Summary
Intuitive Surgical Inc. (ISRG) reported a strong third quarter for 2019, with total revenue increasing by 23% year-over-year to $1.13 billion. This growth was driven by a significant increase in both product revenue (up 24%) and service revenue (up 15%). Product revenue benefited from a 25% rise in instrument and accessory sales, fueled by a nearly 20% increase in da Vinci procedures performed globally. System revenue also saw a healthy 23% increase, with a 19% rise in system shipments compared to the prior year. The company's installed base of da Vinci Surgical Systems grew by 12% to approximately 5,406 units. Financially, the company demonstrated robust profitability, with net income attributable to Intuitive Surgical, Inc. rising to $396.8 million. Operating income also saw a notable increase of 17%. The company ended the quarter with a strong liquidity position, holding $5.4 billion in cash, cash equivalents, and investments, reflecting healthy cash generation from operations. The company also announced a new acquisition, Schölly Fiberoptic, to strengthen its supply chain for imaging products, and continued progress with its new Ion endoluminal system and da Vinci SP Surgical System.
Financial Highlights
46 data points| Revenue | $1.13B |
| Cost of Revenue | $342.60M |
| Gross Profit | $785.60M |
| R&D Expenses | $135.90M |
| SG&A Expenses | $284.00M |
| Operating Expenses | $419.90M |
| Operating Income | $365.70M |
| Net Income | $396.80M |
| EPS (Basic) | $1.15 |
| EPS (Diluted) | $1.11 |
| Shares Outstanding (Basic) | 346.20M |
| Shares Outstanding (Diluted) | 357.90M |
Key Highlights
- 1Total revenue increased by 23% to $1.13 billion in Q3 2019 compared to Q3 2018, driven by strong performance in product and service segments.
- 2Instrument and accessory revenue grew by 25%, reflecting nearly 20% growth in da Vinci procedures performed globally.
- 3Systems revenue increased by 23%, supported by a 19% rise in da Vinci Surgical System shipments and higher operating lease revenue.
- 4The installed base of da Vinci Surgical Systems grew by 12% to approximately 5,406 units as of September 30, 2019.
- 5Net income attributable to Intuitive Surgical, Inc. rose to $396.8 million for the quarter, indicating strong profitability.
- 6The company maintained a healthy liquidity position with $5.4 billion in cash, cash equivalents, and investments as of September 30, 2019.
- 7Acquisition of Schölly Fiberoptic completed to enhance imaging product supply chain.