Financial Analysis

COMMITMENTS AND CONTINGENCIES Commitments As of December 31, 2025, the Companys commitments include an estimated amount of approximately $2.53 billion relating to the Companys open purchase orders and contractual obligations that occur in the ordinary course of business, including commitments with contract manufacturers and suppliers for which the Company has not received the goods or services, commitments for capital expenditures and construction-related activities for which the Company has not received the services, and acquisition and licensing of intellectual property. Although open purchase orders are considered enforceable and legally binding, the terms generally allow the Company the option to cancel, reschedule, and adjust its requirements based on its business needs prior to the delivery of goods or performance of services. Additionally, the Company has committed to making certain future milestone payments to third parties as part of licensing, collaboration, and development arrangements. Payments under these arrangements generally become due and payable only upon the achievement of certain specified developmental, regulatory, and/or commercial milestones. For instances in which the achievement of these milestones is neither probable nor reasonably estimable, such contingencies are not included in the estimated amount. Contingencies From time to time, the Company is involved in a variety of claims, lawsuits, investigations, and proceedings relating to securities laws …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

EMPLOYEE BENEFIT PLANS The Company sponsors various retirement plans for its eligible U.S. and non-U.S. employees. For employees in the U.S., the Company maintains the Intuitive Surgical, Inc. 401(k) Plan (the Plan). As allowed under Section 401(k) of the Internal Revenue Code, the Plan provides tax-deferred salary contributions for eligible U.S. employees. The Plan allows employees to contribute up to 100% of their annual compensation to the Plan on a pre-tax and/or after-tax basis. Employee contributions are limited to a maximum annual amount as set periodically by the Internal Revenue Code. The Company matches 200% of employee contributions up to $2,000 per calendar year per person. All matching employer contributions vest immediately. …

CompensationAndEmployeeBenefitPlansTextBlock · excerpt; the full note is in the filing

The following table presents revenue disaggregated by geography and type (in millions): Year Ended December 31, U.S. 2025 2024 2023 Instruments and accessories $ 4,203.4 $ 3,626.4 $ 3,059.8 Systems 1,581.8 1,122.6 865.5 Services 1,030.6 840.4 763.3 Total U.S. revenue $ 6,815.8 $ 5,589.4 $ 4,688.6 OUS Instruments and accessories $ 1,815.5 $ 1,452.6 $ 1,216.8 Systems 891.9 843.4 814.2 Services 541.5 466.7 404.5 Total OUS revenue $ 3,248.9 $ 2,762.7 $ 2,435.5 Total Instruments and accessories $ 6,018.9 $ 5,079.0 $ 4,276.6 Systems 2,473.7 1,966.0 1,679.7 Services 1,572.1 1,307.1 1,167.8 Total revenue $ 10,064.7 $ 8,352.1 $ 7,124.1

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SHARE-BASED COMPENSATION Stock Plans 2010 Incentive Award Plan. In April 2010, the Companys stockholders approved the 2010 Incentive Award Plan (2010 Plan). Under this plan, the Company can issue RSUs, nonqualified stock options (NSOs), and PSUs to employees, non-employee directors, and consultants. Equity awards granted to employees and non-employee directors include a mix of RSUs, stock options, and, as applicable, PSUs. The 2010 Plan generally permits NSOs to be granted at no less than the fair market value of the common stock on the date of grant. Prior to 2022, NSOs were granted with terms of 10 years from the date of the grant. In January 2022, the Company changed the term of its new NSO grants to 7 years from the date of the grant. In May 2025, the Companys shareholders approved an amended and restated 2010 Incentive Award Plan to provide for an increase in the number of shares of common stock reserved for issuance thereunder from 115,350,000 to 120,350,000. The 2010 Plan expires in 2035. As of December 31, 2025, approximately 22.1 million shares were reserved for future issuance under the 2010 Plan. A maximum of approximately 9.6 million of these shares can be awarded as RSUs. 2009 Employment Commencement Incentive Plan. In October 2009, the Board adopted the 2009 Employment Commencement Incentive Plan (New Hire Plan). In April 2015, the Board of Directors amended and restated the New Hire Plan to provide for an increase in the number of shares of common stock authori …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

