China growth in the second quarter continued to be far higher than our other regions, primarily reflecting the 40% system installation growth over the past year. We have continued the launch of our My Intuitive app, including launching to first users in Europe. Contact Information. The next page will display a menu of options. The stock movement pushed Intuitive . Jamie will take you through procedure dynamics in more detail later in the call. Just a couple of comments. In the U.S., Q2 procedure results were positively impacted by a continuing recovery from COVID-19, including, we believe, a number of procedures that had been previously deferred. Clinical trial sites completed enrollment for our PRECIsE clinical trial. Listen to Webcast. In the quarter, strong trade-ins of older-generation systems for our fourth-generation products and strength in multi-system deals continue to support our thesis that customers that know us best continue to invest with us going forward. The high end of the range assumes strength in U.S. general surgery, a return to normalized diagnostic pipelines, the vaccines are effective against any new COVID-19 variants and the vaccine rollouts in OUS markets continue as currently expected by governments around the world. your options for e-mail notification, please enter your e-mail address below and click System placements came in above plan, and system ASP and I&A revenue per procedure tracked slightly above our expectations, together driving revenue of $1.46 billion in Q2. Ion is Intuitives robotic-assisted platform for minimally invasive biopsy in the lung. The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. Please note that this conference call will be available for audio replay on our website at intuitive.com on the latest Events section under our Investor Relations page. Procedures recovered nicely in Q2. We're doing what we call the procedure development and the trial development around other indications, we think there'll be an opportunity in thoracic, as well as other ones beyond it. Buy These 2 Stocks in 2023 and Hold for the Next Decade, 2 Growth Stocks to Buy Before the Big Bull Rally, Join Over Half a Million Premium Members And Get More In-Depth Stock Guidance and Research, Copyright, Trademark and Patent Information. And we think that the extended use instruments lowers barriers for purchases of systems. We could see one large competitor approved in the second half of this year. Product and brand names/logos are trademarks or registered trademarks of Intuitive Surgical or their respective owner. Yes. Women Techmakers Ambassador is responsible for driving diversity and inclusion through organizing local events within the tech community. Analysts: . Looking forward, we see the following capital revenue dynamics. Our SEC filings can be found through our website or at the SEC's website. We're taking a first-principles approach to return-to-office environments with our team, bringing back face-to-face interactions for those tasks best completed in person while enabling hybrid work environments for tasks that are well accomplished by distributed teams. We expect our pro forma rate for the last six months of 2021 to be between 21% and 22% versus our previous guidance of 20% to 21%, reflecting a greater proportion of U.S. income for the year. As the phases of the pandemic evolve, we're supporting our team in addressing the opportunities and challenges posed by the pandemic and the ways we work. I think they are ecosystem enablers and can result in very high customer satisfaction when done well. *Average returns of all recommendations since inception. It's not just the robot. In this Backstage Pass video, which aired Sept. 29, Motley Fool contributor Brian Withers shares his thoughts on Intuitive Surgical, highlighting the metrics investors need to watch when the . All Rights Reserved. OK, great. Intuitive Surgical (ticker: ISRG ) reported an adjusted fourth-quarter profit of $1.30 a share, beating forecasts for $1.28 a share, on sales of $1.55 billion, which topped expectations for $1.52 . any time, re-enter your e-mail address and click Submit, then adjust your form entries. Data Provided by Refinitiv. Each quarter on these calls, we highlight certain recently published studies that we deem to be notable. Fourth quarter 2022 systems revenue decreased by 4% to $451 million, compared with $470 million in the fourth quarter of 2021. Intuitive Surgical (ISRG 0.58%) Q3 2021 Earnings Call Oct 19, 2021, 4:30 p.m. Given the stronger recovery of procedures we have experienced so far, particularly in the U.S., and strength in U.S. general surgery, we are now increasing our forecast and expect full-year 2021 procedure growth of 27% to 30%. These