(RTTNews) - Intuitive Surgical Inc. (ISRG) said Monday it sees second-quarter sales below Street estimates as belt-tightening U.S. hospitals bought fewer of its da Vinci surgical systems, and growth softened for its gynecologic procedures, among other factors. Following the news, shares of the company plummeted about 11 percent in after-hours trade on the Nasdaq.
Intuitive Surgical, based in Sunnyvale, California, is a leader in robotic-assisted, minimally invasive surgery, and is reputed for its da Vinci surgical systems.
The company projects second-quarter net sales of $575 million, up 7 percent from $537 million last year. Analysts polled by Thomson Reuters currently expect sales of $629.61 million for the quarter.
Revenue from da Vinci surgical systems is expected to drop 6 percent year-over-year, as U.S. sales of da Vinci Surgical Systems slid to 90 from 124 a year ago.
Revenue from instruments and accessories are expected to grow 18 percent, and service revenue by 14 percent.
The company estimates second-quarter net income of about $160 million, compared with $155 million last year.
Intuitive is scheduled to report its second-quarter financial results on July 18.
Intuitive shares closed Monday's regular trading at $500.08, down 0.78%, on a volume of 363 thousand shares. In after hours, the stock dropped $53.08 or 10.61%, to trade at $447.00.