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isrg-20230111
0001035267false00010352672023-01-112023-01-11

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549 
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
  Date of Report (Date of earliest event reported): January 11, 2023
INTUITIVE SURGICAL, INC.
(Exact name of registrant as specified in its charter)
Delaware  000-30713  77-0416458
(State or other jurisdiction
of incorporation)		  (Commission File Number)  (I.R.S. Employer Identification No.)
1020 Kifer Road
Sunnyvale, California 94086
(Address of principal executive offices) (zip code)
   Registrant’s telephone number, including area code: (408) 523-2100
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Title of each class Trading Symbol(s) Name of each exchange on which registered
Common Stock, par value $0.001 per share ISRG The Nasdaq Global Select Market
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐  



Item 2.02.Results of Operations and Financial Condition.
On January 11, 2023, Intuitive Surgical, Inc. (“Intuitive”) issued a press release announcing certain unaudited preliminary fourth quarter and full year 2022 financial results. A copy of the press release is furnished hereto as Exhibit 99.1.
Additional unaudited preliminary revenue and procedure information is provided in the tables attached hereto as Exhibit 99.2, which has also been posted to the Investor Relations section of the Intuitive website at: https://isrg.gcs-web.com/.
The information in this Current Report on Form 8-K, including Exhibits 99.1 and 99.2, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities under that section and shall not be deemed to be incorporated by reference into any filing of Intuitive under the Securities Act of 1933, as amended, or the Exchange Act.
Item 9.01.Financial Statements and Exhibits.
(d) Exhibits.
The following exhibits are furnished with this report on Form 8-K:
Exhibit No.  Description
99.1
99.2
104Cover Page Interactive Data File (embedded within the Inline XBRL document).



SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
    INTUITIVE SURGICAL, INC.
    