system-controlled staplers, vessel sealers, and energy instruments support a range of procedures from bariatrics to colorectal procedures, to thoracic and gynecologic applications. This press release contains forward-looking statements. We heard your comments, but just kind of thinking a little bit longer-term than just the next couple of quarters. And at this time, I would like to turn the conference over to our host, senior director of finance, investor relations for Intuitive, Mr. Calvin Darling. Fourth quarter 2022 non-GAAP* income from operations decreased to $530 million, compared with $583 million in the fourth quarter of 2021. We don't actually know how much backlog was resolved in the quarter, how much backlog is left or the timing of the recovery of that might be. Thank you. Hi, Gary. [Inaudible] on a nice quarter. Gosh, that's awfully encouraging sounding. And we're pleased. I just wondered, are you suggesting or should we be thinking that we could be in the front of a new wave of capital acquisition, with again, capital released because of the need to add additional systems to accommodate the expanding number of procedures? Or is it too early, and you're just saying that might happen in the future? The first and second quarters of 2021 reflect leveraging fixed costs over higher production levels. Looking to our finances in the quarter. COVID-19 has had, and may continue to have, an adverse impact on the Companys procedure volumes. We are in the execution and launch phase of four efforts. All of that, to me, indicates that the business feels in balance. 2 Healthcare Stocks You Can Buy and Hold for the Next Decade, Why Things Could Get Worse Before They Get Better for This Growth Stock, 2 Stocks to Buy No Matter What Happens This Year, Why Intuitive Surgical Stock Slumped in January. The compounded annual utilization growth rate between the second quarters of 2019 and 2021 was 6%. I know last quarter, you kind of brought up the concept of going after thoracic and some additional other areas. They use specialized instrumentation, including a miniaturized surgical camera and wristed instruments (i.e., scissors, scalpels, and forceps) that are designed to help with precise dissection and reconstruction deep inside the body. Jamie will provide additional procedure commentary later in this call. INTUITIVE SURGICAL, INC.-14.33%: 79 654: BOSTON . With me today, we have Gary Guthart, our CEO; Marshall Mohr, our CFO; and Jamie Samath, our senior vice president of finance. To choose your options for e-mail notification, please enter your e-mail address below and click Submit . To choose And the capital to support that demand has not run ahead of the procedure demand. Visit www.intuitive.com/en-us/products-and-services/ion. From the low-end perspective, the 27% reflected there is greater summer seasonality that reflects the possibility of an impact due to pent-up demand for vacation, especially for healthcare workers that have worked extensively during this period with COVID. Hong Kong. So I apologize for the short-term-oriented question, but you're the first large-cap company to report here. We think there is an opportunity to accelerate learning and to drive increased insight for a surgeon into their own progress. The increase in instruments and accessories revenue was primarily driven by approximately 18% growth in da Vinci procedure volume, partially offset by customer buying patterns and foreign currency impacts. Intuitive Surgical Investor Relations. We have a broad range of estimates. You may automatically receive Intuitive Surgical financial information by e-mail. The compound annual revenue growth rate between the second quarters of 2019 and 2021 was 15%. Having said all of that, it's been a short period since they've had extended use instruments. Field and marketing costs will tick up if the pandemic wanes. The Company placed 369 da Vinci Surgical Systems, a decrease of 4% compared with 385 in the fourth quarter of 2021. The non-GAAP* measures are described below and are reconciled to the corresponding GAAP measures at the end of this release. The Company's da Vinci Surgical System offers surgeons superior visualization, enhanced dexterity, greater precision and ergonomic comfort for the optimal performance of MIS. Fourth quarter 2022 revenue was$1.66 billion, an increase of 7%compared with$1.55 billion in thefourth quarter of 2021. Most of our offices globally are reopening with this hybrid approach. Congrats on the quarter. Keep up-to-date with changes . This article is a transcript of this conference call produced for The Motley Fool. Intuitive Surgical Inc (NASDAQ: ISRG) Q2 2021 earnings call dated Jul. Gary, just with you, just thinking through the My Intuitive and