GOODWILL AND INTANGIBLE ASSETS Acquisitions In November 2025, Intuitive acquired a company that develops integrated robotics and artificial intelligence solutions to improve the accuracy, efficiency, and accessibility of tissue assessment during biopsy procedures at the point of care. The total purchase consideration for the acquisition was not material. There were no material acquisitions in 2024 or 2023. Pending Acquisitions On January 21, 2025, the Company announced that it has entered into a definitive agreement with the current Intuitive technology distributors ab medica, Abex, Excelencia Robotica, and their affiliates to acquire the da Vinci and Ion distribution businesses in Italy, Spain, Portugal, Malta, and San Marino, and associated territories. The transaction consists of an upfront cash payment of approximately 319 million, subject to certain closing adjustments. The Company expects to complete the transaction in the first half of 2026, subject to applicable regulatory approvals and customary closing conditions. Goodwill The following table summarizes the changes in the carrying amount of goodwill (in millions): Amount Balance as of December 31, 2023 $ 348.7 Acquisition activity Translation and other (1.2) Balance as of December 31, 2024 347.5 Acquisition activity 22.3 Translation and other 0.5 Balance as of December 31, 2025 $ 370.3 The Company completed its annual goodwill impairment test and determined that no impairment existed. As of December 31, 2025, there …

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INCOME TAXES Income before provision for income taxes for the years ended December 31, 2025, 2024, and 2023, consisted of the following (in millions): Year Ended December 31, 2025 2024 2023 U.S. $ 2,283.8 $ 1,754.8 $ 1,251.1 Foreign 1,027.6 919.0 707.8 Total income before provision for income taxes $ 3,311.4 $ 2,673.8 $ 1,958.9 The provision for income taxes for the years ended December 31, 2025, 2024, and 2023, consisted of the following (in millions): Year Ended December 31, 2025 2024 2023 Current Federal $ 235.6 $ 321.9 $ 315.2 State 58.9 47.9 32.8 Foreign 121.2 101.8 74.4 Total current income tax expense 415.7 471.6 422.4 Deferred Federal (34.4) (157.7) (122.4) State (14.8) (23.9) (25.1) Foreign 68.3 46.3 (133.3) Total deferred income tax expense (benefit) 19.1 (135.3) (280.8) Total income tax expense $ 434.8 $ 336.3 $ 141.6 On July 4, 2025, OBBBA was enacted, introducing amendments to U.S. tax laws with various effective dates from 2025 to 2027. The changes introduced by OBBBA did not have a material impact on the Companys effective tax rate for 2025. The Companys provision for income taxes for 2023 reflected Swiss tax benefits of $92.3 million, net of a $67.3 million valuation allowance, related to certain tax assets recorded by our Swiss entity. In addition, a one-time net benefit of $67.1 million was recorded from the re-measurement of the Companys Swiss deferred tax assets resulting from the Swiss cantonal tax rate increase enacted in December 2023 for years after 20 …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

LEASES Lessor Information related to Intuitive System Leasing Sales-type Leases. Lease receivables relating to sales-type lease arrangements are presented on the Consolidated Balance Sheets as follows (in millions): December 31, 2025 2024 Gross lease receivables $ 317.5 $ 393.4 Unearned income (14.7) (13.9) Subtotal 302.8 379.5 Allowance for credit loss (2.6) (2.6) Net investment in sales-type leases $ 300.2 $ 376.9 Reported as: Prepaids and other current assets $ 100.9 $ 131.4 Intangible and other assets, net 199.3 245.5 Net investment in sales-type leases $ 300.2 $ 376.9 Contractual maturities of gross lease receivables as of December 31, 2025, are as follows (in millions): Fiscal Year Amount 2026 $ 111.9 2027 90.6 2028 58.8 2029 38.9 2030 12.4 2031 and thereafter 4.9 Total $ 317.5 Operating Leases. The Companys fixed-payment or usage-based operating lease terms are generally less than seven years. Future lease payments (excluding non-lease elements and contingent payments related to usage-based arrangements) related to the non-cancellable portion of operating leases as of December 31, 2025, are as follows (in millions): Fiscal Year Amount 2026 $ 326.1 2027 269.7 2028 208.6 2029 151.1 2030 83.5 2031 and thereafter 61.9 Total $ 1,100.9 Lessee Information The Company enters into operating leases primarily for real estate, automobiles, and certain equipment. Operating lease expense was $40.9 million, $33.9 million, and $26.8 million for the years ended December 31, 2025, 2024, …