Date: January 11, 2023 By: /s/ Jamie E. Samath
        
     Name: Jamie E. Samath
        
Title: Senior Vice President and Chief Financial Officer
Document

Exhibit 99.1
Contact: Investor Relations
(408) 523-2161
INTUITIVE ANNOUNCES PRELIMINARY
FOURTH QUARTER AND FULL YEAR 2022 RESULTS
SUNNYVALE, CALIF. January 11, 2023 – Intuitive (the “Company”) (Nasdaq: ISRG), a global technology leader in minimally invasive care and the pioneer of robotic-assisted surgery, today announced certain unaudited preliminary fourth quarter and full year 2022 financial results ahead of its presentation at the 41st Annual J.P. Morgan Healthcare Conference on January 11, 2023.
Financial and Operational Highlights
•Fourth quarter 2022 worldwide da Vinci procedures grew approximately 18% compared with the fourth quarter of 2021. The fourth quarter of 2022 reflected a resurgence in COVID-19 in China, which negatively impacted procedure volumes in the region. The fourth quarter of 2021 reflected COVID-19 disruptions later in the quarter in the U.S. and Europe, which also impacted the Company’s procedures. The compound annual growth rate between the fourth quarter of 2019 and the fourth quarter of 2022 was approximately 14%.
•Full year 2022 worldwide da Vinci procedures grew approximately 18% compared with 2021. The compound annual growth rate between the full year of 2019 and the full year of 2022 was approximately 15%. The Company expects worldwide da Vinci procedures to increase approximately 12% to 16% in 2023 as compared to 2022.
•The Company placed 369 da Vinci Surgical Systems in the fourth quarter of 2022, a decrease of 4% compared with 385 in the fourth quarter of 2021. The Company placed 1,264 da Vinci Surgical Systems in 2022, a decrease of 6% compared with 1,347 systems in 2021.
•Preliminary fourth quarter 2022 revenue of approximately $1.66 billion increased 7% compared with $1.55 billion in the fourth quarter of 2021. Preliminary 2022 revenue of approximately $6.22 billion increased 9% compared with $5.71 billion in 2021.
Preliminary Results
The Company expects fourth quarter 2022 revenue of approximately $1.66 billion, an increase of 7% compared with $1.55 billion in the fourth quarter of 2021. The Company expects 2022 revenue of approximately $6.22 billion, an increase of 9% compared with $5.71 billion in 2021. The unaudited results in this press release are preliminary and subject to the completion of the Company’s final closing procedures and annual independent audit and, therefore, are subject to adjustment.
Preliminary fourth quarter 2022 instruments and accessories revenue increased by 12% to approximately $941 million, compared with $843 million in the fourth quarter of 2021, primarily driven by growth in da Vinci procedure volume, partially offset by customer buying patterns and foreign currency impacts. Preliminary full year 2022 instruments and accessories revenue increased by 13% to approximately $3.52 billion, compared with $3.10 billion for 2021, primarily driven by growth in da Vinci procedure volume, partially offset by foreign currency impacts and customer buying patterns in 2022 and the benefit of stocking orders in 2021 associated with the launch of the Company’s Extended Use Program.
Fourth quarter 2022 da Vinci procedures increased approximately 18% compared with the fourth quarter of 2021. In 2022, approximately 1,875,000 surgical procedures were performed with da Vinci Surgical Systems, an increase of approximately 18% compared with approximately 1,594,000 surgical procedures performed with da Vinci Surgical Systems in 2021. The growth in the Company’s overall procedure volume in 2022 was primarily driven by growth in U.S. general surgery procedures and outside of the U.S. cancer procedures. The Company expects worldwide da Vinci procedures to increase approximately 12% to 16% in 2023.
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Preliminary fourth quarter 2022 systems revenue decreased by 4% to approximately $451 million, compared with $470 million in the fourth quarter of 2021. Preliminary full year 2022 systems revenue decreased by 1% to approximately $1.68 billion, compared with $1.69 billion in 2021. The Company placed 369 da Vinci Surgical Systems in the fourth quarter of 2022, compared with 385 systems in the fourth quarter of 2021. The fourth quarter 2022 system placements included 154 systems placed under operating lease and usage-based arrangements, compared with 143 systems in the fourth quarter of 2021. The Company placed 1,264 da Vinci Surgical Systems in 2022, compared with 1,347 systems in 2021. The 2022 system placements included 492 systems placed under operating lease and usage-based arrangements, compared with 517 systems in 2021.
Impact of COVID-19 Pandemic
During 2022, the impact of the COVID-19 pandemic on the Company’s business has differed by geography and region. During the first half of 2022, the Company saw COVID-19 resurgences impact da Vinci procedure volumes in the U.S. and Europe followed by recoveries. During the second half of 2022, the Company saw COVID-19 resurgences impact da Vinci procedure volumes in China. COVID-19 has had, and may continue to have, an adverse impact on the Company’s procedure volumes.
Commenting on the announcement, Intuitive CEO Gary Guthart said, “Our customers continued to grow their adoption of our training, products, and services in the fourth quarter and for the full year. We remain focused on supporting our customers’ drive to improve the quadruple aim in acute interventions.”
Additional unaudited preliminary revenue and procedure information has been posted to the Investor Relations section of the Intuitive website at: https://isrg.gcs-web.com/.
The Company is scheduled to present at the 2023 J.P. Morgan Healthcare Conference on January 11, 2023, at 9:00 a.m. PST. The Company is scheduled to report its fourth quarter 2022 results during a conference call on January 24, 2023, at which point the Company will discuss the 2022 financial results in more detail. Dial-in and webcast access information for both of these events are also available in the Investor Relations section of the Intuitive website.
About Intuitive
Intuitive (Nasdaq: ISRG), headquartered in Sunnyvale, California, is a global leader in minimally invasive care and the pioneer of robotic surgery. Our technologies include the da Vinci surgical system and the Ion endoluminal system. By uniting advanced systems, progressive learning, and value-enhancing services, we help physicians and their teams optimize care delivery to support the best outcomes possible. At Intuitive, we envision a future of care that is less invasive and profoundly better, where diseases are identified early and treated quickly, so patients can get back to what matters most.
Product and brand names/logos are trademarks or registered trademarks of Intuitive Surgical or their respective owner. See www.intuitive.com/trademarks.
For more information, please visit the Company’s website at www.intuitive.com.
Forward-Looking Statements
The Company has not filed its Annual Report on Form 10-K for the year ended December 31, 2022. Accordingly, all financial results described in this press release should be considered unaudited preliminary results and are subject to change to reflect any corrections or adjustments, or changes in accounting estimates, that are identified prior to the time that the Company is in a position to complete these filings. Actual results could differ materially from these preliminary results.
This press release contains forward-looking statements, including statements regarding the Company’s unaudited preliminary financial and operational results for the fourth quarter and full year 2022, expected procedure growth in 2023, and the adoption of the Company’s training, products, and services by its customers. Statements using words such as “estimates,” “projects,” “believes,” “anticipates,” “plans,” “expects,” “intends,” “may,” “will,” “could,” “should,” “would,” “targeted,” and similar words and expressions are intended to identify forward-looking statements. These forward-looking statements are necessarily estimates reflecting the judgment of the Company’s
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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. These forward-looking statements include, but are not limited to, statements related to the expected impacts of the COVID-19 pandemic on the Company’s business, financial condition, and results of operations, future results of operations, future financial position, the Company’s financing plans and future capital requirements, the Company’s potential tax assets or liabilities, and statements based on current expectations, estimates, forecasts, and projections about the economies and markets in which the Company operates and the Company’s beliefs and assumptions regarding these economies and markets. These forward-looking statements should be considered in light of various important factors, including, but not limited to, the following: completion of the Company’s final closing procedures, final adjustments, and other developments that may arise in the course of audit and review procedures, overall macroeconomic environment that impacts customer spending and the Company’s costs, including increased inflation and interest rates, the conflict in Ukraine, disruption to the Company’s 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 Company’s 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”); diversion of resources to respond to COVID-19 outbreaks; the risk that the COVID-19 virus causes economies in the Company’s key markets to enter prolonged recessions; the impact of global and regional economic and credit market conditions on healthcare spending; the risk of the Company’s 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 Company’s completion of and ability to successfully integrate acquisitions; 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 Company’s operations and any expansion outside of the United States; unanticipated manufacturing disruptions or the inability to meet demand for products; the Company’s reliance on sole and single source suppliers; the results of legal proceedings to which the Company is or may become a party, including but not limited to product liability claims; adverse publicity regarding the Company and the safety of the Company’s 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 risk factors. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release and which are based on current expectations and are subject to risks, uncertainties, and assumptions that are difficult to predict, including those risk factors identified under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, and the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2022, as updated by the Company’s other filings with the Securities and Exchange Commission. The Company undertakes no obligation to publicly update or release any revisions to these forward-looking statements, except as required by law.
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Document

