UPDATE 2-Intuitive net up 67 pct on robotic surgery systems

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Tue Jul 22, 2008 5:23pm EDT

(Adds after-hours share activity)

CHICAGO, July 22 (Reuters) - Intuitive Surgical Inc (ISRG.O) said on Tuesday quarterly earnings climbed 67 percent on strong sales of its robotic surgical systems, sending its shares up 11 percent in after-hours trading.

Second-quarter net income jumped to $51.2 million, or $1.28 a share, from $30.7 million, or 79 cents a share, a year ago.

Analysts, on average, expected the Sunnyvale, California-based company to report net earnings of $1.17 a share, according to Reuters Estimates.

Revenue rose 56 percent to $219.2 million on growth in procedures using the da Vinci surgical system.

"These results reflect the continued adoption of the da Vinci Surgical System platform across a broadening group of surgical procedures," Chairman and Chief Executive Lonnie Smith said in a statement.

The systems involve a minimally invasive technique and are used primarily in prostatectomy and hysterectomy procedures.

The shares rose to $312 in late electronic trading Tuesday, from a close of $280.23 on Nasdaq.

The stock is down about 20 percent since April, when the company reported first-quarter earnings that exceeded expectations, but results were not considered by Wall Street as strong enough to support the stock's lofty valuation.

(Reporting by Susan Kelly; editing by Jeffrey Benkoe)

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