Ekso Bionics Holdings, Inc. (NASDAQ:EKSO), an industry leader in
exoskeleton technology for medical and industrial use, today
reported financial results for the three and twelve months ended
December 31, 2017.
Recent Highlights and
Accomplishments
- Shipped 21 EksoGT™ systems in the fourth quarter of 2017
including six rental units. In addition, converted four previously
rented units to a sale. This brings total placements to 277,
of which 17 are rentals.
- A 49% increase year-over-year in Ekso GT systems shipped, with
61 Ekso GT systems in 2017.
- A 44% increase year-over-year in industrial units shipped, with
195 mounts and vests shipped in 2017.
- Following cost reduction initiative announced in May of 2017,
significantly reduced cash loss from operations from $9.7 million
in the second quarter of 2017 to $5.7 million in the fourth quarter
of 2017.
- Announced partnership with HASOMED, a developer of neurological
rehabilitation products, to advance distribution for EksoGT
exoskeleton’s Functional Electrical Stimulation (FES) in
Europe.
- Expanded WISE (Walking Improvement for SCI with Exoskeletons)
study into two additional centers for a total of ten centers
throughout the United States.
- Study published in the International Spinal Cord Society’s
(ISCOS) peer-reviewed journal, Spinal Cord, demonstrating the
EksoGT™ is safe and feasible for use for persons with spinal cord
injuries.
“Changing the paradigm of how the medical and
industrial communities protect and restore human mobility takes
time, but our solid fourth quarter 2017 financial results
demonstrate that our commercialization efforts over the past six
quarters are starting to bear fruit,” said Jack Peurach, President
and Chief Executive Officer of Ekso Bionics. “We believe the
company is strongly positioned to leverage the momentum we created
in 2017 to achieve additional success going forward. Visibility
into our sales pipeline is up, gross margins are improving and
market awareness of our products is increasing in North America and
Europe, and we have a solid foundation on which to expand the
footprint of our products in the months ahead.”
Fourth Quarter 2017 Financial
Results
Revenue was $2.5 million for the fourth quarter
ended December 31, 2017, which includes approximately $2.1 million
in medical device revenue, and $0.3 million in industrial sales.
Revenue was $2.6 million for the quarter ended December 31, 2016,
which included approximately $1.8 million in medical revenue, $0.6
million in industrial sales, and $0.2 million in engineering
services.
Gross profit for the quarter ended December 31,
2017 was $0.8 million, the same level as for the quarter ended
December 31, 2016.
Sales and marketing expenses for the quarter
ended December 31, 2017 were $3.6 million, compared to $2.8 million
for the quarter ended December 31, 2016, an increase of $0.8
million. This increase was due to an increase in marketing related
to the commercialization of the Company’s medical devices for
rehabilitation and its exoskeleton offerings for industrial
applications, an increase in clinical research activity, and
increased average employee headcount notwithstanding the reduction
in workforce in May 2017.
Research and development expenses for the
quarter ended December 31, 2017 were $2.0 million, compared to $2.3
million for the quarter ended December 31, 2016, a decrease of $0.3
million. This decrease was primarily due to decreased
employment costs because of the reduction in workforce.
General and administrative expenses for the
quarter ended December 31, 2017 were $3.3 million, compared to $2.6
million for the quarter ended December 31, 2016, an increase of
$0.7 million. This increase was primarily due to an increase
in business development related activities for China.
Net loss applicable to common stockholders for
the three months ended December 31, 2017 was $9.0 million, or
$0.15 per basic and diluted share, compared to $5.6 million, or
$0.29 per basic share and $0.34 diluted share for the three months
ended December 31, 2016.
Full Year 2016 Financial
Results
Revenue for the full year ended December 31,
2017 was $7.4 million, compared to $14.2 million for the same
period in the prior year. The decrease in revenue for the 2017
period was primarily due to the revenue recognition during the
twelve months ended December 31, 2016 of $6.5 million of previously
deferred revenue resulting from a change of an accounting
estimate.
