Summary
Intuitive Surgical Inc. (ISRG) reported robust financial performance for the nine months ended September 30, 2016, demonstrating significant growth in both revenue and profitability. Total revenue increased by 14% year-over-year to $1,947.5 million, driven by a substantial 16% rise in product revenue and an 11% increase in service revenue, highlighting strong demand for its da Vinci Surgical Systems and related consumables. The company's operational efficiency is evident in its expanding gross profit margins, which improved to 70% from 66% in the prior year's comparable period, reflecting manufacturing efficiencies and favorable product mix. Net income saw a healthy increase of 33% to $531.9 million. The company's balance sheet remains strong, with cash, cash equivalents, and investments growing to $4.6 billion, providing ample liquidity for future investments and operations. Continued procedure growth, particularly in general surgery and urology, underscores the ongoing adoption and value proposition of Intuitive Surgical's robotic-assisted surgical solutions.
Financial Highlights
45 data points| Revenue | $682.90M |
| Cost of Revenue | $195.90M |
| Gross Profit | $487.00M |
| R&D Expenses | $62.60M |
| SG&A Expenses | $168.00M |
| Operating Expenses | $230.60M |
| Operating Income | $256.40M |
| Net Income | $211.00M |
| EPS (Basic) | $0.61 |
| EPS (Diluted) | $0.59 |
| Shares Outstanding (Basic) | 348.30M |
| Shares Outstanding (Diluted) | 357.30M |
Key Highlights
- 1Total revenue for the nine months ended September 30, 2016, increased by 14% to $1.95 billion, compared to $1.71 billion for the same period in 2015.
- 2Net income grew by 33% to $531.9 million for the first nine months of 2016, compared to $398.8 million in the prior year.
- 3Gross profit margin improved to 70% for the nine months ended September 30, 2016, up from 66% in the comparable period of 2015.
- 4The installed base of da Vinci Surgical Systems grew to approximately 3,803 systems as of September 30, 2016, a 9% increase year-over-year.
- 5Instrument and accessory revenue, a key component of recurring revenue, increased by 16% to $1.01 billion for the nine months ended September 30, 2016.
- 6Cash, cash equivalents, and investments significantly increased to $4.6 billion as of September 30, 2016, from $3.3 billion at the end of 2015.
- 7Operating income saw a substantial increase of 37% to $680.8 million for the first nine months of 2016.