Inspire Medical Systems, Inc. Announces Third Quarter 2024 Financial Results and Updates 2024 Outlook
Inspire Medical Systems reported strong Q3 2024 financial results with revenue of $203.2 million, up 33% year-over-year. The company achieved a gross margin of 84.1% and generated operating income of $14.3 million. Earnings per share reached $0.60, compared to a loss of $0.29 in the prior year period.
The company activated 66 new U.S. centers and created 13 new sales territories, bringing totals to 1,371 centers and 323 territories. Based on strong performance, Inspire raised its full-year 2024 revenue guidance to $793-798 million and increased EPS guidance to $1.20-1.40.
Inspire Medical Systems ha riportato risultati finanziari solidi per il terzo trimestre del 2024, con un fatturato di 203,2 milioni di dollari, in aumento del 33% rispetto all'anno precedente. L'azienda ha raggiunto un margine lordo dell'84,1% e ha generato un reddito operativo di 14,3 milioni di dollari. Gli utili per azione sono stati di 0,60 dollari, rispetto a una perdita di 0,29 dollari nello stesso periodo dell'anno precedente.
L'azienda ha attivato 66 nuovi centri negli Stati Uniti e ha creato 13 nuovi territori di vendita, portando il totale a 1.371 centri e 323 territori. Sulla base di questa forte performance, Inspire ha aumentato le previsioni di fatturato per l'intero anno 2024 a 793-798 milioni di dollari e ha incrementato le previsioni di EPS a 1,20-1,40 dollari.
Inspire Medical Systems reportó resultados financieros sólidos en el tercer trimestre de 2024, con ingresos de 203,2 millones de dólares, un aumento del 33% en comparación con el año anterior. La compañía logró un margen bruto del 84,1% y generó un ingreso operativo de 14,3 millones de dólares. Las ganancias por acción alcanzaron los 0,60 dólares, en comparación con una pérdida de 0,29 dólares en el mismo período del año anterior.
La compañía activó 66 nuevos centros en EE. UU. y creó 13 nuevos territorios de ventas, sumando un total de 1.371 centros y 323 territorios. Basándose en este sólido desempeño, Inspire elevó su guía de ingresos para todo el año 2024 a 793-798 millones de dólares y aumentó la guía de EPS a 1,20-1,40 dólares.
인스파이어 의료 시스템즈가 2024년 3분기 재무 결과를 발표했습니다. 매출은 2억 320만 달러로 전년 대비 33% 증가했습니다. 회사는 84.1%의 총 마진을 기록하였고, 1430만 달러의 운영 이익을 창출했습니다. 주당 순이익은 0.60달러로, 지난해 같은 기간의 0.29달러의 손실에 비해 개선되었습니다.
회사는 미국에서 66개의 새로운 센터를 활성화하고 13개의 새로운 판매 지역을 창출하여 총 1,371개의 센터와 323개의 지역으로 증가했습니다. 강력한 실적을 바탕으로, 인스파이어는 2024년 전체 연도 매출 가이드를 7억 9300만 - 7억 9800만 달러로 조정하고, 주당 순이익 가이드를 1.20 - 1.40달러로 상향 조정했습니다.
Inspire Medical Systems a rapporté de solides résultats financiers pour le troisième trimestre 2024, avec un chiffre d'affaires de 203,2 millions de dollars, en hausse de 33% par rapport à l'année précédente. L'entreprise a réalisé une marge brute de 84,1 % et a généré un revenu d'exploitation de 14,3 millions de dollars. Le bénéfice par action a atteint 0,60 dollar, contre une perte de 0,29 dollar au cours de la même période l'année précédente.
L'entreprise a activé 66 nouveaux centres aux États-Unis et a créé 13 nouveaux territoires de vente, portant le total à 1 371 centres et 323 territoires. Sur la base de cette solide performance, Inspire a revu à la hausse ses prévisions de chiffre d'affaires pour l'année 2024, le portant à 793-798 millions de dollars, et a également augmenté ses prévisions de bénéfice par action à 1,20-1,40 dollar.
Inspire Medical Systems hat für das dritte Quartal 2024 starke finanzielle Ergebnisse berichtet, mit einem Umsatz von 203,2 Millionen Dollar, was einem Anstieg von 33% im Vergleich zum Vorjahr entspricht. Das Unternehmen erreichte eine Bruttomarge von 84,1% und erzielte ein Betriebsergebnis von 14,3 Millionen Dollar. Der Gewinn pro Aktie betrug 0,60 Dollar, verglichen mit einem Verlust von 0,29 Dollar im Vorjahreszeitraum.
