Operating margins expanded to 30.9% in 2026Q1, reflecting efficient scaling as revenue growth reached 23.0% year-over-year.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 |
|---|
| Sales/Revenue | 10.58B | 10.06B | 8.35B | 7.12B | 6.22B | 5.71B | 4.36B | 4.48B | 3.72B | 3.13B | 2.7B | 2.38B | 2.13B | 2.27B | 2.18B | 1.76B | 1.41B | 1.05B | 874.92M | 600.83M | 372.68M | 227.34M | 138.8M | 91.67M | 72.02M | 51.67M | 26.62M | 10.19M |
| Revenue Growth % | 21.43% | 20.51% | 17.24% | 14.49% | 8.97% | 31.01% | -2.68% | 20.25% | 19.03% | 15.7% | 13.42% | 11.85% | -5.89% | 3.96% | 23.99% | 24.37% | 34.29% | 20.26% | 45.62% | 61.22% | 63.93% | 63.78% | 51.41% | 27.29% | 39.38% | 94.08% | 161.22% | - |
| Cost of Goods Sold | 3.57B | 3.42B | 2.72B | 2.39B | 2.03B | 1.75B | 1.5B | 1.37B | 1.12B | 934.8M | 814.3M | 806.5M | 717.9M | 670.9M | 608.5M | 483.5M | 383M | 301.12M | 254.14M | 186.54M | 124.85M | 73.77M | 50.81M | 47.65M | 34.58M | 28.22M | 13.28M | 7.03M |
| COGS % of Revenue | - | 34% | 32.54% | 33.61% | 32.56% | 30.68% | 34.35% | 30.55% | 30.08% | 29.88% | 30.11% | 33.82% | 33.68% | 29.62% | 27.93% | 27.51% | 27.11% | 28.62% | 29.05% | 31.05% | 33.5% | 32.45% | 36.61% | 51.97% | 48.02% | 54.61% | 49.88% | 68.98% |
| Gross Profit | 7.02B | 6.64B | 5.63B | 4.73B | 4.2B | 3.96B | 2.86B | 3.11B | 2.6B | 2.19B | 1.89B | 1.58B | 1.41B | 1.59B | 1.57B | 1.27B | 1.03B | 751.05M | 620.78M | 414.29M | 247.84M | 153.57M | 87.99M | 44.03M | 37.44M | 23.45M | 13.35M | 3.16M |
| Gross Margin % | 66.29% | 66% | 67.46% | 66.39% | 67.44% | 69.32% | 65.65% | 69.45% | 69.92% | 70.12% | 69.89% | 66.18% | 66.32% | 70.38% | 72.07% | 72.49% | 72.89% | 71.38% | 70.95% | 68.95% | 66.5% | 67.55% | 63.39% | 48.03% | 51.98% | 45.39% | 50.12% | 31.02% |
| Gross Profit Growth % | - | 17.89% | 19.13% | 12.71% | 6% | 38.35% | -8.01% | 19.43% | 18.69% | 16.08% | 19.79% | 11.61% | -11.32% | 1.52% | 23.28% | 23.67% | 37.14% | 20.99% | 49.84% | 67.16% | 61.38% | 74.53% | 99.85% | 17.61% | 59.62% | 75.76% | 322.04% | - |
| Operating Expenses | 3.79B | 3.7B | 3.29B | 2.96B | 2.62B | 2.14B | 1.81B | 1.74B | 1.4B | 1.14B | 944.9M | 837.9M | 869M | 741.7M | 692.2M | 579M | 474.8M | 373.61M | 309.94M | 207.54M | 140.48M | 84.8M | 66.81M | 55.91M | 57.66M | 43.84M | 35.62M | 22.71M |
| OpEx % of Revenue | - | 36.73% | 39.34% | 41.59% | 42.09% | 37.43% | 41.56% | 38.76% | 37.72% | 36.42% | 34.94% | 35.14% | 40.77% | 32.74% | 31.77% | 32.95% | 33.6% | 35.51% | 35.43% | 34.54% | 37.69% | 37.3% | 48.13% | 60.99% | 80.05% | 84.84% | 133.8% | 222.83% |