what you're doing at the surgeon level. There are a number of limitations related to the use of non-GAAP measures versus measures calculated in accordance with GAAP. The Company defines non-GAAP net income as net income attributable to Intuitive Surgical, Inc., excluding amortization of intangible assets, SBC and long-term incentive plan expenses, litigation charges and recoveries, a gain on the sale of a business, gains (losses) on strategic investments, adjustments attributable to noncontrolling interest in joint venture, net of the related tax effects, and tax adjustments, including the excess tax benefits or deficiencies associated with SBC arrangements and the net tax effects related to intra-entity transfers of non-inventory assets. Some of them are fully included because we feel like they make us more efficient and to make them more efficient. Additional revenue statistics and trends are as follows. I'm just curious what the net effect there is from the savings and expense perspective and R&D, whether this is maybe the beginning of you starting to see some leverage off of the 10% you've been at for the last couple of years. To choose All Rights Reserved. Intuitive Surgical -Export management Iqm selezione - 07.2021 . Now that the dust . Today's format will consist of providing you with highlights of our second-quarter results as described in our press release announced earlier today followed by a question-and-answer session. There are no upcoming events available at this time. With an initial focus on BPH, the company's AquaBeam Robotic System delivering Aquablation therapy, is the first FDA-cleared, automated surgical robot for the treatment of lower urinary tract symptoms (LUTS) due to benign prostatic hyperplasia (BPH). Management addresses these limitations by providing specific information regarding the GAAP amounts excluded from non-GAAP net income attributable to Intuitive Surgical, Inc. and non-GAAP EPS and evaluating non-GAAP net income attributable to Intuitive Surgical, Inc. and non-GAAP EPS together with net income attributable to Intuitive Surgical, Inc. and net income per share attributable to Intuitive Surgical, Inc. calculated in accordance with GAAP. Submit. Additional supplemental financial and procedure information has been posted to the Investor Relations section of the Intuitive website at https://isrg.gcs-web.com/. The Company ended the fourth quarter of 2021 with $8.6 billion in cash, cash equivalents, and investments, an increase of $400million during the quarter, primarily driven by cash generated from operations. So from a core demand point of view or disease state, that's clearly out there and accumulating, and it has to get processed through. In there is OUS markets continue to be choppy given that, in many cases, those markets are behind the U.S., for example, in their vaccination rollouts, and that leaves the possibility of continued resurgences and localized lockdowns. any time, re-enter your e-mail address and click Submit, then adjust your form entries. Intuitive 360 is an annual conference for executive, clinical, and operational leadership focusing on robotic service line development and the surgical care team. 2021 Proxy Statement - Special Meeting 224.6 KB. The stock split will take place after market close on October 5th, 2021. Jamie Samath Senior Vice President of Finance 2022 Proxy Statement 36.4 MB. So it's not a scientific study, just my view. We look forward to talking with you again in three months. It last split in October of 2017. And so we have some catch-up to do in terms of infrastructure and support necessary to support the overall business. . A couple of things I'd say. During 2020, da Vinci procedure volumes and system placements were significantly impacted by the COVID-19 pandemic, as healthcare systems around the world diverted resources to respond to COVID-19. So several of those things are in the markets, the very first kind of Gen 1, some of them are on Gen 2. During 2022, the impact of the COVID-19 pandemic on the Companys business has differed by geography and region. Good afternoon. In terms of procedure categories, bariatrics continued the strength that we've seen for some time. Listen to Webcast. I think all of us know, and we, as consumers know that customers like choice, perfectly fair. Jamie, anything? I'll caution that what the next couple of quarters or next four quarters looks like in terms of hospital access to capital and their decision-making, capital is always lumpy. We expanded our installed base of da Vinci Systems over the last year by 10% to approximately 6,335 systems. The higherfourth quarter revenue was driven by growth in da Vinci procedure volume, partially offset by a decline in system