LesseeOperatingLeasesTextBlock · excerpt; the full note is in the filing

Recently Adopted Accounting Pronouncements In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (ASU 2023-09), which requires enhanced income tax disclosures, including specific categories and disaggregation of information in the effective tax rate reconciliation, disaggregated information related to income taxes paid, income or loss from continuing operations before income tax expense or benefit, and income tax expense or benefit from continuing operations. The Company adopted ASU 2023-09 during the fourth quarter of 2025 on a prospective basis. The standard did not have a material impact on the Companys Financial Statements. Refer to Note 11 for more information. Recently Issued Accounting Pronouncements In November 2024, the FASB issued ASU 2024-03, Income StatementReporting Comprehensive IncomeExpense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (ASU 2024-03), which requires disclosure about the types of costs and expenses included in certain expense captions presented on the income statement. The new disclosure requirements are effective for the Companys annual periods beginning after December 15, 2026, and interim periods beginning after December 15, 2027, with early adoption permitted. The Company is currently in the process of evaluating the impact of this pronouncement on its related disclosures. In September 2025, the FASB issued ASU 2025-06, IntangiblesGoodwill a …

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REVENUE Revenue from external customers is attributed to individual countries based on customer location. The following table presents revenue disaggregated by geography and type (in millions): Year Ended December 31, U.S. 2025 2024 2023 Instruments and accessories $ 4,203.4 $ 3,626.4 $ 3,059.8 Systems 1,581.8 1,122.6 865.5 Services 1,030.6 840.4 763.3 Total U.S. revenue $ 6,815.8 $ 5,589.4 $ 4,688.6 OUS Instruments and accessories $ 1,815.5 $ 1,452.6 $ 1,216.8 Systems 891.9 843.4 814.2 Services 541.5 466.7 404.5 Total OUS revenue $ 3,248.9 $ 2,762.7 $ 2,435.5 Total Instruments and accessories $ 6,018.9 $ 5,079.0 $ 4,276.6 Systems 2,473.7 1,966.0 1,679.7 Services 1,572.1 1,307.1 1,167.8 Total revenue $ 10,064.7 $ 8,352.1 $ 7,124.1 Remaining Performance Obligations The transaction price allocated to remaining performance obligations relates to amounts allocated to products and services for which revenue has not yet been recognized. A significant portion of these performance obligations relate to service obligations in the Companys system sale and lease arrangements that will be satisfied and recognized as revenue in future periods. The transaction price allocated to the remaining performance obligations was $3.0 billion as of December 31, 2025. The remaining performance obligations are expected to be satisfied over the term of the system sale, lease, and service arrangements. Approximately half of the remaining performance obligations are expected to be recognized in the next …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

SEGMENT INFORMATION Intuitive is committed to advancing minimally invasive care through a comprehensive ecosystem of products and services. This connected ecosystem includes systems, instruments and accessories, learning, and services connected by a digital portfolio that enables actionable digital insights across the care continuum. The systems, as well as the instruments and accessories, are primarily developed and manufactured by the Company. During the years ended December 31, 2025, 2024, and 2023, domestic revenue accounted for 68%, 67% and 66%, respectively, of total revenue, while revenue from the Companys OUS markets accounted for 32%, 33% and 34%, respectively, of total revenue. The Company manages the business activities on a consolidated basis and operates in one reportable segment. The Companys Chief Executive Officer is the Chief Operating Decision Maker (CODM). The CODM utilizes the Companys long-range plan, which includes product development roadmaps and long-range financial models, as a key input to resource allocation. The CODM makes decisions on resource allocation, assesses performance of the business, and monitors budget versus actual results using income from operations. Net income is also a measure that is considered in monitoring budget versus actual results. Significant expenses within income from operations, as well as within net income, include cost of revenue, research and development, and selling, general and administrative expenses, which are each …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying Consolidated Financial Statements and accompanying notes have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and include the accounts of the Company and its wholly and majority-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The Consolidated Financial Statements include the results and balances of the Companys majority-owned joint ventures, Intuitive Surgical-Fosun Medical Technology (Shanghai) Co., Ltd. and Intuitive Surgical-Fosun (HongKong) Co., Ltd. (collectively, the Joint Venture) with Shanghai Fosun Pharmaceutical (Group) Co., Ltd. (Fosun Pharma). The Company holds a controlling financial interest in the Joint Venture, and the noncontrolling interest is reflected as a separate component of the consolidated stockholders equity. The noncontrolling interests share of the earnings in the Joint Venture is presented separately in the Consolidated Statements of Income and Comprehensive Income for the years ended December 31, 2025, 2024, and 2023. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Consolidated Financial Statements and accompanying Notes to the Consolidated Financial Statements. The accounting estimates that require managements most signific …

