ARAY Earnings Prediction
The chart below shows how ARAY performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ARAY sees a +4.47% change in stock price 10 days leading up to the earnings, and a +9.80% change 10 days following the report. On the earnings day itself, the stock moves by -0.51%. This data can give you a slight idea of what to expect for the next quarter's release.
ARAY Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
116.17M
8.33%
14.41%
Gross Margin
36.06%
8.91%
14.55%
Operating Margin
4.05%
321.31%
-188.43%
Net Margin
2.18%
124.30%
-156.04%
EPS
0.02
120.00%
-150.00%
No Data Available
ARAY Earnings Analysis
Accuray Inc Corporation (ARAY.O) Earnings Conference Call
Positive
Q2 Revenue Performance: Accuray reported a strong Q2 revenue of $116 million, reflecting an 8% year-over-year growth, demonstrating solid performance across key financial metrics.
Product Revenue Surge: Product revenue surged to $61 million, marking a 19% increase from the prior year, driven by a 17% rise in unit volume, indicating robust demand for Accuray's solutions.
Quarterly Adjusted EBITDA Growth: Adjusted EBITDA for the quarter reached $9.6 million, a significant improvement from $2 million in the prior year, attributed to higher shipments and operational efficiencies.
Book-to-Bill Ratio Analysis: The company achieved a book-to-bill ratio of 1.3, with gross product orders of approximately $77 million, ensuring a healthy backlog of approximately $463 million, equivalent to two years of FY'24 product revenue.
Revenue Guidance Increase: Accuray raised its full-year fiscal 2025 revenue guidance to a range of $463 million to $475 million, up from the previous range, reflecting confidence in continued growth and operational success.
Negative
Service Revenue Decline: Service revenue for the quarter was $55 million, down 1% from the prior year and down 2% on a constant currency basis, indicating a decline in service revenue despite an overall increase in product revenue.
Operating Expenses Comparison: Operating expenses in the second quarter were $37 million compared to $40 million in the second quarter of the prior fiscal year, reflecting ongoing costs associated with ERP implementation and other operational challenges.
Gross Margin Analysis: The overall gross margin for the quarter was 36.1%, which, while an increase from 33.5% in the prior year, was offset by higher parts consumption and service costs impacting profitability.
Customer Demand Challenges: Despite a strong product revenue performance, the company canceled one unit representing approximately $2 million of orders due to evolving customer dynamics, indicating potential issues in customer demand or satisfaction.
U.S. Market Recovery Delay: The company noted that the U.S. market is expected to begin its recovery in the second half of FY’25, suggesting a delay in system revenue and associated EBITDA, which could impact overall financial performance.
ARAY FAQs
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ARAY Earning Call Sentiment
Accuray Incorporated (NASDAQ:ARAY) Q2 2025 Earnings Call Transcript
ARAY.O
-1.88%Positive
The earnings call summary highlights strong financial performance with an EPS beat and revenue growth, particularly in China. Despite challenges like regulatory delays and macroeconomic headwinds, Accuray has shown resilience with improved margins and operational efficiencies. The raised guidance and healthy book-to-bill ratio further support a positive outlook. The lack of shareholder return plans is a minor negative, but overall, the strong earnings and optimistic guidance, particularly in key markets, suggest a positive stock price movement over the next two weeks.
