Intuitive Surgical Inc (ISRG) Q3 2024 Earnings Call Highlights: Strong Revenue and Procedure ...
In This Article:
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Revenue: $2 billion, an increase of 17% from last year.
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Procedure Growth: 18% growth in da Vinci procedures.
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Installed Base Growth: 15% growth in da Vinci systems.
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System Utilization: 3% increase in overall da Vinci system utilization.
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System Placements: 379 da Vinci systems placed, including 110 da Vinci 5 systems and 21 SP systems.
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Gross Margin: 69.1% pro forma gross margin.
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Net Income: Pro forma net income of $669 million or $1.84 per share.
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Cash and Investments: $8.3 billion at the end of Q3.
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Operating Expenses: Increased 13% year-over-year.
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Ion Procedures: 73% growth to approximately 25,000 procedures.
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SP Procedure Growth: 70% growth with strong multi-specialty growth.
Release Date: October 17, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Intuitive Surgical Inc (NASDAQ:ISRG) reported a strong third quarter with 18% growth in da Vinci procedures, driven by general surgery in the US and contributions from Japan, Germany, France, and the UK.
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The company placed 379 da Vinci systems in the quarter, including 110 da Vinci 5 systems, indicating solid capital placements in key markets such as the US, Japan, and India.
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Revenue grew by 17% year-over-year, supported by da Vinci procedure growth, expansion of the installed base, and growth in the Ion business.
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Intuitive Surgical Inc (NASDAQ:ISRG) has been successful in expanding its global reach, with a five-year compound annual growth rate of 21% in Europe and 25% in Asia for procedures.
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The company has made significant advancements in digital tools, with nearly 3,000 da Vinci virtual reality simulators installed and over 14,000 active surgeon users of the My Intuitive app.
Negative Points
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Intuitive Surgical Inc (NASDAQ:ISRG) faces ongoing capital pressure in Europe and China, impacting system placements due to government budget constraints and domestic competition.
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The company is experiencing mixed market conditions in Asia, with procedure growth in South Korea below historical trends due to ongoing physician strikes.
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Despite strong growth, the company anticipates a decline in gross margins next year due to increased depreciation expenses from recent capital investments.
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The Ion platform, while showing strong growth, is still in the early stages of adoption outside the US, with initial placements just beginning in Europe and China.
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Intuitive Surgical Inc (NASDAQ:ISRG) is facing challenges in the Chinese market due to domestic robotic competition and provincial preferences for local competitors.