The shares of Intuitive Surgical fell 5% on Friday after the healthcare company announced that COVID resurgences have imposed a cap on the number of procedures performed with its da Vinci robotic surgical system.
Even though its fourth-quarter earnings and sales exceeded expectations, the company warned that the pandemic's impact could linger and affect procedure numbers.
The da Vinci surgical systems are intended to assist surgeons in performing minimally invasive procedures. Surgeons can use the technologies to do accurate dissection and reconstruction deep inside the body with high-definition 3D imaging, a magnified perspective, and robotic and computer aid.
Despite the fact that the number of surgeries employing da Vinci equipment is still declining, the business claimed it shipped 385 of them this year, an increase of 18% year over year. It had 6,730 such systems installed at the end of the year.
Revenue increased by 17% to $1.6 billion in the fourth quarter, owing to an increase in da Vinci treatment volume and system placements.
The company's net profit for the quarter was $477 million, or $1.3 per share, compared to $434 million, or $1.19 per share, a year ago.