January 22, 2026
Finance

Intuitive Surgical Surpasses Q4 Projections, Shares Climb Post-Announcement

Robotic Surgery Leader Posts Strong Revenue Growth and Projects Continued Procedure Volume Rise in 2026

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Summary

Intuitive Surgical Inc reported better-than-expected financial outcomes for the fourth quarter, with revenue and adjusted earnings per share surpassing analyst forecasts. Growth was driven by increased surgical procedures, higher system placements, and expanding installed base of da Vinci surgical systems. The company anticipates continued volume expansion and steady gross margins in 2026, prompting a rise in after-hours stock trading.

Key Points

Intuitive Surgical’s Q4 revenue reached $2.87 billion, surpassing analyst expectations of $2.75 billion, marking a 19% increase year-over-year.
The company achieved adjusted earnings per share of $2.53 in Q4, exceeding the forecasted $2.26 per share.
Worldwide da Vinci surgical procedures grew by approximately 18% year-over-year during Q4, supported by 532 new system placements within the quarter.
Intuitive Surgical ended the quarter with a strong cash position of $9.03 billion, up by $600 million compared to the previous quarter.

Intuitive Surgical Inc (NASDAQ: ISRG), a prominent provider of robotic-assisted surgical systems, released its fourth-quarter financial results following the market close on Thursday. The company's report demonstrates notable strength in both revenue and earnings, exceeding the expectations set by financial analysts.

For the fourth quarter, Intuitive Surgical recorded revenues totaling $2.87 billion. This figure outpaced the consensus estimate of $2.75 billion, showcasing a significant year-over-year growth of 19%. Such growth was primarily propelled by heightened surgical procedure volumes globally, increased placements of the firm’s da Vinci surgical systems, and a broadening of its installed system base.

Adjusted earnings per share for the quarter were $2.53, outperforming the estimated $2.26 per share. This positive earnings performance further underscores the company's operational effectiveness within the quarter under review.

Operationally, the volume of worldwide da Vinci procedures grew approximately 18% compared to the prior year, indicating sustained demand for the company’s robotic surgery platforms. During this period, Intuitive Surgical placed 532 da Vinci surgical systems worldwide, a rise compared to the 493 systems placed in the same quarter in the previous year. The total installed base of these systems expanded to 11,106 units as of December 31, 2025, reflecting a 12% increase year-over-year.

Financial positioning remains robust, with Intuitive Surgical concluding the quarter with $9.03 billion in cash, cash equivalents, and investments. This represents an increase of $600 million over the previous quarter, providing the company with ample liquidity to support ongoing operational and strategic initiatives.

Looking ahead, Intuitive Surgical has forecasted growth in procedure volumes, projecting a 13% to 15% increase in worldwide da Vinci procedures for the full year 2026. This projection, while slightly lower than the 18% growth observed in 2025, suggests continued momentum in adoption of its technologies. The company also anticipates that its gross profit margin will range between 67% and 68% of revenue in 2026, essentially maintaining the 67.6% margin recorded in 2025.

Executives from Intuitive Surgical are scheduled to provide further insights and address questions during a live earnings conference call beginning at 4:30 p.m. Eastern Time.

Following the earnings release, shares of Intuitive Surgical showed positive price movement in after-hours trading, rising by approximately 3.04% to $541.78 per share, according to Benzinga Pro data at the time of publication.

This series of financial results and guidance updates highlight Intuitive Surgical's solid position in the robotic surgery market, underpinned by strong procedural adoption and expanding system installations. The company's ability to maintain healthy margins alongside growth signals effective operational management in a competitive landscape.

Risks
  • Projected growth in da Vinci procedures for 2026 is expected to moderate to 13%-15%, down from 18% growth in 2025, indicating a possible deceleration in volume expansion.
  • Maintaining gross profit margins between 67% and 68% will require consistent operational efficiency amid evolving market conditions.
Disclosure
Education only / not financial advice
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