Recent Highlights and Accomplishments for Lifeward

 

 

 

 

 

 

“During the first quarter of 2025, we experienced improvement in the throughput of Medicare claims submissions as a greater number of qualified leads moved towards the final stages of claims preparation,” said Larry Jasinski, Chief Executive Officer. “We also gained greater clarity on the documentation requirements for Medicare claims from the Medicare Administrative Contractors who process them, which we expect to result in shorter cycle time for approval and payment of future claims.”

 

Revenue was $5.0 million in the first quarter of 2025, compared to $5.3 million during the first quarter of 2024, a decline of $0.3 million. Revenue related to the sale of ReWalk Exoskeletons, MyoCycles, and ReStore Exo-Suits was $1.7 million, down $0.8 million, compared to the prior year. This variance is due in part to a number of Medicare shipments from 2023 that were recognized as revenue of $0.5 million in the first quarter of 2024 when the coverage and payment rate for personal exoskeletons were established by the Centers for Medicare & Medicaid Services (“CMS”).  Revenue from the sale of AlterG products and services was $3.3 million, an increase of $0.5 million, or 17%, from the first quarter of 2024.  The growth in AlterG resulted primarily from greater demand from international customers.

 

Operating expenses in the first quarter of 2025 were $7.0 million, compared to $7.9 million in the first quarter of 2024.  On a non-GAAP basis, which excludes the items listed in the attached non-GAAP reconciliation table, adjusted operating expenses were $6.8 million in the first quarter of 2025, compared to $7.3 million in the first quarter of 2024.  This decline in expenses is primarily due to savings from the closure of the Company’s Fremont location and the resulting rationalization of resources and expenditures, and lower development costs due to the completion of the ReWalk 7 and the AlterG NEO programs.

 

Operating loss in the first quarter of 2025 was $4.9 million, compared to $6.5 million in the first quarter of 2024. On a non-GAAP basis, which excludes the items in the non-GAAP reconciliation table below, adjusted operating loss was $4.6 million in the first quarter of 2025, compared to a loss of $5.5 million in the first quarter of 2024.

 

Net loss was $4.8 million, or $0.46 per share, for the first quarter of 2025, compared to a net loss of $6.3 million, or $0.73 per share, in the first quarter of 2024. On a non-GAAP basis, which excludes the items in the attached non-GAAP reconciliation table, adjusted net loss was $4.6 million, or $0.44 per share, in the first quarter of 2025, compared to $5.3 million, or $0.62 per share, during the first quarter of 2024.

 

Liquidity

 

As of March 31, 2025, Lifeward had $5.7 million in unrestricted cash and cash equivalents on its balance sheet with no debt. Historically, the first quarter has the highest cash consumption due to seasonal factors, and the Company expects the quarterly cash burn to decline sequentially throughout the rest of the year.  Following the end of the first quarter, the Company raised $0.5 million through its ATM facility.

 

2025 Financial Guidance

 

For 2025, Lifeward continues to expect full year revenue in the range of $28 million to $30 million.   

 

Conference Call

 

Lifeward management will host its conference call as follows:

 

About Lifeward

 

Forward-Looking Statements

In addition to historical information, this press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, Section 27A of the U.S. Securities Act of 1933, and Section 21E of the U.S. Securities Exchange Act of 1934. Such forward-looking statements may include projections regarding the Company's future performance and other statements that are not statements of historical fact and, in some cases, may be identified by words like "anticipate," "assume," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "future," "will," "should," "would," "seek" and similar terms or phrases. The forward-looking statements contained in this press release are based on management's current expectations, which are subject to uncertainty, risks and changes in circumstances that are difficult to predict and many of which are outside of the Company’s control. Important factors that could cause the Company’s actual results to differ materially from those indicated in the forward-looking statements include, among others: the acceptance of the ReWalk 7 Personal Exoskeleton by healthcare professionals and patients; uncertainties associated with future clinical trials and the clinical development process, the product development process and FDA regulatory submission review and approval process; the Company's ability to have sufficient funds to meet certain future capital requirements, which could impair the Company's efforts to develop and commercialize existing and new products; the Company's ability to maintain and grow its reputation and the market acceptance of its products; the Company's ability to achieve reimbursement from third-party payors, including CMS, for its products; the Company's limited operating history and its ability to leverage its sales, marketing and training infrastructure; the Company's expectations as to its clinical research program and clinical results; the Company's expectations regarding future growth, including its ability to increase sales in its existing geographic markets and expand to new markets; the Company’s ability to continue to operate as a going concern; the Company's ability to obtain certain components of its products from third-party suppliers and its continued access to its product manufacturers; the Company’s ability to navigate any difficulties associated with moving production of its AlterG Anti-Gravity Systems to a contract manufacturer; the Company's ability to improve its products and develop new products; the Company's compliance with medical device reporting regulations to report adverse events involving the Company's products, which could result in voluntary corrective actions or enforcement actions such as mandatory recalls, and the potential impact of such adverse events on the Company's ability to market and sell its products; the Company's ability to gain and maintain regulatory approvals; the Company's ability to maintain adequate protection of its intellectual property and to avoid violation of the intellectual property rights of others; the risk of a cybersecurity attack or breach of the Company's IT systems significantly disrupting its business operations; the Company's ability to use effectively the proceeds of its offerings of securities; and other factors discussed under the heading "Risk Factors" in the Company’s annual report on Form 10-K, as amended, for the year ended December 31, 2024 filed with the SEC and other documents subsequently filed with or furnished to the SEC. Any forward-looking statement made in this press release speaks only as of the date hereof. Factors or events that could cause the Company’s actual results to differ from the statements contained herein may emerge from time to time, and it is not possible for the Company to predict all of them. Except as required by law, the Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise.

 

 

Lifeward does not provide GAAP reconciliation of its non-GAAP financial guidance because the Company is unable to predict with reasonable certainty and without unreasonable effort items that would be included in such a reconciliation, including, but not limited to, stock-based compensation expense, acquisition-related expense, and earnout expense. The timing and amounts of these items are uncertain and could be material to Lifeward’s results computed in accordance with GAAP.