Company: ISRG
Filing Date: 2025-04-23
Form Type: 10-Q
Source: 0001035267-25-000109
Chunk: 66

Company: INTUITIVE SURGICAL INC
Filing Date: 2025-04-23
Form: 10-Q
Item: Item 1
Chunk 66
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 equipment, increased by $211 million, primarily to address the growth in our business, including the expansion of our leasing business, and to mitigate risks of disruption that could arise from global supply chain shortages. Refer to Note 4 to the Financial Statements for further details in the supplemental cash flow information. Other accrued liabilities decreased by $118 million, primarily due to income tax payments made in the period. The unfavorable impact of these items on cash provided by operating activities was partially offset by an increase in accounts payable of $83 million, primarily due to the timing of invoicing and payments, and an increase in deferred revenue of $37 million, primarily due to the timing of payment and delivery of goods and services.

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2.Our net income included non-cash charges of $317 million, consisting primarily of share-based compensation of $185 million and depreciation expense and losses on the disposal of property, plant, and equipment of $138 million.

Investing Activities

Net cash provided by investing activities for the three months ended March 31, 2025, consisted primarily of net proceeds from maturities on investments of $330 million, partially offset by $117 million paid for the acquisition of property, plant, and equipment. We invest predominantly in high quality, fixed income securities. Our investment portfolio may, at any time, contain investments in money market funds, U.S. treasury and U.S. government agency securities, high-quality corporate notes and bonds, commercial paper, non-U.S. government agency securities, and taxable and tax-exempt municipal notes.

Financing Activities

Net cash used in financing activities for the three months ended March 31, 2025, consisted primarily of cash used for taxes paid on behalf of employees related to net share settlements of vested employee equity awards of $370 million, partially offset by cash proceeds from stock option exercises and employee stock purchases of $134 million.

Capital Expenditures

We expect to continue to invest in infrastructure needed to scale and supply our customers with highly differentiated products manufactured in highly automated factories to facilitate outstanding performance in product quality, availability, and cost. A significant portion of this investment involves the construction of facilities to expand our manufacturing and commercial capabilities. We have also been vertically integrating key technologies to develop a more robust supply chain, enabling us to bring important products to market at attractive price points. These integration efforts include increased ownership of our imaging pipelines and investments in strategic instruments and accessories technologies that allow us to serve our customers better. We expect these capital investments to range between $650 million and $750