| Selling, General & Admin | 2.43B | 2.38B | 2.14B | 1.96B | 1.74B | 1.47B | 1.22B | 1.18B | 986.6M | 810.9M | 705.3M | 640.5M | 691M | 574M | 522.2M | 438.8M | 358.8M | 278.51M | 230.57M | 158.69M | 110.7M | 67.44M | 48.99M | 39.72M | 40.86M | 29.99M | 19.14M | 9.34M |
| SG&A % of Revenue | - | 23.7% | 25.62% | 27.57% | 27.96% | 25.68% | 27.91% | 26.31% | 26.49% | 25.92% | 26.08% | 26.86% | 32.42% | 25.34% | 23.97% | 24.97% | 25.39% | 26.47% | 26.35% | 26.41% | 29.7% | 29.67% | 35.3% | 43.33% | 56.74% | 58.03% | 71.88% | 91.62% |
| Research & Development | 1.36B | 1.31B | 1.15B | 998.8M | 879M | 671M | 595.1M | 557.3M | 418.1M | 328.6M | 239.6M | 197.4M | 178M | 167.7M | 170M | 140.2M | 116M | 95.1M | 79.37M | 48.86M | 29.78M | 17.35M | 17.81M | 16.19M | 16.79M | 13.85M | 11.73M | 11.13M |
| R&D % of Revenue | - | 13.03% | 13.71% | 14.02% | 14.13% | 11.75% | 13.65% | 12.44% | 11.23% | 10.5% | 8.86% | 8.28% | 8.35% | 7.4% | 7.8% | 7.98% | 8.21% | 9.04% | 9.07% | 8.13% | 7.99% | 7.63% | 12.83% | 17.66% | 23.32% | 26.81% | 44.07% | 109.2% |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 4.75M | 11.58M |
| Operating Income | 3.22B | 2.95B | 2.35B | 1.77B | 1.58B | 1.82B | 1.05B | 1.37B | 1.2B | 1.05B | 945.2M | 740M | 544.8M | 852.5M | 878.1M | 694.8M | 555.2M | 377.44M | 310.83M | 206.74M | 107.36M | 68.77M | 21.18M | -11.88M | -20.22M | -20.38M | -22.28M | -19.55M |
| Operating Margin % | 30.45% | 29.27% | 28.12% | 24.8% | 25.35% | 31.89% | 24.09% | 30.69% | 32.21% | 33.71% | 34.95% | 31.04% | 25.56% | 37.64% | 40.3% | 39.54% | 39.29% | 35.87% | 35.53% | 34.41% | 28.81% | 30.25% | 15.26% | -12.96% | -28.07% | -39.45% | -83.67% | -191.81% |
| Operating Income Growth % | - | 25.4% | 32.95% | 12.03% | -13.39% | 73.46% | -23.62% | 14.6% | 13.73% | 11.57% | 27.73% | 35.83% | -36.09% | -2.92% | 26.38% | 25.14% | 47.1% | 21.43% | 50.35% | 92.58% | 56.1% | 224.64% | 278.32% | 41.24% | 0.8% | 8.5% | -13.95% | - |
| EBITDA | 3.76B | 3.62B | 2.81B | 2.17B | 1.94B | 2.14B | 1.33B | 1.57B | 1.32B | 1.15B | 1.03B | 829.5M | 619.2M | 919.8M | 935.9M | 741.3M | 595.6M | 412.02M | 335.92M | 219.77M | 142.62M | 75.5M | 28.3M | -1.25M | -15.67M | -15.67M | -17.52M | -17.31M |
| EBITDA Margin % | 35.52% | 35.99% | 33.66% | 30.45% | 31.23% | 37.44% | 30.57% | 35.15% | 35.43% | 36.74% | 38.24% | 34.79% | 29.05% | 40.61% | 42.95% | 42.18% | 42.15% | 39.16% | 38.39% | 36.58% | 38.27% | 33.21% | 20.39% | -1.36% | -21.76% | -30.33% | -65.82% | -169.8% |
| EBITDA Growth % | 27.37% | 28.88% | 29.59% | 11.64% | -9.13% | 60.47% | -15.37% | 19.3% | 14.78% | 11.17% | 24.67% | 33.96% | -32.68% | -1.72% | 26.25% | 24.46% | 44.56% | 22.65% | 52.85% | 54.09% | 88.91% | 166.83% | 2361.79% | 92.02% | 0.01% | 10.58% | -1.27% | - |
