Philip Kim, our head of investor relations, will not be joining on today's call as he's currently on paternity leave following the birth of his daughter. The compound annual growth rate between the fourth quarter of 2019 and the fourth quarter of 2021 was 6%. Customer adjustment of buying patterns will reduce I&A revenue per procedure. Jamie Samath Senior Vice President of Finance The stock split will take place after market close on October 5th, 2021. Lockdowns decrease patient mobility and willingness to go get their tests and then hospitalization diminishes ICU capacity. That says that we're not putting out more capital than folks need, even though it's been healthy capital quarters, it means our customers are getting good benefit out of what they're using those systems for. And U.S. general surgery, in particular, performed well. So it's hard to time it out, and it doesn't time out over one or two quarters, it times out over years. That concludes our prepared comments. What was the second part of your question again, Larry? We know that new system placements are closely tied to anticipated procedure volumes and system utilization in mature markets. The outlook we are providing on today's call does not reflect risks associated with a significant increase in COVID-related hospitalizations in relation to the Delta variant or other potential new variants. 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 intangible asset charges, re-measurement of contingent consideration, 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. Thanks for taking the question. We are building tools and capabilities that allow hospital departments and departments of surgery to manage their program and look across programmatics for efficiency, for learning, for outcomes, and these things interlink. Investor's Business Daily . The split must be approved by the shareholders but this is merely a formality. Intuitive Surgical Investor Relations. Research consulting in a firm with a clear vision to commercialize the neurotechnology industry at scale. . Just to be clear on your answer to Tycho's question. INTUITIVE SURGICAL, INC.-14.33%: 79 654: BOSTON . Leasing as a percentage of total sales lag has and will continue to fluctuate with customer and geographic mix. Intuitive Surgical, Inc. ISRG recently announced preliminary results for fourth-quarter and full-year 2021. BSD Medical Corporation Medtronic Ethicon Endo-Surgery Olympus Corporation Siemens Healthcare Intuitive Surgical . 3.5 Leading Players of Laparoscopy Surgical Robotic System and Consumables by Type in 2021 3.6 Conclusion of Segment by . From a U.S. perspective, I think it's early, and I think we're simply acknowledging the risk. And I have one follow-up. The year-over-year increase in I&A revenue per procedure reflects increased usage of our advanced instruments, partially offset by the impact of extended use instruments. 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. And we also see, I think, increased patient confidence is a function of the improving vaccination rates. Thank you for joining us today. It is in fact a physically taxing procedure, as Gary described. We did not repurchase any shares in the quarter. The call will be webcast by Nasdaq OMX and can be accessed on Intuitives website at www.intuitive.com or by dialing (877) 692-8955 using the access code 5830756. Da Vinci systems offer surgeons high-definition 3D vision, a magnified view, and robotic and computer assistance. (1) Services revenue includes the effect of the following item: (2) Selling, general and administrative includes the effect of the following item: (3) Income from operations includes the effect of the following item: (4) Interest and other income, net includes the effect of the following item: (5) Income tax expense includes the effect of the following items: Excess tax benefits related to share-based compensation arrangements. The call will be webcast by Nasdaq OMX and can be accessed on Intuitives website at www.intuitive.com or by dialing (844) 867-6169 using the access code 525958. Are you seeing any impact thus far? Copyright 2023 Intuitive Surgical. Each quarter on these calls, we highlight certain recently published studies that we deem to be notable. 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. We expect these programs to continue their ramp as our labs and development programs recover efficiency. . Intuitive Surgical's Q3 2021 adjusted earnings per share (EPS) is expected to be $1.22 per Trefis analysis, slightly above the consensus estimate of $1.17. So energy and stapling and other things, we think that is possible. While there is likely some amount of backlog that has not yet been addressed, it is difficult to estimate the extent of the remaining backlog and when it will affect future procedure growth. We are developing and deploying technology-enabled ecosystems to support our customers' pursuit of the Quadruple Aim, better outcomes, better patient experiences, better care team experiences, and lower total cost to treat per patient episode. Unrealized gain (loss) - net of tax expense (recovery) effect of $347 and $37 for the three months ended December 31, 2022 and 2021, respectively; ($859) and $(354) for the six months ended . 