Inspire Medical Systems Inc (INSP)

Quick 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	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
Receivables	US$ in thousands	89,743	79,716	72,333	89,884	71,460	63,500	59,766	61,228	48,498	40,380	34,544	34,179	26,675	24,914	21,646	25,063	21,101	10,235	11,032	13,131
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
Quick ratio		6.74	7.91	7.12	7.05	7.65	7.96	8.55	8.38	9.66	5.05	5.51	6.02	7.05	9.56	12.76	12.52	14.05	19.38	10.70	9.65

September 30, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($147,512K + $263,475K + $89,743K) ÷ $74,264K
= 6.74

The quick ratio of Inspire Medical Systems Inc has shown a generally strong trend over the past few quarters, indicating a consistently healthy liquidity position. The quick ratio, which measures the company's ability to meet its short-term obligations using its most liquid assets, has remained above 5.0 in all periods, with a peak of 19.38 as of Dec 31, 2019.

The company's quick ratio has exhibited stability and improvement, reaching a high of 12.76 as of Mar 31, 2021, and remaining above 7.0 in recent periods. This suggests that Inspire Medical Systems Inc has a substantial cushion of liquid assets to cover its current liabilities without relying extensively on inventory.

The consistently high quick ratio implies that the company is well-positioned to meet its short-term financial obligations, which is a positive indicator of financial health and operational efficiency. However, it is important to consider other factors alongside the quick ratio in a comprehensive analysis of the company's financial position and performance.