| D&A (Non-Cash Add-back) | 536.2M | 677.1M | 462M | 402.2M | 365.8M | 317M | 282.5M | 199.7M | 120.1M | 95M | 88.9M | 89.5M | 74.4M | 67.3M | 57.8M | 46.5M | 40.4M | 34.58M | 25.08M | 13.03M | 35.27M | 6.73M | 7.11M | 10.63M | 4.55M | 4.71M | 4.75M | 2.24M |
| EBIT | 3.22B | 2.95B | 2.35B | 1.77B | 1.58B | 1.82B | 1.05B | 1.37B | 1.2B | 1.06B | 949.7M | 740M | 544.8M | 852.5M | 878.1M | 694.8M | 555.2M | 377.4M | 310.83M | 206.74M | 107.36M | 68.77M | 21.18M | -11.88M | -20.22M | -20.38M | -22.28M | -19.55M |
| Net Interest Income | 360.6M | 365.9M | 324.9M | 192.1M | 29.7M | 69.3M | 157.2M | 127.7M | 80.1M | 41.9M | 35.6M | 18.5M | 13.9M | 18.4M | 15.8M | 14.9M | 16.6M | 18.7M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 360.6M | 365.9M | 324.9M | 192.1M | 29.7M | 69.3M | 157.2M | 127.7M | 80.1M | 41.9M | 35.6M | 18.5M | 13.9M | 18.4M | 0 | 14.9M | 16.6M | 18.67M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 15.8M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | 360.6M | 365.9M | 324.9M | 192.1M | 29.7M | 69.3M | 157.2M | 127.7M | 80.1M | 41.9M | 35.6M | 18.5M | 4.2M | 18.4M | 15.8M | 14.9M | 17.1M | 18.67M | 24.37M | 30.49M | 12.78M | 5.04M | 3.02M | 2.26M | 1.8M | 42K | -108K | 0 |
| Pretax Income | 3.58B | 3.31B | 2.67B | 1.96B | 1.61B | 1.89B | 1.21B | 1.5B | 1.28B | 1.1B | 980.8M | 758.5M | 549M | 870.9M | 893.9M | 709.7M | 572.3M | 396.11M | 335.2M | 237.23M | 120.14M | 73.81M | 24.2M | -9.62M | -18.42M | -20.34M | -22.39M | 0 |
| Pretax Margin % | 33.86% | 32.9% | 32.01% | 27.5% | 25.82% | 33.1% | 27.69% | 33.54% | 34.36% | 35.04% | 36.27% | 31.81% | 25.75% | 38.45% | 41.03% | 40.39% | 40.5% | 37.65% | 38.31% | 39.48% | 32.24% | 32.47% | 17.44% | -10.5% | -25.58% | -39.36% | -84.08% | - |
| Income Tax | 584.4M | 434.8M | 336.3M | 141.6M | 262.4M | 162.2M | 140.2M | 120.4M | 154.5M | 436.5M | 244.9M | 169.7M | 130.2M | 199.9M | 237.3M | 214.6M | 190.5M | 163.5M | 130.89M | 92.7M | 48.09M | -20.33M | 726K | 0 | 0 | -3.68M | -3.75M | -1.13M |
| Effective Tax Rate % | 16.31% | 13.13% | 12.58% | 7.23% | 16.33% | 8.58% | 11.62% | 8.01% | 12.08% | 39.81% | 24.97% | 22.37% | 23.72% | 22.95% | 26.55% | 30.24% | 33.29% | 41.28% | 39.05% | 39.07% | 40.03% | -27.54% | 3% | 0% | 0% | 18.11% | 16.77% | - |
| Net Income | 2.98B | 2.86B | 2.32B | 1.8B | 1.32B | 1.7B | 1.06B | 1.38B | 1.13B | 660M | 735.9M | 588.8M | 418.8M | 671M | 656.6M | 495.1M | 381.8M | 232.61M | 204.31M | 144.54M | 72.04M | 94.13M | 23.48M | -9.62M | -18.42M | -16.7M | -18.52M | -18.41M |
