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The Company and its Significant Accounting Policies (Policies)
3 Months Ended
Sep. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation

Basis of Presentation

 

The unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant inter-company transactions and balances have been eliminated in consolidation.

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“GAAP”), pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and note disclosures have been condensed or omitted pursuant to such rules and regulations. The unaudited condensed consolidated financial statements have been prepared on the same basis as the annual financial statements and, in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary for a fair presentation of the periods presented. The results for the three months ended September 30, 2022, are not necessarily indicative of the results to be expected for the fiscal year ending June 30, 2023, or for any other future interim period or fiscal year.

These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and accompanying notes for the fiscal year ended June 30, 2022 included in the Company’s Annual Report on Form 10-K filed with the SEC on August 17, 2022.

Risks and Uncertainties

Risks and Uncertainties

 

The ongoing COVID-19 pandemic has created significant global economic uncertainty, adversely impacted the business of the Company's customers, partners and vendors, contributed to supply chain and labor issues, and has impacted its business and results of operations in the past and could further impact its results of operations and cash flows in the future. The Company is also subject to risks and uncertainties caused by events with significant macroeconomic impacts, including, but not limited to, the Russian invasion of Ukraine, inflation, actions taken to counter inflation and foreign currency exchange rate fluctuations. These conditions have created and may continue to create significant disruptions with respect to demand for the Company's products and services; the operating procedures and workflow of its customers, particularly hospitals; its ability to continue to manufacture its products; and the reliability of its supply chain, which have impacted and could continue to impact its revenue, expenses and operating results.

Use of Estimates

Use of Estimates

The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses, and related disclosures at the date of the financial statements. The Company assessed certain accounting matters that generally require consideration of forecasted financial information in context with the information reasonably available to the Company. Key estimates and assumptions made by the Company relate to revenue recognition and the assessment of stand-alone selling price, assessment of recoverability of goodwill, valuation of our equity method investment CNNC Accuray (Tianjin) Medical Technology Co. Ltd., the Company’s joint venture in China (the “JV”), valuation of inventories, annual performance related bonuses, allowance for credit losses and loss contingencies. Actual results could differ materially from those estimates.

Significant Accounting Policies

Significant Accounting Policies

 

There have been no changes in the Company’s significant accounting policies during the three months ended September 30, 2022, compared to the significant accounting policies described in its Annual Report on Form 10-K for the fiscal year ended June 30, 2022.