Accuray Reports Fiscal 2026 Second Quarter Financial Results
MADISON, Wis., Feb. 4, 2026 /PRNewswire/ -- Accuray Incorporated (NASDAQ: ARAY) today reported financial results for the second quarter ended December 31, 2025.
Key Highlights
"Over the past 90 days, I've met extensively with Accuray teams and customers across all major regions. Their insights have directly informed the decisive actions we've already taken — from reorganizing our commercial structure to refining our near‑term product and service investment priorities. We moved quickly and with discipline across the four pillars we outlined publicly: commercial simplification, global functional alignment, elevation of service and product development, and cost‑structure and footprint optimization," said CEO Steve La Neve.
"While this transformation is in its early stages, the pace of execution, the alignment across the organization, and the level of accountability give me confidence that we are on the right trajectory. Our objectives remain clear: accelerate top‑line growth, enhance our competitive position, expand profitability, and deliver sustainable long‑term value for all of our stakeholders, building a stronger Accuray, and the momentum we are seeing reinforces the impact of the steps taken to date," added La Neve.
Fiscal Second Quarter Results
Total net revenue was $102.2 million in the second quarter of fiscal 2026, or a decrease of 12 percent, as compared to $116.2 million in the prior fiscal year second quarter. Product revenue was $45.0 million in the second quarter of fiscal 2026, or a decrease of 26 percent, as compared to $61.2 million in the prior fiscal year second quarter. Service revenue was $57.2 million in the second quarter of fiscal 2026, or an increase of 4 percent, as compared to $55.0 million in the prior fiscal year second quarter.
Total gross profit was $24.1 million in the second quarter of fiscal 2026, or 23.5 percent of total net revenue, as compared to a total gross profit of $41.9 million, or 36.1 percent of total net revenue, in the prior fiscal year second quarter. The decrease in the gross profit and gross margin rate was primarily due to geographical sales mix and the China joint venture delivering less systems to its end customers in the second quarter of fiscal year 2026 as compared to the prior fiscal year second quarter.
Operating expenses was $35.6 million in the second quarter of fiscal 2026, or a decrease of 4 percent, as compared to $37.2 million in the prior fiscal year second quarter. Operating expenses in the second quarter of fiscal 2026 include $6.1 million in restructuring charges. Excluding restructuring charges, operating expenses would have decreased by $7.6 million, or 20 percent, as compared to the prior fiscal year second quarter.
Net loss was $13.8 million in the second quarter of fiscal 2026, or a diluted net loss of $0.11 per share, as compared to a net income of $2.5 million, or a diluted net income of $0.02 per share, in the prior fiscal year second quarter. Adjusted EBITDA was a negative $1.9 million in the second quarter of fiscal 2026, as compared to a positive adjusted EBITDA of $9.6 million in the prior fiscal year second quarter.
Gross product orders were $66.1 million in the second quarter of fiscal 2026 as compared to $76.8 million in the prior fiscal year second quarter. The book to bill ratio was 1.5 in the second quarter of fiscal 2026, as compared to 1.3 the prior fiscal year second quarter. Order backlog as of December 31, 2025 was $383.3 million, which is approximately 17% percent lower than at the end of the prior fiscal year second quarter.
Cash, cash equivalents, and short-term restricted cash were $41.9 million as of December 31, 2025, a decrease of $16.1 million from June 30, 2025.
Fiscal Six Months Results
Total net revenue was $196.2 million in the first six months of fiscal 2026, or a decrease of 10 percent, as compared to $217.7 million in the prior fiscal year period. Product revenue was $82.2 million in the first six months of fiscal 2026, or a decrease of 25 percent, as compared to $109.6 million in the prior fiscal year period. Service revenue was $114.0 million in the first six months of fiscal 2026, or an increase of 5 percent, as compared to $108.2 million in the prior fiscal year period.
Total gross profit was $51.1 million in the first six months of fiscal 2026, or 26.0 percent of total net revenue, as compared to a total gross profit of $76.4 million, or 35.1 percent of total net revenue, in the prior fiscal year period.
Operating expenses was $74.0 million in the first six months of fiscal 2026, as compared to $73.8 million in the prior fiscal year period. Operating expenses in the first six months of fiscal 2026 include $8.9 million in restructuring charges. Excluding restructuring charges, operating expenses would have decreased by $8.7 million, or 12% percent as compared to the prior fiscal year period.
Net loss was $35.4 million in the first six months of fiscal 2026, or a diluted net loss of $0.30 per share, as compared to a net loss of $1.4 million, or a diluted net loss of $0.01 per share, in the prior fiscal year period. Adjusted EBITDA was negative at $6.0 million in the first six months of fiscal 2026, as compared to a positive adjusted EBITDA of $12.8 million in the prior fiscal year period.
Gross product orders was $105.6 million in the first six months of fiscal 2026 as compared to $132.1 million in the prior fiscal year period. The book to bill ratio was 1.3 in the first six months of fiscal 2026, as compared to 1.2 in the prior fiscal year period.
Fiscal Year 2026 Financial Guidance
The Company is updating its guidance for fiscal year 2026 as follows:
Guidance for non-GAAP financial measures excludes depreciation and amortization, stock-based compensation, interest expense, provision for income taxes, (gain) loss from change in fair value of warrant liability, and certain non-recurring, irregular and one-time items. For more information regarding the non-GAAP financial measures discussed in this press release, please see "Use of Non-GAAP Financial Measures" below.
Conference Call Information
Accuray will host a conference call beginning at 1:30 p.m. PT/4:30 p.m. ET today to discuss results for the second quarter of fiscal 2026 as well as recent corporate developments. Conference call dial-in information is as follows:
Individuals interested in listening to the live conference call via the Internet may do so by logging on to the Investor Relations section of Accuray's website, www.accuray.com. There will be a slide presentation accompanying today's event which can also be accessed on the company's Investor Relations page at www.accuray.com.
In addition, a taped replay of the conference call will be available beginning approximately one hour after the call's conclusion and will be available for seven days. The replay number is (855) 669-9658 (USA), or (412) 317-0088 (International), Conference ID: 8587254. An archived webcast will also be available on Accuray's website until Accuray announces its results for the third quarter of fiscal 2026.
Use of Non-GAAP Financial Measures
Accuray reports its financial results in accordance with generally accepted accounting principles in the United States ("GAAP") and the rules of the SEC. To supplement its financial statements prepared and presented in accordance with GAAP, Accuray uses certain non-GAAP financial measures, such as adjusted EBITDA.
Accuray has supplemented its GAAP net income (loss) with a non-GAAP measure of adjusted earnings before interest, taxes, depreciation, amortization, stock-based compensation, and (gain) loss from change in fair value of warrant liability ("adjusted EBITDA"). The calculation of adjusted EBITDA also excludes certain non-recurring, irregular and one-time items. Management believes that this non-GAAP financial measure provides useful supplemental information to management and investors regarding the performance of the company and facilitates a meaningful comparison of results for current periods with previous operating results. A reconciliation of GAAP net loss (the most directly comparable GAAP measure) to non-GAAP adjusted EBITDA is provided in the schedules below.
There are limitations in using these non-GAAP financial measures because they are not prepared in accordance with GAAP and may be different from non-GAAP financial measures used by other companies. These non-GAAP financial measures should not be considered in isolation or as a substitute for GAAP financial measures. Investors and potential investors should consider non-GAAP financial measures only in conjunction with the company's consolidated financial statements prepared in accordance with GAAP.
About Accuray
Accuray Incorporated (Nasdaq: ARAY) is committed to expanding the powerful potential of radiation therapy to improve as many lives as possible. We invent unique, market-changing solutions that are designed to deliver radiation treatments for even the most complex cases—while making commonly treatable cases even easier—to meet the full spectrum of patient needs. We are dedicated to continuous innovation in radiation therapy for oncology, neuro-radiosurgery, and beyond, as we partner with clinicians and administrators, empowering them to help patients get back to their lives, faster. Accuray is headquartered in Madison, Wisconsin, with facilities worldwide.
Safe Harbor Statement
Statements made in this press release that are not statements of historical fact are forward-looking statements and are subject to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements in this press release relate, but are not limited, to the company's guidance and future results of operations, including expectations regarding: total net revenue and adjusted EBITDA; the expected benefits from the transformation plan, including expected improvement in annualized operating profit; the ability to achieve the objectives of the transformation plan; expected restructuring charges for fiscal year 2026; the company's ability to deliver sustained performance and execute on its strategies and objectives, including related to its transformation efforts and restructuring plans; the company's ability to expand adjusted EBITDA margins as a percentage of revenue; expectations regarding the company's adjusted EBITDA margin run-rate; opportunities to accelerate top-line growth and expand profitability; the appointment of a new global chief commercial officer; expectations regarding the impact of tariffs as well as mitigation efforts by the company; the company's ability to navigate supply chain, logistics, macroeconomic, and foreign exchange challenges; expectations regarding the company's China joint venture; expectations related to the amount and timing of realizing deferred margin from the company's China joint venture; expectations with respect to strategic partnerships and collaborations; expectations related to the markets and regions in which the company operates; expectations regarding new product introductions and innovations; expectations regarding installed base growth; and the company's ability to drive sustainable, profitable growth, while creating long-term value for patients, providers and shareholders. These forward-looking statements involve risks and uncertainties. If any of these risks or uncertainties materialize, or if any of the company's assumptions prove incorrect, actual results could differ materially from the results expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, the effect of the global macroeconomic environment on the operations of the company and those of its customers and suppliers; disruptions to our supply chain, including increased logistics costs; the company's ability to achieve widespread market acceptance of its products; substantial outstanding indebtedness and its ability to maintain compliance with financial covenants related to its debt; the effect of enhanced international tariffs on the company; the company's ability to realize the expected benefits of the China joint venture and other partnerships; risks inherent in international operations; the company's ability to maintain or increase its gross margins on product sales and services; delays in regulatory approvals or the development or release of new offerings; the company's ability to meet the covenants under its credit facilities; the company's ability to convert backlog to revenue; and such other risks identified under the heading "Risk Factors" in the company's Quarterly Report on Form 10-Q, filed with the Securities and Exchange Commission (the "SEC") on November 5, 2025, and as updated periodically with the company's other filings with the SEC. Forward-looking statements speak only as of the date the statements are made and are based on information available to the company at the time those statements are made and/or management's good faith belief as of that time with respect to future events. The company assumes 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. Accordingly, investors should not put undue reliance on any forward-looking statements.
Aman Patel, CFA
Steve Monroe
Investor Relations, ICR-Westwicke
Vice President, Financial Planning & Analysis - Accuray
[email protected]
[email protected]
Financial Tables to Follow
Accuray Incorporated
Condensed Consolidated Statements of Operations
(in thousands, except per share data)
(Unaudited)
Three Months Ended
Six Months Ended
December 31,
December 31,
2025
2024
2025
2024
Net revenue:
Products
$
45,005
$
61,189
$
82,166
$
109,558
Services
57,236
54,985
114,017
108,161
Total net revenue
102,241
116,174
196,183
217,719
Cost of revenue:
Cost of products
36,151
34,553
65,573
67,014
Cost of services
42,018
39,729
79,527
74,344
Total cost of revenue
78,169
74,282
145,100
141,358
Gross profit
24,072
41,892
51,083
76,361
Operating expenses:
Research and development
10,650
13,644
21,868
25,760
Selling and marketing
8,848
11,114
20,547
22,796
General and administrative
10,065
12,427
22,661
25,247
Restructuring
6,075
—
8,886
—
Total operating expenses
35,638
37,185
73,962
73,803
Income (loss) from operations
(11,566)
4,707
(22,879)
2,558
Income from equity method investment, net
471
1,604
910
1,532
Interest expense
(7,709)
(2,883)
(15,761)
(5,838)
Gain from change in fair value of warrant liability
5,713
—
3,839
Other (expense) income, net
(106)
(196)
(513)
1,651
Income (loss) before provision for income taxes
(13,197)
3,232
(34,404)
(97)
Provision for income taxes
573
695
1,044
1,320
Net income (loss)
$
(13,770)
$
2,537
$
(35,448)
$
(1,417)
Net income (loss) per share - basic
$
(0.11)
$
0.03
$
(0.30)
$
(0.01)
Net income (loss) per share - diluted
$
(0.11)
$
0.02
$
(0.30)
$
(0.01)
Weighted average common shares used in computing net loss per
share:
Basic
120,973
101,405
119,968
100,796
Diluted
120,973
103,746
119,968
100,796
Accuray Incorporated
Condensed Consolidated Balance Sheets
(in thousands)
(Unaudited)
December 31,
2025
June 30, 2025
Assets
Current assets:
Cash and cash equivalents
41,295
$
57,416
Restricted cash
575
574
Accounts receivable, net
60,962
83,192
Inventories, net
150,962
141,020
Prepaid expenses and other current assets
36,968
33,501
Deferred cost of revenue
1,626
1,762
Total current assets
292,388
317,465
Property and equipment, net
29,256
28,658
Investment in joint venture
5,804
4,612
Operating lease right-of-use assets, net
30,807
33,115
Goodwill
57,849
57,802
Long-term restricted cash
5,999
4,144
Other assets
25,906
24,443
Total assets
$
448,009
$
470,239
Liabilities and stockholders' equity
Current liabilities:
Accounts payable
$
43,519
$
34,033
Accrued compensation
14,925
14,573
Operating lease liabilities, current
8,155
7,375
Other accrued liabilities
30,902
29,361
Customer advances
11,850
12,197
Deferred revenue
78,978
82,306
Short-term debt
11,110
12,734
Total current liabilities
199,439
192,579
Operating lease liabilities, non-current
30,184
32,482
Long-term other liabilities
6,101
5,160
Warrant liability
6,478
8,497
Deferred revenue, non-current
27,610
26,566
Long-term debt
124,777
123,786
Total liabilities
394,589
389,070
Stockholders' equity:
Common stock
119
113
Additional paid-in capital
609,409
602,165
Accumulated other comprehensive loss
(1,388)
(1,837)
Accumulated deficit
(554,720)
(519,272)
Total stockholders' equity
53,420
81,169
Total liabilities and stockholders' equity
$
448,009
$
470,239
Accuray Incorporated
Summary of Orders and Backlog
(in thousands, except book to bill ratio)
(Unaudited)
Three Months Ended
Six Months Ended
December 31,
December 31,
2025
2024
2025
2024
Gross orders
$
66,064
$
76,762
$
105,634
$
132,127
Net orders
32,611
55,639
38,526
85,295
Order backlog
383,332
463,056
383,332
463,056
Book to bill ratio (a)
1.5
1.3
1.3
1.2
(a) Book to bill ratio is defined as gross orders for the period divided by product revenue for the period.
Accuray Incorporated
Reconciliation of GAAP Net Income (Loss) to Adjusted EBITDA
(in thousands)
(Unaudited)
Three Months Ended
Six Months Ended
December 31,
December 31,
2025
2024
2025
2024
GAAP net income (loss)
$
(13,770)
$
2,537
$
(35,448)
$
(1,417)
Depreciation and amortization (a)
2,163
1,513
3,839
2,977
Stock-based compensation
882
2,284
3,397
4,638
Interest expense, net (b)
7,463
2,605
15,243
5,257
Provision for income taxes
573
695
1,044
1,320
(Gain) from change in fair value of warrant liability
(5,713)
—
(3,839)
—
Restructuring charges
6,075
—
8,886
—
Post-financing costs
391
—
832
—
Adjusted EBITDA
$
(1,936)
$
9,634
$
(6,046)
$
12,775
(a) Consists of depreciation on property and equipment and amortization of capitalized software and intangibles.
(b) Consists of interest expense net of interest income.
Accuray Incorporated
Forward-Looking Guidance
Reconciliation of Projected GAAP Net Loss to Projected Adjusted EBITDA
(in thousands)
(Unaudited)
Twelve Months Ending
June 30, 2026
From
To
GAAP net loss
$
(39,000)
$
(36,000)
Depreciation and amortization (a)
8,500
8,500
Stock-based compensation
9,250
9,250
Interest expense, net (b)
30,000
30,000
Provision for income taxes
2,500
2,500
(Gain) from change in fair value of warrant liability
(4,000)
(4,000)
Restructuring charges
13,000
13,000
Post-financing costs
1,750
1,750
Adjusted EBITDA
$
22,000
$
25,000
(a) Consists of depreciation on property and equipment and amortization of capitalized software and intangibles.
(b) Consists of interest expense net of interest income.
SOURCE Accuray Incorporated