| Net Margin % | 28.15% | 28.38% | 27.81% | 25.24% | 21.25% | 29.85% | 24.33% | 30.8% | 30.29% | 21.09% | 27.21% | 24.69% | 19.65% | 29.62% | 30.14% | 28.17% | 27.02% | 22.11% | 23.35% | 24.06% | 19.33% | 41.41% | 16.91% | -10.5% | -25.58% | -32.32% | -69.57% | -180.68% |
| Net Income Growth % | 20.31% | 22.97% | 29.18% | 35.98% | -22.43% | 60.72% | -23.11% | 22.29% | 70.89% | -10.31% | 24.98% | 40.59% | -37.59% | 2.19% | 32.62% | 29.68% | 64.14% | 13.85% | 41.36% | 100.62% | -23.47% | 300.95% | 343.98% | 47.76% | -10.31% | 9.84% | -0.59% | - |
| Net Income (Continuing) | 3B | 2.88B | 2.34B | 1.82B | 1.34B | 1.73B | 1.07B | 1.38B | 1.13B | 670.9M | 735.9M | 588.8M | 418.8M | 671M | 656.6M | 495.1M | 381.8M | 232.61M | 204.31M | 144.54M | 72.04M | 94.13M | 23.48M | -9.62M | -18.42M | -16.7M | -18.52M | -18.41M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 122.7M | 117.7M | 95.9M | 89.7M | 70.7M | 50.4M | 27.6M | 20.9M | 8.7M | 1.6M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 8.28 | 7.87 | 6.42 | 5.03 | 3.65 | 4.66 | 2.94 | 3.85 | 3.16 | 1.89 | 2.08 | 1.73 | 1.23 | 1.86 | 1.78 | 1.37 | 1.05 | 0.66 | 0.57 | 0.41 | 0.21 | 0.28 | 0.07 | -0.05 | -0.11 | -0.10 | -0.17 | -0.85 |
| EPS Growth % | 20.97% | 22.59% | 27.63% | 37.81% | -21.67% | 58.5% | -23.64% | 21.84% | 67.2% | -9.13% | 20.23% | 40.65% | -33.87% | 4.49% | 29.93% | 30.48% | 59.09% | 15.79% | 39.02% | 95.24% | -25% | 276.34% | 264.24% | 58.82% | -10% | 41.18% | 80% | - |
| EPS (Basic) | - | 8.00 | 6.54 | 5.12 | 3.72 | 4.79 | 3.02 | 3.98 | 3.31 | 1.97 | 2.13 | 1.76 | 1.26 | 1.86 | 1.83 | 1.40 | 1.08 | 0.67 | 0.58 | 0.42 | 0.22 | 0.30 | 0.08 | -0.05 | -0.11 | -0.10 | -0.17 | -0.85 |
| Diluted Shares Outstanding | 359.8M | 362.7M | 362M | 357.4M | 362M | 365.8M | 360.9M | 358.5M | 356.4M | 348.9M | 353.7M | 341.1M | 339.3M | 360.97M | 369.9M | 361.8M | 362.7M | 352.85M | 359.49M | 351.19M | 342.84M | 337.39M | 314.78M | 212.63M | 164.06M | 161.17M | 107.08M | 21.77M |
| Basic Shares Outstanding | 354.9M | 356.9M | 355.2M | 351.2M | 355.7M | 356.1M | 351M | 346.2M | 341.1M | 335.1M | 344.7M | 333.9M | 332.1M | 360.97M | 358.2M | 352.8M | 352.8M | 344.68M | 349.89M | 340.48M | 330.63M | 315.63M | 303.24M | 212.63M | 164.06M | 161.17M | 107.08M | 21.77M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Procedure volume saturation risk
As reported in recent financial statements, ISRG achieved a 23.0% year-over-year revenue growth in 2026Q1, signaling that the company's recurring revenue model continues to successfully capture increased procedure volumes despite the potential headwinds posed by the broader adoption of GLP-1 weight-loss medications in the surgical market.