Exhibit 99.2
Intuitive Surgical, Inc.
Unaudited Preliminary Quarterly and Annual Revenue Data and Metrics
Three Months EndedTwelve Months Ended
December 31, 2022December 31, 2021ChangeDecember 31, 2022December 31, 2021Change
Revenue ($Millions)
Instruments and Accessories$940.7 $842.8 12 %$3,517.9 $3,100.5 13 %
Systems451.0 469.9 (4)%1,680.1 1,693.4 (1)%
Services263.3 238.0 11 %1,024.2 916.2 12 %
   Total Revenue$1,655.0 $1,550.7 7 %$6,222.2 $5,710.1 9 %
% Recurring Revenue (1)
79%75%79%75%
Da Vinci Surgical System Placements
by Geography
United States181 235 (23)%692 865 (20)%
Europe70 63 11 %280 232 21 %
Asia92 71 30 %244 203 20 %
Other Markets26 16 63 %48 47 2 %
   Total Systems*369 385 (4)%1,264 1,347 (6)%
Unit Placements Involving Trade-Ins110 117 (6)%345 510 (32)%
Da Vinci Surgical System Placements by Model
     Single Console X Systems45 48 (6)%160160 — %
     Dual Console X Systems 5 1 400 %1311 18 %
     Single Console Xi Systems222 255 (13)%766824 (7)%
     Dual Console Xi Systems 91 71 28 %302322 (6)%
     SP Systems 6 10 (40)%2330 (23)%
   Total Systems*369 385 (4)%1,264 1,347 (6)%
* Da Vinci Surgical Systems placed under operating leases (included in total unit placements)154 143 8 %492517 (5)%
Ion System Placements**67 31 116 %192 93 106 %
** Ion systems placed under operating leases (included in total unit placements)34 12 183 %101 50 102 %
Other da Vinci Surgical System Metrics
Procedures (Thousands)507 431 18 %1,875 1,594 18 %
Average Selling Price ($Millions)$1.43 $1.45 (1)%$1.49 $1.55 (4)%
Inst & Accy Revenue/Procedure ($Thousands)$1.82 $1.94 (6)%$1.84 $1.93 (5)%
Installed Base (2)
7,544 6,730 12 %7,544 6,730 12 %

(1) We present operating lease revenue, which is classified as systems revenue, as a component of total recurring revenue.
(2) During the fourth quarters of 2022 and 2021, we performed a verification audit of our installed base records that identified 70 and 54 systems, respectively, mostly older standard and S models, which had been retired. We removed these systems from our installed base estimate during the fourth quarters of 2022 and 2021, respectively.
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Intuitive Surgical, Inc.
Unaudited Preliminary Trended Annual da Vinci Procedure Data
Approximate Procedures (Thousands)Percentage Change*
20222021202020222021
United States
General Surgery720 589 434 22 %36 %
Gynecology341 316 267 8 %19 %
Urology162 153 134 6 %14 %
Other59 51 41 16 %26 %
Total United States1,282 1,109 876 16 %27 %
Total Outside of the United States593 485 367 22 %32 %
   Total Worldwide1,875 1,594 1,243 18 %28 %
* The approximate procedures are rounded to thousands, but the percentage changes are based on unrounded approximate procedures.



This report contains forward-looking statements. Such statements relate to unaudited preliminary trended annual procedure data, unaudited preliminary fourth quarter and full year 2022 revenue data and metrics, and other related subjects. The unaudited preliminary results are subject to the completion of Intuitive’s final closing procedures and an audit by the Company’s independent registered accounting firm and, therefore, are subject to adjustment. These forward-looking statements are based on Intuitive’s current expectations and estimates and are subject to risks and uncertainties that could cause actual events and results to vary significantly from those implied by such statements. These forward-looking statements should, therefore, be considered in light of various important factors, including, but not limited to, the following: completion of the Company’s final closing procedures, final adjustments, and other developments that may arise in the course of audit and review procedures; and other risk factors under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, and the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2022, as updated by the Company’s other filings with the Securities and Exchange Commission.
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