your options for e-mail notification, please enter your e-mail address below and click It is in fact a physically taxing procedure, as Gary described. A couple of things. We have continued the launch of our My Intuitive app, including launching to first users in Europe. The compound annual revenue growth rate between the second quarters of 2019 and 2021 was 15%. But once you develop a really capable ecosystem, then it has a lot of platform use, and that investment can be recovered over time. Thank you for joining us today. Intuitive Announces Preliminary Fourth Quarter and Full Year 2021 We also believe that growth benefited from some procedures that were previously deferred due to delays in testing and patient concern over COVID. So I'd encourage those folks on the call, it's likely to be a comparison of ecosystems in delivering the Quad Aim over time. Contact Information. The Company ended the fourth quarter of 2022 with $6.74 billion in cash, cash equivalents, and investments, a decrease of $651 million during the quarter, primarily driven by share repurchases of $1 billion and capital expenditures, partially offset by cash generated from operations. Jamie will provide additional procedure commentary later in this call. Leasing as a percentage of total sales lag has and will continue to fluctuate with customer and geographic mix. The Company grew its da Vinci Surgical System installed base to 6,730 systems as of, Fourth quarter 2021 GAAP net income attributable to Intuitive was $381million, or, Fourth quarter 2021 non-GAAP* net income attributable to Intuitive was. To supplement its consolidated financial statements, which are prepared and presented in accordance with accounting principles generally accepted in the United States (GAAP), the Company uses the following non-GAAP financial measures: constant currency revenue, non-GAAP gross profit, non-GAAP income from operations, non-GAAP net income attributable to Intuitive Surgical, Inc., non-GAAP net income per diluted share attributable to Intuitive Surgical, Inc. (EPS), and non-GAAP diluted shares outstanding. Presentation: Operator. The Motley Fool has a disclosure policy. We continue to operate in a challenging supply chain environment and have experienced longer lead times and delayed deliveries from our suppliers. So it's not a scientific study, just my view. Thanks for taking the question. Listen to Webcast. Most of our offices globally are reopening with this hybrid approach. 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. Examining procedure trends more deeply. Utilization of clinical systems in the field, measured by procedures per system, increased approximately 55% compared with last year and increased 11% compared with last quarter. Fourth quarter 2022 GAAP income from operations also included litigation charges of $21million. It flows from respect for and understanding of patients and care teams, their needs, and their environment. So we don't really call them out as individual revenue lines. Or is this simply and primarily just something about the pandemic accelerating the use of da Vinci and robotics surgery broadly? INTUITIVE SURGICAL, INC.-13.55%: 80 376: BOSTON SCIENTIFIC CORPORATION: 1.19%: 67 033: SIEMENS . Let me start with why I think it's adopting, and I'm going to turn to Jamie as to where -- what inning of the baseball game are we in, I'll let Jamie take that. Please go ahead, sir. your options for e-mail notification, please enter your e-mail address below and click Turning to our single-port system. Intuitive | ISRG for Investors You may automatically receive Intuitive Surgical financial information by e-mail. Bob Hopkins -- Bank of America Merrill Lynch -- Analyst. As customers continue to upgrade to fourth-generation capabilities, the population of installed SIs is decreasing, particularly in the U.S. were 110 trade-ins were completed in the second quarter, leaving an installed base of SIs of approximately 500 systems. That will play out over the next several quarters as we accrue patients. Contents: Prepared Remarks; Questions and Answers; Call Participants; Prepared Remarks: Operator. To make the world smarter, happier, and richer. We rolled out the extended use instruments in Europe and the U.S. back in the fourth quarter. I've had the privilege of seeing Intuitive develop the use of robotics in multiple clinical indications over the years. Later we will have a question-and-answer session. Or is it too early, and you're just saying that might happen in the future? Laparoscopy Surgical Robotic System and Consumables Market [2023-2030 A reconciliation between our pro forma and GAAP results is posted on our website. Fourth quarter 2022 non-GAAP* net income attributable to Intuitive Surgical, Inc. was $439 million, or $1.23 per diluted share, compared with $473 million, or $1.29 per diluted share, in the fourth quarter of 2021. Incredible returns through ups and downs. Those things are ongoing now. Without excluding these tax effects, investors would only see the gross effect that these non-GAAP adjustments had on the Companys operating results. I think they are ecosystem enablers and can result in very high customer satisfaction when done well. Yes. Looking to our finances in the quarter. INTUITIVE SURGICAL, INC.UNAUDITED QUARTERLY CONDENSED CONSOLIDATED STATEMENTS OF INCOME(IN MILLIONS, EXCEPT PER SHARE DATA), INTUITIVE SURGICAL, INC.UNAUDITED TWELVE MONTHS ENDED CONDENSED CONSOLIDATED STATEMENTS OF INCOME(IN MILLIONS, EXCEPT PER SHARE DATA), INTUITIVE SURGICAL, INC.UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS(IN MILLIONS), INTUITIVE SURGICAL, INC.UNAUDITED RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES(IN MILLIONS, EXCEPT PER SHARE DATA), Contact: Investor Relations(408) 523-2161. Today's press release and supplementary financial data tables have been posted to our website. But can you maybe just talk through the thought process there and how you're thinking about any potential risks in the back half of the year from the variant cases? Just on the recent spread of COVID and variants and the potential impact on demand and hospitals' ability to do procedures, are you starting to see that impact now? 