PART I. Financial Information [Item 1. Unaudited Condensed Consolidated Financial Statements](index=3&type=section&id=Item%201.%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section presents Accuray Incorporated's unaudited condensed consolidated financial statements, including balance sheets, statements of operations, equity, cash flows, and detailed notes [Unaudited Condensed Consolidated Balance Sheets](index=3&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) This section presents Accuray's unaudited condensed consolidated balance sheets, detailing assets, liabilities, and equity Balance Sheet Summary (USD thousands) | ASSETS | December 31, 2022 (USD thousands) | June 30, 2022 (USD thousands) | |:---|:---|:---| | Cash and cash equivalents | $67,729 | $88,737 | | Accounts receivable, net | $89,187 | $94,442 | | Inventories | $155,665 | $142,254 | | Total current assets | $336,948 | $350,890 | | Total assets | $468,769 | $472,849 | | **LIABILITIES AND STOCKHOLDERS' EQUITY** | | | | Accounts payable | $33,861 | $31,337 | | Accrued compensation | $20,099 | $29,441 | | Total current liabilities | $184,720 | $208,858 | | Long-term debt | $174,102 | $171,907 | | Total liabilities | $417,024 | $419,660 | | Total stockholders' equity | $51,745 | $53,189 | | Total liabilities and stockholders' equity | $468,769 | $472,849 | - Total assets decreased from **$472.8 million** at June 30, 2022, to **$468.8 million** at December 31, 2022, with cash and cash equivalents decreasing from **$88.7 million** to **$67.7 million**[15](index=15&type=chunk) - Total liabilities decreased slightly from **$419.7 million** to **$417.0 million**, while total stockholders' equity also decreased from **$53.2 million** to **$51.7 million**[15](index=15&type=chunk) [Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)](index=5&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Income%20(Loss)) This section presents Accuray's unaudited condensed consolidated statements of operations and comprehensive income (loss) for the reported periods Statements of Operations and Comprehensive Income (Loss) Summary (USD thousands) | Metric | Three Months Ended Dec 31, 2022 (USD thousands) | Three Months Ended Dec 31, 2021 (USD thousands) | Six Months Ended Dec 31, 2022 (USD thousands) | Six Months Ended Dec 31, 2021 (USD thousands) | |:---|:---|:---|:---|:---|\n| Net revenue | $114,760 | $116,275 | $211,253 | $223,717 | | Products revenue | $63,269 | $60,721 | $107,892 | $113,480 | | Services revenue | $51,491 | $55,554 | $103,361 | $110,237 | | Gross profit | $42,967 | $42,627 | $77,564 | $82,151 | | Income from operations | $2,705 | $3,981 | $523 | $6,392 | | Net income (loss) | $(1,874) | $179 | $(7,323) | $(849) | | Net income (loss) per share - basic | $(0.02) | $0.00 | $(0.08) | $(0.01) | | Comprehensive income (loss) | $916 | $71 | $(8,188) | $(726) | - Net revenue decreased by **1%** for the three months ended December 31, 2022, and by **6%** for the six months ended December 31, 2022, compared to the prior year periods[19](index=19&type=chunk) - The company reported a net loss of **$1.9 million** for the three months ended December 31, 2022, a significant decline from a net income of **$0.2 million** in the prior year period, with the six-month net loss widening to **$7.3 million** from **$0.8 million**[19](index=19&type=chunk) [Unaudited Condensed Consolidated Statements of Stockholders' Equity](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Stockholders'%20Equity) This section presents Accuray's unaudited condensed consolidated statements of stockholders' equity, detailing changes in equity components Stockholders' Equity Summary (USD thousands) | Stockholders' Equity Component | Balance at June 30, 2022 (USD thousands) | Balance at December 31, 2022 (USD thousands) | |:---|:---|:---|\n| Common Stock (Shares) | 93,500 | 95,494 | | Common Stock (Amount) | $94 | $95 | | Additional Paid-in Capital | $543,211 | $550,288 | | Accumulated Other Comprehensive Income (Loss) | $2,406 | $1,541 | | Accumulated Deficit | $(492,522) | $(500,179) | | Total Stockholders' Equity | $53,189 | $51,745 | - Total stockholders' equity decreased from **$53.2 million** at June 30, 2022, to **$51.7 million** at December 31, 2022, primarily due to a net loss of **$7.3 million** and a negative foreign currency translation adjustment of **$0.9 million**[24](index=24&type=chunk)[19](index=19&type=chunk) - Share-based compensation contributed **$6.0 million** to additional paid-in capital during the six months ended December 31, 2022[24](index=24&type=chunk)[28](index=28&type=chunk) [Unaudited Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This section presents Accuray's unaudited condensed consolidated statements of cash flows, detailing operating, investing, and financing activities Cash Flow Summary (USD thousands) | Cash Flow Activity | Six Months Ended Dec 31, 2022 (USD thousands) | Six Months Ended Dec 31, 2021 (USD thousands) | |:---|:---|:---|\n| Net cash provided by (used in) operating activities | $(17,968) | $24,011 | | Net cash used in investing activities | $(2,806) | $(2,259) | | Net cash used in financing activities | $(90) | $(14,510) | | Effect of exchange rate changes on cash, cash equivalents and restricted cash | $(79) | $(747) | | Net increase (decrease) in cash, cash equivalents and restricted cash | $(20,943) | $6,495 | | Cash, cash equivalents and restricted cash at end of period | $69,211 | $124,696 | - Net cash used in operating activities was **$18.0 million** for the six months ended December 31, 2022, a significant decrease from **$24.0 million** provided in the prior year, primarily due to a net loss and changes in assets and liabilities[28](index=28&type=chunk)[156](index=156&type=chunk) - Investing activities used **$2.8 million**, mainly for property and equipment purchases, while financing activities used **$0.1 million**, reflecting debt repayments partially offset by revolving credit facility drawdowns and employee stock plan proceeds[28](index=28&type=chunk)[158](index=158&type=chunk)[159](index=159&type=chunk) [Notes to Unaudited Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed notes explaining Accuray's significant accounting policies and other financial information [Note 1. The Company and its Significant Accounting Policies](index=8&type=section&id=Note%201.