Gross profit for the year ended December 31,
2017 was approximately $2.0 million, compared to $2.9 million
during the same period of 2016. The decrease was primarily due to
$1.2 million of gross profit from our change in accounting estimate
related to revenue recognition during the year ended December 31,
2016.
Sales and marketing expenses were $13.1 million
for the full year ended December 31, 2017, compared to $11.0
million for the same period in the prior year, an increase of $2.1
million. The increase was primarily due to an increase in
marketing related to the commercialization of the Company’s medical
devices for rehabilitation and its exoskeleton offerings for
industrial applications, an increase in clinical research activity,
and an increase in sales and marketing personnel.
Research and development expenses were $9.5
million for the full year ended December 31, 2017, compared to $8.9
million in the same period in 2016, an increase of $0.6 million.
This increase was primarily due to labor redirected to product
innovation activities from billable engineering service projects
which was recorded in cost of revenue, and increases in outside
services and material purchases.
General and administrative expenses were $10.7
million for the full year ended December 31, 2017, compared to
$10.9 million in the same period in 2016, a decrease of $0.2
million. The decrease was primarily due to a decrease in average
headcount, the absence of a $0.8 million non-cash stock
compensation charge in the full year ended December 31, 2016
related to the modification of stock options that had been granted
to the then Chief Executive Officer, and a $0.3 million severance
charge in 2016 period related to the departure of the then Chief
Executive Officer. These decreases were offset by increased costs
of $1.2 million associated with business development activities in
China.
Net loss applicable to common stockholders for
the full year ended December 31, 2017 was $29.1 million, or $0.82
per basic and diluted share, compared to $33.8 million, or $1.87
per basic share and $2.05 per diluted share for the full year ended
December 31, 2016.
Cash on hand at December 31, 2017 was $27.8
million, compared to $16.8 million at December 31, 2016. For the
year ended December 31, 2017, the Company used $31.2 million of
cash in operations, compared to $25.0 million for the year ended
December 31, 2016. The increase in cash on hand is a result of the
fully financed rights offering completed in the third quarter of
2017.
Conference Call
Investors interested in listening to the
conference call may do so by dialing (877) 407-3036 for domestic
callers or (201) 378-4919 for international callers, using
Conference ID: 13677231. A live webcast of the event will be
available in the “Investors” section of the company’s website at
www.eksobionics.com, or by clicking here.
A replay of the call will be available for two
weeks by dialing (877) 660-6853 for domestic callers or (201)
612-7415 for international callers, using Conference ID:
13581989. The webcast will also be available on the company’s
website for one month following the completion of the call.
About Ekso Bionics®
Ekso Bionics® is a leading developer of
exoskeleton solutions that amplify human potential by supporting or
enhancing strength, endurance and mobility across medical and
industrial applications. Founded in 2005, the company continues to
build upon its unparalleled expertise to design some of the most
cutting-edge, innovative wearable robots available on the market.
Ekso Bionics is the only exoskeleton company to offer technologies
that range from helping those with paralysis to stand up and walk,
to enhancing human capabilities on job sites across the globe. The
company is headquartered in the Bay Area and is listed on the
Nasdaq Capital Market under the symbol EKSO. For more information,
visit: www.eksobionics.com.
