intuitive surgical investor presentation 2021 intuitive surgical investor presentation 2021

And just, you know, on competition, it does seem like the noise is increasing. Pro forma operating expenses increased 24% compared with the second quarter of 2020 and increased 5% compared with last quarter. Women Techmakers Ambassador is responsible for driving diversity and inclusion through organizing local events within the tech community. They're calling on customers. 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. I'll speak to my impression, but I caveat it, it's one person's impression. The Company defines non-GAAP net income as net income attributable to Intuitive Surgical, Inc., excluding intangible asset charges, non-cash impairment charges and recoveries, certain acquisition-related items for the re-measurement of contingent consideration, SBC and long-term incentive plan expenses, litigation charges and recoveries, gains (losses) on strategic investments, adjustments attributable to noncontrolling interest in joint venture, net of the related tax effects, and tax adjustments, including the excess tax benefits or deficiencies associated with SBC arrangements, a one-time tax benefit from re-measurement of certain deferred tax assets, and the net tax effects related to intra-entity transfers of non-inventory assets. OK, great. Ladies and gentlemen, thank you for standing by, and welcome to the Intuitive Q2 2021 earnings conference call. Transitory was out a few years ago and CMR has been out and now Medtronic. Intuitive(Nasdaq: ISRG), headquartered in Sunnyvale, California, is a global technology leader in minimally invasive care and the pioneer of robotic-assisted surgery. So right now, we talked in the script about adding our work or IDE around colorectal, we're excited about that. Instruments and accessories, training programs, support staff, analytics capability, publication, scientific publications demonstrating what you've done, the analytics, and evidence-based build are all, I think, important. OK. And last one on SP. your options for e-mail notification, please enter your e-mail address below and click Are you seeing any impact thus far? The compound annual growth rate between the fourth quarter of 2019 and the fourth quarter of 2021 was 6%. And I suspect that's most of what we're seeing, at least in the United States in terms of that. Intuitive Surgical Asensus Surgical . 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. My name is Kari Krogstad. A couple of things I'd say. I don't know how much of an update you can give us, but just something on what's happening at that level in terms of software tools and services? The Safety Communication issued on August 20, 2021 by the FDA, is specific to the use and study of robotic-assisted surgery in mastectomy. We are also working on our regulatory filings to bring SP to Europe under the European Union's new medical device regulation framework. A contribution to the Intuitive Foundation reduced fourth quarter 2021 GAAP and non-GAAP* income from operations by $30 million. In the second quarter, we modified the useful life of a deferred-tax asset, which resulted in a current charge to pro forma income. Find the latest Intuitive Surgical, Inc. (ISRG) stock quote, history, news and other vital information to help you with your stock trading and investing. For the first three quarters of 2021, it reported $1.4 billion in operating income on $4.2 billion in revenues. Intuitive Surgical has been witnessing an upward estimate revision trend for 2021. What was the second part of your question again, Larry? SBC expense has been, and will continue to be for the foreseeable future, a significant recurring expense in the Companys business. 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. The Company calculates constant currency revenue by translating current period revenue using prior period exchange rates. 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. Yes. The compound annual growth rate between the fourth quarter of 2019 and the fourth quarter of 2021 was 12%. ET. Our second-quarter pro forma net income was $477 million or $3.92 per share, compared with $132 million or $1.11 per share for the second quarter of 2020 and $427 million or $3.52 per share for the last quarter. Fourth quarter 2022 GAAP income from operations decreased to $373 million, compared with $450 million in the fourth quarter of 2021. So from a core demand point of view or disease state, that's clearly out there and accumulating, and it has to get processed through. 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. Second-quarter system placements of 328 systems increased 84%, compared with 178 systems for the second quarter of 2020, and increased 10%, compared with 298 systems last quarter. INTUITIVE SURGICAL, INC.-14.33%: 79 654: BOSTON . We anticipate iterating our approach as we learn and the year progresses. 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. Doctors talking to us about further expansion of utilization. You may automatically receive Intuitive Surgical financial information by e-mail. Or is this simply and primarily just something about the pandemic accelerating the use of da Vinci and robotics surgery broadly? Please go ahead. All Rights Reserved. In reporting the results, adjusted using a propensity weighted approach, the authors noted that during the two- to four-week standard of care visit period, fewer patients report the need to take prescription pain medication for the robotic cohort as compared to the laparoscopic and open cohorts: 65.2% for the robotic cohort as compared to 78.8% for the laparoscopic cohort, compared to 79.8% for the open cohort. We've seen a few teams come out and field systems that are alternatives to ours. Building a great robot is a hard first step. 2021 Proxy Statement - Special Meeting 224.6 KB. Intuitive will hold a teleconference at 1:30 p.m. PST today to discuss the fourth quarter 