INSULET CORPPODD
INSULET CORP Debt Disclosure
Debt
The components of debt consisted of the following:
| December 31, 2025 | December 31, 2024 | ||||||||||||||||||||||||||||
| (in millions) | Maturity Date | Amount | Effective Interest Rate | Amount | Effective Interest Rate | ||||||||||||||||||||||||
Equipment financing | 2025 | $ | — | — | % | $ | 8.7 | 5.90 | % | ||||||||||||||||||||
Mortgage | 2025 | — | — | % | 60.9 | 5.74 | % | ||||||||||||||||||||||
Convertible Senior Notes | 2026 | — | — | % | 800.0 | 0.76 | % | ||||||||||||||||||||||
| Equipment financing | 2028 | 34.9 | 4.27% - 10.44% | 40.8 | 4.27% - 8.87% | ||||||||||||||||||||||||
Revolving Credit Facility | 2030 | — | — | % | — | — | % | ||||||||||||||||||||||
Term Loan B | 2031 | 477.5 | 7.05 | % | 482.5 | 8.68 | % | ||||||||||||||||||||||
Senior Unsecured Notes | 2033 | 450.0 | 6.84 | % | — | ||||||||||||||||||||||||
| Unamortized debt discount | 2025 - 2033 | (3.5) | (5.4) | ||||||||||||||||||||||||||
| Debt issuance costs | 2025 - 2033 | (9.7) | (7.7) | ||||||||||||||||||||||||||
| Total debt, net | 949.2 | 1,379.8 | |||||||||||||||||||||||||||
| Less: current portion | 18.4 | 83.8 | |||||||||||||||||||||||||||
| Total long term-debt, net | $ | 930.8 | $ | 1,296.1 | |||||||||||||||||||||||||
Equipment Financings
The Company has outstanding loans secured by manufacturing lines located at the Company’s Acton, Massachusetts manufacturing facility.
Senior Secured Credit Agreement
The Company’s senior secured credit agreement (the “Credit Agreement”) includes a $500 million senior secured term loan B (the “Term Loan B”) and a senior secured revolving credit facility (“Revolving Credit Facility”). In March 2025, the Company upsized the borrowing capacity under its Revolving Credit Facility to $500 million and extended the maturity date to March 2030. In June 2025, the Company amended its Term Loan B to bear interest at a rate of Secured Overnight Financing Rate (“SOFR”) plus 2.00%. At the same time, the Company further amended its Revolving Credit Facility such that borrowings bear interest at a rate of SOFR plus an applicable margin of 1.50% to 2.00% based on the Company’s total leverage ratio.
In January 2024, the Company amended the Term Loan B to bear interest at a rate of SOFR plus 3.0%, with a 0% SOFR floor. In August 2024, the Company further amended its Term Loan B to bear interest at a rate of SOFR plus 2.5% and extended the term to August 2031.
The Term Loan B contains leverage and fixed charge coverage ratio covenants, both of which are measured upon the incurrence of future debt. The Revolving Credit Facility contains a covenant to maintain a specified leverage ratio under certain conditions when there are amounts outstanding.
Borrowings under the Credit Agreement are guaranteed by certain wholly owned domestic subsidiaries of the Company and are secured by substantially all assets of the Company and of each subsidiary guarantor, subject to certain exceptions. Additionally, borrowings under the Credit Agreement are senior to all of the Company’s unsecured indebtedness.
Senior Unsecured Notes
In March 2025, the Company issued $450 million aggregate principal amount of 6.5% senior unsecured notes due April 2033. The net proceeds of $440.7 million were used to repurchase a portion of the Convertible Senior Notes. The senior unsecured notes contains leverage and fixed charge coverage ratio covenants, both of which are measured upon the incurrence of future debt, as well as other customary covenants.
Convertible Senior Notes
In 2025, the Company repurchased $419.9 million aggregate principal amount ($417.6 million net of issuance costs) of 0.375% Convertible Senior Notes due September 2026 (the “Convertible Senior Notes”) for $541.5 million in cash, which resulted in a $123.9 million loss on extinguishment. The Company subsequently paid $510.7 million to redeem the remaining Convertible Senior Notes. The difference between this cash paid and the $380.1 million aggregate principal amount ($378.4 million net of issuance costs) redeemed resulted in a $132.3 million decrease to additional paid in capital. In connection with these transactions, the Company received $164.6 million of proceeds from the settlement of capped calls options associated with the Convertible Senior Notes.
As of December 31, 2024 unamortized issuance costs associated with the Convertible Senior Notes were $5.1 million.
The components of interest expense related to the Convertible Senior Notes were as follows:
| Years Ended December 31, | |||||||||||||||||
(in millions) | 2025 | 2024 | 2023 | ||||||||||||||
Contractual interest expense | $ | 1.4 | $ | 3.0 | $ | 3.0 | |||||||||||
Amortization of debt issuance costs | 1.2 | 3.0 | 3.0 | ||||||||||||||
Total interest recognized on the Convertible Senior Notes | $ | 2.6 | $ | 6.0 | $ | 6.0 | |||||||||||
Carrying Value
The carrying value amounts of the Company’s debt were as follows:
| As of December 31, | |||||||||||
| (in millions) | 2025 | 2024 | |||||||||
| Mortgage | $ | — | $ | 60.6 | |||||||
| Convertible Senior Notes | — | 794.9 | |||||||||
| Equipment financings | 34.8 | 49.3 | |||||||||
| Term Loan B | 473.0 | 475.1 | |||||||||
| Senior Unsecured Notes | 441.4 | — | |||||||||
| Total debt, net | $ | 949.2 | $ | 1,379.8 | |||||||
Maturity of Debt
The maturity of debt as of December 31, 2025 is as follows:
| Years Ending December 31, | (in millions) | ||||
| 2026 | $ | 18.4 | |||
| 2027 | $ | 19.4 | |||
| 2028 | $ | 12.1 | |||
| 2029 | $ | 5.0 | |||
| 2030 | $ | 5.0 | |||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 18, 2026 | Showing above |
| 2024 | Feb 21, 2025 | |
| 2023 | Feb 23, 2024 | |
| 2022 | Feb 24, 2023 | |
| 2021 | Feb 24, 2022 | |
| 2020 | Feb 24, 2021 | |
| 2019 | Feb 26, 2020 | |
| 2018 | Feb 26, 2019 | |
| 2017 | Feb 22, 2018 | |
| 2016 | Feb 28, 2017 | |
| 2015 | Feb 29, 2016 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.