ReWalk(RWLK) - 2024 Q3 - Quarterly Results

Revenue Performance - Lifeward reported third quarter 2024 revenue of $6.1 million, a 39$4.4 million in the same quarter of 2023[7]. - Revenue from Lifeward's historical products, including ReWalk exoskeletons, was $2.5 million, up 173$3.6 million, reflecting a $0.7 million increase from the previous year, following the acquisition completed on August 11, 2023[7]. - Revenue for the three months ended September 30, 2024, was$6,128,000, a 39% increase from $4,403,000 in the same period of 2023[22]. - Revenues based on customer location showed that the United States contributed$11,054,000 for the nine months ended September 30, 2024, compared to $4,298,000 in the same period of 2023[25]. Profitability and Loss - Gross margin improved to 36.2$3.2 million in Q3 2024, compared to $7.9 million in Q3 2023, with adjusted operating loss at$4.1 million[10]. - Net loss for Q3 2024 was $3.1 million, or$0.35 per share, significantly improved from a net loss of $7.5 million, or$0.88 per share, in Q3 2023[11]. - Operating loss for the three months ended September 30, 2024, was $(3,174,000), significantly improved from$(7,942,000) in the same period of 2023[22]. - Non-GAAP net loss for the three months ended September 30, 2024, was $(3,960,000), compared to$(4,473,000) for the same period in 2023[26]. - Net loss for the nine months ended September 30, 2024, was $(13,664,000), compared to$(16,494,000) for the same period in 2023, showing a 17% reduction[22]. Expenses and Cost Management - Total operating expenses decreased to $5.4 million in Q3 2024 from$8.8 million in Q3 2023, with adjusted operating expenses slightly down to $6.7 million[9]. - Lifeward initiated actions to streamline U.S. operations, expecting to save approximately$3 million in operating expenses and improve gross margins by about two percentage points[2]. - GAAP research and development expenses for Q3 2024 were $998 thousand, accounting for 16.3$1,262 thousand and 28.7% in Q3 2023[28]. - Non-GAAP sales and marketing expenses for Q3 2024 were $3,676 thousand, or 60.0$3,766 thousand and 85.5% in Q3 2023[28]. - GAAP general and administrative expenses for Q3 2024 were $240 thousand, representing 3.9$3,455 thousand and 78.5% in Q3 2023[29]. - Stock-based compensation expense for Q3 2024 was $290 thousand, or 4.7$333 thousand and 7.5% in Q3 2023[27]. Guidance and Future Outlook - Lifeward revised its full-year 2024 revenue guidance to a range of $25 million to$26 million, anticipating sequential growth in Q4 2024[13]. - The company has approximately 70 qualified leads in the U.S. ReWalk pipeline for potential Medicare claims, indicating robust growth prospects[1]. Asset and Liability Management - Cash and cash equivalents decreased to $10,653,000 as of September 30, 2024, down from$28,083,000 at the end of 2023[23]. - Total assets decreased to $45,770,000 as of September 30, 2024, from$63,192,000 at the end of 2023[23]. - Total current liabilities decreased to $9,657,000 as of September 30, 2024, from$11,795,000 at the end of 2023[23].