“With regard to capital expenditures, we expect the range to total between $1 billion to $1.2 billion, primarily for planned facility construction activities.”

In context

“nd the impact of capital investments that will come on to support the growth of our business. Our actual gross profit margin will vary quarter-to-quarter depending largely on product, regional and trading mix, impact of new product introductions and pricing. Turning to operating expenses. In 2023, our pro forma operating expenses grew 14%. In 2024, we expect pro forma operating expense growth to be between 11% and 15%. The operating expense growth reflects increased depreciation expense as we bring on new facilities and investments to drive our growth objectives. We expect our non-cash stock compensation expense to range between $680 million to $710 million in 2024. We expect other income, which is comprised mostly of interest income to total between $290 million and $320 million in 2024. With regard to capital expenditures, we expect the range to total between $1 billion to $1.2 billion, primarily for planned facility construction activities. With regard to income tax, in 2023, our pro forma income tax rate was 20.6%. As we look forward, we estimate our 2024 pro forma tax rate to be between 22% and 24% of pretax income. That concludes our prepared comments. We will now open the call to your questions. Operator: [Operator Instructions] And our first question will come from the line of Larry Biegelsen of Wells Fargo. Please go ahead. Sir, your line is open now. Larry Biegelsen: Can you hear me? Gary Guthart: Yeah, Larry. Larry Biegelsen: You can hear me. Great. Thanks for taking the question. Congrats on a nice end to the year here. Thanks for all the color on da Vinci 5. So obviously, a few questions on that. I'd love to start with just, Jamie, maybe a framework for how to think about the financial implications of a new system”