--- title: "Intuitive Surgical | 10-Q: FY2026 Q2 Revenue Beats Estimate at USD 2.892 B" type: "News" locale: "en" url: "https://longbridge.com/en/news/293389282.md" datetime: "2026-07-21T21:32:49.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/293389282.md) - [en](https://longbridge.com/en/news/293389282.md) - [zh-HK](https://longbridge.com/zh-HK/news/293389282.md) --- # Intuitive Surgical | 10-Q: FY2026 Q2 Revenue Beats Estimate at USD 2.892 B Revenue: As of FY2026 Q2, the actual value is USD 2.892 B, beating the estimate of USD 2.825 B. EPS: As of FY2026 Q2, the actual value is USD 2.29, beating the estimate of USD 2.1488. EBIT: As of FY2026 Q2, the actual value is USD 1.055 B. #### Revenue - **Total Revenue:** For the three months ended June 30, 2026, total revenue was $2,892.3 million, a 19% increase from $2,440.0 million in 2025. For the six months ended June 30, 2026, total revenue was $5,663.1 million, a 21% increase from $4,693.4 million in 2025. - **Product Revenue:** Product revenue for the three months ended June 30, 2026, was $2,419.9 million, an 18% increase from $2,048.8 million in 2025. For the six months ended June 30, 2026, it was $4,757.0 million, a 21% increase from $3,939.2 million in 2025. - **Instruments and Accessories Revenue:** This segment generated $1,734.9 million for the three months ended June 30, 2026, up 18% from $1,474.1 million in 2025. For the six months, it was $3,421.3 million, a 20% increase from $2,841.8 million in 2025. - **Systems Revenue:** Systems revenue was $685.0 million for the three months ended June 30, 2026, a 19% increase from $574.7 million in 2025. For the six months, it was $1,335.7 million, a 22% increase from $1,097.4 million in 2025. - **Service Revenue:** For the three months ended June 30, 2026, service revenue was $472.4 million, up 21% from $391.2 million in 2025. For the six months, it was $906.1 million, a 20% increase from $754.2 million in 2025. - **Geographic Revenue:** U.S. revenue constituted 67% of total revenue for the three months ended June 30, 2026 and 2025, and 66% and 67% for the six months ended June 30, 2026 and 2025, respectively. OUS revenue accounted for 33% of total revenue for the three months ended June 30, 2026 and 2025, and 34% and 33% for the six months ended June 30, 2026 and 2025, respectively. OUS total revenue was favorably impacted by foreign currency exchange rate fluctuations by $4 million and $40 million for the three and six months ended June 30, 2026, respectively. #### Operational Metrics - **Gross Profit:** - **Product Gross Profit:** For the three months ended June 30, 2026, product gross profit was $1,642.9 million, a 21% increase from $1,362.6 million in 2025, with a gross profit margin of 67.9% (up from 66.5% in 2025). For the six months, it was $3,200.0 million, a 24% increase from $2,582.3 million in 2025, with a gross profit margin of 67.3% (up from 65.6% in 2025). - **Service Gross Profit:** Service gross profit was $317.5 million for the three months ended June 30, 2026, a 24% increase from $255.3 million in 2025, with a gross profit margin of 67.2% (up from 65.3% in 2025). For the six months, it was $590.9 million, a 20% increase from $493.3 million in 2025, with a gross profit margin of 65.2% (down from 65.4% in 2025). - **Operating Expenses:** - **Selling, General, and Administrative (SG&A):** SG&A expenses were $617.9 million for the three months ended June 30, 2026, a 10% increase from $561.2 million in 2025, representing 21% of total revenue (down from 23% in 2025). For the six months, SG&A expenses were $1,231.2 million, a 9% increase from $1,124.6 million in 2025, representing 22% of total revenue (down from 24% in 2025). - **Research and Development (R&D):** R&D expenses were $370.6 million for the three months ended June 30, 2026, an 18% increase from $313.3 million in 2025, representing 13% of total revenue (consistent with 2025). For the six months, R&D expenses were $732.5 million, a 16% increase from $629.5 million in 2025, representing 13% of total revenue (consistent with 2025). - **Income from Operations:** For the three months ended June 30, 2026, income from operations was $971.9 million, a 31% increase compared to $743.4 million in 2025. For the six months, it was $1,827.2 million, compared to $1,321.5 million in 2025. - **Net Income:** Net income attributable to Intuitive Surgical, Inc. was $818.1 million for the three months ended June 30, 2026, compared to $658.4 million in 2025. For the six months, it was $1,639.6 million, compared to $1,356.8 million in 2025. - **Share-Based Compensation Expense:** Total share-based compensation expense before income taxes was $212.8 million for the three months ended June 30, 2026, compared to $199.9 million in 