Forward-Looking Statements
Any statements contained in this press release
that do not describe historical facts may constitute
forward-looking statements. Forward-looking statements may include,
without limitation, statements regarding (i) the plans and
objectives of management for future operations, including plans or
objectives relating to the design, development and
commercialization of human exoskeletons, (ii) estimates or
projection of financial results, financial condition, operating
results, capital expenditures, capital structure, continued
momentum in commercialization efforts, expansion of product
footprint or other financial or operational items, (iii) the
Company's future financial performance, and (iv) the assumptions
underlying or relating to any statement described in points (i),
(ii) or (iii) above. Such forward-looking statements are not meant
to predict or guarantee actual results, performance, events or
circumstances and may not be realized because they are based upon
the Company's current projections, plans, objectives, beliefs,
expectations, estimates and assumptions and are subject to a number
of risks and uncertainties and other influences, many of which the
Company has no control over. Actual results and the timing of
certain events and circumstances may differ materially from those
described by the forward-looking statements as a result of these
risks and uncertainties. Factors that may influence or contribute
to the inaccuracy of the forward-looking statements or cause actual
results to differ materially from expected or desired results may
include, without limitation, changes resulting from the Company’s
finalization of its financial statements for and as of the period
and year ended December 31, 2017, information or new changes in
facts or circumstances that may occur prior to the filing of the
Company’s Annual Report on Form 10-K that are required to be
included therein, the Company's inability to obtain adequate
financing to fund the Company's operations and necessary to develop
or enhance our technology, the significant length of time and
resources associated with the development of the Company's
products, the Company's failure to achieve broad market acceptance
of the Company's products, the failure of the Company’s sales and
marketing organization or partners to market the Company’s products
effectively, adverse results in future clinical studies of the
Company's medical device products, the failure to obtain or
maintain patent protection for the Company's technology, failure to
obtain or maintain regulatory approval to market the Company's
medical devices, lack of product diversification, existing or
increased competition, and the Company's failure to implement the
Company's business plans or strategies. These and other factors are
identified and described in more detail in the Company's filings
with the SEC. To learn more about Ekso Bionics please visit us at
www.eksobionics.com. The Company does not undertake to update these
forward-looking statements.
Media Contact:Chantal
Beaudry212-867-1762 cbeaudry@lazarpartners.com
Investor Contact: Matthew Ventimiglia 212-599-1265
investors@eksobionics.com
|
|
Ekso Bionics Holdings, Inc. |
Condensed Consolidated Statements of
Operations |
(In thousands, except per share
amounts) |
|
|
|
Three months endedDecember
31, |
Years endedDecember
31, |
|
|
2017 |
|
|
2016 |
|
|
2017 |
|
|
2016 |
|
Revenue: |
|
|
|
|
|
|
|
|
Device and
related |
$ |
2,453 |
|
$ |
2,431 |
|
$ |
7,315 |
|
$ |
13,434 |
|
Engineering
services |
|
- |
|
|
156 |
|
|
38 |
|
|
787 |
|
Total revenue |
|
2,453 |