SignificantAccountingPoliciesTextBlock · excerpt; the full note is in the filing

STOCKHOLDERS EQUITY Stock Repurchase Program Through December 31, 2025, the Board has authorized an aggregate of $13.0 billion of funding for the Companys common stock Repurchase Program since its establishment in March 2009. The most recent authorization occurred in May 2025, when the Board increased the authorized amount available under the Repurchase Program to $4.0 billion, including amounts remaining under previous authorization. As of December 31, 2025, the remaining amount of share repurchases authorized by the Board under the Repurchase Program was approximately $1.7 billion. The following table summarizes stock repurchase activities (in millions, except per share amounts): Year Ended December 31, 2025 2024 2023 Shares repurchased 4.8 1.7 Average price per share $ 477.84 $ $ 241.38 Value of shares repurchased $ 2,300.9 $ $ 416.3 The Company uses the par value method of accounting for its stock repurchases. As a result of share repurchase activities during the years ended December 31, 2025, 2024, and 2023, the Company reduced common stock and additional paid-in capital by an aggregate of $63 million, zero, and $19 million, respectively, and charged $2.2 billion, zero, and $0.4 billion, respectively, to retained earnings. The Company is subject to an excise tax on corporate stock repurchases, which is assessed as one percent of the fair market value of net stock repurchases. As of December 31, 2025, excise tax of $5.6 million was accrued for shares repurchased in 2025. …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing

CONTINGENCIES From time to time, the Company is involved in a variety of claims, lawsuits, investigations, and proceedings relating to securities laws, product liability, intellectual property, commercial, insurance, contract disputes, employment, and other matters. Certain of these lawsuits and claims are described in further detail below. It is not possible to predict what the outcome of these matters will be, and the Company cannot guarantee that any resolution will be reached on commercially reasonable terms, if at all. A liability and related charge to earnings are recorded in the Financial Statements for legal contingencies when the loss is considered probable and the amount can be reasonably estimated. The assessment is re-evaluated each accounting period and is based on all available information, including the impact of negotiations, settlements, rulings, advice of legal counsel, and other information and events pertaining to each case. Nevertheless, it is possible that additional future legal costs (including settlements, judgments, legal fees, and other related defense costs) could have a material adverse effect on the Companys business, financial condition, or future results of operations. Product Liability Litigation The Company is currently named as a defendant in a number of individual product liability lawsuits filed in various state and federal courts. The plaintiffs generally allege that they or a family member underwent surgical procedures that utilized the …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

The following table presents revenue disaggregated by geography and type (in millions): Three Months Ended June 30, Six Months Ended June 30, U.S. 2026 2025 2026 2025 Instruments and accessories $ 1,180.4 $ 1,017.3 $ 2,302.2 $ 1,981.1 Systems 442.1 354.0 821.9 689.9 Service 310.7 258.1 592.4 496.6 Total U.S. revenue $ 1,933.2 $ 1,629.4 $ 3,716.5 $ 3,167.6 Outside of the U.S. (OUS) Instruments and accessories $ 554.5 $ 456.8 $ 1,119.1 $ 860.7 Systems 242.9 220.7 513.8 407.5 Service 161.7 133.1 313.7 257.6 Total OUS revenue $ 959.1 $ 810.6 $ 1,946.6 $ 1,525.8 Total Instruments and accessories $ 1,734.9 $ 1,474.1 $ 3,421.3 $ 2,841.8 Systems 685.0 574.7 1,335.7 1,097.4 Service 472.4 391.2 906.1 754.2 Total revenue $ 2,892.3 $ 2,440.0 $ 5,663.1 $ 4,693.4 …

