Intuitive shares fall 7.3% after earnings, Handelsbanken drops 3.3%
Key Facts
Intuitive Surgical shares fell 7.3% in extended trading after the company reported results for the third quarter of 2026, reaching $406, according to Investing.com. The website also reported that Handelsbanken shares fell 3.3% in Stockholm during the session in which it announced its quarterly results. Intuitive's decline followed the release of its results after the U.S. market closed, with regular trading having ended before the announcement. The company reported quarterly revenue of $3.05 billion, compared with $2.51 billion in the same period a year earlier. Revenue grew 22%, alongside a legal provision and slower growth in surgical procedures using da Vinci systems.
Intuitive said in its earnings statement that it recorded a pretax provision of $450 million related to the settlement of an antitrust class action. Net income attributable to the company under U.S. generally accepted accounting principles was $523 million in the third quarter. Financial tables showed its GAAP operating margin fell to 19.4%, compared with 33.6% in the previous quarter. Adjusted diluted earnings per share were $3.00, according to the same disclosure. The provision was recorded while the legal settlement remained subject to preliminary and final court approval.
Intuitive attributed the revenue increase to "growth in procedure volume," along with higher operating lease revenue and an expanding installed base of systems. Systems revenue reached $769 million, compared with $590 million in the third quarter of the previous year. The company said increased system placements and an expanding leasing base supported growth in the business during the period. Global da Vinci procedures grew 14% year on year in the third quarter, according to the company's financial tables. Growth had stood at 16% in the first quarter, then declined to 15% in the second quarter before slowing again in the latest period.
At Handelsbanken, operating profit rose 10% from the previous quarter to 7.35 billion Swedish kronor, while remaining below its year-earlier level, according to EL7's contemporaneous report. Net interest income was 10.05 billion kronor in the third quarter, according to Investing.com's coverage of the bank's results. The website compared that with 10.01 billion kronor in the second quarter, reflecting a limited quarterly change. On an annual basis, net interest income fell from 10.58 billion kronor in the corresponding period. Meanwhile, net fee and commission income reached a record 3.330 billion kronor, supported by asset management inflows, according to the website.
Handelsbanken's second-quarter results had shown a 5% year-on-year decline in net profit, weighed down by lower net interest income, according to Investing.com. Net profit at the time was 5.23 billion kronor, compared with 5.49 billion kronor a year earlier. In U.S. trading, EL7 closing prices showed SVNLY rising to $7.73 on October 20 from $7.64 in the previous session. That close relates to the bank's U.S. ticker, while the reported decline on results day occurred in the Stockholm market in Swedish kronor. Intuitive shares, under the ticker ISRG, also closed at $438, compared with $433.18 in the previous session, before the results release and the extended-trading decline.
For 2026, Intuitive expects global da Vinci procedure growth of between 14% and 15%, according to its published guidance. The company expects growth to be near the midpoint of that range for the year. On the legal front, the settlement remains subject to preliminary court approval. It is also subject to final approval, under the terms outlined in the company's statement. For Handelsbanken, the investor relations calendar lists February 3, 2027 as the publication date for highlights of its results for the year ending in December 2026.