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Brendon Nafziger, DOTmed News Associate Editor | February 10, 2012
The turnaround on service margins is an important point, as the margins had been an issue plaguing TomoTherapy before the acquisition, according to analysts.
"We’ve done a lot of work since the acquisition," Londy said. "So we’re very confident that the latest generation service costs [for TomoTherapy] are now down to an area close to the CyberKnife."
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On Thursday, the day after the earnings dropped, Accuray's stock shot up to a high of 20 percent. On Friday afternoon, it was trading at $7.01 a share on Nasdaq, down about 3 percent from the close of the previous day.
The 1,000 install milestone
Accuray's installed base now stands at 616 systems, with 25 units shipping, and 23 getting installed, last quarter, Accuray said.
But this week, the company also sketched what its future could look like with 1,000 installed units.
"That has two subsystems," Londy said, "continuing market penetration, really gaining share in the market, and then having our own replacement business grow."
But replacements will be a new area for Accuray, as the CyberKnife only came out in 2001, and the life cycle for this equipment is normally around eight to 10 years, Londy said.
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