pharmacy channel to our eligible customer base. It's exciting evidence of our business transformation and important for our current T-SIM customers as it can make pump therapy more affordable. Turning to our international markets, the team delivered strong overall performance, driven by demand for T-SIM, increasing pump renewals, and growing supply sales. Commercial efforts are also underway, prepared for the launch of Tandemobi, as we recently received CE-MARC. We are now pursuing additional regulatory and pre-commercial activities, such as securing in-country registrations and reimbursement. We are also continuing the rollout of the mobile app and Tandem's source that are prerequisites for Mobi's launch. Operationally, we plan to begin direct sales in select countries next year, and our preparations are progressing well. We continue to attract and hire in-country talent, and our team is executing well against our transition plans. This shift is a pivotal step for Tandem to globalize our leadership, deepen relationships within the European diabetes community, and strengthen our financial position by accelerating sales growth and driving margin expansion. I am very pleased with the progress we've made so far this year in preparing for the transition and the concurrent sales trends that we've delivered. As you can see, there have been many strengths in our performance for the first half of 2025, where we delivered top-line growth whilst demonstrating margin improvement. We also gained a number of insights that inform our thinking about the remainder of the year. Overall, we expect to achieve $1 billion in worldwide sales, which is a significant milestone and goal for our company. Sales from international will be a bigger contributor than originally anticipated, with more moderate growth in the US as we progress our commercial transformation. The team remains laser-focused on bringing the benefits of our technology to people living with diabetes worldwide and expanding the large and under-penetrated markets we serve. I'll now turn the call over to Lee for more on our second quarter results and updated financial assumptions for the year.