Inspire Medical Systems Inc (INSP)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 150,150 | 185,537 | 441,592 | 214,467 | 190,518 |
| Short-term investments | US$ in thousands | 295,396 | 274,838 | 9,821 | 0 | 43,844 |
| Receivables | US$ in thousands | 93,068 | 89,884 | 61,228 | 34,179 | 25,063 |
| Total current liabilities | US$ in thousands | 88,501 | 78,105 | 61,186 | 41,307 | 20,725 |
| Quick ratio | 6.09 | 7.05 | 8.38 | 6.02 | 12.52 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($150,150K
+ $295,396K
+ $93,068K)
÷ $88,501K
= 6.09
The quick ratio of Inspire Medical Systems Inc has shown some fluctuations over the years based on the provided data. As of December 31, 2020, the quick ratio was at a high of 12.52, indicating a significant level of liquidity to cover short-term obligations. However, by the end of 2021, the quick ratio dropped to 6.02, suggesting a slight decrease in the company's ability to meet its short-term liabilities with its most liquid assets.
In the subsequent years, the quick ratio improved, reaching 8.38 by the end of 2022. This improvement indicates an enhancement in the company's ability to cover its current liabilities with its quick assets. In 2023, the quick ratio decreased to 7.05, showing a slight decline in liquidity compared to the previous year.
By the end of 2024, the quick ratio further dropped to 6.09, signaling a potential decrease in the company's ability to meet immediate financial obligations efficiently. Overall, while the quick ratio has experienced fluctuations, it is essential for the company to monitor and manage its liquidity effectively to ensure financial health and stability.
Peer comparison
Dec 31, 2024