Summary
Intuitive Surgical Inc. (ISRG) presented a strong financial performance in its 2008 10-K filing, showcasing significant revenue growth driven by the increasing adoption of its da Vinci Surgical System. The company reported a 46% increase in total revenue, reaching $874.9 million, with recurring revenue from instruments and accessories, and services, contributing 48% of the total. The installed base of da Vinci Surgical Systems grew to 1,111 units, facilitating approximately 136,000 procedures globally, with prostatectomies and hysterectomies being the dominant procedures. Despite a slowdown in system sales in the fourth quarter of 2008 due to the economic environment, the company maintained a healthy gross profit margin of 71% and a robust operating income of $310.8 million. ISRG's financial position remained strong with $901.9 million in cash, cash equivalents, and investments. The company continues to invest heavily in research and development, indicating a commitment to innovation and maintaining market leadership in robotic-assisted surgery.
Financial Highlights
46 data points| Revenue | $874.90M |
| Cost of Revenue | $254.10M |
| Gross Profit | $620.80M |
| R&D Expenses | $79.40M |
| SG&A Expenses | $230.60M |
| Operating Expenses | $310.00M |
| Operating Income | $310.80M |
| Net Income | $204.30M |
| EPS (Basic) | $0.58 |
| EPS (Diluted) | $0.57 |
| Shares Outstanding (Basic) | 350.10M |
| Shares Outstanding (Diluted) | 359.10M |
Key Highlights
- 1Total revenue grew 46% to $874.9 million in 2008, driven by strong adoption of the da Vinci Surgical System.
- 2Recurring revenue (instruments, accessories, services) increased 52% to $419.6 million, representing 48% of total revenue.
- 3Sold 335 da Vinci Surgical Systems in 2008, increasing the installed base to 1,111 systems.
- 4Performed approximately 136,000 surgical procedures globally in 2008, with prostatectomies (73,000) and hysterectomies (34,000) being the most common.
- 5Maintained strong gross profit margin of 71% and operating income of $310.8 million (36% of revenue).
- 6Ended the year with a substantial cash, cash equivalents, and investments balance of $901.9 million.
- 7Significantly increased R&D expenses by 62% to $79.4 million, reflecting investment in future product development and acquired intellectual property.