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. Product and brand names/logos are trademarks or registered trademarks of Intuitive Surgical or their respective owner. How close we are to maybe seeing something that you can monetize? Fourth quarter 2022 non-GAAP* income from operations decreased to $530 million, compared with $583 million in the fourth quarter of 2021. Our installed base of SP Systems is now 79: eight in Korea and 71 in the U.S. We completed first cases associated with a U.S. colorectal clinical trial in the second quarter. And so we're going to continue to invest. I think our customers will take their time to evaluate new things as they go. All of that, to me, indicates that the business feels in balance. Jamie, I'll let you take it from there. So energy and stapling and other things, we think that is possible. These programs together trained over 2,200 care team members in the quarter, showing organizational strength and localizing programs, and responding with agility to pandemic-influenced demand. Looking at the past eight quarters in context, our compound annual growth rate for procedures for the period Q2 2019 through Q2 2021 of 16.5% is approximately the growth we would have expected absent the pandemic. We placed four SP systems in the quarter, bringing the total installed base to 79. While there continues to be COVID hotspots within some of our Asia Pacific markets, overall procedures in the region performed well. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. Gary, a separate topic. Intuitive Surgical, Inc. (Nasdaq:ISRG), headquartered in Sunnyvale, Calif., is the pioneer and a global technology leader in robotic-assisted, minimally invasive surgery. Our actual gross profit margin will vary quarter to quarter depending largely on product, regional, and trade-in mix, the impact of product cost reductions, and manufacturing efficiencies and pricing pressure. Our flexible robotics program, first targeted toward diagnostic bronchoscopy, has had a strong quarter. Intangible asset charges consist of non-cash charges, such as the amortization of intangible assets as well as in-process R&D charges. Richard Wolf GmbH 10.6 . The Company placed 369 da Vinci Surgical Systems in the fourth quarter of 2022, compared with 385 systems in the fourth quarter of 2021. Health . The authors concluded in part, "When compared to open, the robotic-assisted surgery group is associated with a comparable operative time, shorter length of stay and lower reoperation rate through 30 days. Some of them are included in our service contracts, some of them are on a per-use basis. 2022 Proxy Statement 36.4 MB. And we expect those to come back as COVID goes away and the restrictions on travel and the restrictions on other activities go away. A couple of things I'd say. Through ingenuity and intelligent technology, we expand the potential of physicians to heal without constraints. COVID had a significant impact on da Vinci procedure volumes in the second quarter of 2020. In addition, the components of the costs that the Company excludes in its calculation of non-GAAP net income attributable to Intuitive Surgical, Inc. and non-GAAP EPS may differ from the components that its peer companies exclude when they report their results of operations. The Company presents constant currency revenue to provide a framework for assessing how our underlying business performed excluding the effect of foreign currency fluctuations. Copyright 2023 Intuitive Surgical. 2021 Proxy Statement - Special Meeting 224.6 KB. I think all of us know, and we, as consumers know that customers like choice, perfectly fair. The Company undertakes no obligation to publicly update or release any revisions to these forward-looking statements, except as required by law. We believe value creation in surgery and acute care is foundationally human. SP procedures grew 133% year over year, with much of that growth coming from the United States. Intuitive Surgical, Inc.Which belongs to the Zacks Medical - Instruments industry, posted revenues of $1.29 billion for the quarter ended March 2021, surpassing the Zacks Consensus Estimate by 16. . And as we've said in the past, if we can bring the right system with the right instruments, the right imaging, and the right usability, the right ease of use, we think that surgeons will care. System placements in the quarter reflected procedure growth and hospitals upgrading to -- in order to access or standardize on fourth-generation capabilities. 