Inspire Medical Systems Inc (INSP)

Cash ratio

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019
Cash and cash equivalents	US$ in thousands	147,512	188,035	175,416	185,537	329,897	467,051	442,132	441,592	417,808	186,570	203,291	214,467	210,200	176,541	182,348	190,518	178,705	211,237	76,117	22,860
Short-term investments	US$ in thousands	263,475	251,629	265,945	274,838	134,317	0	9,927	9,821	9,741	9,752	—	0	0	31,295	43,796	43,844	55,932	31,322	59,608	126,605
Total current liabilities	US$ in thousands	74,264	65,657	72,172	78,105	69,995	66,687	59,868	61,186	49,291	46,853	43,168	41,307	33,591	24,350	19,422	20,725	18,198	13,042	13,717	16,856
Cash ratio		5.53	6.70	6.12	5.89	6.63	7.00	7.55	7.38	8.67	4.19	4.71	5.19	6.26	8.54	11.64	11.31	12.89	18.60	9.89	8.87

September 30, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($147,512K + $263,475K) ÷ $74,264K
= 5.53

The cash ratio of Inspire Medical Systems Inc has shown fluctuations over the past few years. The cash ratio indicates the company's ability to cover its short-term liabilities with its cash and cash equivalents.

From December 2019 to March 2020, there was a significant increase in the cash ratio, reaching a peak of 18.60, indicating a strong ability to cover short-term obligations with cash on hand. However, from March 2020 to September 2022, the cash ratio gradually declined.

During the period from September 2022 to June 2023, there was a slight improvement in the cash ratio, reaching a high of 8.67. However, from June 2023 to September 2024, the cash ratio fluctuated between 5.53 and 8.67, indicating variations in the company's ability to cover short-term liabilities with cash.

Overall, while the cash ratio of Inspire Medical Systems Inc has shown some fluctuations, it is generally at a reasonable level, which suggests that the company has the ability to meet its short-term obligations with the cash and cash equivalents at hand. Continued monitoring of the trend in the cash ratio will provide insights into the company's liquidity position and financial health.