Intuitive Surgical Inc

Strong Procedure Growth: Intuitive Surgical reported a 19% year-over-year revenue increase to $2.25 billion in Q1 2025. Da Vinci procedures grew by 17%, with notable strength in general surgery in the U.S. and overseas markets, particularly India and Korea. This trend led to an increase in the full-year procedure growth forecast from 13-16% to 15-17%, highlighting stronger-than-expected demand.

Tariff Impact: The company expects tariffs to negatively impact gross margins by approximately 1.7% of revenue in 2025, with about half attributable to U.S.-China trade. This includes a notable increase in costs related to imports from China and Europe, which may affect pricing strategies and profit margins as the trade environment remains volatile.

Capital Placements and Equipment Demand: Intuitive placed 367 da Vinci systems in Q1 2025, a 17% increase from the previous year, but faced mixed results internationally, particularly in Germany and the U.K. The company noted that customers are using leasing models to navigate capital constraints, which may offer some flexibility against tightening budgets in key markets.