The acceleration in top-line growth suggests that the installed base of robotic systems is being utilized with higher intensity, driving consistent demand for high-margin consumables. Investors should monitor whether this growth trajectory remains durable as the company transitions its installed base to the newer da Vinci 5 platform.
Based on the company's reported figures, ISRG has maintained a robust gross margin of approximately 66.1% as of 2026Q1, demonstrating significant pricing power and a structural advantage in its proprietary instrument ecosystem that effectively insulates the firm from the commodity-like pricing pressures seen in traditional medical device manufacturing.
This margin stability is particularly impressive given the ongoing R&D investments and the potential for initial manufacturing inefficiencies associated with new system rollouts. The ability to sustain these levels suggests that the razor-blade business model remains highly effective at extracting value from the existing installed base.
According to the provided income statement data, ISRG's operating margin expanded to 30.9% in 2026Q1, indicating that the company is successfully scaling its operating expenses slower than its gross profit, thereby demonstrating strong operational leverage as the business continues to expand its global footprint and clinical indications.
The disciplined management of SG&A relative to revenue growth suggests that the company is benefiting from economies of scale in its sales and training infrastructure. This trend warrants further investigation to determine if future margin expansion can be sustained as the company increases its marketing spend for new platforms.
As indicated by the quarterly filings, stock-based compensation has risen to $209.5 million in 2026Q1, representing a non-trivial portion of operating expenses that investors should scrutinize to ensure that reported EPS growth is not being overly inflated by the dilution of existing shareholders through aggressive equity-based incentive programs.
While the company maintains strong net income margins, the persistent increase in SBC expenses suggests that the true economic cost of talent retention is rising. Analysts should adjust for these non-cash charges to better understand the underlying cash-generative capacity of the core surgical robotics business.
Based on the provided data, a potential short-term risk exists as the company's operating margin has fluctuated between 23% and 31% over the last ten quarters, suggesting that the transition to new hardware cycles may introduce volatility that could temporarily compress profitability and challenge current market valuation multiples.
The reliance on high-margin recurring revenue makes the company sensitive to any systemic decline in procedure volumes, whether driven by macro-economic factors or shifts in clinical standards of care. Investors should remain cautious regarding the potential for margin dilution if the mix shifts toward lower-margin leasing arrangements.
Quick answers to the most common questions about buying ISRG stock.
For fiscal year 2025, Intuitive Surgical, Inc. (ISRG) reported total revenue of $10.06B. This represents a 98651.0% increase compared to $10.2M in 1999.
Intuitive Surgical, Inc. (ISRG) is profitable, generating $2.86B in net income for the fiscal year ending 2025 with a net profit margin of 28.4%.
Intuitive Surgical, Inc. (ISRG) reported an operating income of $2.95B, resulting in an operating profit margin of 29.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Intuitive Surgical, Inc. (ISRG) generated $6.64B in gross profit for the year, representing a gross profit margin of 66.0%. This demonstrates the company's core pricing power and production efficiency.