%20The%20Company%20and%20its%20Significant%20Accounting%20Policies) This note describes Accuray's business, financial statement preparation, and significant accounting policies - Accuray Incorporated designs, develops, and sells advanced radiosurgery and radiation therapy systems globally for tumor treatment, with primary offices in the US, Switzerland, China, Hong Kong, and Japan[31](index=31&type=chunk) - The financial statements are prepared in accordance with GAAP, with certain information condensed per SEC rules, and results for the three and six months ended December 31, 2022, are not indicative of future periods[33](index=33&type=chunk) - The company faces risks from geopolitical and macroeconomic impacts, including the Russian invasion of Ukraine, inflation, and the COVID-19 pandemic, which have affected and may continue to affect demand, supply chain, and operating results[35](index=35&type=chunk) [Note 2. Recent Accounting Pronouncements](index=9&type=section&id=Note%202.%20Recent%20Accounting%20Pronouncements) This note details recent accounting pronouncements adopted by Accuray and their impact on financial statements - Accuray adopted ASU 2020-04, Reference Rate Reform, transitioning from LIBOR to SOFR for its Term Loan and Revolving Credit Facility in October 2022, with no material financial statement impact[38](index=38&type=chunk) [Note 3. Revenue](index=9&type=section&id=Note%203.%20Revenue) This note provides details on Accuray's revenue recognition, contract balances, and remaining performance obligations Contract Balance Summary (USD thousands) | Contract Balance | December 31, 2022 (USD thousands) | June 30, 2022 (USD thousands) | Change ($ thousands) | Change (%) | |:---|:---|:---|:---|:---|\n| Unbilled accounts receivable – current | $22,395 | $13,325 | $9,070 | 68% | | Customer advances | $17,169 | $25,290 | $(8,121) | (32%) | | Deferred revenue – current | $72,675 | $75,375 | $(2,700) | (4%) | | Deferred revenue – non-current | $30,357 | $24,694 | $5,663 | 23% | - Contract assets increased primarily due to changes in billing timing after revenue recognition and transactions with payment terms over 12 months, while contract liabilities decreased due to changes in revenue recognition timing, reduced customer deposits, and deferred warranty[42](index=42&type=chunk) - As of December 31, 2022, total remaining performance obligations were **$1,077.6 million**, with **$71.9 million** related to long-term warranty and non-cancellable post-warranty services, and approximately **26% to 29%** of the remaining **$1,005.7 million** expected to be recognized in the next 12 months[45](index=45&type=chunk) [Note 4. Supplemental Financial Information](index=10&type=section&id=Note%204.%20Supplemental%20Financial%20Information) This note provides supplemental financial details, including financing receivables, inventories, and interest expense Financing Receivables Summary (USD thousands) | Financing Receivables | December 31, 2022 (USD thousands) | June 30, 2022 (USD thousands) | |:---|:---|:---|\n| Total, gross | $6,165 | $6,137 | | Allowance for credit losses | $(943) | $(943) | | Total, net | $5,222 | $5,194 | | Reported as: Current | $2,245 | $2,435 | | Reported as: Non-current | $2,977 | $2,759 | Inventories Summary (USD thousands) | Inventories | December 31, 2022 (USD thousands) | June 30, 2022 (USD thousands) | |:---|:---|:---|\n| Raw materials | $65,463 | $61,871 | | Work-in-process | $16,427 | $16,367 | | Finished goods | $73,775 | $64,016 | | Total Inventories | $155,665 | $142,254 | - Interest expense increased to **$2.6 million** for the three months ended December 31, 2022, from **$2.1 million** in the prior year, and to **$4.9 million** for the six-month period from **$4.1 million**, primarily due to higher interest rates[60](index=60&type=chunk) [Note 5. Leases](index=12&type=section&id=Note%205.%20Leases) This note describes Accuray's operating lease arrangements and related liabilities - Accuray has operating leases for offices and facilities, with some non-cancellable agreements extending through June 2035, including a material lease for its Madison, Wisconsin facility extended in August 2022[61](index=61&type=chunk) Operating Lease Liabilities (USD thousands) | Operating Lease Liabilities | December 31, 2022 (USD thousands) | |:---|:---|\n| 2023 (remaining six months) | $4,793 | | 2024 | $2,839 | | 2025 | $4,344 | | 2026 | $3,315 | | 2027 | $3,175 | | Thereafter | $26,263 | | Total operating lease payments | $44,729 | | Less: imputed interest | $(17,152) | | Present value of operating lease liabilities | $27,577 | | Weighted average remaining lease term (in years) | 8.7 | | Weighted average discount rate | 8.8% | [Note 6. Goodwill and Intangible Assets](index=13&type=section&id=Note%206.%20Goodwill%20and%20Intangible%20Assets) This note provides information on Accuray's goodwill and intangible assets, including impairment testing Goodwill and Intangible Assets (USD thousands) | Asset Type | December 31, 2022 (USD thousands) | June 30, 2022 (USD thousands) | |:---|:---|:---|\n| Goodwill | $57,776 | $57,840 | | Patent license, net | $268 | $250 | - Goodwill decreased slightly due to currency translation, and the company's annual impairment test in Q2 FY23 found no impairment[68](index=68&type=chunk) - No triggering events for impairment of definite-lived intangible and long-lived assets were identified as of December 31, 2022[69](index=69&type=chunk) [Note 7. Derivative Financial Instruments](index=13&type=section&id=Note%207.%20Derivative%20Financial%20Instruments) This note details Accuray's use of derivative financial instruments to manage foreign currency exposure - Accuray uses foreign currency forward contracts to manage exposure to exchange rate fluctuations on intercompany balances, cash, receivables, and liabilities, primarily in Japanese Yen, Swiss Franc, and U.S. Dollar, which are not designated as hedging instruments[71](index=71&type=chunk) Notional Amount of Outstanding Forward Currency Exchange Contracts (USD thousands) | Currency | Notional Amount as of December 31, 2022 (USD thousands) | Notional Amount as of June 30, 2022 (USD thousands) | |:---|:---|:---|\n| Swiss Franc | $32,981 | $27,910 | | Japanese Yen | $17,224 | $14,167 | | Euro | $1,462 | $16,307 | | Total outstanding forward currency exchange contracts | $57,678 | $68,335 | Foreign Currency Exchange Gain (Loss) (USD thousands) | Gain (Loss) Type | Three Months Ended Dec 31, 2022 (USD thousands) | Six Months Ended Dec 31, 2022 (USD thousands) | |:---|:---|:---|\n| Foreign currency exchange gain (loss) on forward contracts | $(213) | $1,446 | | Foreign currency transaction gain (loss) | $180 | $(1,730) | [Note 8. Fair Value Measurements](index=14&type=section&id=Note%208.