2021 financial results. We don't actually know how much backlog was resolved in the quarter, how much backlog is left or the timing of the recovery of that might be. Later we will have a question-and-answer session. Copyright 2023 Intuitive Surgical. Yes, Tycho. (4) Income tax expense 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, Accounts payable and other accrued liabilities, Total liabilities and stockholders equity, Adjustments attributable to noncontrolling interest in joint venture. The constant currency revenue percentage change is calculated by determining the increase in the current period constant currency revenue over the prior period revenue. Growth in the U.K. was strong, with a slower recovery in France, Italy, and Germany. You have to do it. Second, disciplined execution of our launches, including our advanced instruments, SP, Ion, and digital efforts. In the quarter, strong trade-ins of older-generation systems for our fourth-generation products and strength in multi-system deals continue to support our thesis that customers that know us best continue to invest with us going forward. J.P. Morgan Healthcare Conference 2023 Presentation 4.2 MB. Larry Biegelsen -- Wells Fargo Securities -- Analyst. . 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. And so we have some indications that we saw backlog reflected in the Q2 results. With me today, we have Gary Guthart, our CEO; Marshall Mohr, our CFO; and Jamie Samath, our senior vice president of finance. In the U.S., as COVID continued to subside in the second quarter of 2021, we saw a lower impact on da Vinci procedures. With regard to income tax, we expect the range of our second-half 2021 pro forma tax rate to be between 21% and 22% of pre-tax income, slightly higher than the range we provided on the last call, reflecting a higher mix of U.S. income. But once you develop a really capable ecosystem, then it has a lot of platform use, and that investment can be recovered over time. 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. These awards are valued based on certain key performance metrics. In closing, we continue to believe there is a substantial and durable opportunity to fundamentally improve surgery and acute interventions. 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. Our focus is in clinical capability and productivity of the installed base we have. You're developing, trying to increase efficiency, decrease costs, that kind of thing. COVID had a significant impact on da Vinci procedure volumes in the second quarter of 2020. Finally, we are strengthening our digital capabilities across our ecosystem. 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. 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. And so we have some catch-up to do in terms of infrastructure and support necessary to support the overall business. 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. And so we'll see over time, we'll be able to measure a little bit better over time, and we'll monitor it. Sure. The Company excludes a one-time tax benefit from re-measurement of certain deferred tax assets, because it is discrete in nature, and excludes the excess tax benefits or deficiencies associated with SBC arrangements as well as the tax effects associated with non-cash amortization of deferred tax assets related to intra-entity non-inventory transfers, because the Company does not believe these items correlate with the on-going results of its core operations. So it's not a scientific study, just my view. The Company presents constant currency revenue to provide a framework for assessing how our underlying business performed excluding the effect of foreign currency fluctuations. All of that, to me, indicates that the business feels in balance. Ladies and gentlemen, thank you for standing by and welcome to the Intuitive Q4 2021 Earnings Release Call. And recently, we've had a series of very encouraging conversations on the adoption of bariatrics, very encouraging. Product and research reports and data presentation to medical specialists, sales force, new channels, investors. From a U.S. perspective, I think it's early, and I think we're simply acknowledging the risk. I think what we're seeing is that the longer diagnostic pipelines have had this kind of double effect from the pandemic. The Company shipped 385 da Vinci Surgical Systems in the fourth quarter of 2021, compared with 326 systems in the fourth quarter of 2020. Roughly a third of our team works in the manufacturer test and distribution of our products. They use specialized instrumentation, including a miniaturized surgical camera and wristed instruments (i.e., scissors, scalpels, and forceps) that are designed to help with precise dissection and reconstruction deep inside the body. Corporate Governance Guidelines 384.4 KB. To choose It's a short period, but we believe that there is elasticity, and we've seen elasticity in markets where reimbursements are very low. To change your e-mail options at ISRG stock has split before. Listen to Webcast. You may automatically receive Intuitive Surgical financial information by e-mail. Investors have assigned a high trading . See www.intuitive.com/trademarks. The compound annual growth rate between the full year of 2019 and the full year of 2021 was approximately 12%. It's hard to have a precise measure on it. An investor who was able to pick up $1,000 worth of Intuitive Surgical shares at its IPO price and held on has seen that investment grow to a whopping . Can you talk about kind of next steps to the program here, particular geographies you're targeting? The Company ended the first quarter of 2022 with $8 .40 billion in cash, cash equivalents, and investments, a decrease of $218 . Q2 2022 INTUITIVE Earnings Conference Call. Without excluding these tax effects, investors would only see the gross effect that these non-GAAP adjustments had on the Companys operating results. First cases in our SP colorectal