Inspire Medical Systems, Inc. · NYSE:INSP
Inspire Medical Systems — Q2 2025 Earnings Presentation
38 slides from Inspire Medical Systems's earnings presentation, Aug 4, 2025
Slide 1: Inspire Medical Systems, Inc. August 2025
Inspire Medical Systems, Inc. August 2025 NYSE: INSP
Slide 2: Disclaimer
© Inspire Medical Systems, Inc. All Rights Reserved. Disclaimer This presentation 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. In some cases, yo
Slide 3: Our mission: enhancing patient lives through sleep innovation
enhancing patient lives through sleep innovation I t a l l s tarts and ends wi th our mission We are a medical technology company committed to
Slide 4: Company Overview
© Inspire Medical Systems, Inc. All Rights Reserved. Company Overview The first and only… 4 >350 PUBLICATIONS Compelling body of evidence >300 MILLION U.S. COVERED LIVES Established reimbursement in all 50 states >1,300 EMPLOYEES Led by a proven management team >$800 MILLION REVENUE IN 2024 With 28%
Slide 5: Enhancing the lives of patients for over 17 years
From our entrepreneurial beginnings, and with a focus on delivering life-changing outcomes, we’ve been enhancing the lives of patients for over 17 years… >100,000 Patients receiving Inspire >$800M Revenue >1,500 Implanters Founded 2007 IPO 2018 Today 4,000 Patients receiving Inspire $50M Revenue 200
Slide 6: First Mover. Market Disruptor. Innovation Leader.
First Mover. Market Disruptor. Innovation Leader. 100K pat ient s w i th Insp i re Proving out our care pathways and therapy optimization Cl in ica l ev idence >350 publications portraying a compelling body of evidence >$800M revenue in 2024 28% year-over-year growth, continuing our strong performan
Slide 7: Obstructive Sleep Apnea is caused by blockage that prevents airflow
Obstructive Sleep Apnea is caused by blockage that prevents airf low to the lungs 7 Airway obstruction during breathing Typical OSA event • Results in repeated arousals and oxygen desaturations • Severity of sleep apnea is measured by frequency of apnea or hypopnea events per hour, which is referred
Slide 8: OSA is a chronic disease often untreated and linked to serious health risks
OSA is a chronic disease that is often untreated and proven to be l inked to ser ious health r isks 8 Exacerbated Health Risks • High risk patients: obese, male or of advanced age • Common first indicator: heavy snoring • Other indicators: • Lack of energy • Headaches • Depression • Nighttime gaspin
Slide 9: Current treatment options such as CPAP and surgeries have significant limitations
Current treatment options, such as CPAP and invasive surgeries, have s ignif icant l imitations 9 InaUvulopalatopharyngoplasty (UPPP) Maxillomandibular Advancement (MMA) • Several variations of sleep surgery • Success rates vary widely (30% - 60%)1 • Irreversible anatomy alteration • Inpatient surge
Slide 10: The domestic OSA market is huge
CPAP prescriptions annually ~2,000,000 CPAP non-compliant ~700,000 Inspire eligible ~500,000 Adults with moderate to severe OSA ~23,000,000 >$10B opportuni ty The domestic OSA market is huge… Internal estimates
Slide 11: Inspire Therapy is an Innovative and Proven Solution for Patients with OSA
Inspire Therapy is an Innovative and Proven Solution for Patients with OSA Inspire Therapy Utilizes a Proprietary closed-loop Sensing Algorithm to Modulate Therapy Delivery Inspire Solution 2 Typically a 60-90 min outpatient procedure Requires only two small incisions Patients usually recover
Slide 12: The Inspire Patient Journey is a multi-specialty care continuum
The Inspire Patient Journey is a mult i-specialty care continuum Quality Patient Flow Care Pathway Capacity Strong Clinical Outcomes Sleep Test (in-lab or home) Activation Procedure DISE & Insurance Strong Patient Outcomes Patient Awareness, Referral or Appointment Request Screening Appointment Effi
Slide 13: Our global impact continues to climb