Das Unternehmen hat 66 neue Zentren in den USA aktiviert und 13 neue Vertriebsgebiete geschaffen, wodurch sich die Gesamtzahl auf 1.371 Zentren und 323 Gebiete erhöht hat. Basierend auf dieser starken Leistung erhöhte Inspire die Umsatzprognose für das gesamte Jahr 2024 auf 793-798 Millionen Dollar und ließ die EPS-Prognose auf 1,20-1,40 Dollar ansteigen.
- Revenue growth of 33% YoY to $203.2 million
- Improved from operating loss to $14.3 million operating income
- EPS of $0.60 vs loss of $0.29 in prior year
- Strong cash position of $524.4 million, up from $469.5 million
- Raised full-year revenue and EPS guidance
- Gross margin maintained at 84.1%
- Operating expenses increased 10% to $156.5 million
Insights
The Q3 2024 results showcase remarkable financial performance with
- Strong gross margin maintained at
84.1% - Significant profitability improvement with
$14.3 million operating income vs.$13.5 million loss year prior - Robust cash position of
$524.4 million , up from$469.5 million - Raised full-year guidance for both revenue and EPS
The company's operational leverage is improving substantially, demonstrated by operating expenses growing only
The expansion metrics indicate strong market penetration strategy with 66 new U.S. centers added, bringing the total to 1,371 centers. The creation of 13 new sales territories demonstrates continued investment in growth infrastructure. The FDA approval of Inspire V neurostimulation system and positive clinical data presentation at major medical conferences strengthen the company's market position. The milestone of treating over 85,000 patients validates market acceptance and clinical adoption. The
Inspire Reports Year-over-Year Revenue Growth of
MINNEAPOLIS, Nov. 04, 2024 (GLOBE NEWSWIRE) -- Inspire Medical Systems, Inc. (NYSE: INSP) (Inspire, or the company), a medical technology company focused on the development and commercialization of innovative, minimally invasive solutions for patients with obstructive sleep apnea, today reported financial results for the quarter ended September 30, 2024.
Recent Business Highlights
- Generated revenue of
$203.2 million in the third quarter of 2024, a33% increase over the same quarter last year - Achieved gross margin of
84.1% in the third quarter of 2024 - Generated
$14.3 million in operating income and earnings per share of$0.60 in the third quarter of 2024 - Generated cash flow from operations of
$52.3 million in the third quarter of 2024 - Activated 66 new U.S. centers in the third quarter of 2024, bringing the total to 1,371 U.S. medical centers providing Inspire therapy
- Created 13 new U.S. sales territories in the third quarter of 2024, bringing the total to 323 U.S. sales territories
- Received FDA approval of the Inspire V neurostimulation system
“We are very proud of how the team executed in the third quarter, effectively treating patients with Inspire therapy, bringing the total number of patients treated to over 85,000. This performance resulted in strong revenue growth and a significant improvement in operating leverage,” said Tim Herbert, Chairman and CEO of Inspire Medical Systems. “Based on the strength of our business, we are increasing our full year revenue guidance to
“During the third quarter, we attended the International Surgical Sleep Society (ISSS) and American Academy of Otolaryngology-Head and Neck Surgery (AAO-HNS) meetings in Miami where Inspire therapy was prominently featured in numerous presentations and posters, reinforcing the progress we are making with increasing therapy awareness and adoption and cementing Inspire therapy as an important treatment option for patients with moderate to severe obstructive sleep apnea,” added Mr. Herbert. “Further, a key peer-reviewed study was published demonstrating the long-term safety of Inspire therapy assessing real-world experience since original FDA approval in 2014.”
Third Quarter 2024 Financial Results
Revenue was
Gross margin was
Operating expenses increased to
Operating income increased to
Net income was
As of September 30, 2024, cash, cash equivalents, and investments increased to
Full Year 2024 Guidance
Inspire is increasing its full year 2024 revenue guidance to between
The company is maintaining its full year 2024 gross margin guidance of
Inspire is increasing diluted net income per share guidance for the full year 2024 to between
Inspire is also maintaining its guidance relating to the opening of new U.S. medical centers of 52 to 56 per quarter, as well as its guidance of 12 to 14 new U.S. territories for the fourth quarter of 2024.
Webcast and Conference Call
Inspire’s management will host a conference call after market close today, Monday, November 4, 2024, at 5:00 p.m. Eastern Time to discuss these results and answer questions.
To access the conference call, please preregister on https://register.vevent.com/register/BIe5726849eb714262afb476ce7684a5f8. Registrants will receive confirmation with dial-in details.
A live webcast of the event can be accessed on https://edge.media-server.com/mmc/p/2cmcsx93/. A replay of the webcast will be available on https://investors.inspiresleep.com starting approximately two hours after the event and archived on the site for two weeks.
About ISSS
The ISSS is the world’s preeminent organization dedicated to the surgical evaluation and treatment of patients with sleep disorders. For more information, please visit www.surgicalsleep.org.