%20Fair%20Value%20Measurements) This note provides information on Accuray's fair value measurements for financial instruments - The company's open currency forward contracts are measured at fair value using Level 2 inputs, based on observable market data, with a notional value of **$57.7 million** as of December 31, 2022[78](index=78&type=chunk) Debt Instrument Carrying Value vs. Fair Value (USD thousands) | Debt Instrument | Carrying Value (Dec 31, 2022, USD thousands) | Fair Value (Dec 31, 2022, USD thousands) | |:---|:---|:---|\n| 3.75% Convertible Notes Due 2026 | $97,901 | $83,161 | | Term Loan Facility | $71,903 | $71,903 | | Revolving Credit Facility | $10,000 | $10,000 | | Total | $179,804 | $165,064 | - The carrying value of the Revolving Credit Facility and Term Loan Facility approximates their estimated fair value, based on bank quoted market rates (Level 2 fair value measurement)[79](index=79&type=chunk) [Note 9. Commitments and Contingencies](index=15&type=section&id=Note%209.%20Commitments%20and%20Contingencies) This note outlines Accuray's legal proceedings, indemnities, bank guarantees, royalty costs, and restructuring charges - Accuray is involved in legal proceedings in the ordinary course of business but does not believe any current claims will materially and adversely affect its financial condition or operating results[81](index=81&type=chunk) - The company provides indemnities for software infringement and to landlords, with no recorded liability as of December 31, 2022, as no probable losses are anticipated[82](index=82&type=chunk)[83](index=83&type=chunk) - Bank guarantees totaled **$1.3 million** as of December 31, 2022, primarily for customer bidding processes, with royalty costs of **$0.6 million** and **$1.1 million** recorded for the three and six months ended December 31, 2022, respectively[85](index=85&type=chunk)[86](index=86&type=chunk) - A Q2 FY23 cost-saving initiative resulted in a **4.5%** global workforce reduction, costing an estimated **$2.4 million**, with **$1.9 million** charged in Q2 FY23 and a remaining accrual of **$1.1 million** expected to be paid in FY23[87](index=87&type=chunk) [Note 10. Debt](index=16&type=section&id=Note%2010.%20Debt) This note provides details on Accuray's outstanding debt, including convertible notes and credit facilities - The remaining **$2.9 million** of 3.75% Convertible Senior Notes due July 2022 were repaid in cash in July 2022[88](index=88&type=chunk) - As of December 31, 2022, **$100.0 million** aggregate principal amount of 3.75% Convertible Senior Notes due July 2026 remained outstanding[88](index=88&type=chunk) Debt Summary (USD thousands) | Debt Instrument | Principal Amount (Dec 31, 2022, USD thousands) | Net Carrying Amount (Dec 31, 2022, USD thousands) | |:---|:---|:---|\n| 3.75% Convertible Notes Due 2026 | $100,000 | $97,901 | | Revolving Credit Facility | $10,000 | $10,000 | | Term Loan Facility | $73,000 | $71,903 | | Total Debt | $183,000 | $179,804 | | Reported as: Short-term debt | | $5,702 | | Reported as: Long-term debt | | $174,102 | - In October 2022, the company amended its credit agreement, increasing the senior net leverage ratio and reducing the consolidated fixed charge coverage ratio requirements until June 30, 2023[92](index=92&type=chunk) [Note 11. Stock Incentive Plan and Employee Stock Purchase Plan](index=17&type=section&id=Note%2011.%20Stock%20Incentive%20Plan%20and%20Employee%20Stock%20Purchase%20Plan) This note details Accuray's share-based compensation expense and changes to its stock incentive plans Share-Based Compensation Expense (USD thousands) | Expense Category | Three Months Ended Dec 31, 2022 (USD thousands) | Six Months Ended Dec 31, 2022 (USD thousands) | |:---|:---|:---|\n| Cost of revenue | $443 | $809 | | Research and development | $403 | $771 | | Selling and marketing | $458 | $944 | | General and administrative | $1,822 | $3,518 | | Total share-based compensation | $3,126 | $6,042 | - Total share-based compensation increased to **$3.1 million** for the three months ended December 31, 2022, from **$2.7 million** in the prior year, and to **$6.0 million** for the six-month period from **$5.2 million**[94](index=94&type=chunk) - In October 2022, the company increased shares available under its 2016 Equity Incentive Plan by **4.0 million** and its 2007 Employee Stock Purchase Plan by **2.5 million**[94](index=94&type=chunk) [Note 12. Net Income (Loss) Per Common Share](index=18&type=section&id=Note%2012.%20Net%20Income%20(Loss)%20Per%20Common%20Share) This note provides the calculation of basic and diluted net income (loss) per common share Net Income (Loss) Per Common Share (USD thousands, except per share data) | Metric | Three Months Ended Dec 31, 2022 | Six Months Ended Dec 31, 2022 | |:---|:---|:---|\n| Net income (loss) | $(1,874) | $(7,323) | | Weighted average shares outstanding - basic | 94,567 | 94,048 | | Basic net income (loss) per share | $(0.02) | $(0.08) | | Diluted net income (loss) per share | $(0.02) | $(0.08) | - Potentially dilutive securities, including stock options, RSUs, PSUs, and convertible notes, were excluded from diluted EPS calculation for the periods ended December 31, 2022, and 2021, as their effect would have been anti-dilutive due to net losses[97](index=97&type=chunk)[98](index=98&type=chunk) [Note 13. Segment Information](index=18&type=section&id=Note%2013.%20Segment%20Information) This note provides information on Accuray's operating segment and geographic revenue distribution - Accuray operates as one operating and reporting segment: Oncology systems group, which develops, manufactures, and markets medical devices for radiation therapy[100](index=100&type=chunk) Revenue by Geographic Region (USD thousands) | Geographic Region | Three Months Ended Dec 31, 2022 (USD thousands) | Six Months Ended Dec 31, 2022 (USD thousands) | |:---|:---|:---|\n| Americas | $27,919 | $55,204 | | Europe, India, Middle East and Africa | $39,664 | $76,410 | | Asia Pacific, excluding Japan and China | $9,199 | $17,173 | | Japan | $15,700 | $27,188 | | China | $22,278 | $35,278 | | Total | $114,760 | $211,253 | - Revenue from outside the Americas increased for both the three and six months ended December 31, 2022, driven by system sales in EIMEA, Japan, and China, while Americas revenue decreased due to lower system sales and contract services[104](index=104&type=chunk)[140](index=140&type=chunk)[141](index=141&type=chunk) [Note 14. Joint Venture](index=19&type=section&id=Note%2014.%20Joint%20Venture) This note describes Accuray's investment in its China Joint Venture and its financial impact - Accuray holds a **49%** interest in CNNC Accuray (Tianjin) Medical Technology Co. Ltd. (the JV) and applies the equity method of accounting, recognizing sales to the JV with profit eliminated until goods are sold to an end customer[107](index=107&type=chunk) Joint Venture Financial Data (USD thousands) | JV Financial Data | Three Months Ended Sep 30, 2022 (USD thousands) | Six Months Ended Sep 30, 2022 (USD thousands) | |:---|:---|:---|\n| Revenue | $23,983 | $50,723 | | Net loss | $(1,416) | $(2,168) | | Net loss attributable to the Company | $(699) | $(1,067) | - The carrying value of the investment in the JV decreased to **$12.3 million** at December 31, 2022, from **$13.9 million** at June 30, 2022, partly due to the company's proportional share of the JV's currency translation adjustment[108](index=108&type=chunk) [Note 15. Income Tax](index=20&type=section&id=Note%2015.