Core Insights - Intuitive Surgical, Inc. reported $2.44 billion in revenue for the quarter ended June 2025, marking a year-over-year increase of 21.4% and an EPS of $2.19 compared to $1.78 a year ago, exceeding Zacks Consensus Estimate of $2.35 billion by +3.93% [1] - The company delivered an EPS surprise of +14.06%, with the consensus EPS estimate being $1.92 [1] Financial Performance Metrics - The installed base of the Da Vinci Surgical System reached 10,488, surpassing the four-analyst average estimate of 10,427 [4] - Revenue from products (instruments, accessories, and systems) was $2.05 billion, exceeding the $1.96 billion average estimate based on seven analysts, representing a +21% year-over-year change [4] - Revenue from services was $391.2 million, compared to the estimated $368.86 million, reflecting a +23.3% change year-over-year [4] - Revenue from systems was $574.7 million, exceeding the estimated $516.21 million, with a +28.2% year-over-year change [4] - Revenue from instruments and accessories was $1.47 billion, slightly above the estimated $1.44 billion, representing an +18.5% year-over-year change [4] Stock Performance - Shares of Intuitive Surgical have returned +0.2% over the past month, while the Zacks S&P 500 composite has changed by +5.9% [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential outperformance against the broader market in the near term [3]

Core Insights - Intuitive Surgical, Inc. (ISRG) is expected to report quarterly earnings of $1.92 per share, a 7.9% increase year-over-year, with revenues projected at $2.35 billion, reflecting a 16.8% year-over-year growth [1] Earnings Estimates - The consensus EPS estimate has been revised upward by 0.1% in the last 30 days, indicating analysts' reassessment of their initial estimates [2] - Changes in earnings estimates are crucial for predicting investor reactions, as empirical research shows a strong correlation between earnings estimate revisions and short-term stock performance [3] Revenue Forecasts - Analysts forecast 'Revenue- Product (Instruments and accessories and Systems)' to reach $1.96 billion, a 15.7% increase from the previous year [5] - The consensus estimate for 'Revenue- Services' is $368.86 million, suggesting a 16.3% year-over-year change [5] - 'Revenue- Systems' is expected to reach $516.21 million, indicating a 15.2% increase year-over-year [5] Unit and Procedure Estimates - The average prediction for 'Revenue- Instruments and accessories' is $1.44 billion, reflecting a 15.9% increase from the prior year [6] - Analysts estimate 'Total System Units Placed - Total Company' at 395, up from 341 in the same quarter last year [6] - The estimated 'Total Number of Procedures' is 771,122, compared to 661,000 a year ago [7] - The 'Da Vinci Surgical System Installed Base' is projected to be 10,427, up from 9,203 year-over-year [7] - 'Total System Units Placed - Outside of the United States' is expected to reach 184, down from 192 year-over-year [7] - 'Total System Units Placed - United States' is estimated at 211, compared to 149 in the same quarter last year [8] Profit and Cost Estimates - The consensus for 'Gross profit- Service' is $245.26 million, up from $219.50 million in the same quarter last year [8] - Analysts project 'Cost of revenue- Service' to reach $118.34 million [8] Stock Performance - Over the past month, shares of Intuitive Surgical have returned +0.6%, while the Zacks S&P 500 composite has changed +4.2% [9] - ISRG currently holds a Zacks Rank 2 (Buy), indicating potential outperformance in the near future [9]

