Intuitive Surgical Reports 17% Revenue Growth, Strong Earnings in Q3 2024

Intuitive Surgical, Inc. reported strong financial performance for the third quarter and the first nine months of 2024, with total revenue reaching $2,038.1 million for the three months ended September 30, 2024, a 17% increase from $1,743.7 million in the same period of 2023. For the nine months ended September 30, 2024, total revenue was $5,938.6 million, up 14% from $5,195.8 million in the prior year. Product revenue for the third quarter was $1,709.2 million, an increase from $1,450.8 million in 2023, driven by a notable rise in da Vinci surgical procedures and Ion procedures.

Gross profit for Q3 2024 was $1,373.9 million, representing 67.4% of total revenue, compared to $1,167.2 million (67%) in Q3 2023. Net income for the third quarter was $570.6 million, up from $419.8 million in the prior year, with net income attributable to Intuitive Surgical, Inc. at $565.1 million, compared to $415.7 million in Q3 2023. The net income per share for Q3 2024 was $1.59, compared to $1.18 in the same period last year.

The company’s total assets increased to $17,743.4 million as of September 30, 2024, from $15,441.5 million at the end of 2023. Total stockholders’ equity also rose to $15,677.5 million, up from $13,397.3 million. Cash and cash equivalents totaled $566.8 million, with total cash, cash equivalents, and investments amounting to $8.31 billion, an increase of $970 million from $7.34 billion at the end of 2023.

Intuitive Surgical's operational metrics showed a significant increase in da Vinci procedures, with approximately 670,000 procedures performed in Q3 2024, an 18% increase from 567,000 in Q3 2023. The installed base of da Vinci surgical systems grew to approximately 9,539 systems, a 15% increase from 8,285 systems a year earlier. The company placed 379 da Vinci surgical systems in Q3 2024, compared to 312 in the same period of 2023.

The company continues to face challenges, including macroeconomic factors such as inflation and geopolitical tensions, which may impact future performance. However, supply chain constraints have improved to pre-pandemic levels, and the company has not reported any significant disruptions in procedure volumes due to COVID-19 in 2024.

Strategically, Intuitive Surgical has focused on expanding its product offerings, including the recent launch of the da Vinci 5 surgical system, which features advanced technology and enhanced capabilities. The company also reported an increase in share-based compensation expenses, reflecting its ongoing commitment to employee equity plans.