%20Income%20Tax) This note provides information on Accuray's income tax expense, GILTI inclusion, and unrecognized tax benefits - Income tax expense was **$1.0 million** for the three months and **$1.4 million** for the six months ended December 31, 2022, primarily due to foreign taxes[113](index=113&type=chunk) - GILTI inclusion is expected to be fully absorbed by net operating loss carryforwards, not causing a U.S. taxable income position for fiscal year 2023, and the change in U.S. tax law requiring capitalization of R&E expenditures is not expected to materially impact FY23 financial statements[114](index=114&type=chunk) - Gross unrecognized tax benefits were **$19.8 million** as of December 31, 2022, with **$19.6 million** not affecting income tax expense before valuation allowance[115](index=115&type=chunk) [Note 16. Subsequent Events](index=20&type=section&id=Note%2016.%20Subsequent%20Events) This note discloses any significant events occurring after the balance sheet date - The company evaluated subsequent events through the filing date of this 10-Q and found no events requiring adjustments to its unaudited condensed consolidated financial statements[116](index=116&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=21&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's analysis of Accuray's financial condition, operating results, liquidity, and critical accounting policies for the reported periods - Accuray develops, manufactures, sells, and supports advanced radiosurgery and radiation therapy systems (CyberKnife® and TomoTherapy® platforms) for tumor treatment, aiming for better accuracy, flexibility, and shorter treatment times[120](index=120&type=chunk)[121](index=121&type=chunk) - Macroeconomic factors (e.g., Russian invasion of Ukraine, inflation, foreign currency fluctuations) and the COVID-19 pandemic continue to create significant global economic uncertainty, impacting demand, supply chain, and operating results[123](index=123&type=chunk)[124](index=124&type=chunk) - A Q2 FY23 cost-saving initiative reduced the global workforce by **4.5%**, incurring **$1.9 million** in charges, with an estimated additional **$0.5 million** in Q3 FY23[125](index=125&type=chunk) - The China Joint Venture (JV) has begun selling products, with regulatory submission for a locally branded Class B device completed, expecting NMPA clearance in H2 FY24[126](index=126&type=chunk)[127](index=127&type=chunk) Order Backlog Summary (USD thousands) | Metric | Three Months Ended Dec 31, 2022 (USD thousands) | Three Months Ended Dec 31, 2021 (USD thousands) | Six Months Ended Dec 31, 2022 (USD thousands) | Six Months Ended Dec 31, 2021 (USD thousands) | |:---|:---|:---|:---|:---|\n| Gross orders | $79,035 | $85,381 | $148,883 | $155,365 | | Net orders | $40,869 | $40,183 | $60,439 | $80,946 | | Order backlog at period end | $515,236 | $581,267 | $515,236 | $581,267 | - Gross orders decreased by **$6.3 million** (3 months) and **$6.5 million** (6 months) year-over-year, primarily due to declines in EIMEA, Japan, and Asia Pacific regions, partially offset by Americas and China increases[131](index=131&type=chunk)[132](index=132&type=chunk) - Net orders increased by **$0.7 million** (3 months) year-over-year due to lower cancellations and age-outs, but decreased by **$20.5 million** (6 months) year-over-year due to lower age-ins, gross orders, and unfavorable foreign exchange impacts[133](index=133&type=chunk) Key Financial Results (USD thousands) | Metric | Three Months Ended Dec 31, 2022 (USD thousands) | Change ($ thousands) | Change (%) | Six Months Ended Dec 31, 2022 (USD thousands) | Change ($ thousands) | Change (%) | |:---|:---|:---|:---|:---|:---|:---|\n| Products Net Revenue | $63,269 | $2,548 | 4% | $107,892 | $(5,588) | (5%) | | Services Net Revenue | $51,491 | $(4,063) | (7%) | $103,361 | $(6,876) | (6%) | | Total Net Revenue | $114,760 | $(1,515) | (1%) | $211,253 | $(12,464) | (6%) | | Gross Profit | $42,967 | $340 | 1% | $77,564 | $(4,587) | (6%) | | Net Income (Loss) | $(1,874) | $(2,053) | (1147%) | $(7,323) | $(6,474) | (763%) | - Products net revenue increased by **$2.5 million** (3 months) due to system sales, but decreased by **$5.6 million** (6 months) due to lower product upgrades and system sales, both unfavorably impacted by foreign exchange[136](index=136&type=chunk) - Services net revenue decreased by **$4.1 million** (3 months) and **$6.9 million** (6 months) year-over-year, primarily due to foreign exchange impacts on contract services and reduced training/installation activity[137](index=137&type=chunk) - Overall gross profit increased by **1%** (3 months) due to lower service costs, but decreased by **6%** (6 months) due to unfavorable product mix and foreign exchange impacts on product revenue[142](index=142&type=chunk) - Net cash used in operating activities was **$18.0 million** for the six months ended December 31, 2022, compared to **$24.0 million** provided in the prior year, driven by net loss and changes in working capital[155](index=155&type=chunk)[156](index=156&type=chunk) - The company believes its current cash and debt facilities are sufficient to fund operations for at least the next 12 months, but continues to critically review liquidity due to ongoing macroeconomic uncertainty[150](index=150&type=chunk)[161](index=161&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=29&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section details Accuray's exposure to market risks, including foreign currency, interest rate, equity price, and inflation risks, and mitigation strategies - Accuray uses foreign currency forward contracts (notional value ~**$57.7 million** as of Dec 31, 2022) to manage exposure to foreign currency exchange rate fluctuations, primarily in Euro and Japanese Yen, with changes in fair value reported in earnings[175](index=175&type=chunk)[176](index=176&type=chunk) - The company's Credit Facilities (Term Loan and Revolving Credit) have variable interest rates tied to SOFR, where a **50 basis point** change in interest rates would impact annual interest expense by approximately **$0.4 million**[177](index=177&type=chunk) - Equity price risk exists for the 3.75% Convertible Notes due 2026; if the common stock price exceeds **$5.86 per share** upon conversion, the company may issue additional cash or shares[178](index=178&type=chunk) - Elevated inflation levels could materially impact Accuray's business by increasing costs (e.g., freight, logistics) that may not be fully offset by price increases, especially for long-term contractual agreements[179](index=179&type=chunk) [Item 4. Controls and Procedures](index=31&type=section&id=Item%204.