Inspire Medical Systems Inc Q2 2023 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Robert Justin Marcus - JPMorgan Chase & Co, Research Division - Analyst : Congrats on a really nice quarter here. Maybe to start, you recently had the label updated. You can treat more episodes per night, more severe sleep apnea, and the BMI raised to 40. Can you talk about what you're seeing as an impact in the field and how much this can really increase your addressable market? And I guess you touched on it in the last with GLP-1, but I imagine it probably helps a whole lot with the combination of the 2 going forward.

Question: Robert Justin Marcus - JPMorgan Chase & Co, Research Division - Analyst : And maybe one on spending, you called out, I think it was $3 million or so in Inspire V buildup in inventory and R&D accounts for a lot of the step-up. But maybe just give us an update on how you're thinking about balancing the great top line growth versus margin leverage and views on profitability going forward.

Question: Danielle Joy Antalffy - UBS Investment Bank, Research Division - Analyst : Congrats on a really strong quarter. It's great to see. I just wanted to ask a follow-up question on the Medicare, the shift in patients a little bit away from Medicare patients given the proposed physician payment. So the first question I have is what percentage of your patients today are Medicare and then what percentage of overall OSA patients are Medicare? And also how we should think about this going forward? Is this really meaningful? Or is this just you guys being cautious?

Question: Danielle Joy Antalffy - UBS Investment Bank, Research Division - Analyst : Okay. Got it. And then Inspire V, congrats on that. Once that is approved, should we think about that as a gradual rollout? Or how should we think about building capacity of Inspire V ahead of the launch and potential impact to margins there?