“However, as we look forward, we continue to expect that leasing rates will increase over time.”

In context

“ystem placements in Europe included 39 systems into markets served by our distributors as compared to 24 systems last year. In Japan, financial pressures caused some customers to delay capital investment decisions. Fourth quarter revenue was $2.41 billion, a 25% increase over last year. On a constant currency basis, revenue growth was 26%. Systems revenue grew 36% year-over-year, driven by a 19% increase in da Vinci system placements, a higher system ASP and the higher purchase mix previously referenced. Additional revenue statistics and trends are as follows. Leasing represented 45% of Q4 placements, compared with 58% last quarter, driven by the aforementioned mix of system placements from certain IDNs in the US who prefer to purchase and a higher mix of placements with our distributors. However, as we look forward, we continue to expect that leasing rates will increase over time. Q4 system average selling prices were $1.59 million, as compared to $1.42 million last year driven by higher mix of da Vinci 5 and a higher dual-console mix, partially offset by lower pricing in China. We recognized $28 million of lease buyout revenue in the fourth quarter, compared with $21 million last year. Da Vinci instrument and accessory revenue per procedure was approximately $1,860, compared with approximately $1,800 last year. The year-over-year increase in I&A per procedure reflects customer buying patterns and a higher mix of SP procedures, partially offset by procedure mix in the US given a lower mix of bariatric procedures and a higher mix of cholecystectomy. Turning to Ion. There were approximately 28,000 Ion procedures performed in the fourth quarter, an increase of 70% as”