Summary
Intuitive Surgical, Inc. (ISRG) reported robust growth for the fiscal year ended December 31, 2010, with total revenue increasing by 34% to $1.41 billion. This growth was primarily driven by increased adoption of the da Vinci Surgical System across various procedures, particularly da Vinci Hysterectomy (dVH) and da Vinci Prostatectomy (dVP). The company saw a significant rise in system sales, with 441 units sold, up from 338 in the previous year, and a growing installed base of 1,752 systems worldwide. The company's business model is characterized by both capital equipment sales and recurring revenue from instruments, accessories, and service. Recurring revenue represented 53% of total revenue in 2010, highlighting the sticky nature of their customer base and the ongoing utilization of their systems. Investment in research and development remained strong, with $116 million allocated, indicating a continued focus on product innovation and expansion into new surgical specialties. The company also reported a healthy financial position, with $1.61 billion in cash, cash equivalents, and investments, providing ample resources for future growth and operations.
Financial Highlights
46 data points| Revenue | $1.41B |
| Cost of Revenue | $383.00M |
| Gross Profit | $1.03B |
| R&D Expenses | $116.00M |
| SG&A Expenses | $358.80M |
| Operating Expenses | $474.80M |
| Operating Income | $555.20M |
| Net Income | $381.80M |
| EPS (Basic) | $1.08 |
| EPS (Diluted) | $1.05 |
| Shares Outstanding (Basic) | 352.80M |
| Shares Outstanding (Diluted) | 362.70M |
Key Highlights
- 1Total revenue grew 34% year-over-year to $1.41 billion, driven by strong demand for da Vinci Surgical Systems.
- 2441 da Vinci Surgical Systems were sold in 2010, an increase from 338 in 2009, expanding the installed base to 1,752 systems globally.
- 3Recurring revenue (instruments, accessories, and service) accounted for 53% of total revenue, reaching $752.7 million, demonstrating strong system utilization.
- 4The da Vinci Hysterectomy (dVH) became the highest volume procedure, surpassing da Vinci Prostatectomy (dVP), with significant growth in both cancer and benign applications.
- 5Research and Development expenses increased by 22% to $116 million, reflecting continued investment in product innovation and new procedure development.
- 6The company ended the year with a strong liquidity position, holding $1.61 billion in cash, cash equivalents, and investments.
- 7The newly launched da Vinci Si Surgical System was well-received, accounting for 84% of systems sold in 2010.