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. Yes. In the quarter, we completed a number of placements with larger IDNs that prefer to purchase rather than lease product. These forward-looking statements should be considered in light of various important factors, including, but not limited to, the following: the overall macroeconomic environment, which impacts customer spending and the Companys costs, including increased inflation and interest rates, the conflict in Ukraine, disruption to the Companys supply chain, including increased difficulties in obtaining a sufficient supply of materials in the semiconductor and other markets, the risk that the COVID-19 pandemic could lead to material delays and cancellations of, or reduced demand for, procedures; curtailed or delayed capital spending by hospitals; closures of the Companys facilities; delays in surgeon training; delays in gathering clinical evidence; delays in obtaining new product approvals, clearances, or certifications from the U.S. Food and Drug Administration (FDA), comparable regulatory authorities, or notified bodies; diversion of resources to respond to COVID-19 outbreaks; the impact of global and regional economic and credit market conditions on healthcare spending; the risk of the Companys inability to comply with complex FDA and other regulations, which may result in significant enforcement actions; regulatory approvals, clearances, certifications, and restrictions or any dispute that may occur with any regulatory body; guidelines and recommendations in the healthcare and patient communities; healthcare reform legislation in the U.S. and its impact on hospital spending, reimbursement, and fees levied on certain medical device revenues; changes in hospital admissions and actions by payers to limit or manage surgical procedures; the timing and success of product development and market acceptance of developed products; the results of any collaborations, in-licensing arrangements, joint ventures, strategic alliances, or partnerships, including the joint venture with Shanghai Fosun Pharmaceutical (Group) Co., Ltd.; the Companys completion of and ability to successfully integrate acquisitions, including Opheus Medical; procedure counts; intellectual property positions and litigation; competition in the medical device industry and in the specific markets of surgery in which the Company operates; risks associated with the Companys operations and any expansion outside of the United States; unanticipated manufacturing disruptions or the inability to meet demand for products; the Companys reliance on sole and single source suppliers; the results of legal proceedings to which we are or may become a party, including but not limited to product liability claims; adverse publicity regarding us and the safety of the Companys products and adequacy of training; the impact of changes to tax legislation, guidance, and interpretations; changes in tariffs, trade barriers, and regulatory requirements; and other risks and uncertainties. The difference in the number of subjects reporting the need for prescription pain medication favored the robotic-assisted group in both comparisons." 06/14/22 - 1:20 PM PDT. We rolled out the extended use instruments in Europe and the U.S. back in the fourth quarter. Again, if you look across that two-year period, try to look through the pandemic kind of ups and downs, what we're seeing is that procedure demand is there. So when we talk about My Intuitive, that really is putting the power of interaction and data at the surgeon level in their hands or at the robotics coordinator level in their hands. Outside the U.S., we placed 115 systems in the second quarter, compared with 72 in the second quarter of 2020 and 108 systems last quarter. We recognized $26 million of lease buyout revenue in the second quarter, compared with $9 million last year and $19 million last quarter. It flows from respect for and understanding of patients and care teams, their needs, and their environment. . Good afternoon. Good afternoon. The Company believes these non-GAAP financial measures are useful to investors, because (1) they allow for greater transparency with respect to key metrics used by management in its financial and operational decision-making, and (2) they are used by institutional investors and the analyst community to help them analyze the performance of the Companys business. The study contains 371 patients that underwent an incisional hernia repair procedure across 17 institutions within the United States between May 2016 and September 2019. To change your e-mail options at So that's a multi-quarter conversation. 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. At the time you receive a -- by the time you're at -- that market penetration rates that are significant. Ladies and gentlemen, thank you for standing by and welcome to the Intuitive Q4 2021 Earnings Release Call. Keep up-to-date with changes . 