Company: INSP
Filing Date: 2025-02-10
Form Type: 10-K
Source: 0001609550-25-000011
Chunk: 113

Company: Inspire Medical Systems, Inc.
Filing Date: 2025-02-10
Form: 10-K
Item: Item 8
Chunk 113
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 Upon such a termination due to death or disability, a prorated amount of the target number of PSUs will accelerate and become fully vested. Upon such a qualifying retirement, a prorated amount of the PSUs will be eligible to vest and settle based on the actual performance achievement in accordance with the original vesting and payment terms.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, 2021— $— $— Granted78,351 $227.53 Forfeited(879)$227.53 Unvested at December 31, 202277,472 $227.53 $19,514 Granted95,994 $264.59 Forfeited(4,497)$242.27 Unvested at December 31, 2023168,969 $248.19 $34,373 Granted184,905 $196.41 Forfeited(30,572)$224.44 Unvested at December 31, 2024323,302 $220.82 $59,934 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 December 31, 2024, there was $27.6 million of unrecognized stock-based compensation expense related to outstanding PSUs that is expected to be recognized over a weighted average period of 1.5 years.Employee Stock Purchase PlanEmployees 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 a purchase period. We issued 48,599 shares under the ESPP during 2024 and there were 1,199,532 shares available for future issuance under the ESPP as of December 31, 2024.

8.  Income Taxes

Due to our cumulative net loss position, a valuation allowance is required for all U.S. deferred tax assets as of December 31, 2024, 2023, and 2022.

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Table of ContentsInspire Medical Systems, Inc.N