Exhibit 99.1
INTUITIVE SURGICAL, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(IN THOUSANDS, EXCEPT PER SHARE DATA)
(UNAUDITED)
Three Months Ended, | ||||||||
3/31/04 | 3/31/03 | |||||||
Sales: | ||||||||
Products | $ | 22,471 | $ | 17,292 | ||||
Services | 4,588 | 1,943 | ||||||
Total sales | 27,059 | 19,235 | ||||||
Cost of sales: | ||||||||
Products | 8,813 | 7,772 | ||||||
Services | 2,410 | 1,722 | ||||||
Total cost of sales | 11,223 | 9,494 | ||||||
Gross profit | 15,836 | 9,741 | ||||||
Gross profit % | 58.5 | % | 50.6 | % | ||||
Operating costs and expenses: | ||||||||
Selling, general, and administrative | 10,243 | 9,453 | ||||||
Research and development | 5,310 | 3,423 | ||||||
Total operating costs and expenses | 15,553 | 12,876 | ||||||
Income (loss) from operations | 283 | (3,135 | ) | |||||
Other income, net | 606 | 842 | ||||||
Income (loss) before income tax provision | 889 | (2,293 | ) | |||||
Income tax provision | 36 | — | ||||||
Net income (loss) | $ | 853 | $ | (2,293 | ) | |||
Net earnings (loss) per share— | ||||||||
Basic | $ | 0.03 | $ | (0.12 | ) | |||
Diluted | $ | 0.02 | $ | (0.12 | ) | |||
Weighted average shares outstanding used to compute net earnings (loss) | ||||||||
per share— | ||||||||
Basic | 33,282 | 18,431 | ||||||
Diluted | 34,137 | 18,431 | ||||||
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INTUITIVE SURGICAL, INC.
CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS)
Unaudited | ||||||||
3/31/04 | 12/31/03 (a) | |||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | 13,346 | 11,335 | ||||||
Short-term investments | 102,489 | 101,614 | ||||||
Accounts receivable, net | 27,324 | 26,820 | ||||||
Inventories, net | 7,983 | 8,788 | ||||||
Prepaid expenses | 3,338 | 3,203 | ||||||
Restricted cash equivalents | 213 | 188 | ||||||
Total current assets | 154,693 | 151,948 | ||||||
Property and equipment, net | 9,384 | 10,288 | ||||||
Restricted cash equivalents | 348 | 642 | ||||||
Intangible assets, net | 7,622 | 8,089 | ||||||
Goodwill | 143,332 | 143,106 | ||||||
Other assets | 960 | 921 | ||||||
Total assets | $ | 316,339 | $ | 314,994 | ||||
Liabilities and stockholders’ equity | ||||||||
Current liabilities: | ||||||||
Accounts payable | 4,670 | 5,894 | ||||||
Accrued compensation and employee benefits | 3,651 | 5,267 | ||||||
Warranty accrual | 334 | 702 | ||||||
Restructuring accrual | 1,160 | 971 | ||||||
Other accrued liabilities | 6,413 | 8,432 | ||||||
Deferred revenue | 12,998 | 11,345 | ||||||
Current portion of notes payable | 998 | 1,030 | ||||||
Total current liabilities | 30,224 | 33,641 | ||||||
Long-term debt | 435 | 695 | ||||||
Deferred revenue | 991 | 1,148 | ||||||
Other accrued liabilities | 534 | 553 | ||||||
Stockholders’ equity | ||||||||
Common stock | 33 | 33 | ||||||
Preferred stock | — | — | ||||||
Additional paid-in capital | 420,675 | 416,559 | ||||||
Deferred compensation | (84 | ) | (99 | ) | ||||
Accumulated deficit | (137,561 | ) | (138,414 | ) | ||||
Accumulated other comprehensive income | 1,092 | 878 | ||||||
Total stockholders’ equity | 284,155 | 278,957 | ||||||
Total liabilities and stockholders’ equity | $ | 316,339 | $ | 314,994 | ||||
(a)—Derived from the audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2003 but does not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements.
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