3 min read. Fourth quarter 2022 systems revenue decreased by 4% to $451 million, compared with $470 million in the fourth quarter of 2021. Our technologies include the da Vinci surgical system and the Ion endoluminal system. The painful part is the investment troughs are deep in the early and middle years of those product cycles. I will now turn to our financial outlook for 2021. Feb 2021 - Jun 2021 5 months Advised and supported life science entrepreneurs through market validation, regulatory, reimbursement, intellectual property, investor narrative, and talent . In Europe, the impact of COVID in the second quarter of 2021 varied regionally with slower recovery in Italy and France, while we saw early stages of a recovery in the U.K. And we're building into the broader digital ecosystem for SP. See www.intuitive.com/trademarks. Copyright 2023 Intuitive Surgical. Gosh, that's awfully encouraging sounding. 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. It last split in October of 2017. Jamie, anything? Data Provided by Refinitiv. J Global Clinical Engineering, Special Issue 4, 2021 - Proceedings IV ICEHTMC 2021 - ISSN 2578 2762 1 dicembre 2021 . An investor who invested $10,000 in Warren Buffett's hedge fund at the beginning of 1957 saw his capital turn into $103,000 before fees and $64,100 after fees (this means Warren Buffett made . Shares of Intuitive Surgical jumped as much as 9.8% on Wednesday to a record high of $891.15 after the robotic surgery company crushed first quarter earnings. The Company placed 369 da Vinci Surgical Systems, a decrease of 4% compared with 385 in the fourth quarter of 2021. And recently, we've had a series of very encouraging conversations on the adoption of bariatrics, very encouraging. A contribution to the Intuitive Foundation reduced fourth quarter 2021 GAAP and non-GAAP* income from operations by $30 million. Phone: 408-523-2161 We're OK. We're not frightened of that. Listen to Webcast. A reconciliation between our pro forma and GAAP results is posted on our website. So first question for me is just trying to dissect your procedure results a little bit more because some really interesting comments, that you saw strength in benign cases, some catch-up cases. User Experience for digital health innovations:<br>I work with startups and corporations and design user-centered products, services, and digital business models. We placed 20 Ion systems in the quarter, bringing the installed base to 70 systems. Accordingly, they are subject to significant volatility based on the performance of these metrics and are not tied to performance of the Companys business within the period. The increase in cash in the second quarter primarily reflected cash from operations and stock exercises. Current page 1; Page 2; Page 3; . J.P. Morgan Healthcare Conference 2023 Presentation 4.2 MB. *Stock Advisor returns as of June 7, 2021. any time, re-enter your e-mail address and click Submit, then adjust your form entries. We are refining our estimate and expect our full-year pro forma operating expense growth to be between 17% and 21%. The compound annual revenue growth rate between the second quarters of 2019 and 2021 was 15%. Just so really speaking backward-looking, so far, so good. Current quarter system placements included 63 into Europe, 16 into Japan, and 19 into China, compared with 18 into Europe, 18 into Japan, and 21 into China in the second quarter of 2020. Moving on to capital placements. Our fully integrated advanced instruments portfolio has been a strong addition to our multiport ecosystem, allowing for high-quality tissue interaction controlled from the surgeon's console while optimizing workflow. And I kind of articulated what those were, travel and so forth. Macroeconomic conditions created by COVID could regionally impact hospital capital spending. Presenter SpeechKari Krogstad Okay. Jamie, in his commentary, said that a lot of those procedures are benign procedures, many of them are shorter duration than longer or more complex disease states. Finally, our team is making good progress in scaling our operations. Just a couple of comments. Please go ahead. 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." My Intuitive allows surgeons and care team members to access their data, to manage their profile, their learning, and otherwise interact with Intuitive through an easy-to-use mobile app in the palm of their hand. And I'm actually curious more what's going on with service and software at the hospitalwide kind of department of surgery level. That's helpful, Gary. These forward-looking statements are necessarily estimates reflecting the best judgment of the our management and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. On a constant currency basis, fourth quarter 2022 revenue increased 10% compared to the fourth quarter of 2021. Intuitive Surgical didn't offer an outlook for 2021. I think all of us know, and we, as consumers know that customers like choice, perfectly fair. Thirty-eight percent of systems placed in the second quarter involved trade-ins, which is lower than the 40% last year and the 44% last quarter. Second-quarter spending was below our expectations due to activities restricted by COVID, including clinical development, marketing events, and travel costs. You have to do it. And as competition progresses in various markets, we will likely experience longer selling cycles and price pressures. I will describe the highlights of our performance on a non-GAAP or pro forma basis. Long-term incentive plan expense relates to phantom share awards granted in China by the Companys joint venture, Shanghai Fosun Pharmaceutical (Group) Co., Ltd., to its employees that vest over four years and can remain outstanding for seven to ten years.