ReWalk(LFWD) - 2024 Q3 - Quarterly Results

Revenue Growth and Performance - Q3 2024 revenue was $6.1 million, a 39% increase compared to$ 4.4 million in Q3 2023[7] - Revenue from Lifeward historical products and services, including ReWalk exoskeletons, increased by 173% to $2.5 million in Q3 2024[7] - Revenue for Q3 2024 increased to$ 6.128 million, up 39.2% from $4.403 million in Q3 2023[22] - Revenue from the United States for the nine months ended September 30, 2024, was$ 11.054 million, up 157.2% from $4.298 million in the same period in 2023[25] Gross Profit and Margins - Gross margin in Q3 2024 was 36.2%, up from 19.6% in Q3 2023, with adjusted gross margin at 42.5%[8] - Gross profit for Q3 2024 rose to$ 2.220 million, a 157.2% increase from $863,000 in Q3 2023[22] - GAAP gross profit for Q3 2024 was$ 2,220 thousand, representing 36.2% of revenue, compared to $863 thousand or 19.6% in Q3 2023[27] - Non-GAAP gross profit for Q3 2024 was$ 2,610 thousand, representing 42.5% of revenue, compared to $1,985 thousand or 45.1% in Q3 2023[27] Operating Expenses and Cost Management - Lifeward expects to save$ 3 million in operating expenses and improve gross margins by approximately 2 percentage points by closing two U.S. facilities[2] - GAAP R&D expenses for Q3 2024 were $998 thousand, representing 16.3% of revenue, compared to$ 1,262 thousand or 28.7% in Q3 2023[28] - Non-GAAP R&D expenses for Q3 2024 were $960 thousand, representing 15.7% of revenue, compared to$ 1,216 thousand or 27.7% in Q3 2023[28] - GAAP sales & marketing expenses for Q3 2024 were $4,156 thousand, representing 67.8% of revenue, compared to$ 4,088 thousand or 92.8% in Q3 2023[28] - Non-GAAP sales & marketing expenses for Q3 2024 were $3,676 thousand, representing 60.0% of revenue, compared to$ 3,766 thousand or 85.5% in Q3 2023[28] - GAAP general & administrative expenses for Q3 2024 were $240 thousand, representing 3.9% of revenue, compared to$ 3,455 thousand or 78.5% in Q3 2023[29] - Non-GAAP general & administrative expenses for Q3 2024 were $2,024 thousand, representing 33.0% of revenue, compared to$ 1,888 thousand or 43.0% in Q3 2023[29] Operating and Net Loss - Lifeward's operating loss in Q3 2024 was $3.2 million, a significant improvement from$ 7.9 million in Q3 2023[10] - Net loss for Q3 2024 improved to $3.084 million, down 59.1% from$ 7.531 million in Q3 2023[22] - GAAP operating loss for Q3 2024 was $(3,174) thousand, representing (51.8)% of revenue, compared to$ (7,942) thousand or (180.4)% in Q3 2023[27] - Non-GAAP operating loss for Q3 2024 was $(4,050) thousand, representing (66.2)% of revenue, compared to$ (4,884) thousand or (111.1)% in Q3 2023[27] - Non-GAAP net loss for Q3 2024 was $3.960 million, an improvement from$ 4.473 million in Q3 2023[26] - Non-GAAP net loss per share for Q3 2024 was $0.45, compared to$ 0.52 in Q3 2023[26] Cash and Financial Position - As of September 30, 2024, Lifeward had $10.7 million in unrestricted cash and cash equivalents with no debt[12] - Cash and cash equivalents decreased to$ 10.653 million as of September 30, 2024, from $28.083 million at the end of 2023[23] - Total current assets declined to$ 25.614 million as of September 30, 2024, compared to $39.222 million at the end of 2023[23] - Net cash used in operating activities for the nine months ended September 30, 2024, was$ 17.749 million, slightly higher than $16.183 million in the same period in 2023[24] Product Performance and Market Demand - Lifeward sold 20 ReWalk systems for the second consecutive quarter, indicating steady demand[1] - The U.S. ReWalk pipeline has approximately 70 qualified leads for potential Medicare and other payor claims, showing robust growth[1] - The AlterG NEO launch generated orders for approximately 40 units since its introduction in June 2024, becoming a growth driver for the AlterG product line[4] Revenue Expectations and Forecast - Lifeward revised its 2024 full-year revenue expectations to a range of$ 25 million to $26 million, anticipating the highest quarterly revenue in Q4 2024[13]