Intuitive Surgical (NSDQ:ISRG) said yesterday that despite the Chinese National Health Commission publishing a new quota expansion looking to add more surgical robots over the next two years, it does not expect to sell any systems under the new quota this year.
Sunnyvale, Calif.-based Intuitive Surgical saw shares rise over 5% yesterday on the news that the Chinese Government was calling for a total of 197 endoscopic surgical instrument control systems, or surgical robots, by the end of 2020.
That number includes 154 new systems, according to the government release.
Shortly after the announcement, the robotic surgical giant said in an SEC filing that the process to fill the quota could take time, and that it doesn’t see any transactions in it’s immediate future.
“Da Vinci Surgical systems sales under the quota are uncertain, as they are dependent on hospitals completing a tender process and receiving associated approvals. The tender process could be lengthy, and the company does not expect to sell any systems under this quota in 2018,” the company wrote in the filing.
Shares in Intuitive Surgical have dropped 2.8% so far today, at $506.47 as of 9:50 a.m. EDT.
Last month, shares of Intuitive got a pre-market bump after the robot-assisted surgery pioneer posted third-quarter results that beat the consensus forecast, despite lower profits, and upped its outlook on procedure growth for the year.