For the nine months ended March 28, 2009, total revenue was $174.8 million, a 10% increase over total revenue of $159.4 million for the same period last year. Net loss for the first nine months of fiscal 2009 was ($613,000), or ($0.01) per diluted share, compared to net income of $5.2 million, or $0.09 per diluted share for the first nine months of fiscal 2008. During the first three quarters of fiscal 2009, net income was impacted by several non-recurring costs, including those associated with employee separation expenses, inventory write downs and a fair market charge in connection with a settlement agreement entered into with the distributor of the auction rate securities that guarantees repayment of the securities at par value beginning in June 2010.

At March 28, 2009, non-contingent contracts, for which all contractual obligations have been satisfied, accounted for about $425 million or 72% of total backlog. Accuray’s backlog is composed of signed contracts that the company believes have a substantially high probability of being recognized as revenue in future periods. Total backlog at the end of the third fiscal quarter of 2009 was $591 million, with approximately $301 million associated with CyberKnife® Robotic Radiosurgery System contracts and approximately $290 million associated with services and other recurring revenue. Contingent contracts made up $166 million of backlog. As noted, beginning with the first quarter of fiscal 2010, Accuray will report only non-contingent orders as backlog.

“With record revenue and solid CyberKnife sales, we are pleased with third quarter performance and the strength of our business,” said Euan S. Thomson , Accuray’s president and chief executive officer. “The unique capabilities of the CyberKnife Robotic Radiosurgery System to track and precisely target the movement of tumors throughout treatment are providing physicians and their patients with an effective, non-invasive weapon against cancer.”

Accuray’s cash and investment balances at the end of the third quarter of 2009 totaled $157.2 million, which includes cash and cash equivalents of $33.9 million, restricted cash of $1.1 million, short-term investments of $64.3 million and long-term investments of $57.9 million. At the end of the third quarter of 2009 the company continued to have no debt.


Accuray expects total revenues for fiscal 2009 to be in the range of $225 million to $240 million.