%20Controls%20and%20Procedures) This section confirms the effectiveness of Accuray's disclosure controls and procedures and reports no significant changes in internal control over financial reporting - Accuray's disclosure controls and procedures were evaluated as effective as of December 31, 2022, providing reasonable assurance that required information is recorded, processed, summarized, and reported timely[181](index=181&type=chunk) - No significant changes in internal control over financial reporting occurred during the six months ended December 31, 2022[182](index=182&type=chunk) - Internal controls have inherent limitations, including human diligence, judgment lapses, and potential circumvention by collusion or management override, meaning they can only provide reasonable, not absolute, assurance[183](index=183&type=chunk) PART II. Other Information [Item 1. Legal Proceedings](index=32&type=section&id=Item%201.%20Legal%20Proceedings) This section incorporates information on commitments and contingencies related to litigation, with no anticipated material adverse effects on financial condition - Information regarding legal proceedings is incorporated by reference from Note 9, Commitments and Contingencies, of the financial statements[185](index=185&type=chunk) - Management believes there are no probable and reasonably estimable material losses related to any current legal proceedings and claims[81](index=81&type=chunk) [Item 1A. Risk Factors](index=32&type=section&id=Item%201A.%20Risk%20Factors) This section outlines significant risks to Accuray's business, including global economic conditions, market acceptance, debt, competition, and regulatory compliance - Accuray faces risks from the current global economic environment, including inflation, recession, and the COVID-19 pandemic, which could delay customer financing, impact demand, and disrupt supply chains[197](index=197&type=chunk)[198](index=198&type=chunk)[200](index=200&type=chunk) - Widespread market acceptance of CyberKnife and TomoTherapy platforms is crucial; failure to achieve this due to physician adoption, capital purchase decisions, or competition could harm revenue[207](index=207&type=chunk)[209](index=209&type=chunk)[210](index=210&type=chunk) - Maintaining or increasing gross margins is vital for profitability, but factors like manufacturing costs, low production volume, pricing, and supply chain disruptions could adversely impact them[211](index=211&type=chunk) - Outstanding debt (Convertible Senior Notes, Credit Facilities) poses risks, including substantial interest and principal payments, restrictive covenants, and potential acceleration of debt if covenants are breached[216](index=216&type=chunk)[217](index=217&type=chunk)[218](index=218&type=chunk) - Operating results, including orders, revenues, and margins, are volatile due to long sales cycles, high unit prices, and external factors like the COVID-19 pandemic, making financial performance unpredictable[220](index=220&type=chunk)[221](index=221&type=chunk)[222](index=222&type=chunk)[225](index=225&type=chunk) - The medical device industry is highly competitive and subject to rapid technological change; failure to innovate or keep pace with competitors (e.g., Varian, Elekta) could render Accuray's products obsolete[228](index=228&type=chunk)[230](index=230&type=chunk)[232](index=232&type=chunk) - International operations, which generate a majority of revenue, are exposed to economic, political, regulatory, and currency risks, including trade tariffs and sanctions, which could adversely affect business[234](index=234&type=chunk)[235](index=235&type=chunk)[238](index=238&type=chunk)[239](index=239&type=chunk)[240](index=240&type=chunk) - Reliance on single-source suppliers for critical components, coupled with global supply chain disruptions, poses risks of delays, increased costs, and inability to meet demand, impacting gross margins and revenue[257](index=257&type=chunk)[258](index=258&type=chunk)[259](index=259&type=chunk) - The company's ability to protect its intellectual property (patents, trade secrets) is difficult and costly, with risks of infringement claims, challenges to patent validity, and inadequate protection in foreign jurisdictions[296](index=296&type=chunk)[297](index=297&type=chunk)[298](index=298&type=chunk)[302](index=302&type=chunk) - Compliance with extensive federal, state, and foreign laws (e.g., anti-kickback, false claims, HIPAA, FCPA, GDPR) is critical; violations could result in substantial penalties, reputational harm, and operational restructuring[338](index=338&type=chunk)[339](index=339&type=chunk)[340](index=340&type=chunk)[344](index=344&type=chunk)[345](index=345&type=chunk)[272](index=272&type=chunk)[273](index=273&type=chunk)[274](index=274&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=67&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section reports no unregistered sales of equity securities or use of proceeds for the period - No unregistered sales of equity securities or use of proceeds to report[378](index=378&type=chunk) [Item 3. Defaults Upon Senior Securities](index=67&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) This section reports no defaults upon senior securities for the period - No defaults upon senior securities to report[378](index=378&type=chunk) [Item 4. Mine Safety Disclosures](index=67&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This section states that mine safety disclosures are not applicable to the company's operations - Mine safety disclosures are not applicable[378](index=378&type=chunk) [Item 5. Other Information](index=67&type=section&id=Item%205.%20Other%20Information) This section reports no other information for the period - No other information to report[378](index=378&type=chunk) [Item 6. Exhibits](index=68&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the Quarterly Report on Form 10-Q, including key agreements and certifications - Exhibit 10.1: First Amendment to Credit Agreement, dated October 28, 2022[381](index=381&type=chunk) - Exhibit 10.2: Accuray Incorporated Amended and Restated 2016 Equity Incentive Plan[382](index=382&type=chunk) - Exhibit 31.1 and 31.2: Certifications of Chief Executive Officer and Chief Financial Officer pursuant to Rule 13a-14(a)[385](index=385&type=chunk)[386](index=386&type=chunk) - Exhibit 32.1: Certification of Chief Executive Officer and Chief Financial Officer pursuant to Rule 13a-14(b) and 18 U.S.C. 1350[387](index=387&type=chunk)

