INTUITIVE SURGICAL INC Earnings Summary — Q2 FY2026

• Worldwide procedure volume grew 16% YoY, driven by a 15% increase in da Vinci procedures and a 36% surge in Ion procedures.
• The da Vinci installed base reached 11,710 systems, a 12% YoY increase, with 246 of the 468 systems placed this quarter being the new da Vinci 5.
• Instruments and accessories revenue grew 18% to $1.73B, reinforcing the high-margin recurring revenue model.
• Non-GAAP gross profit margin improved to 70.0%, benefiting from a the IEEPA tariff refund and higher selling prices.
• The company maintains a pristine balance sheet with $8.63B in cash and investments, despite $0.38B in share repurchases during the quarter.
• System placements shifted toward leasing, with 254 systems (54% of placements) placed under operating lease arrangements.

For the full year 2026, Intuitive expects worldwide da Vinci procedure growth of 13.5% to 15.5% (likely near the midpoint). Non-GAAP gross profit margin is forecasted between 68.0% and 69.0%, including a 1% headwind from tariffs. Non-GAAP operating expense growth is pegged at 11% to 13%.

Improving

Acceleration in procedure growth and successful adoption of the da Vinci 5 platform suggest strengthening market dominance despite macro headwinds.

The outlook remains strong as the company capitalizes on the launch cycle of da Vinci 5 and the rapid expansion of the Ion endoluminal platform, though management remains cautious regarding potential additional tariffs and hospital capital budget constraints.