- 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 100,000 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Total implants New implants Minutes between implants Our global impact continues to cl imb >100K Patients receiving Inspire therapy to date A patient receives Inspire thera
Slide 14: Continuous Data Collection & Outcomes Monitoring
Continuous Data Collection & Outcomes Monitor ing 14 AHI = Apnea Hypopnea Index ESS = Epworth Sleepiness Scale Post Market Surveillance Data Real World Data Proactive Data Reactive Data Data Analysis for Signals US Centers EU Centers (Belgium, Germany, Netherlands, Switzerland • Collection of real-w
Slide 15: Proven Safety
Proven Safety C o n s i s t e n t i m p r o v e m e n t i n d e v i c e s u r v i v a b i l i t y y e a r a f t e r y e a r Strong Patient Outcomes Months after implant C um ul at iv e Im pl an t s ur vi va l • Inspire is committed to continually improving patient safety • Significant progress since
Slide 16: Strong Patient Outcomes
How does Inspire compare against your previous experience with CPAP? 91% Say Inspire is better I would recommend Inspire to a friend or family member. 93% Agree or strongly agree Overall, how satisfied are you with Inspire? 90% Satisfied or very satisfied Given the chance, I would choose to receive
Slide 17: Compared to CPAP, Inspire demonstrated better at improving OSA symptoms
Compared to CPAP, Inspi re has been Demonstrated to be Better at Improving OSA Symptoms, Potent ia l ly wi th Greater Therapy Adherence 17 Therapy Adherence1 4.0 5.0 Usage/Night (hours) Sleepiness Reduction1 3.9 8.0 ESS reduction (points) 2 p = 0.042 p = 0.087 CPAP CPAP UAS (Inspire) UAS (Inspire) 1
Slide 18: Inspire V Sensor Performance and Therapy Evolution
Current Sensor Inspire V Sensor Performance Therapy Evolution Built-in • Multiple electrodes capability • Enables new stim targets and sensing features Flexible Software Platform • Downloadable features for clinical studies and field upgrades • Future features could include posture-responsive therap
Slide 19: Therapy Evolution Built In
Therapy Evolution Built In • Multiple electrodes capability • Enables new stimulation targets and sensing features Flexible Software Platform • Downloadable features for clinical studies and field upgrades • Future features include posture-responsive therapy, auto start/pause, AHI detection State of
Slide 20: SleepSync Digital Health Platform
Dynamic patient engagement + Efficient care coordination Expanding sleep clinician confidence & capacity enabling more patients to benefit from Inspire therapy Remote patient management Patient Inspire App Clinician SleepSync Web Portal • Find a doctor • Customized education • Track therapy & sleep
Slide 21: Annual Revenue and Gross Margin; 2025 Guidance
© Inspire Medical Systems, Inc. All Rights Reserved. $29 $51 $82 $115 $233 $408 $625 $803 2017 2018 2019 2020 2021 2022 2023 2024 21 Annual Revenue and Gross Margin ($ in Mil l ions) Annual Gross Margin 78.9% 80.1% 83.4% 84.7% 85.7% 83.8% 84.5% 84.7% 2025 Guidance: • FY2025 revenue range of $900M-$9
Slide 22: Recent Business Highlights
© Inspire Medical Systems, Inc. All Rights Reserved.22 Recent Business Highlights • Initiated full launch of the Inspire V system in the U.S. • Signed AAO-HNS Corporate Champions Partnership Continued Commercial Expansion Financial Performance • Generated $217.1 million of revenue in the second quar
Slide 23: Inspire V Full Launch May 2025
Inspire V Full Launch May 2025
Slide 24: Our Growth Strategy
© Inspire Medical Systems, Inc. All Rights Reserved. Our Growth Strategy 24 1 Through planned and controlled market expansion and robust physician training Ensure Strong Clinical Outcomes 2 By enhancing interconnectivity, simplifying the care pathway, and closely tracking outcomes Improve the Custom
Slide 25: Inspire Way
Inspire Way We are a medical technology company committed to enhancing patient lives through sleep innovation “Put the patient first and you will never lose your way.” Demonstrate Operational Excellence Drive Therapy Adoption Strengthen Organizational Culture Focused on Outcomes. Fueled by Innovatio
Slide 26: No mask. No hose. Just sleep.
