ViewRay Hires Adviser to Evaluate Strategic Alternatives

By Will Feuer

ViewRay Inc., which makes a radiation-therapy system, said it has hired Goldman Sachs & Co. as a financial adviser to evaluate strategic alternatives, which could include a sale of the company.

The move comes as ViewRay cut its full-year revenue guidance, citing delayed installation schedules and "growing financial pressures impacting schedule of deliveries."

The company said it now expects 2023 revenue growth to be between flat and up 15%, down from prior guidance of 25% to 40% growth.

The company said its cash balance of $86 million will be enough to get the company into the first quarter of 2024.

"The first quarter was hindered by global macroeconomic headwinds," Chief Executive Scott Drake said. "The timing of new installations and the corresponding payment schedules have increased the need to extend our working capital balances.

"Looking to the balance of 2023 and into 2024, while we expect a delay in delivery schedules, our backlog and, ultimately, installations remain strong," he said.

Mr. Drake said the company intends to quickly cut costs as it weighs its options.

For the first quarter, the company said its loss widened to about $29 million from about $26 million a year earlier. Revenue rose to about $23 million from about $19 million.

Write to Will Feuer at [e-mail]

(END) Dow Jones Newswires

April 13, 2023 06:36 ET (10:36 GMT)

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