[PART I. Financial Information](index=4&type=section&id=PART%20I.%20Financial%20Information) This section provides Accuray's unaudited condensed consolidated financial statements and management's discussion and analysis for the quarter ended September 30, 2022 [Item 1. Unaudited Condensed Consolidated Financial Statements](index=4&type=section&id=Item%201.%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) Accuray's unaudited financial statements for Q1 FY2023 show a 10% revenue decrease to $96.5 million and an increased net loss of $5.4 million, with detailed notes on accounting policies and debt [Unaudited Condensed Consolidated Balance Sheets](index=4&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) This section presents Accuray's unaudited consolidated balance sheets, detailing assets, liabilities, and equity as of September 30, 2022, and June 30, 2022 Consolidated Balance Sheet Summary (in thousands) | Balance Sheet Items | Sep 30, 2022 | June 30, 2022 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $81,007 | $88,737 | | Total current assets | $335,265 | $350,890 | | Total assets | $466,349 | $472,849 | | **Liabilities & Equity** | | | | Total current liabilities | $192,536 | $208,858 | | Total liabilities | $419,358 | $419,660 | | Total stockholders' equity | $46,991 | $53,189 | - Total assets decreased slightly to **$466,349 thousand** from **$472,849 thousand** at the end of the previous quarter, primarily due to a decrease in cash and accounts receivable[10](index=10&type=chunk) - Total stockholders' equity declined from **$53,189 thousand** to **$46,991 thousand** during the quarter, driven by the net loss and negative foreign currency translation adjustments[10](index=10&type=chunk) [Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss](index=5&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Loss) This section presents Accuray's unaudited consolidated statements of operations and comprehensive loss for the three months ended September 30, 2022, and 2021 Statement of Operations Summary (in thousands, except per share data) | Metric | Three Months Ended Sep 30, 2022 | Three Months Ended Sep 30, 2021 | | :--- | :--- | :--- | | Total net revenue | $96,493 | $107,442 | | Gross profit | $34,597 | $39,524 | | Income (loss) from operations | $(2,182) | $2,411 | | Net loss | $(5,449) | $(1,028) | | Net loss per share (basic & diluted) | $(0.06) | $(0.01) | - Total net revenue decreased by **10.2%** year-over-year, with both product and service revenues declining[14](index=14&type=chunk) - The company reported a net loss of **$5,449 thousand** for the quarter, a significant increase from the **$1,028 thousand** net loss in the same period of the prior year, primarily due to lower revenue and gross profit[14](index=14&type=chunk) [Unaudited Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This section presents Accuray's unaudited consolidated statements of cash flows for the three months ended September 30, 2022, and 2021 Cash Flow Summary (in thousands) | Cash Flow Activity | Three Months Ended Sep 30, 2022 | Three Months Ended Sep 30, 2021 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $46 | $(8,600) | | Net cash used in investing activities | $(1,272) | $(1,456) | | Net cash used in financing activities | $(4,365) | $(1,000) | | Net decrease in cash, cash equivalents and restricted cash | $(7,764) | $(11,710) | - Cash flow from operations was slightly positive at **$46 thousand**, a significant improvement from the **$8,600 thousand** used in the prior-year period, mainly due to a large decrease in accounts receivable[21](index=21&type=chunk) - Cash used in financing activities increased to **$4,365 thousand** due to repayments of debt, including the final repayment of the 3.75% Convertible Notes due 2022[21](index=21&type=chunk) [Notes to Unaudited Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed explanations of accounting policies and financial statement line items, including revenue recognition, debt, leases, and the China joint venture - As of September 30, 2022, the company had total remaining performance obligations of **$1,107,200 thousand** It estimates that **25% to 27%** of the **$1,041,100 thousand** related to open systems sales and other items will be recognized as revenue in the next 12 months[39](index=39&type=chunk)[40](index=40&type=chunk) - Total debt as of September 30, 2022, was **$176,300 thousand**, consisting of the 3.75% Convertible Notes due 2026, the Term Loan Facility, and the Revolving Credit Facility The 3.75% Convertible Notes due 2022 were fully repaid in July 2022[82](index=82&type=chunk)[84](index=84&type=chunk)[85](index=85&type=chunk) - The company holds a **49%** interest in its China joint venture (JV) For the quarter, sales to the JV included **$8,900 thousand** in products and **$3,000 thousand** in services The company recorded a **$400 thousand** loss from its equity method investment in the JV[14](index=14&type=chunk)[101](index=101&type=chunk)[104](index=104&type=chunk) Revenue by Geographic Region (in thousands) | Region | Three Months Ended Sep 30, 2022 | Three Months Ended Sep 30, 2021 | | :--- | :--- | :--- | | Americas | $27,285 | $33,968 | | Europe, Middle East, India and Africa | $36,746 | $30,100 | | Asia Pacific (excl. Japan & China) | $7,974 | $3,920 | | Japan | $13,000 | $10,398 | | China | $11,488 | $29,056 | | **Total** | **$96,493** | **$107,442** | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=21&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses a 10% YoY revenue decline to $96.5 million and a widened net loss of $5.4 million, addressing order backlog, macroeconomic impacts, and liquidity [Backlog and Orders](index=22&type=section&id=Backlog%20and%20Orders) This section details the company's order performance and backlog, including gross orders, net age-outs, cancellations, and the ending order backlog Order Summary (in thousands) | Metric | Q1 FY2023 | Q1 FY2022 | | :--- | :--- | :--- | | Gross orders | $69,848 | $69,984 | | Net age-outs | $(45,285) | $(25,827) | | Cancellations | $(1,460) | $(3,180) | | Net orders | $19,571 | $40,763 | | Ending order backlog | $538,447 | $602,905 | - Gross orders were flat year-over-year, but net orders decreased by **$21,200 thousand**, primarily due to a **$19,500 thousand** increase in net age-outs (orders removed from backlog after 2.5 years)[126](index=126&type=chunk) - The book-to-bill ratio for the quarter was **1.6**, an improvement from **1.3** in the same period last year, indicating that new orders exceeded product revenue recognized[125](index=125&type=chunk) [Results