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SHARE-BASED COMPENSATION In April 2026, the Companys shareholders approved an amended and restated 2010 Incentive Award Plan to provide for an increase in the number of shares of common stock reserved for issuance thereunder from 120,350,000 to 125,350,000. As of June 30, 2026, approximately 23.2 million shares were reserved for future issuance under the Companys stock plans, and a maximum of approximately 10.1 million of these shares can be awarded as restricted stock units (RSUs). Restricted Stock Units RSU activity under all stock plans for the six months ended June 30, 2026, was as follows (in millions, except per share amounts): Shares Weighted-Average Grant-Date Fair Value Unvested balance as of December 31, 2025 4.7 $ 412.46 RSUs granted 1.8 $ 503.95 RSUs vested (1.7) $ 368.32 RSUs forfeited (0.2) $ 438.66 Unvested balance as of June 30, 2026 4.6 $ 463.67 Stock Options Stock option activity under all stock plans for the six months ended June 30, 2026, was as follows (in millions, except per share amounts): Stock Options Outstanding Weighted-Average Exercise Price Per Share Outstanding balance as of December 31, 2025 5.4 $ 208.18 Options granted $ Options exercised (0.7) $ 157.77 Options forfeited or expired $ 255.71 Outstanding balance as of June 30, 2026 4.7 $ 214.99 As of June 30, 2026, options to purchase an aggregate of 4.5 million shares of common stock were exercisable at a weighted-average price of $212.79 per share. Performance Stock Units The Company grants pe …

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INCOME TAXES Income tax expense for the three months ended June 30, 2026, was $231.4 million, or 21.9% of income before taxes, compared to $167.9 million, or 20.2% of income before taxes, for the three months ended June 30, 2025. Income tax expense for the six months ended June 30, 2026, was $345.8 million, or 17.3% of income before taxes, compared to $132.7 million, or 8.8% of income before taxes, for the six months ended June 30, 2025. The effective tax rate for the three months ended June 30, 2026, differed from the U.S. federal statutory rate of 21% primarily due to state income taxes and taxes on foreign earnings, partially offset by excess tax benefits associated with employee equity plans and the federal research and development credit benefit. The effective tax rates for the six months ended June 30, 2026, and the three and six months ended June 30, 2025, differed from the U.S. federal statutory rate of 21% primarily due to the excess tax benefits associated with employee equity plans and the federal research and development credit benefit, The Companys provision for income taxes for the three months ended June 30, 2026, and 2025, included excess tax benefits associated with employee equity plans of $17.3 million and $32.9 million, respectively, which reduced the Companys effective tax rate by 1.6 and 4.0 percentage points, respectively. The provision for income taxes for the six months ended June 30, 2026, and 2025, included excess tax benefits associated with employ …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Recently Adopted Accounting Pronouncements In July 2025, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2025-05, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets (ASU 2025-05) , which provides a practical expedient and an accounting policy election related to the estimation of expected credit losses for current accounts receivable and current contract assets. The Company adopted ASU 2025-05 effective January 1, 2026, on a prospective basis. In connection with this adoption, the Company elected to apply the practical expedient permitted by the standard, which assumes that current conditions as of the balance sheet date do not change for the remaining life of the assets. The adoption of ASU 2025-05 did not have a material impact on the Companys condensed consolidated financial statements and related disclosures. Recently Issued Accounting Pronouncements In November 2024, the FASB issued ASU 2024-03, Income StatementReporting Comprehensive IncomeExpense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (ASU 2024-03), which requires disclosure about the types of costs and expenses included in certain expense captions presented on the income statement. The new disclosure requirements are effective for the Companys annual periods beginning after December 15, 2026, and interim periods beginning after December 15, 2027, with earl …

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REVENUEThe following table presents revenue disaggregated by geography and type (in millions): Three Months Ended June 30, Six Months Ended June 30, U.S. 2026 2025 2026 2025 Instruments and accessories $ 1,180.4 $ 1,017.3 $ 2,302.2 $ 1,981.1 Systems 442.1 354.0 821.9 689.9 Service 310.7 258.1 592.4 496.6 Total U.S. revenue $ 1,933.2 $ 1,629.4 $ 3,716.5 $ 3,167.6 Outside of the U.S. (OUS) Instruments and accessories $ 554.5 $ 456.8 $ 1,119.1 $ 860.7 Systems 242.9 220.7 513.8 407.5 Service 161.7 133.1 313.7 257.6 Total OUS revenue $ 959.1 $ 810.6 $ 1,946.6 $ 1,525.8 Total Instruments and accessories $ 1,734.9 $ 1,474.1 $ 3,421.3 $ 2,841.8 Systems 685.0 574.7 1,335.7 1,097.4 Service 472.4 391.2 906.1 754.2 Total revenue $ 2,892.3 $ 2,440.0 $ 5,663.1 $ 4,693.4 Remaining Performance Obligations The transaction price allocated to remaining performance obligations relates to amounts allocated to products and services for which revenue has not yet been recognized. A significant portion of these performance obligations relate to service obligations in the Companys system sale and lease arrangements that will be satisfied and recognized as revenue in future periods. The transaction price allocated to the remaining performance obligations was $3.4 billion as of June 30, 2026. The remaining performance obligations are expected to be satisfied over the term of the system sale, lease, and service arrangements. Approximately half of the remaining performance obligations are expected to be r …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