About AAO-HNS
The AAO-HNS (“the Academy”) is one of the world's largest organizations representing specialists who treat the ear, nose, throat, and related structures of the head and neck. Head and neck surgeons diagnose and treat medical disorders that are among the most common affecting patients of all ages in the United States and around the world. Those medical conditions include chronic ear disease, hearing and balance disorders, hearing loss, sinusitis, snoring and sleep apnea, allergies, swallowing disorders, nosebleeds, hoarseness, dizziness, and tumors of the head and neck as well as intricate micro-surgical procedures of the head and neck. The Academy represents approximately 13,000 ENT surgeons. For more information, please visit www.entnet.org.
About Inspire Medical Systems
Inspire is a medical technology company focused on the development and commercialization of innovative, minimally invasive solutions for patients with obstructive sleep apnea. Inspire’s proprietary Inspire therapy is the first and only FDA, EU MDR and PDMA-approved neurostimulation technology of its kind that provides a safe and effective treatment for moderate to severe obstructive sleep apnea.
For additional information about Inspire, please visit www.inspiresleep.com.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts are forward-looking statements, including, without limitation, statements regarding full year 2024 financial outlook, our expectations to activate new U.S. medical centers and add new territories per quarter in 2024 and the impact of such additions, our expectations regarding operating leverage and profitability during 2024,the drivers of short- and long-term growth for our business, and our strategy and investments to grow and scale our business. In some cases, you can identify forward-looking statements by terms such as “may,” “will,” “should,” “expect,” “plan,” “anticipate,” “could,” “future,” “outlook,” “guidance,” “intend,” “target,” “project,” “contemplate,” “believe,” “estimate,” “predict,” “potential,” “continue,” or the negative of these terms or other similar expressions, although not all forward-looking statements contain these words.
These forward-looking statements are based on management’s current expectations and involve known and unknown risks and uncertainties that may cause our actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Such risks and uncertainties include, among others, estimates regarding the annual total addressable market for our Inspire therapy in the U.S. and our market opportunity outside the U.S.; future results of operations, financial position, research and development costs, capital requirements and our needs for additional financing; commercial success and market acceptance of our Inspire therapy; the impact of macroeconomic trends; general and international economic, political, and other risks, including currency, inflation, stock market fluctuations and the uncertain economic environment; challenges experienced by patients in obtaining prior authorization, our ability to achieve and maintain adequate levels of coverage or reimbursement for our Inspire system or any future products we may seek to commercialize; competitive companies and technologies in our industry; our ability to enhance our Inspire system, expand our indications and develop and commercialize additional products; our business model and strategic plans for our products, technologies and business, including our implementation thereof; our ability to accurately forecast customer demand for our Inspire system and manage our inventory; the impact of glucagon-like peptide 1 class of drugs on demand for our Inspire therapy; our dependence on third-party suppliers, contract manufacturers and shipping carriers; consolidation in the healthcare industry; our ability to expand, manage and maintain our direct sales and marketing organization, and to market and sell our Inspire system in markets outside of the U.S.; risks associated with international operations; our ability to manage our growth; our ability to increase the number of active medical centers implanting Inspire therapy; our ability to hire and retain our senior management and other highly qualified personnel; risk of product liability claims; risks related to information technology and cybersecurity; risk of damage to or interruptions at our facilities; our ability to commercialize or obtain regulatory approvals for our Inspire therapy and system, or the effect of delays in commercializing or obtaining regulatory approvals; FDA or other U.S. or foreign regulatory actions affecting us or the healthcare industry generally, including healthcare reform measures in the U.S. and international markets; and the timing or likelihood of regulatory filings and approvals. Other important factors that could cause actual results, performance or achievements to differ materially from those contemplated in this press release can be found under the captions “Risk Factors” and "Management's Discussion and Analysis of Financial Condition and Results of Operations“ in our Annual Report on Form 10-K for the fiscal year ended December 31, 2023, as updated in our Quarterly Report on Form 10-Q for the quarter ended September 30, 2024 to be filed with the SEC, and as such factors may be updated from time to time in our other filings with the SEC, which are accessible on the SEC’s website at www.sec.gov and the Investors page of our website at www.inspiresleep.com. These and other important factors could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking statements represent management’s estimates as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, unless required by applicable law, we disclaim any obligation to do so, even if subsequent events cause our views to change. Thus, one should not assume that our silence over time means that actual events are bearing out as expressed or implied in such forward-looking statements. These forward-looking statements should not be relied upon as representing our views as of any date after the date of this press release.
