Q1 2013 Earnings Call Transcript

Transcript Call Date 04/18/2013

Operator: Ladies and gentlemen, good afternoon thank you for standing by. Welcome to the Intuitive Surgical Quarter One Earnings Release Conference Call. At this time, all lines are in a listen-only mode. Later there will be an opportunity for your questions and instructions will be given at that time. As a reminder, today's conference is being recorded.

I would now like to turn the conference over to our host Senior Director of Finance Mr. Calvin Darling. Please go ahead.

Calvin Darling - Senior Director of Finance: Thank you. Good afternoon, and welcome to Intuitive Surgical's first quarter earnings conference call. With me today, we have Gary Guthart, our President and CEO; Marshall Mohr, our Chief Financial Officer; and Aleks Cukic, our Vice President of Strategic Planning.

Before we begin, I would like to inform you that comments mentioned on today's call may be deemed to contain forward-looking statements. Actual results may differ materially from those expressed or implied as a result of certain risks and uncertainties. These risks and uncertainties are described in detail in the Company's Securities and Exchange Commission filings. Prospective investors are cautioned not to place undue reliance on such forward-looking statements.

Please note that this conference call will be available for audio replay on our website at intuitivesurgical.com on the Audio Archive section under our Investor Relations page. In addition, today's press release has been posted to our website. Today's format will consist of providing you with highlights of our first quarter's results as described in our press release announced earlier today, followed by a question-and-answer session.

Gary will present the quarter's business and operational highlights. Marshall will provide a review of our first quarter financial results. Aleks will discuss marketing and clinical highlights. Then I will provide an update to our financial forecast for 2013, and finally, we will host a question-and-answer session.

With that, I will turn it over to Gary.

Gary S. Guthart, Ph.D. - President and CEO: Thank you for joining us today. Before we get started describing our quarterly performance, I would like to make a few comments regarding current events. As you know, we are in the midst a concerted effort by critics of robotic surgery to challenge the benefit it brings to patients, the value it brings to the medical community and the quality of our organization.

While taking these allegations very seriously, we remain deeply committed to developing and providing products that are in the surgeon's hands; ease the burden of surgery for patients who can benefit from them. We take pride in the benefits provided by our systems, demonstrated a numerous large-scale population studies, comparing da Vinci Surgery to open surgery for several procedures. We are confident that those who invest their time in a serious review of the clinical literature on da Vinci will find ample evidence of the benefit it brings to patients, surgeons, hospitals and the medical community at large. To-date, over 1 million patients chose the da Vinci minimally invasive surgery, surgery that would've otherwise been performed through an open incision.

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