Financial Data and Key Metrics Changes - First quarter revenue was $2.25 billion, a 19% increase year-over-year, with constant currency growth at 20% [45][46] - Pro forma gross margin for Q1 was 66.4%, down from 67.6% in the previous year, primarily due to higher facility costs and a greater mix of lower-margin products [54] - Pro forma net income for Q1 was $662 million, or $1.81 per share, compared to $541 million, or $1.50 per share, in the same quarter last year [58][59] Business Line Data and Key Metrics Changes - Da Vinci procedure growth was 17%, with a 15% increase in the installed base of Da Vinci systems [38][39] - ION procedures grew 58% to approximately 31,000 in the quarter, with 49 ION systems placed [50][51] - SP procedure growth accelerated to 94%, driven by strong growth in the U.S. and international markets [28][52] Market Data and Key Metrics Changes - U.S. procedures grew 13%, with notable strength in benign general surgery, while OUS procedures grew 24%, driven by markets like India and Korea [40][41] - Capital placements included 367 systems, a 17% increase from the previous year, with 204 systems placed in the U.S. [42][43] - The U.S. capital environment remains strong, while OUS markets face constraints due to government budget limitations [72][74] Company Strategy and Development Direction - The company is focused on the full launch of Da Vinci 5 and increasing adoption of its products through training and market access efforts [29][30] - Plans to optimize production costs and adjust supply chain strategies in response to changing trade policies [10][11] - Continued investment in R&D and innovation to drive long-term growth and improve product quality [57] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term demand for minimally invasive care despite current trade policy uncertainties [11] - The company raised its full-year 2025 procedure growth forecast to a range of 15% to 17% [61] - Management acknowledged potential impacts from tariffs and government budget constraints on capital spending [63][64] Other Important Information - The company opened new manufacturing facilities in California to expand its U.S. manufacturing and R&D footprint [55] - Pro forma operating expenses increased by 12% compared to the previous year, driven by higher headcount and facility-related costs [57] Q&A Session Summary Question: Impact of tariffs on annualized basis - Management indicated that approximately half of the tariff impact is from U.S.-China trade, with the impact expected to increase each quarter [68][69] Question: Capital environment comparison to previous years - Management noted strong customer response to Da Vinci 5 and a relatively strong capital environment in the U.S., while OUS markets face budget constraints [71][72] Question: Inclusion of European reciprocal tariffs in estimates - Management confirmed that the 1.7% estimate includes anticipated European tariffs and emphasized a cautious approach to mitigating tariffs [79][80] Question: Confidence in raising procedure volume forecast - Management cited strong Q1 performance and positive customer feedback as reasons for the early forecast increase [86][87] Question: Drivers of robust OUS growth - Management highlighted strong growth in early-stage markets like India and Taiwan, as well as solid performance in the UK [100][101] Question: After-hours surgery and cardiac surgery growth - Management discussed the importance of after-hours surgery for patient access and the growing interest in cardiac surgery as a viable option for minimally invasive procedures [114][116] Question: Force feedback technology usage and clinical strategy - Management provided insights on the current use of force feedback instruments and the ongoing studies to validate this technology [120][124]

Core Insights - Intuitive Surgical, Inc. reported a revenue of $2.25 billion for the quarter ended March 2025, reflecting a year-over-year increase of 19.2% [1] - The earnings per share (EPS) for the quarter was $1.81, up from $1.50 in the same quarter last year, indicating a positive growth trend [1] - The reported revenue exceeded the Zacks Consensus Estimate of $2.18 billion by 3.27%, and the EPS also surpassed the consensus estimate of $1.71 by 5.85% [1] Financial Performance Metrics - The installed base of the Da Vinci Surgical System reached 10,189, slightly below the four-analyst average estimate of 10,194 [4] - Revenue from products (instruments, accessories, and systems) was $1.89 billion, exceeding the seven-analyst average estimate of $1.55 billion, with a year-over-year growth of 19.9% [4] - Revenue from services amounted to $363 million, surpassing the seven-analyst average estimate of $356.83 million, representing a year-over-year increase of 15.8% [4] - Revenue from systems was reported at $522.70 million, compared to the average estimate of $481.95 million, showing a year-over-year change of 25% [4] - Revenue from instruments and accessories reached $1.37 billion, slightly above the average estimate of $1.33 billion, with an 18% year-over-year increase [4] Stock Performance - Over the past month, shares of Intuitive Surgical have returned -7.9%, compared to a -8.9% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

In its upcoming report, Intuitive Surgical, Inc. (ISRG) is predicted by Wall Street analysts to post quarterly earnings of $1.71 per share, reflecting an increase of 14% compared to the same period last year. Revenues are forecasted to be $2.18 billion, representing a year-over-year increase of 15.4%.Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted upward by 0.2% to its current level. This demonstrates the covering analysts' collective reassessment of their initial project ...