Company: INSP
Filing Date: 2025-03-18
Form Type: DEF 14A
Source: 0001140361-25-009249
Chunk: 69

Company: Inspire Medical Systems, Inc.
Filing Date: 2025-03-18
Form: DEF 14A
Chunk 69
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 The line graphs below compare (i) the compensation actually paid to our PEO and the average of the compensation actually paid to our remaining NEOs, with (ii) our cumulative TSR, (iii) our Peer Group TSR, (iv) our Net Income, and (v) our Revenue, in each case, for the fiscal years ended December 31, 2020, 2021, 2022, 2023, and 2024. TSR amounts reported in the graph assume an initial fixed investment of $100.

| Inspire Medical Systems, Inc. |     | 58 |     | 2025 Proxy Statement |

TABLE OF CONTENTS

| PAY VERSUS PERFORMANCE |

Pay Versus Performance Tabular List We believe that revenue, adjusted operating income (loss), and insurance reimbursement approvals, given the Company’s stage of development and market opportunity, represent the most important financial performance measures used by us to link compensation actually paid to our NEOs for the fiscal year ended December 31, 2024.

| Inspire Medical Systems, Inc. |     | 59 |     | 2025 Proxy Statement |

TABLE OF CONTENTS

CEO Pay Ratio As required by Item 402(u) of Regulation S-K, we are providing pay ratio information about the relationship of the annual total compensation of our employees and the annual total compensation of Mr. Herbert, our CEO. For 2024, our last completed fiscal year:

| • | the median of the annual total compensation of all employees of our Company (other than our CEO) was $261,111; and |

| • | the annual total compensation of our CEO, as reported in the Summary Compensation Table presented elsewhere in this Proxy Statement was $8,106,143. |

Based on this information, the ratio of the CEO’s fiscal 2024 annual total compensation to that of the median employee was 31 to 1. Methodology, Assumptions and Estimates Used in Determining our Pay Ratio Disclosure In determining the pay ratio calculation, we used the methodology, assumptions, and estimates set forth below in determining the median employee.

| 2. | We determined that, as of October 1, 2024, our employee population consisted of 1,195 individuals working at the Company. |

| 3. | For purposes of measuring the compensation of our employee population, we selected a “consistently applied compensation measure” (“CACM”). We chose a CACM that closely approximates the annual target total direct compensation of our