Company: INSP
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001609550-25-000053
Chunk: 39

Company: Inspire Medical Systems, Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 1
Chunk 39
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 share amounts)

A summary of PSUs and related information is as follows:Performance Stock UnitsWeighted AverageGrant Date Fair ValueAggregate Intrinsic Value (in thousands)Unvested at December 31, 2024323,302 $220.82 $59,934 Granted236,333 $199.70 Vested(143,518)$228.48 $26,759 Forfeited(39,957)$217.76 Unvested at September 30, 2025376,160 $205.07 $59,915 The fair value of the PSUs is equal to the closing price of our common stock on the grant date. The aggregate intrinsic value of unvested PSUs was based on our closing stock price on the last trading day of the period. As of September 30, 2025, there was $25.1 million of unrecognized stock-based compensation expense related to outstanding PSUs that is expected to be recognized over a weighted-average period of 1.6 years.Employee Stock Purchase Plan

Employees may participate in our ESPP provided they meet certain eligibility requirements. The purchase price for our common stock under the terms of the ESPP is defined as 85% of the lower of the closing market price per share of our common stock on the first or last trading day of each stock purchase period. There were 1,354,931 shares available for future issuance under the ESPP as of September 30, 2025. The current purchase period under the ESPP began on July 1, 2025 and ends December 31, 2025. 

7. Income Taxes

At both September 30, 2025 and December 31, 2024, a valuation allowance was recorded against all deferred tax assets due to our cumulative net loss position. We recorded income tax expense of $3.6 million and $1.8 million for the three months ended September 30, 2025 and 2024, respectively, and $6.0 million and $3.5 million for the nine months ended September 30, 2025 and 2024, respectively. The income tax expenses reflect federal, state, and foreign income tax expense in both of the nine months ended September 30, 2025 and September 30, 2024.We filed our 2024 U.S. federal income tax return during the third quarter of 2025. Upon filing our return, our gross