2 Reasons to Avoid a Roth 401(k) for Your Retirement Savings, Warren Buffett's Latest $2.9 Billion Buy Brings His Total Investment in This Stock to $66 Billion in 4 Years, Want $1 Million in Retirement? Turning to our innovation and commercialization efforts. Growth in our second largest market, China, continued to be strong with multiple specialties contributing. Intuitive Surgical's Q1 2021 adjusted earnings per share is expected to be $2.72 per Trefis analysis, over 3% above the consensus estimate of $2.63. (2) Selling, general and administrative includes the effect of the following items: One-time tax benefit from re-measurement of certain deferred tax assets, Discrete tax expense arising from the conclusion of a tax matter, Gains on strategic investments, net of tax, Accounts payable and other accrued liabilities, Total liabilities and stockholders equity, Adjustments attributable to noncontrolling interest in joint venture. Research consulting in a firm with a clear vision to commercialize the neurotechnology industry at scale. Lastly, we continue to digitally enhance our ecosystem. Macroeconomic conditions created by COVID could regionally impact hospital capital spending. Our SEC filings can be found through our website or at the SEC's website. Intuitive will hold a teleconference at 1:30 p.m. PDT today to discuss the fourth quarter 2022 financial results. There are a number of limitations related to the use of non-GAAP measures versus measures calculated in accordance with GAAP. The pandemic is not behind us, and additional infection growth may again strain hospital resources and impact our results in the future. We heard your comments, but just kind of thinking a little bit longer-term than just the next couple of quarters. Intuitive Announces Fourth Quarter Earnings, www.intuitive.com/en-us/products-and-services/ion, Less: net income (loss) attributable to noncontrolling interest in joint venture. To choose your options for e-mail notification, please enter your e-mail address below and click Submit . To understand our system placement and capital performance over this period, we look to annual system utilization trends, which have recovered to utilization rates at the high end of our historical averages. Intuitive Surgical Inc (NASDAQ: ISRG) Q2 2021 earnings call dated Jul. Go ahead, Mr. Hopkins. We ended the quarter with cash and investments of $7.7 billion, compared with $7.2 billion last quarter. What was the second part of your question again, Larry? . We launched our Force bipolar energy instrument along with our extended use instruments program in Japan, and we launched our SynchroSeal energy instrument and E-100 energy generator in Korea. We are in the execution and launch phase of four efforts. User Experience for digital health innovations:<br>I work with startups and corporations and design user-centered products, services, and digital business models. Gross profit, income from operations, net income attributable to Intuitive Surgical, Inc., net income per diluted share attributable to Intuitive Surgical, Inc., and diluted shares are reported on a GAAP and non-GAAP* basis. Now turning to the clinical side of our business. 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. Customer appreciation and recurring use of our products has been growing nicely. The Safety Communication issued on August 20, 2021 by the FDA, is specific to the use and study of robotic-assisted surgery in mastectomy. All Rights Reserved. And regarding the backlog, how do you know there was catch-up and why won't that continue for the next few quarters? Find the latest Intuitive Surgical, Inc. (ISRG) stock quote, history, news and other vital information to help you with your stock trading and investing. In addition, COVID delayed some R&D work, resulting in underspend on prototypes. Based in Sunnyvale, California. Montreal, Quebec, Canada. ET. Second-quarter revenue reflected growth in both procedures and system placements. But I don't have scientific evidence. And the capital to support that demand has not run ahead of the procedure demand. Q2 2022 INTUITIVE Earnings Conference Call. The Company grew its da Vinci Surgical System installed base to 7,544 systems as of, Fourth quarter 2022 GAAP net income attributable to Intuitive was, Fourth quarter 2022 non-GAAP* net income attributable to Intuitive was. Fourth quarter 2021 instruments and accessories revenue increased by 13% to $843million, compared with $747million in the fourth quarter of 2020, primarily driven by approximately 19% growth in da Vinci procedure volume, partially offset by stocking orders in the prior year associated with the Companys launch of Extended Use Instruments. [Inaudible] on a nice quarter. And I'd just be curious to -- since you all are calling it out repeatedly as an important incremental growth driver, where are we now, in your view, in that, I'm sure, multiyear, long-term adoption process? Customer adjustment of buying patterns will reduce I&A revenue per procedure. Fourth quarter 2021 systems revenue increased by 28% to $470million, compared with $367million in the fourth quarter of 2020. 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." This MMR report includes investor recommendations based on a thorough examination of the Thoracic Surgery Market's contemporary competitive scenario. Intuitive Announces Fourth Quarter Earnings | Intuitive Surgical Our digital learning programs continue to be an important part of our overall learning initiatives. It's hard to have a precise measure on it. And so we'll see over time, we'll be able to measure a little bit better over time, and we'll monitor it. Colorectal growth was strong, with solid growth in malignant hysterectomy, thoracic, and prostatectomy procedures. The Motley Fool owns shares of and recommends Intuitive Surgical. 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. Fourth quarter 2022 non-GAAP* net income attributable to Intuitive Surgical, Inc. was $439 million, or $1.23 per diluted share, compared with $473 million, or $1.29 per diluted share, in the fourth quarter of 2021. Please go ahead, sir. - Received full travel grant to attend Google I/O 2019.