The International Growth Fund was up +4.2% vs. the benchmark (S&P Global LargeMidCap Index, 50% hedged to NZD) which was also up +4.2%. Companies that meaningfully influenced portfolio returns were:

Dexcom (+21%) received US FDA approval for Stelo, its first continuous glucose monitoring (CGM) device for non-insulin using diabetics. This further lengthens the growth runway for Dexcom. The company has dominated the CGM market for more acute (intensive insulin usage) Type I and Type II diabetics. And it has been increasingly turning its attention to the much bigger Type II non-intensive insulin market and now the non-insulin market. These less acute markets are 10-20 times the size of its traditional markets and are much less penetrated.

Dollar Tree (-8%) declined following a disappointing earnings result. The core Dollar Tree banner continues to grow ahead of expectations, but it is still facing some headwinds from a struggling low-income consumer and increased investment as it continues to roll out several growth initiatives to drive continued market share gains. This was overshadowed by the announced closure of up to 1,000 Family Dollar stores (around 13% of the store base). While management is working on several initiatives to improve the Family Dollar stores, it decided these 1,000 mostly unprofitable stores would not generate an acceptable return. We think the company is taking the right actions. While we are more measured than management on its ability to turn the Family Dollar business around, we think the market is now ascribing almost zero probability of a successful turnaround.