“As a result of this trend and the earlier stage of our leasing program with OUS customers, we continue to expect that the proportion of placements under operating leases will increase over time.”

In context

“e growth there. In Q1, procedures in India grew 55%, albeit from a relatively small base. Reviewing the capital performance in the quarter, we do not expect the strength in U.K. and India to repeat in the remainder of the year. Customers, particularly in the U.S. and Europe, continue to be challenged by staffing, inflation, debt servicing costs and other financial pressures. And as a result, we expect customers to continue to be cautious in their overall capital spending. Leasing represented 42% of Q1 placements compared with 42% last quarter and 35% last year. We are increasingly seeing customers address system access and capital budget barriers by choosing our usage-based leasing models. The proportion of placements under this structure continue to increase, particularly in the U.S. As a result of this trend and the earlier stage of our leasing program with OUS customers, we continue to expect that the proportion of placements under operating leases will increase over time. Q1 system average selling prices were $1.47 million as compared to $1.43 million last quarter. The sequential increase in system ASPs was primarily driven by a lower mix of trade-ins. We recognized $24 million of lease buyout revenue in the first quarter compared with $17 million last quarter and $16 million in Q1 of 2022. da Vinci instrument and accessory revenue per procedure was approximately $1,780 compared with approximately $1,820 last quarter and $1,870 last year. On a year-over-year basis, FX negatively impacted I&A per procedure by approximately $40, and ordering patterns in China had a negative impact of approximately $50 per procedure as our channel partners continue to manage their inventory levels in a dynamic environment. On a sequential basis, the primary driver of the”