IDE trial were completed in the quarter as we seek to bring SP capability to additional procedures. So I wouldn't start building lots of leverage into your models. Next, we go over to Larry Beigelsen with Wells Fargo. Fourth quarter 2021 revenue was$1.55 billion, an increase of 17%compared with$1.33 billion in thefourth quarter of 2020. How are you thinking about competition? Pagination. Just in terms of intra-quarter procedure trends, if you're asking, Larry, month by month, there was nothing notable actually that we would call out. J Global Clinical Engineering, Special Issue 4, 2021 - Proceedings IV ICEHTMC 2021 - ISSN 2578 2762 1 dicembre 2021 . Follow Allison Gatlin on Twitter at @IBD_AGatlin . For more information, please visit the Companys website at www.intuitive.com. I'll caution that what the next couple of quarters or next four quarters looks like in terms of hospital access to capital and their decision-making, capital is always lumpy. Based on market data, we believe that diagnostic pipelines in the U.S. began to recover from the impact of the pandemic in March, with a lag in the recovery of associated procedures. 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. All Rights Reserved. That said, other teams are out. . GAAP net income was $517 million or $4.25 per share for the second quarter of 2021, compared with GAAP net income of $68 million or $0.57 per share for the second quarter of 2020 and GAAP net income of $426 million or $3.51 per share for the last quarter. Can you maybe just talk a little bit about the road map? Richard Wolf GmbH 10.6 . [Operator instructions] As a reminder, this conference is being recorded. Looking to our finances in the quarter. Colorectal growth was strong, with solid growth in malignant hysterectomy, thoracic, and prostatectomy procedures. Fourth quarter 2021 GAAP income from operations included share-based compensation expense of $120 million, compared with $104 million in the fourth quarter of 2020. Customer appreciation and recurring use of our products has been growing nicely. The Company ended the fourth quarter of 2022 with $6.74 billion in cash, cash equivalents, and investments, a decrease of $651 . I will now summarize our GAAP results. Another third works closely with customers in the field, and the remaining third have traditionally worked in lab and office environments. 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. Thank you. Intuitive Surgical 10.5. We heard your comments, but just kind of thinking a little bit longer-term than just the next couple of quarters. 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. We will now open the call to your questions. Da Vinci systems offer surgeons high-definition 3D vision, a magnified view, and robotic and computer assistance. In this Backstage Pass video, which aired Sept. 29, Motley Fool contributor Brian Withers shares his thoughts on Intuitive Surgical, highlighting the metrics investors need to watch when the . Our flexible robotics program, first targeted toward diagnostic bronchoscopy, has had a strong quarter. The Company placed 369 da Vinci Surgical Systems, a decrease of 4% compared with 385 in the fourth quarter of 2021. OK. Well, thank you, and our moderator, that was our last question. Both gynecology and urology procedure annualized growth strengthened in the quarter, as pandemic pressures eased in the U.S. Gary, just with you, just thinking through the My Intuitive and what you're doing at the surgeon level. How close we are to maybe seeing something that you can monetize? All Rights Reserved. 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. Contents: Prepared Remarks; Questions and Answers; Call Participants; Prepared Remarks: Operator. It's the impact on hospitalizations. any time, re-enter your e-mail address and click Submit, then adjust your form entries. We placed 20 Ion systems in the quarter, bringing the installed base to 70 systems. Good afternoon. From a market perspective, about 60%-ish or so are sleeves, about 15% are revisions. The Motley Fool recommends the following options: long January 2022 $580 calls on Intuitive Surgical and short January 2022 $600 calls on Intuitive Surgical. We think about digital as enabling and accelerating a lot of different parts of the ecosystem. So I apologize for the short-term-oriented question, but you're the first large-cap company to report here. Second-quarter 2021 OUS procedure growth was driven by growth in prostatectomy procedures and earlier-stage growth in kidney cancer procedures, general surgery, gynecology, and thoracic. The Companys calculated non-GAAP effective tax rate is generally higher than its GAAP effective tax rate. We think we can bring some outstanding imaging capabilities, including florescence imaging into that space. We continue to operate in a challenging supply chain environment and have experienced longer lead times and delayed deliveries from our suppliers. It flows from respect for and understanding of patients and care teams, their needs, and their environment. 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. But I don't have scientific evidence. 20, 2021Corporate Participants: Philip Kim Head of Investor Relations. The next page will display a menu of options. It's physically demanding. Through ingenuity and intelligent technology, we expand the potential of physicians to heal without constraints. There are several models of the da Vinci Surgical System. So that's a multi-quarter conversation. Clinical trial sites completed enrollment for our PRECIsE clinical trial. 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: 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. Those things are ongoing now. These risks and uncertainties are described in detail in our Securities and Exchange Commission filings, including our most recent Form 10-K filed on February 10, 2021; and Form 10-Q filed on April 21, 2021. 