Intuitive Surgical Beats Q3 Estimates With $3.05B Revenue and $3.00 Adjusted EPS

Intuitive Surgical reported third-quarter 2026 results that surpassed Wall Street expectations on both the top and bottom lines, driven by broad adoption of its robotic surgery platforms. Revenue came in at $3.05 billion, up 22% year over year and ahead of the $2.91 billion consensus estimate. Adjusted EPS of $3.00 beat the $2.64 estimate by $0.36 and rose 25% from the prior-year period, while adjusted operating income of $1.27 billion cleared the $1.13 billion estimate.

Procedure volume, the core growth engine for the business, rose approximately 15% worldwide, with da Vinci procedures up about 14% and Ion lung-biopsy procedures surging roughly 31%. The company placed 546 da Vinci systems in the quarter, up 28% year over year, including 315 of its newer da Vinci 5 units, a 31% increase. The global da Vinci installed base reached 12,094 systems, up 12%, while the Ion installed base grew 21% to 1,152 units. Revenue from instruments and accessories, the recurring segment most tied to procedure volume, rose 18% to $1.80 billion, and systems revenue jumped 30% to $769 million.

GAAP EPS fell 24% year over year to $1.49, weighed down by a $450 million antitrust settlement charge, equivalent to $347 million net of tax or $0.99 per share. An IEEPA tariff refund provided a partial offset of $22 million net of tax, or $0.06 per share, reflected in both GAAP and non-GAAP results. The company held $6.80 billion in cash, equivalents, and investments at quarter end and repurchased $2.94 billion worth of shares, retiring 7.8 million shares during the period.

For full-year 2026, Intuitive guided for worldwide da Vinci procedure growth of approximately 14% to 15%, with management noting expectations closer to the midpoint of that range. Adjusted gross margin is forecast at 68.7% to 69.3%, and adjusted operating expense growth is expected in the range of 11% to 13%.