SEGMENT INFORMATION Intuitive is committed to advancing minimally invasive care through a comprehensive ecosystem of products and services. This connected ecosystem includes systems, instruments and accessories, learning, and services connected by a digital portfolio that enables actionable digital insights across the care continuum. The systems, as well as the instruments and accessories, are primarily developed and manufactured by the Company. For the three and six months ended June 30, 2026, domestic revenue accounted for 67% and 66%, respectively, while revenue from the Companys OUS markets accounted for 33% and 34% of total revenue, respectively. For both the three and six months ended June 30, 2025, domestic revenue accounted for 67% of total revenue, while revenue from the Companys OUS markets accounted for 33% of total revenue. For the three and six months ended June 30, 2026, and 2025, no individual country other than the U.S. accounted for 10% or more of total revenue. The Company manages the business activities on a consolidated basis and operates in one reportable segment. The Companys Chief Executive Officer is the Chief Operating Decision Maker (CODM). The CODM utilizes the Companys long-range plan, which includes product development roadmaps and long-range financial models, as a key input to resource allocation. The CODM makes decisions on resource allocation, assesses performance of the business, and monitors budget versus actual results using income from oper …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The unaudited condensed consolidated financial statements (Financial Statements) and accompanying notes have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and pursuant to the rules and regulations of the Securities and Exchange Commission (SEC) for interim financial reporting. In the opinion of management, the accompanying Financial Statements of Intuitive Surgical, Inc. and its wholly and majority-owned subsidiaries have been prepared on a consistent basis with the audited consolidated financial statements for the fiscal year ended December 31, 2025, and include all adjustments, consisting of normal, recurring adjustments, necessary to fairly state the information set forth herein. All intercompany transactions and account balances have been eliminated in consolidation. Certain information and footnote disclosures typically included in the annual consolidated financial statements have been condensed or omitted. Accordingly, these Financial Statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Companys Annual Report on Form 10-K for the fiscal year ended December 31, 2025, which was filed with the SEC on February 3, 2026. The results of operations for the first six months of 2026 are not necessarily indicative of the results to be expected for the entire fiscal year or any fu …

SignificantAccountingPoliciesTextBlock · excerpt; the full note is in the filing

STOCKHOLDERS EQUITY Stockholders Equity The following tables present the changes in stockholders equity (in millions): Three Months Ended June 30, 2026 Common Stock Additional Paid-In Capital Retained Earnings Accumulated Other Comprehensive Income (Loss) Total Intuitive Surgical, Inc. Stockholders Equity Noncontrolling Interest in Joint Venture Total Stockholders Equity Shares Amount Beginning balance 354.4 $ 0.4 $ 11,059.9 $ 6,397.7 $ 16.5 $ 17,474.5 $ 122.7 $ 17,597.2 Issuance of common stock Issuance of common stock through employee stock plans 0.4 65.6 65.6 65.6 Shares withheld related to net share settlement of equity awards (0.5) (12.6) (13.1) (13.1) Share-based compensation expense related to employee stock plans 213.0 213.0 213.0 Repurchase and retirement of common stock (0.9) (13.0) (366.0) (379.0) (379.0) Net income attributable to Intuitive Surgical, Inc. 818.1 818.1 818.1 Other comprehensive income (loss) (10.7) (10.7) 1.5 (9.2) Net income attributable to noncontrolling interest in joint venture 5.1 5.1 Ending balance 353.9 $ 0.4 $ 11,325.0 $ 6,837.2 $ 5.8 $ 18,168.4 $ 129.3 $ 18,297.7 Three Months Ended June 30, 2025 Common Stock Additional Paid-In Capital Retained Earnings Accumulated Other Comprehensive Income (Loss) Total Intuitive Surgical, Inc. Stockholders Equity Noncontrolling Interest in Joint Venture Total Stockholders Equity Shares Amount Beginning balance 358.4 $ 0.4 $ 9,993.7 $ 7,139.4 $ (27.1) $ 17,106.4 $ 101.3 $ 17,207.7 Issuance of common stock t …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing