SUNNYVALE, Calif., Nov. 8, 2011 /PRNewswire/ -- Accuray Incorporated (Nasdaq: ARAY),the premier radiation oncology company, announced today financial results for the first quarter of fiscal 2012 that ended September 30, 2011. On June 10, 2011, Accuray completed the acquisition of TomoTherapy. As a result, the first quarter financial data presented reflect the consolidation of both Accuray and TomoTherapy. Non-GAAP results are provided to enhance understanding of Accuray's ongoing core results of operations. For the first quarter of fiscal 2012, Accuray reported total consolidated GAAP revenue of $100.5 million and non-GAAP total revenue of $95.7 million. By comparison, for the quarter ended September 30, 2010 the sum of the revenue reported by Accuray and TomoTherapy as separate companies if combined totaled $81.7 million. Revenue in the first quarter of fiscal 2012 was driven by strong TomoTherapy System installations.
The consolidated GAAP gross profit margin for the first quarter of fiscal 2012 was 31.7 percent for products and 13.9 percent for services. The consolidated non-GAAP gross profit margin for the first quarter of fiscal 2012 was 52.4 percent for products and 12.1 percent for services. Positive service gross margins were driven by improvement in the TomoTherapy service business, in addition to one-time service revenue items.
Consolidated GAAP net loss attributable to stockholders for the first quarter of fiscal 2012 was $26.5 million, or $0.38 per share. Non-GAAP net loss for the first quarter of fiscal 2012 was $11.0 million or $0.16 per share. By comparison, for the quarter ended September 30, 2010 the sum of the net loss reported by Accuray and TomoTherapy as separate companies if combined totaled $16.6 million.
During the first quarter of fiscal 2012, $39.2 million of new system orders were added to backlog, resulting in a total system backlog of $270.8 million, a decrease of 6.2 percent from the prior quarter. Current agreements with some distributors of our TomoTherapy systems do not require deposits to accompany system orders. Accordingly, orders placed by such distributors since July 1, 2011 without a deposit have not been entered into backlog.
During the first quarter of fiscal 2012, 24 units were shipped and 16 were installed, increasing the worldwide Accuray installed base to 598 systems.
"We are pleased with the steady progress being made with integrating the two companies, highlighted by improving service gross margins," said Euan Thomson, president and chief executive officer of Accuray Incorporated. "The strong revenue generated in the first quarter is reflective of the growing interest in both CyberKnife and TomoTherapy technologies."
Accuray's cash, cash equivalents and restricted cash totaled $143.4 million as of September 30, 2011.
Outlook
The following statement is forward-looking and actual results may differ materially. During fiscal year 2012 Accuray expects that revenue will be in the range of $400 million to $415 million (non-GAAP) or $409 million to $424 million (GAAP).
Additional Information
Additional information regarding backlog segmentation, which will be discussed during the conference call, is available in the Investor Relations section of the company's website at www.accuray.com.
Earnings Call Open to Investors
Accuray will hold a conference call for financial analysts and investors on Tuesday, November 8, 2011 at 2:00 p.m. PST / 5:00 p.m. EST. The conference call dial-in numbers are 1-800-798-2884 (USA) or +1-617-614-6207 (International), Conference ID: 13731949. A live webcast of the call will also be available from the Investor Relations section on the company's website at www.accuray.com. In addition, a recording of the call will be available by calling 1-888-286-8010 (USA) or +1-617-801-6888 (International), Conference ID: 47941705, beginning at 5:00 p.m. PST / 8:00 p.m. EST, November 8, 2011 and will be available through November 22, 2011. A webcast replay will also be available from the Investor Relations section of the company's website at www.accuray.com from approximately 5:00 p.m. PST / 8:00 p.m. EST today through Accuray's release of its results for the second quarter of fiscal 2012, ending December 31, 2011.
About Accuray
Accuray Incorporated (Nasdaq: ARAY), based in Sunnyvale, Calif., is the premier radiation oncology company that develops, manufactures and sells personalized, innovative treatment solutions that set the standard of care with the aim of helping patients live longer, better lives. The Company's leading-edge technologies the CyberKnife and TomoTherapy Systems are designed to deliver radiosurgery, stereotactic body radiation therapy, intensity modulated radiation therapy, image guided radiation therapy, and adaptive radiation therapy. To date, more than 200,000 patients worldwide have been treated using the company's technologies and more than 598 systems have been installed in leading hospitals around the world. For more information, please visit www.accuray.com.
Safe Harbor Statement
The foregoing may contain certain forward-looking statements that involve risks and uncertainties, including those concerning Accuray's expectations about revenue for fiscal year 2012, the portion of revenue attributable to product revenue, profitability, gross margins, shipments and installations and backlog. Except for the historical information contained herein, the matters set forth in this press release, including Accuray's expectations about revenue for fiscal year 2012 are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements speak only as of the date the statements are made and are based on information available at the time those statements are made and/or management's good faith belief as of that time with respect to future events. You should not put undue reliance on any forward-looking statements. Important factors that could cause actual performance and results to differ materially from the forward-looking statements we make include: range of treatment options, clinical applications, and market acceptance of products, integration efforts, revenue, gross margins, improvements in serviceability and reliability and other risks detailed from time to time under the heading "Risk Factors" in our report on Form 10-K for our 2011 fiscal year filed on September 19, 2011, our report on Form 10-Q for our first quarter of fiscal 2012 filed on even date herewith, as well as our other filings with the Securities and Exchange Commission. The Company's actual results of operations may differ significantly from those contemplated by such forward-looking statements as a result of these and other factors. We assume no obligation to update forward-looking statements to reflect actual performance or results, changes in assumptions or changes in other factors affecting forward-looking information, except to the extent required by applicable securities laws.
Accuray Incorporated Unaudited Condensed Consolidated Statements of Operations (in thousands, except per share data) | ||||
Three months ended September 30, | ||||
2011 | 2010 | |||
Net revenue: | ||||
Products | $ 56,174 | $19,916 | ||
Services | 43,401 | 17,734 | ||
Other | 876 | 418 | ||
Total net revenue | 100,451 | 38,068 | ||
Cost of revenue: | ||||
Cost of products | 38,373 | 7,497 | ||
Cost of services | 37,349 | 11,800 | ||
Cost of other | 301 | 534 | ||
Total cost of revenue | 76,023 | 19,831 | ||
Gross profit | 24,428 | 18,237 | ||
Operating expenses: | ||||
Selling and marketing | 13,581 | 7,760 | ||
Research and development | 20,565 | 8,047 | ||
General and administrative | 14,969 | 8,559 | ||
Total operating expenses | 49,115 | 24,366 | ||
Loss from operations | (24,687) | (6,129) | ||
Other income (expense), net | (2,858) | 1,616 | ||
Loss before provision for income taxes | (27,545) | (4,513) | ||
Provision for income taxes | 538 | 127 | ||
Net loss | (28,083) | (4,640) | ||
Noncontrolling interest | (1,573) | - | ||
Net loss attributable to stockholders | $(26,510) | $ (4,640) | ||
Net loss per common share, basic and diluted: | ||||
Basic | $ (0.38) | $ (0.08) | ||