2025. For the six months, it was $426.1 million, compared to $389.6 million in 2025. - **Intangible Asset Amortization:** Total intangible asset amortization was $24.0 million for the three months ended June 30, 2026, compared to $3.2 million in 2025. For the six months, it was $31.1 million, compared to $6.6 million in 2025. #### Cash Flow - **Net Cash Provided by Operating Activities:** For the six months ended June 30, 2026, net cash provided by operating activities was $1,972.9 million, compared to $1,297.0 million in 2025. - **Net Cash Used in Investing Activities:** For the six months ended June 30, 2026, net cash used in investing activities was -$941.1 million, compared to $474.2 million provided by investing activities in 2025. - **Net Cash Used in Financing Activities:** For the six months ended June 30, 2026, net cash used in financing activities was -$1,641.6 million, compared to -$383.6 million in 2025. - **Cash, Cash Equivalents, and Investments:** As of June 30, 2026, cash, cash equivalents, and investments totaled $8.63 billion, a decrease of $0.41 billion from $9.03 billion as of December 31, 2025. #### Unique Metrics - **da Vinci Procedures:** Approximately 889,000 da Vinci procedures were performed for the three months ended June 30, 2026, a 15% increase compared to 775,000 in 2025. U.S. da Vinci procedures grew 12%, while OUS da Vinci procedures grew 20% for the same period. - **Ion Procedures:** Approximately 47,900 Ion procedures were performed for the three months ended June 30, 2026, a 36% increase compared to 35,300 in 2025. - **da Vinci System Placements:** 468 da Vinci surgical systems were placed during the three months ended June 30, 2026, an 18% increase from 395 systems in 2025. The installed base of da Vinci surgical systems was approximately 11,710 as of June 30, 2026, a 12% increase from 10,488 systems as of June 30, 2025. 246 da Vinci 5 systems were placed in Q2 2026, compared to 180 in Q2 2025. - **Ion System Placements:** 55 Ion systems were placed during the three months ended June 30, 2026, a 2% increase from 54 systems in 2025. The installed base of Ion systems was approximately 1,096 as of June 30, 2026, a 21% increase from 905 systems as of June 30, 2025. - **da Vinci Surgical System Average Selling Price (ASP):** The ASP was approximately $1.59 million for the three months ended June 30, 2026, compared to $1.50 million for the same period in 2025. - **Recurring Revenue:** Total recurring revenue was $2,469.1 million for the three months ended June 30, 2026, and $4,839.4 million for the six months ended June 30, 2026, representing 85% of total revenue for both periods. - **Lease Buyouts Revenue:** Revenue from Lease Buyouts was $56 million for the three months ended June 30, 2026, compared to $30 million in 2025. - **Tariffs:** Tariffs and other trade measures recognized in total cost of revenue were $20.8 million and $48.8 million for the three and six months ended June 30, 2026, respectively. The company recognized $35.9 million and $27.5 million in refunds related to IEEPA tariffs for the three months ended June 30, 2026, reducing total cost of revenue and cost of service revenue, respectively. - **Stock Repurchase Program:** As of June 30, 2026, approximately $4.7 billion remained authorized for share repurchases, and Intuitive Surgical, Inc. repurchased 0.9 million shares for $0.38 billion during the three months ended June 30, 2026. #### Future Outlook and Strategy Intuitive Surgical, Inc. expects to continue substantial investments in R&D to expand product development and anticipates R&D expenses to increase. Depreciation expense is also expected to rise in the remainder of 2026 due to infrastructure build-out and higher intangible asset amortization from a Q1 2026 acquisition. While OUS procedures and revenue are projected to form a larger part of the business long-term, future system placements face risks from supply chain issues, economic and geopolitical conditions, and increased competition, especially in China. ### Related Stocks - [ISRG.US](https://longbridge.com/en/quote/ISRG.US.md) ## Related News & Research - [Is Intuitive Surgical's post-earnings selloff a buying opportunity?](https://longbridge.com/en/news/294098998.md) - [Intuitive Surgical (ISRG) Earnings Beat Keeps Its Valuation Narrative In Focus](https://longbridge.com/en/news/293685209.md) - [Intuitive Surgical (NASDAQ:ISRG) EVP Sells $10,085.88 in Stock](https://longbridge.com/en/news/294272745.md) - [Intuitive Surgical outlines AI roadmap toward supervised autonomy for da Vinci systems](https://longbridge.com/en/news/293622678.md) - [Intuitive Surgical Confronts Rising Risks From Unauthorized da Vinci and Ion Parts and Service](https://longbridge.com/en/news/293566574.md)