No mask. No hose. Just sleep. INSPIRE CONFIDENTIAL. Inspire is a public company and has an Insider Trading Policy. The content in this deck is not to be shared with anybody outside of Inspire Medical Systems, Inc. It is for internal review and discussion only www.inspiresleep.com ®
Slide 27: Appendix
© Inspire Medical Systems, Inc. All Rights Reserved. Appendix 27
Slide 28: Consolidated Statements of Operations & Comprehensive Income (Loss)
© Inspire Medical Systems, Inc. All Rights Reserved. Consolidated Statements of Operations & Comprehensive Income (Loss) (Unaudited)(In thousands, except share and per share amounts) 28
Slide 29: Condensed Consolidated Balance Sheets
© Inspire Medical Systems, Inc. All Rights Reserved. Condensed Consolidated Balance Sheets (Unaudited)(In thousands) 29
Slide 30: Quarterly Revenue
$40 $53 $62 $78 $69 $91 $109 $138 $128 $151 $153 $193 $164 $196 $203 $240 $201 $217 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 Q324 Q424 Q125 Q225 30 Quarterly Revenue ($ in Millions) %YoY Revenue Growth 72% 73% 77% 76% 84% 65% 40% 40% 28% 30% 33% 25% 23% 11%
Slide 31: Our History and Key Milestones
© Inspire Medical Systems, Inc. All Rights Reserved. Company Overview Our History and Key Milestones 31 20222016 20202007 2014 2018 20232017 20212011 • Inspire is founded after being spun out of Medtronic • Initiated Phase III pivotal STAR trial • STAR results published in the New England Journal of
Slide 32: Proven management team
Proven management team that is grounded in integrity, fueled by innovation, and devoted to delivering on the promise of our mission Randy Ban Executive Vice President, Patient Access & Therapy Development Joined 2009 Bryan Phillips SVP, General Counsel & Chief Compliance Officer Joined 2021 Tim Herb
Slide 33: Supporting Patients on their Path to Inspire Implant
© Inspire Medical Systems, Inc. All Rights Reserved. Supporting Patients on their Path to Inspire Implant Fine- tune ActivationInspire Advisor Care Program (ACP) DISE/ Prior Authorization Patient education using the InspireSleep.com website Community health talks Physician Consultations Awareness wi
Slide 34: The Patient Journey
© Inspire Medical Systems, Inc. All Rights Reserved. Inspire Patient THE PATIENT JOURNEY Awareness Education Consultation Implant Life w/ Inspire Confirm Sleep Study Fine- tuneActivationImplantPrior AuthDISE Conduct Online Search Attend Appt. Schedule an Appt. with IS Dr. Obtain Updated Sleep Study
Slide 35: Patient Engagement Conversion Initiatives
© Inspire Medical Systems, Inc. All Rights Reserved. Patient Engagement Conversion Initiatives Improving Patient Engagement Conversion Initiatives Increasing ENT Capacity to Further Grow Utilization SleepSync Digital Health Platform Increases Utility • Digital scheduling has shown significant improv
Slide 36: Health Economics: Untreated OSA Cost Burden
Health Economics: Untreated OSA Cost Burden • Untreated OSA patients had ~$20,000 higher total annual Medicare costs • CPAP intolerant patients had higher Medicare utilization than PAP tolerant ALASKA-Study – non-adherent patients have greater chance of mortality (n>176,000)2 PAP non- adherent PAP a
Slide 37: Sustainability at Inspire
Sustainability at Inspire Committed to improving the economic, social, and environmental impacts that our business has on the communities in which we operate, as well as our customers, business partners, suppliers, employees, and stockholders. E N V I R O N M E N TA L We work to operate our business
Slide 38: Our Intellectual Property Portfolio
© Inspire Medical Systems, Inc. All Rights Reserved. Our Intellectual Property Portfolio (as of December 31, 2024) Covers aspects of our current Inspire system and future product concepts 98 issued U.S. patents (expiring between 2029 and 2041) and 67 pending U.S. patent applications 72 issued
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