Inspire Medical Systems, Inc. Announces First Quarter 2025 Financial Results and Updates 2025 Outlook

Core Insights - Inspire Medical Systems reported a year-over-year revenue growth of 23% in Q1 2025, reaching $201.3 million, compared to $164.0 million in Q1 2024 [4][11] - The company achieved a net income of $3.0 million in Q1 2025, a significant improvement from a net loss of $10.0 million in the same period last year [7][11] - Inspire surpassed 100,000 patients receiving its therapy and is set to launch the Inspire V system in the U.S. [3][4] Financial Performance - Revenue for Q1 2025 was $201.3 million, a 23% increase from $164.0 million in Q1 2024 [4][11] - U.S. revenue was $193.6 million, reflecting a 24% increase year-over-year, while international revenue decreased by 6% to $7.7 million [4] - Gross margin for Q1 2025 was 84.7%, slightly down from 84.9% in Q1 2024 [4] Operating Expenses and Profitability - Operating expenses increased by 11% to $172.1 million in Q1 2025, up from $154.5 million in the prior year, primarily due to investments in the U.S. sales organization [5] - The operating loss improved to $1.5 million in Q1 2025, compared to a loss of $15.2 million in Q1 2024, indicating better revenue growth and operating leverage [6] - Adjusted EBITDA for Q1 2025 was $33.2 million, compared to $11.9 million in the same quarter last year [7][26] Guidance and Future Outlook - Inspire maintains its full-year 2025 revenue guidance of $940 million to $955 million, representing a growth of 17% to 19% over 2024 [9] - The company has increased its diluted net income per share guidance for 2025 to between $2.20 and $2.30, up from the previous range of $2.10 to $2.20 [9]