Intuitive Surgical stock takes another big hit

20 July 2013

share this:

… After months of negative news about poorly trained surgeons, class action suits claiming misleading communications with shareholders, an FDA review, a product recall, an article saying that procedure costs were too high, particularly for gynecological operations, and an NBC exposé, the news finally effected the company’s earnings and its stock. It dropped 16% on July 9th and another 7% yesterday.
… The FDA observed two problems and asked Intuitive to take additional steps to resolve those concerns. Intuitive is doing so.
… But the biggest driver of the stock drop is the article which said that gynecological uses of the da Vinci system cost $2,000 more per procedure than alternative methods. That got hospitals to stop and reevaluate their purchases and that is what is showing up in the earnings reports.
… Although quarterly net income rose 3% to $159.1 million, and revenue grew 8%, to $578.5 million, Wall Street had expected stronger results. The particularly bad news reflecting the gynecological uses of the systems hit sales: sales of the da Vinci system fell to 143 from 150 a year ago, and US sales declined to 90 from 124. This trend is expected to continue for the rest of 2013.
UPDATE July 27: Two new political setbacks: (1) The FDA recalled 30 systems because they may have been tested improperly and (2) Another court case is looming: A small piece of a needle clip broke off during a recent surgery and remained lodged in internal tissue. “If they would have just taken an X-ray right after the surgery, or really examined all of the instruments, it could have been prevented,” the patient told a local news outlet.

tags: ,

Frank Tobe is the owner and publisher of The Robot Report, and is also a panel member for Robohub's Robotics by Invitation series.
Frank Tobe is the owner and publisher of The Robot Report, and is also a panel member for Robohub's Robotics by Invitation series.

Related posts :

New imaging method makes tiny robots visible in the body

Microrobots have the potential to revolutionize medicine. Researchers at the Max Planck ETH Centre for Learning Systems have now developed an imaging technique that for the first time recognises cell-​sized microrobots individually and at high resolution in a living organism.
20 May 2022, by

A draft open standard for an Ethical Black Box

Within the RoboTIPS project, we have developed and tested several model of Ethical Black Boxes, including one for an e-puck robot, and another for the MIRO robot.
19 May 2022, by

Unable to attend #ICRA2022 for accessibility issues? Or just curious to see robots?

There are many things that can make it difficult to attend an in person conference in the United States and so the ICRA Organizing Committee, the IEEE Robotics and Automation Society and OhmniLabs would like to help you attend ICRA virtually.
17 May 2022, by



Duckietown Competition Spotlight, with Dr Liam Paull

Dr. Liam Paull, cofounder of the Duckietown competition talks about the only robotics competition where Rubber Duckies are the passengers on an autonomous driving track.
17 May 2022, by

Designing societally beneficial Reinforcement Learning (RL) systems

In this post, we aim to illustrate the different modalities harms can take when augmented with the temporal axis of RL. To combat these novel societal risks, we also propose a new kind of documentation for dynamic Machine Learning systems which aims to assess and monitor these risks both before and after deployment.
15 May 2022, by

Innovative ‘smart socks’ could help millions living with dementia

‘Smart socks’ that track rising distress in the wearer could improve the wellbeing of millions of people with dementia, non-verbal autism and other conditions that affect communication.
13 May 2022, by

©2021 - ROBOTS Association


©2021 - ROBOTS Association