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For 3Q16, $ISRG's Instruments and Accessories revenue rose 18.64% YoverY to $386.3MM, helped by growth in U.S. general surgery procedures and worldwide urologic procedures. Service revenue grew by 12.06% to $134.7MM, while Systems revenue for the quarter rose by 2.25% to $235.9MM from a year ago.
$ISRG reported a loss for 4Q17, impacted by the Tax Cuts and Jobs Act. Net loss for the quarter was $38.8MM or $0.35 per share compared to a net income of $204MM or $1.71 per share a year ago. Revenue surged 17.9% to $892.4MM, driven by increased procedures and systems placements. On an adjusted basis $ISRG earned $2.54 per share, up 25.1% YoY.
$ISRG upped its FY17 procedure growth guidance range to 15% to 16% from prior estimate of 14% to 15% above the 753,000 procedures performed in 2016. In regards to system placements, although the proportion of 3Q17 systems placed under operating leases was slightly lower than 2Q17, the company continues to expect an upward trend for FY17.
$ISRG continues to launch its da Vinci X systems in new regions, as it launched in nine countries during 3Q17 and anticipates adding four more in 4Q17. The company said that da Vinci Xi makes up roughly 75% of new placements, da Vinci X makes up approx. 10% of new placements in its limited early launch and with the balance made up by Si technology.
Amidst concern over an emerging competition for its da Vinci Surgical Systems, $ISRG posted its 3Q17 results where revenue increased 18% and profit grew 41%. Recently, the US FDA has shown the green light for $TRXC to market its Senhance Surgical Robotic System, the first system since 2010 to compete head-to-head against $ISRG's da Vinci system.
$ISRG stated that on the da Vinci X, the instruments are going to be similar to the Xi. Additionally, instruments on X are the same family as the Xi. On additional instruments, the company has a portfolio of instruments it's working on and $ISRG is expanding its stapler line, to be a full line sapling system.
$ISRG said that on the procedure guidance, the company expects 2017 procedure growth to be driven by US general surgery and international procedure. On the Australia work, which was on the flexible robotics platform, they are in patient follow up now. The company expects them to be presenting publicly in the fall.
For 1Q17, $ISRG's Instruments and Accessories revenue grew 18.22% YoY to $380.8MM, helped by nearly 18% growth in da Vinci procedure volume. Service revenue grew by 12.61% to $140.2MM, while Systems revenue for the quarter rose by 3.58% to $153.2MM from a year ago.
$ISRG said that equity awards, approved by the Compensation Committee of the BoD, which consists entirely of Independent Directors, were made to 57 new employees. The equity awards were granted under $ISRG 2009 Commencement Incentive Plan, which the board adopted for the granting of equity awards to new employees.
$ISRG said that equity awards, approved by the Compensation Committee of the BoD, which consists entirely of Independent Directors, were made to 92 new employees. The equity awards were granted under the 2009 Commencement Incentive Plan, which the Board adopted for the granting of equity awards to new employees.
$ISRG ended 4Q16 with cash and investments of $4.8Bil, up from $4.6Bil as of Sept. 30, 2016. This increase was mainly driven by cash generated from operations and proceeds from stock option exercises. During 4Q16, the company repurchased 55,000 shares for $34MM.