of Operations](index=23&type=section&id=Results%20of%20Operations) This section analyzes the company's operational performance, including changes in product and service net revenue, gross profit, and the impact of foreign exchange rates - Products net revenue decreased by **$8,100 thousand** YoY, driven by a **$5,000 thousand** decrease in system sales and a **$3,100 thousand** decrease in upgrades[130](index=130&type=chunk) - Services net revenue decreased by **$2,800 thousand** YoY, primarily due to a **$2,300 thousand** negative impact from foreign exchange rates[130](index=130&type=chunk) - Revenue from China fell sharply, representing only **12%** of total net revenue compared to **27%** in the prior-year quarter, primarily due to COVID-19 related restrictions[131](index=131&type=chunk) - Overall gross profit decreased by **$4,900 thousand (12%)** YoY, mainly due to lower product sales volume and an unfavorable foreign exchange impact[132](index=132&type=chunk) [Liquidity and Capital Resources](index=25&type=section&id=Liquidity%20and%20Capital%20Resources) This section discusses the company's cash position, ability to fund operations, and the potential impact of macroeconomic factors on liquidity and debt covenants - The company ended the quarter with **$81,007 thousand** in cash and cash equivalents and believes it has sufficient resources to fund operations for at least the next 12 months[140](index=140&type=chunk) - As of September 30, 2022, the company had **$36,600 thousand** of cash and cash equivalents held by its foreign subsidiaries[144](index=144&type=chunk) - The company warns that macroeconomic factors, including COVID-19 and supply chain disruptions, could materially impact liquidity and its ability to comply with financial covenants on its debt facilities[143](index=143&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=29&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company details exposure to market risks including foreign currency, interest rate, equity price, and inflation, utilizing forward contracts to mitigate currency exposure - The company is exposed to foreign currency risk, primarily from the Euro and Japanese Yen It uses forward contracts to manage this risk, with a notional value of **$44,600 thousand** as of September 30, 2022[167](index=167&type=chunk) - The company has interest rate risk from its variable-rate credit facilities A **50 basis point** change in interest rates would impact annual interest expense by approximately **$400 thousand**[169](index=169&type=chunk) - Equity price risk exists due to the 3.75% Convertible Notes due 2026, which have a conversion price of approximately **$5.86 per share** If the stock price exceeds this level, the company may be required to issue additional cash or shares upon conversion[171](index=171&type=chunk) - Management believes that sustained high inflation could have a material effect on the business by increasing costs, which it may not be able to fully offset through price increases[172](index=172&type=chunk) [Item 4. Controls and Procedures](index=30&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of September 30, 2022, with no significant changes to internal control over financial reporting - Based on an evaluation as of September 30, 2022, the CEO and CFO concluded that the company's disclosure controls and procedures were effective[174](index=174&type=chunk) - There were no significant changes in the company's internal control over financial reporting during the first quarter of fiscal year 2023[175](index=175&type=chunk) [PART II. Other Information](index=31&type=section&id=PART%20II.%20Other%20Information) This section covers legal proceedings, risk factors, and other required disclosures for the reporting period [Item 1. Legal Proceedings](index=31&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in ordinary course legal proceedings, none of which are expected to have a material adverse effect on its financial condition or operating results - The company refers to Note 9 of the financial statements, which states there are no probable and reasonably estimable material losses related to any current legal proceedings[177](index=177&type=chunk)[76](index=76&type=chunk) [Item 1A. Risk Factors](index=31&type=section&id=Item%201A.%20Risk%20Factors) The company outlines key risks including global economic impacts, intense competition, reliance on single-source suppliers, international operational challenges, and regulatory hurdles - The company faces significant risks from the global economic environment, including the COVID-19 pandemic, inflation, and potential recession, which could delay customer purchases, disrupt supply chains, and increase costs[189](index=189&type=chunk)[194](index=194&type=chunk) - The medical device industry is intensely competitive and subject to rapid technological change Key competitors like Varian (a Siemens Healthineers company) and Elekta have significantly greater resources[221](index=221&type=chunk)[223](index=223&type=chunk) - The company relies on single-source suppliers for critical components of its systems, which creates vulnerability to supply disruptions, quality issues, and price increases, particularly amid global supply chain challenges[254](index=254&type=chunk) - A majority of revenue is derived from international operations, exposing the company to risks such as currency fluctuations, tariffs, political instability (including the Russia-Ukraine conflict), and complex foreign regulations[228](index=228&type=chunk)[231](index=231&type=chunk)[235](index=235&type=chunk) [Other Items (Items 2, 3, 4, 5, 6)](index=64&type=section&id=Other%20Items%20(Items%202,%203,%204,%205,%206)) This section confirms no unregistered equity sales, no defaults on senior securities, and lists filed exhibits including CEO/CFO certifications - Item 2: There were no unregistered sales of equity securities during the period[382](index=382&type=chunk) - Item 3: There were no defaults upon senior securities[382](index=382&type=chunk) - Item 6: The report lists exhibits filed, including CEO and CFO certifications under Sarbanes-Oxley[384](index=384&type=chunk)[386](index=386&type=chunk)[387](index=387&type=chunk)

Accuray Incorporated (NASDAQ:ARAY) Q1 2023 Results Conference Call November 2, 2022 4:30 AM ET Company Participants Ken Mobeck - Vice President of Finance and Investor Relations Suzanne Winter - Chief Executive Officer Ali Pervaiz - Chief Financial Officer Conference Call Participants Charlie Montang - Lake Street Capital Josh Jennings - Cowen Neil Chatterji - B. Riley Sam Eiber - BTIG Jason Wittes - Loop Capital Operator Good afternoon, and welcome to the Accuray First Quarter 2023 Financial Results Confer ...