placements and foreign currency impacts. Non-GAAP income from operations. Just so really speaking backward-looking, so far, so good. Pagination. So here's kind of where we stand with the backlog. Our actual tax rate will fluctuate with changes in the geographic mix of income, changes in taxation made by local authorities, and with the impact of one-time items. In the past 60 days, the Zacks Consensus Estimate for its earnings has moved north by 8.4% to $14.72. Follow Allison Gatlin on Twitter at @IBD_AGatlin . Ion system placements and procedures are excluded from our overall system and procedure counts. The Company calculates constant currency revenue by translating current period revenue using prior period exchange rates. Fourth quarter 2022 GAAP net income attributable to Intuitive Surgical, Inc. included excess tax benefits of $18 million, or $0.05 per diluted share, compared with $27 million, or $0.07 per diluted share, in the fourth quarter of 2021. Or any color you can provide on that? Intuitive Surgical, Inc. (NASDAQ:NASDAQ:ISRG) JPMorgan 40th Annual Healthcare Conference January 12, 2022 3:45 PM ETCompany ParticipantsGary Guthart - CEOJamie Samath - CFOBrian King -. And sequential growth in what they can do with the system remains our focus on SP for now. Without excluding these tax effects, investors would only see the gross effect that these non-GAAP adjustments had on the Companys operating results. Later we will have a question-and-answer session. Non-GAAP gross profit, non-GAAP income from operations, non-GAAP net income attributable to Intuitive Surgical, Inc., and non-GAAP EPS exclude items such as amortization of intangible assets, SBC and long-term incentive plan expenses, excess tax benefits or deficiencies associated with SBC arrangements, and non-cash amortization of deferred tax assets related to intra-entity transfer of non-inventory assets, which are primarily recurring items. Fourth quarter 2021 systems revenue increased by 28% to $470million, compared with $367million in the fourth quarter of 2020. OUS markets grew 51% year over year or 19% on a two-year compound annual growth rate basis. What's left to do from maybe a product or procedure or instrument point of view? An investor who was able to pick up $1,000 worth of Intuitive Surgical shares at its IPO price and held on has seen that investment grow to a whopping . Full Time Faculty & Clinical Coordinator, Surgical Technologist Program Ask us about our $5,000 Sign on Bonus Rasmussen University Rasmussen University is seeking an experienced Surgical Technologist passionate about taking their own experience and translating that into helping students succeed in meeting their educational and professional goals. The authors concluded, "The results revealed that robotic-assisted thoracic surgery is a feasible and safe technique compared with VATs in terms of short-term and long-term outcomes." To change your e-mail options at A contribution to the Intuitive Foundation reduced fourth quarter 2021 GAAP and non-GAAP* income from operations by $30 million. Hospitalizations of patients due to COVID have negatively impacted da Vinci procedures. To change your e-mail options at While this did not have a material impact to our operating results in Q2, the outlook we are providing does not reflect any potential significant disruption or additional costs related to supply constraints. And we're building into the broader digital ecosystem for SP. The Company defines non-GAAP EPS as non-GAAP net income attributable to Intuitive Surgical, Inc. divided by non-GAAP diluted shares, which are calculated as GAAP weighted-average outstanding shares plus dilutive potential shares outstanding during the period. That low end also reflects some impact of a resurgence in the U.S. Our technologies include the da Vinci surgical system and the Ion endoluminal system. INTUITIVE at 43rd Annual Goldman Sachs Global Healthcare Conference. So it's hard to time it out, and it doesn't time out over one or two quarters, it times out over years. Fourth-quarter revenue was in line with Intuitive Surgical's positive preannouncement earlier this month. And then given that it's cancer procedure, in some cases, it's a little bit longer follow-up. 3 min read. Another third works closely with customers in the field, and the remaining third have traditionally worked in lab and office environments. The Company placed 369 da Vinci Surgical Systems in the fourth quarter of 2022, compared with 385 systems in the fourth quarter of 2021. Long-term incentive plan expense relates to phantom share awards granted in China by the Companys Intuitive-Fosun joint venture to its employees that vest over four years and can remain outstanding for seven to ten years.