Unlock stock picks and a broker-level newsfeed that powers Wall Street.
Inspire Medical Systems Inc (INSP) Q4 2024 Earnings Call Highlights: Strong Revenue Growth and ...

In This Article:

  • Revenue: $239.7 million for Q4 2024, a 25% increase from Q4 2023.

  • US Revenue: $231.6 million for Q4 2024, a 22% increase from Q4 2023.

  • International Revenue: $8.1 million for Q4 2024, a 163% increase year over year.

  • Gross Margin: 85% for Q4 2024.

  • Operating Expenses: $171.8 million for Q4 2024, an 11% increase from Q4 2023.

  • Net Income: $35.2 million for Q4 2024, a 15% net income margin, compared to $14.8 million in Q4 2023.

  • Diluted Net Income Per Share: $1.15 for Q4 2024, compared to $0.49 in Q4 2023.

  • Adjusted EBITDA: $62.7 million for Q4 2024, a 26% adjusted EBITDA margin.

  • Operating Cash Flow: $69 million for Q4 2024, $130 million for the full year 2024.

  • Total Cash and Investments: $517 million as of December 31, 2024.

  • Full Year Revenue: $802.8 million for 2024, a 28% increase from 2023.

  • Full Year Net Income: $53.5 million for 2024, a 7% net income margin.

  • Full Year Diluted Net Income Per Share: $1.75 for 2024, compared to a net loss of $0.72 per share in 2023.

  • 2025 Revenue Guidance: $940 million to $955 million, representing 17% to 19% growth year over year.

  • 2025 Gross Margin Guidance: 84% to 86%.

  • 2025 Diluted Net Income Per Share Guidance: $2.10 to $2.20.

Release Date: February 10, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

  • Inspire Medical Systems Inc (NYSE:INSP) achieved its first full year of profitability in 2024, with a net income of $53.5 million compared to a net loss in 2023.

  • The company reported a 25% increase in revenue for Q4 2024 compared to the same period in 2023, reaching $239.7 million.

  • Inspire Medical Systems Inc (NYSE:INSP) received FDA approval for the Inspire V neurostimulator, which simplifies the implantation process and reduces production complexity and cost.

  • The company expanded its market presence by adding 72 new US centers and 12 new US sales territories in Q4 2024.

  • Inspire Medical Systems Inc (NYSE:INSP) has a strong cash position with $517 million in cash and investments as of December 31, 2024, allowing for continued investment in growth strategies.

Negative Points

  • The company received a civil investigative demand from the Department of Justice regarding its marketing, promotion, and reimbursement practices.

  • Despite profitability, Inspire Medical Systems Inc (NYSE:INSP) does not expect to be profitable in Q1 2025 due to revenue seasonality.

  • The full launch of the Inspire V neurostimulator is contingent on building sufficient inventory, which may delay its widespread availability.

  • Operating expenses increased by 11% in Q4 2024 compared to the same period in 2023, primarily due to sales organization expansion and increased corporate costs.

  • The company faces potential challenges with the reimplementation of DISE requirements by UnitedHealthcare, which could impact patient qualification processes.