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. What's left to do from maybe a product or procedure or instrument point of view? Four of the systems placed in the first quarter were SP Systems, reflecting continued measured rollout of SP. Macroeconomic conditions created by COVID could regionally impact hospital capital spending. your options for e-mail notification, please enter your e-mail address below and click Is Intuitive Surgical Stock Still Worth Buying Hand Over Fist in 2023? Intuitive Announces Fourth Quarter Earnings, Less: net income attributable to noncontrolling interest in joint venture. INTUITIVE SURGICAL, INC.-13.55%: 80 376: BOSTON SCIENTIFIC CORPORATION: 1.19%: 67 033: SIEMENS . 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. Submit. We expect these programs to continue their ramp as our labs and development programs recover efficiency. Gary, a separate topic. I think the thing that we'd call out is it's not the case rates per se to monitor. Intuitive Surgical, Inc. (NASDAQ:NASDAQ:ISRG) JPMorgan 40th Annual Healthcare Conference January 12, 2022 3:45 PM ETCompany ParticipantsGary Guthart - CEOJamie Samath - CFOBrian King -. The increase compared to prior year reflects costs associated with higher headcount, increased variable compensation, and increased spending in areas impacted by COVID. However, our expense growth rate was modestly lower than our plan, driven by pandemic-related factors. We also note the increasing number of COVID-19 cases in certain geographies associated with the Delta variant. Please go ahead, sir. Well, I'll add one bit of color to that. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Fourth quarter 2022 as reported revenue increased 7%compared to thefourth quarter of 2021. Second-quarter revenue reflected growth in both procedures and system placements. Higherfourthquarter revenue was driven by growth in da Vinci procedure volume and system placements. Thoracic Surgery Market was valued at USD 3.1 Billion in 2021, and it is expected to reach a CAGR of 7.18 % . The pandemic has reordered the quarter in which procedures were performed, and we believe it has delayed some procedures that are likely to return in the future and may cause a small number of patients to permanently forgo surgery. 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. Just to be clear on your answer to Tycho's question. Actual results may differ materially from those expressed or implied as a result of certain risks and uncertainties. Foreign currency fluctuations had a 3% unfavorable impact on fourth quarter 2022 revenue. The first and second quarters of 2021 reflect leveraging fixed costs over higher production levels. It has been. Next, we will go to Amit Hazan with Goldman Sachs. Intuitive Announces Preliminary Fourth Quarter and Full Year 2021 Results. Medistim ASA schlgt ordentliche Dividende fr 2021 vor, zahlbar am 9. 07/21/22 - 1:30 PM PDT. 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. 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. Frankly, the lack of precision in that estimate is such that it's probably not useful for us to share. The Company uses these non-GAAP financial measures for financial and operational decision-making and as a means to evaluate period-to-period comparisons. The company strives to make surgery more effective, less invasive and easier on surgeons, patients and their families. Ion is Intuitives robotic-assisted platform for minimally invasive biopsy in the lung. Intuitive Surgical, Inc. engages in the development, manufacture, and marketing of da Vinci Surgical Systems, and related instruments and accessories for . Congrats on the quarter. We think we stand up pretty well to those comparisons, and we're ready to help them pursue their aims as the year proceeds. Presenter SpeechKari Krogstad Okay. Today's press release and supplementary financial data tables have been posted to our website. On the capital side, new system placements continue to be healthy, with the United States, China, Germany, France, and Japan, notable in the quarter. Data Provided by Refinitiv. That's helpful, Gary. (1) Selling, general and administrative includes the effect of the following item: (2) Income from operations includes the effect of the following items: (3) Interest and other income, net includes the effect of the following item: (4) Income tax expense includes the effect of the following item: Excess tax benefits related to share-based compensation arrangements, (5) Diluted net income per share attributable to, Amortization of intangible assets, net of tax, Gains (losses) on strategic investments, net of tax. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services. The Company's da Vinci Surgical System offers surgeons superior visualization, enhanced dexterity, greater precision and ergonomic comfort for the optimal performance of MIS. Product and brand names/logos are trademarks or registered trademarks of Intuitive Surgical or their respective owner. There were nearly 1,500 Ion procedures completed in the second quarter. We believe that globally, customers have had not completely adjusted their instrument buying patterns to reflect the additional uses per instrument. At the "Pitching to Investors Programme" you will have an exclusive 10-minute pitching slot on stage for you to showcase your company to our entire audience and the biggest community of investors. 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 TO NON-GAAP FINANCIAL MEASURES(IN MILLIONS, EXCEPT PER SHARE DATA), Contact: Investor Relations(408) 523-2161. Q2 growth was driven by particular strength in benign procedures, including bariatrics, hernia repair, cholecystectomy, and benign hysterectomy, reflecting in part, we believe, a partial catch-up in these procedures related to the previous deferral of elective surgeries. Now, I'd turn the conference over to our host, Brian King, Head of Investor Relations for Intuitive Surgical. 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.