Financial Data and Key Metrics Changes - Total revenue for Q4 was $110 million, down 1% year-over-year, while full-year revenue reached $430 million, representing an 8.5% increase, marking a record for the company [29][30] - Product revenue for Q4 was $58 million, up 3.4% year-over-year, and for the full year, it was $214.7 million, an increase of 21.5% [29][30] - Service revenue for Q4 was $52 million, down 5% year-over-year, and for the full year, it was $215 million, a decrease of 2% [30][34] - Overall gross margin for Q4 was 39.1%, slightly down from 39.4% in the prior year, while full-year gross margin was 37.2%, down from 40.3% [33][34] - Adjusted EBITDA for Q4 was $5.2 million, compared to $6.7 million in the prior year, while full-year adjusted EBITDA was $22.8 million, exceeding the higher end of guidance [36] Business Line Data and Key Metrics Changes - The TomoTherapy platform accounted for approximately 65% of Q4 revenue unit volume, while the CyberKnife platform accounted for 35% [29] - For the full year, TomoTherapy represented about 69% of unit volume, with CyberKnife at 31% [29] - Gross orders for Q4 were $88 million, down 22% year-over-year, while total gross orders for the fiscal year were $332 million, up 2% [30] Market Data and Key Metrics Changes - The Americas region saw a 31% year-over-year growth in orders and 17.5% growth in revenue [16] - The EIMEA region experienced a 10.6% decline in orders year-over-year but a 10.7% increase in revenue [16] - The APAC region had an 8% year-over-year increase in orders, with revenue growing 9% [17] - Japan's orders were flat, and revenue declined 15% year-over-year, impacted by foreign exchange headwinds [17] Company Strategy and Development Direction - The company aims to grow faster than the market, deliver differentiated solutions, improve service offerings, and enhance margins and free cash flow [7][21] - A focus on innovation-driven growth is emphasized, with plans to invest approximately 14% of revenue back into R&D in FY '23 [22] - The company is undergoing a multi-year transformation of its service business to capture greater value and improve operational efficiency [23] Management's Comments on Operating Environment and Future Outlook - Management anticipates continued macroeconomic challenges and foreign exchange headwinds in the first half of FY '23, with revenue guidance set between $447 million and $455 million [38] - There is cautious optimism regarding recovery in China and the potential for improved performance as supply chain conditions stabilize [39] - The company remains committed to investing in technology and clinical innovation to differentiate its offerings and improve patient outcomes [39] Other Important Information - The CyberKnife system showed significant revenue growth due to increasing demand for ultra-hypofractionated treatments [13] - The company reported a strong backlog of approximately $564 million, which is 9% lower than the prior year due to net age-outs [32] Q&A Session Summary Question: Competitive assessment of systems and machines - Management believes they are in a strong position, especially in the premium segment, with unique technologies like ClearRT and Synchrony providing significant differentiation [44][45] Question: Current situation in China - Management expects similar conditions in the first half of FY '23 due to COVID lockdowns but remains cautiously optimistic about demand and backlog conversion [47] Question: Replacement market opportunities - There is increased activity to upgrade older systems, particularly in developed markets, with a focus on driving trade-ins and trade-ups [51] Question: Impact of geopolitical tensions - Geopolitical tensions have affected installations and supply chains, but management is confident in converting backlog to revenue once conditions improve [53][55] Question: Capital spending appetite across geographies - There are variances by region, with some slowdowns expected in China and Japan, but overall demand for cancer care remains strong [59][60] Question: Service business improvements and pricing - The transformation of the service business is a multi-year effort, focusing on adding value rather than just raising prices [62] Question: Synchrony and ClearRT adoption impact on pricing - Innovations are expected to drive higher average selling prices (ASPs) due to increased value associated with new technologies [66] Question: Timeline for China JV Class B product - The submission for NMPA approval is on track for Q2 FY '23, with expectations for a material impact on orders and revenue in FY '24 [75]

Accuray Incorporated (NASDAQ:ARAY) Q3 2022 Earnings Conference Call April 27, 2022 4:30 PM ET Company Participants Ken Mobeck – Vice President-Finance Josh Levine – Chief Executive Officer Suzanne Winter – President Brandy Green – Interim Chief Financial Officer Conference Call Participants Brooks O'Neil – Lake Street Capital Markets Marie Thibault – BTIG Josh Jennings – Cowen Frank Pinal – Jefferies Jason Wittes – Loop Capital Operator Good afternoon, and welcome to the Accuray Third Quarter Fiscal 2022 Fi ...

Accuray Incorporated (NASDAQ:ARAY) Q2 2022 Earnings Conference Call January 26, 2022 4:30 PM ET Company Participants Ken Mobeck - VP, Finance and IR Joshua Levine - President and CEO Suzanne Winter - President Brandon Green - Interim CFO Conference Call Participants Michael Cox - Lake Street Capital Markets Marie Thibault - BTIG Josh Jennings - Cowen Jason Wittes - Loop Capital Frank Pinal - Jefferies Operator Good afternoon and welcome to the Accuray Second Quarter Fiscal 2022 Financial Results Conference ...