Joint Venture	3 Months Ended
Sep. 30, 2020
Equity Method Investments And Joint Ventures [Abstract]
Joint Venture	Note 14. Joint Venture In January 2019, the Company’s wholly-owned subsidiary, Accuray Asia Limited (“Accuray Asia”), entered into an agreement with CNNC High Energy Equipment (Tianjin) Co., Ltd. (the “CIRC Subsidiary”), a wholly-owned subsidiary of China Isotope & Radiation Corporation, to form a joint venture, CNNC Accuray (Tianjin) Medical Technology Co. Ltd. (the “JV”), to manufacture and sell radiation oncology systems in China. In exchange for a 49% equity interest in the JV, the Company, through Accuray Asia, made in-kind capital contributions of two full radiation oncology systems from the Company’s inventory in the quarter ended December 31, 2019 and one system upgrade, which was not to be sold and only be used for training purposes, in the quarter ended September 30, 2020. The investments are reported as an Investment in joint venture on the Company’s consolidated balance sheets. During the quarter ended December 31, 2019, the Company recognized non-operating gain of $13.0 million related to the value of the capital contribution made during the quarter ended December 31, 2019 to the JV, which was recorded in other income. During the quarter ended September 30, 2020, the Company recognized non-cash revenue of $1.4 million with corresponding associated costs of $0.2 million recorded to costs of revenue related to the value of the capital contribution made during the quarter ended September 30, 2020. The Company applies the equity method of accounting to its ownership interest in the JV as the Company has the ability to exercise significant influence over the JV but lacks controlling financial interest and is not the primary beneficiary. The Company recognizes revenue on sales to the JV in the current period, eliminating a portion of profit to the extent goods sold have not been sold through by the JV to an end customer at the end of such reporting period. The Company deferred $1.5 million and $1.8 million of intra-entity profit margin as of September 30, 2020 and June 30, 2020, respectively. During the three months ended September 30, 2020, the Company recognized $1.0 million of previously deferred intra-entity profit margin from system sales and recorded intra-entity profit margin deferral of $0.7 million from system sales executed during the period. The Company’s consolidated accumulated deficit includes $0.2 million of accumulated losses related to our equity method investment. As of September 30, 2020, the Company had a carrying value of $15.6 million in the JV and owned a 49% interest in the entity. The Company’s proportional share of the underlying equity in net assets of the JV was approximately $12.3 million. The difference represents equity method goodwill. The carrying value of the Company’s investment in the JV was decreased by $1.5 million during the quarter ended September 30, 2020 as result of intra-entity profit that was not considered in the goodwill assessment. The difference between the carrying value of the JV and value of its underlying equity in net assets of the JV of $3.3 million increased by the $1.5 million of eliminated profit constitutes equity method goodwill of $4.8 million, which is subject to impairment analysis. No impairment was identified as of September 30, 2020.

Joint Venture

3 Months Ended

Sep. 30, 2020

Equity Method Investments And Joint Ventures [Abstract]

Note 14. Joint Venture

In January 2019, the Company’s wholly-owned subsidiary, Accuray Asia Limited (“Accuray Asia”), entered into an agreement with CNNC High Energy Equipment (Tianjin) Co., Ltd. (the “CIRC Subsidiary”), a wholly-owned subsidiary of China Isotope & Radiation Corporation, to form a joint venture, CNNC Accuray (Tianjin) Medical Technology Co. Ltd. (the “JV”), to manufacture and sell radiation oncology systems in China.

In exchange for a 49% equity interest in the JV, the Company, through Accuray Asia, made in-kind capital contributions of two full radiation oncology systems from the Company’s inventory in the quarter ended December 31, 2019 and one system upgrade, which was not to be sold and only be used for training purposes, in the quarter ended September 30, 2020. The investments are reported as an Investment in joint venture on the Company’s consolidated balance sheets. During the quarter ended December 31, 2019, the Company recognized non-operating gain of $13.0 million related to the value of the capital contribution made during the quarter ended December 31, 2019 to the JV, which was recorded in other income. During the quarter ended September 30, 2020, the Company recognized non-cash revenue of $1.4 million with corresponding associated costs of $0.2 million recorded to costs of revenue related to the value of the capital contribution made during the quarter ended September 30, 2020.

The Company applies the equity method of accounting to its ownership interest in the JV as the Company has the ability to exercise significant influence over the JV but lacks controlling financial interest and is not the primary beneficiary. The Company recognizes revenue on sales to the JV in the current period, eliminating a portion of profit to the extent goods sold have not been sold through by the JV to an end customer at the end of such reporting period. The Company deferred $1.5 million and $1.8 million of intra-entity profit margin as of September 30, 2020 and June 30, 2020, respectively. During the three months ended September 30, 2020, the Company recognized $1.0 million of previously deferred intra-entity profit margin from system sales and recorded intra-entity profit margin deferral of $0.7 million from system sales executed during the period. The Company’s consolidated accumulated deficit includes $0.2 million of accumulated losses related to our equity method investment.

As of September 30, 2020, the Company had a carrying value of $15.6 million in the JV and owned a 49% interest in the entity. The Company’s proportional share of the underlying equity in net assets of the JV was approximately $12.3 million. The difference represents equity method goodwill. The carrying value of the Company’s investment in the JV was decreased by $1.5 million during the quarter ended September 30, 2020 as result of intra-entity profit that was not considered in the goodwill assessment. The difference between the carrying value of the JV and value of its underlying equity in net assets of the JV of $3.3 million increased by the $1.5 million of eliminated profit constitutes equity method goodwill of $4.8 million, which is subject to impairment analysis. No impairment was identified as of September 30, 2020.