Investor & Media Contact
Ezgi Yagci
Vice President, Investor Relations
ezgiyagci@inspiresleep.com
617-549-2443
| Inspire Medical Systems, Inc. | ||||||||||||||||
| Consolidated Statements of Operations and Comprehensive Income (Loss) (unaudited) | ||||||||||||||||
| (in thousands, except share and per share amounts) | ||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||
| September 30, | June 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Revenue | $ | 203,191 | $ | 153,302 | $ | 563,086 | $ | 432,291 | ||||||||
| Cost of goods sold | 32,398 | 24,382 | 86,998 | 68,522 | ||||||||||||
| Gross profit | 170,793 | 128,920 | 476,088 | 363,769 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Research and development | 26,083 | 29,144 | 83,792 | 85,484 | ||||||||||||
| Selling, general and administrative | 130,392 | 113,247 | 388,097 | 327,853 | ||||||||||||
| Total operating expenses | 156,475 | 142,391 | 471,889 | 413,337 | ||||||||||||
| Operating income (loss) | 14,318 | (13,471 | ) | 4,199 | (49,568 | ) | ||||||||||
| Other (income) expense: | ||||||||||||||||
| Interest and dividend income | (5,890 | ) | (5,495 | ) | (17,695 | ) | (14,690 | ) | ||||||||
| Other (income) expense, net | (118 | ) | 224 | 77 | 268 | |||||||||||
| Total other income | (6,008 | ) | (5,271 | ) | (17,618 | ) | (14,422 | ) | ||||||||
| Income (loss) before income taxes | 20,326 | (8,200 | ) | 21,817 | (35,146 | ) | ||||||||||
| Income taxes | 1,829 | 340 | 3532 | 770 | ||||||||||||
| Net income (loss) | 18,497 | (8,540 | ) | 18,285 | (35,916 | ) | ||||||||||
| Other comprehensive income (loss): | ||||||||||||||||
| Foreign currency translation gain (loss) | 259 | (181 | ) | 86 | (4 | ) | ||||||||||
| Unrealized gain on investments | 1,556 | 122 | 814 | 134 | ||||||||||||
| Total comprehensive income (loss) | $ | 20,312 | $ | (8,599 | ) | $ | 19,185 | $ | (35,786 | ) | ||||||
| Net income (loss) per share: | ||||||||||||||||
| Basic | $ | 0.62 | $ | (0.29 | ) | $ | 0.61 | $ | (1.23 | ) | ||||||
| Diluted | $ | 0.60 | $ | (0.29 | ) | $ | 0.60 | $ | (1.23 | ) | ||||||
| Weighted average shares outstanding: | ||||||||||||||||
| Basic | 29,879,621 | 29,365,968 | 29,741,720 | 29,229,626 | ||||||||||||
| Diluted | 30,633,789 | 29,365,968 | 30,566,395 | 29,229,626 | ||||||||||||
| Inspire Medical Systems, Inc. | ||||||||
| Consolidated Balance Sheets (unaudited) | ||||||||
| (in thousands, except share and per share amounts) | ||||||||
| September 30, 2024 | December 31, 2023 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 147,512 | $ | 185,537 | ||||
| Investments, short-term | 263,475 | 274,838 | ||||||
| Accounts receivable, net of allowance for credit losses of | 89,743 | 89,884 | ||||||
| Inventories, net | 67,432 | 33,885 | ||||||
| Prepaid expenses and other current assets | 14,358 | 9,595 | ||||||
| Total current assets | 582,520 | 593,739 | ||||||
| Investments, long-term | 113,425 | 9,143 | ||||||
| Property and equipment, net | 67,447 | 39,984 | ||||||
| Operating lease right-of-use assets | 21,811 | 22,667 | ||||||
| Other non-current assets | 10,991 | 11,278 | ||||||
| Total assets | $ | 796,194 | $ | 676,811 | ||||
| Liabilities and stockholders' equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 34,926 | $ | 38,839 | ||||
| Accrued expenses | 39,338 | 39,266 | ||||||
| Total current liabilities | 74,264 | 78,105 | ||||||
| Operating lease liabilities, non-current portion | 25,218 | 24,846 | ||||||
| Other non-current liabilities | 150 | 1,346 | ||||||
| Total liabilities | 99,632 | 104,297 | ||||||
| Stockholders' equity: | ||||||||
| Preferred Stock, | — | — | ||||||
| Common Stock, | 30 | 30 | ||||||
| Additional paid-in capital | 1,021,970 | 917,107 | ||||||
| Accumulated other comprehensive income | 1,700 | 800 | ||||||
| Accumulated deficit | (327,138 | ) | (345,423 | ) | ||||
| Total stockholders' equity | 696,562 | 572,514 | ||||||
| Total liabilities and stockholders' equity | $ | 796,194 | $ | 676,811 | ||||
FAQ
What was Inspire Medical Systems (INSP) revenue in Q3 2024?
What is Inspire Medical Systems (INSP) updated revenue guidance for 2024?
How many U.S. medical centers offer Inspire therapy as of Q3 2024?
What was Inspire Medical Systems (INSP) earnings per share in Q3 2024?
