Intuitive (Nasdaq: ISRG) has boosted the lower end of its full-year revenue guidance after reporting Street-beating Q2 results.
Shares of ISRG were down more than 2% to $497.89 apiece in morning trading today. (The S&P 500 was up slightly.)
To hear how Intuitive’s strategy for da Vinci 5, join us at DeviceTalks West, where Iman Jeddi, SVP and GM of Single Port Surgery, will sit down for the closing keynote interview. The event is Oct. 15–16, 2025 in Santa Clara, California. Register now at West.DeviceTalks.com.
Yesterday evening, the Sunnyvale, California–based surgical robotics giant reported profits of $658.4 million. That equals to $1.81 per share on sales of $2.44 billion for the three months ended June 30, 2025.
Intuitive recorded a 25% bottom-line gain, driven by a 21.4% sales uptick.
Adjusted to exclude one-time items, earnings per share came in at $2.19. That landed 26¢ ahead of expectations on Wall Street. Sales also topped the projections as experts forecast $2.35 billion in revenue.
In the quarter, worldwide da Vinci surgical robot sales grew by 17% compared to the same period a year ago. The company placed 395 da Vinci surgical systems, compared with 341 in the second quarter of 2024. Additionally, next-gen da Vinci 5 placements increased significantly from 70 to 180 during the three-month period year over year.
“We’re pleased with our solid performance this quarter, highlighted by continued customer adoption of our newer and existing platforms, including da Vinci 5,” said Dave Rosa, Intuitive CEO. “We are committed to advancing care, and helping our customers provide better patient outcomes, better patient and care team experiences, broadening access to care and decreasing the total cost of care.”
Intuitive anticipates da Vinci procedures will grow 15.5–17% in 2025; the previous range was 15–17%. It expects its non-GAAP gross profit margin to range between 66% and 67% of revenue in 2025 (versus the previous 65–66.5% range), estimating a tariff impact totaling 1% of revenue. The company stuck with its projection of non-GAAP operating expense growth of 10–14%.
During Intuitive’s earnings call with analysts, Rosa acknowledged growing competition from third-part companies reprocessing Intuitive instruments. Still, he said: “As customers consider remanufactured instruments from third-party suppliers, we expect key areas such as safety, performance, quality, reliability, supply continuity, and pricing will be carefully evaluated and compared. Our strong belief is that high-quality instruments with consistent performance, broad operational support, and predictable supply chains provide the greatest value to our customers.”
When it came to the effects of upcoming U.S. cuts to Medicaid, Intuitive leadership said that Intuitive’s market penetration is lower for Medicaid patients, who tend to be younger than the overall population.
Analysts were impressed with Intuitive’s results
Baird analysts, led by David Rescott, described Intuitive’s Q2 results as impressive, noting that the company saw its highest operating margin in 15 quarters. The Baird analysts saw revenue and EPS accelerating across all levels, and they felt comfortable with the ability of Intuitive to navigate potential headwinds from reprocessed instruments.
William Blair analysts also saw plenty of tailwinds from continued momentum, saying that the risks for valuation contracted rested with competitive or macroeconomic noise.
BTIG analysts led by Ryan Zimmerman were also positive about the results: “[Da Vinci 5] is now in a broader launch in the U.S., and we believe dynamics across most metrics remain steady. We do not worry about reprocessing headwinds at this stage to be clear. … While ISRG always strikes a more cautious tone on macro dynamics such as trade and Medicaid cuts, it’s difficult to assume that procedures cannot continue to trend favorably.”
