Company: ISRG
Filing Date: 2025-07-23
Form Type: 10-Q
Source: 0001035267-25-000192
Chunk: 16

Company: INTUITIVE SURGICAL INC
Filing Date: 2025-07-23
Form: 10-Q
Item: Item 1
Chunk 16
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0.2 202782.2 202850.1 202931.6 2030 and thereafter7.2 Total$351.8 

13

The Company enters into sales-type leases with certain qualified customers to purchase its systems. Sales-type leases have terms that generally range from 24 to 84 months and are usually collateralized by a security interest in the underlying assets. The allowance for loan loss is based on the Company’s assessment of the current expected lifetime loss on lease receivables. The Company regularly reviews the allowance by considering factors such as historical experience, credit quality, age of the lease receivable balances, and current economic conditions that may affect a customer’s ability to pay. Lease receivables are considered past due 90 days after invoice.The Company manages the credit risk of the net investment in sales-type leases using a number of factors relating to its customers, including, but not limited to, the following: size of operations; profitability, liquidity, and debt ratios; payment history; and past due amounts. The Company also uses credit scores obtained from external providers as a key indicator for the purposes of determining credit quality. The following table summarizes the amortized cost basis by year of origination and by credit quality for the net investment in sales-type leases as of June 30, 2025 (in millions):20252024202320222021PriorNet InvestmentCredit Rating:High$21.2 $61.0 $27.7 $37.1 $23.4 $3.4 $173.8 Moderate18.8 66.9 15.3 28.5 18.4 6.5 154.4 Low— 6.1 0.7 1.9 1.0 0.2 9.9 Total$40.0 $134.0 $43.7 $67.5 $42.8 $10.1 $338.1 

For the three and six months ended June 30, 2025, and 2024, credit losses related to the net investment in sales-type leases were not material.

NOTE 7.    GOODWILL AND INTANGIBLE ASSETS

AcquisitionsThere were no material acquisitions in the six months ended June 30, 2025, and 2024.Pending AcquisitionsOn January 21, 2025, Intuitive announced that it has entered into a definitive