Intuitive Surgical Reports Strong Q4 Results but Faces Margin Concerns for 2025

The robotic surgery leader's revenue and earnings exceeded expectations, but guidance for gross margins and procedure growth tempered investor enthusiasm.

Intuitive Surgical's Q4 2024 revenue rose 25% year-over-year to $2.41 billion, beating analyst estimates of $2.25 billion.
Adjusted earnings per share for the quarter were $2.21, surpassing forecasts of $1.79, driven by strong demand for the da Vinci surgical systems and instruments.
The company reported an 18% increase in global da Vinci-assisted procedures in 2024, with 493 new systems placed, including 174 next-generation da Vinci 5 units.
Guidance for 2025 indicates a gross profit margin of 67%-68%, down from 69% in 2024, and anticipated procedure growth of 13%-16%, below the 17% growth seen last year.
Despite a strong performance, Intuitive Surgical's stock fell over 4% on Friday, reflecting investor concerns about conservative guidance and margin pressures.

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