|
|
2,587 |
|
|
7,353 |
|
|
14,221 |
|
|
|
|
|
|
|
|
|
|
Cost of revenue: |
|
|
|
|
|
|
|
|
Device and
related |
|
1,676 |
|
|
1,637 |
|
|
5,270 |
|
|
10,715 |
|
Engineering
services |
|
- |
|
|
107 |
|
|
14 |
|
|
559 |
|
Total cost of
revenue |
|
1,676 |
|
|
1,744 |
|
|
5,284 |
|
|
11,274 |
|
|
|
|
|
|
|
|
|
|
Gross profit |
|
777 |
|
|
843 |
|
|
2,069 |
|
|
2,947 |
|
|
|
|
|
|
|
|
|
|
Operating
expenses: |
|
|
|
|
|
|
|
|
Sales and
marketing |
|
3,593 |
|
|
2,846 |
|
|
13,156 |
|
|
10,997 |
|
Research and
development |
|
1,992 |
|
|
2,293 |
|
|
9,483 |
|
|
8,879 |
|
General and
administrative |
|
3,285 |
|
|
2,582 |
|
|
10,715 |
|
|
10,853 |
|
Restructuring |
|
(6 |
) |
|
- |
|
|
659 |
|
|
- |
|
Change in fair
value, contingent consideration |
|
(141 |
) |
|
(196 |
) |
|
(332 |
) |
|
(196 |
) |
Total operating
expenses |
|
8,723 |
|
|
7,525 |
|
|
33,681 |
|
|
30,533 |
|
|
|
|
|
|
|
|
|
|
Loss from
operations |
|
(7,946 |
) |
|
(6,682 |
) |
|
(31,612 |
) |
|
(27,586 |
) |
|
|
|
|
|
|
|
|
|
Other income (expense),
net: |
|
|
|
|
|
|
|
|
Gain (loss) on warrant
liability |
|
(942 |
) |
|
1,256 |
|
|
3,909 |
|
|
4,286 |
|
Interest and other,
net |
|
(89 |
) |
|
(150 |
) |
|
(1,419 |
) |
|
(170 |
) |
Total other income
(expense), net |
|
(1,031 |
) |
|
1,106 |
|
|
2,490 |
|
|
4,116 |
|
|
|
|
|
|
|
|
|
|
Net loss |
|
(8,977 |
) |
|
(5,576 |
) |
|
(29,122 |
) |
|
(23,470 |
) |
|
|
|
|
|
|
|
|
|
Less: Preferred deemed
dividend |
|
- |
|
|
- |
|
|
- |
|
|
10,345 |
|
Net loss applicable to
common shareholders |
$ |
(8,977 |
) |
$ |
(5,576 |
) |
$ |
(29,122 |
) |
$ |
(33,815 |
) |
|
|
|
|
|
|
|
|
|
Basic net loss per
share applicable |
|
|
|
|
|
|
|
|
to common
shareholders |
$ |
(0.15 |
) |
$ |
(0.29 |
) |
$ |
(0.82 |
) |
$ |
(1.87 |
) |
Weighted average number
of shares of common |
|
|
|
|
|
|
|
|
stock
outstanding, basic |
|
59,921 |
|
|
19,488 |
|
|
35,609 |
|
|
18,126 |
|
Diluted net loss per
share applicable |
|
|
|
|
|
|
|
|
to common
shareholders |
$ |
(0.15 |
) |
$ |
(0.34 |
) |
$ |
(0.82 |
) |
$ |
(2.05 |
) |
Weighted average number
of shares of common |
|
|
|
|
|
|
|
|
stock
outstanding, diluted |
|
59,921 |
|
|
19,811 |
|
|
35,609 |
|
|
18,622 |
|
|
Ekso Bionics Holdings, Inc. |
Condensed Consolidated Balance
Sheets |
(In thousands, except par value) |
|
|
|
December 31, |
|
December 31, |
|
|
|
2017 |
|
2016 |
Assets |
|
|
|
|
Current
assets: |
|
|
|
|
|
Cash |
$ |
27,813 |
|
$ |
16,846 |
|
|
Accounts receivable,
net |
|
2,760 |
|
|
1,780 |
|
|
Inventories, net |
|
3,025 |
|
|
1,556 |
|
|
Prepaid expenses and
other current assets |
|
1,339 |
|
|
502 |
|
Total
current assets |
|
34,937 |
|
|
20,684 |
|
Property
and equipment, net |
|
2,249 |
|
|
2,435 |
|
Intangible
assets, net |
|
491 |
|
|
1,026 |
|
Goodwill |
|
189 |
|
|
189 |
|
Other
assets |
|
122 |
|
|
91 |
|
Total
assets |
$ |
37,988 |
|
$ |
24,425 |
|
Liabilities and Stockholders' Equity |
|
|
|
|
Current
liabilities: |
|
|
|
|
|
Accounts payable |
|
2,420 |
|
|
2,374 |
|
|
Accrued
liabilities |
|
3,503 |
|
|
3,130 |
|
|
Deferred revenues,
current |
|
1,103 |
|
|
825 |
|
|
Note payable,
current |
|
2,139 |
|
|
0 |
|
Total
current liabilities |
|
9,165 |
|
|
6,329 |
|
Deferred
revenue |
|
816 |
|
|
805 |
|
Note
payable, net |
|
4,830 |
|
|
6,789 |
|
Warrant
liability |
|
1,648 |
|
|
3,546 |
|
Contingent
consideration liability |
|
42 |
|
|
217 |
|
Contingent
success fee liability |
|
39 |
|
|
116 |
|
Other
non-current liabilities |
|
57 |
|
|
92 |
|
Total
liabilities |
|
16,597 |
|
|
17,894 |
|
Stockholders' equity: |
|
|
|
|
Common
stock |
|
60 |
|
|
22 |
|
Additional
paid-in capital |
|
165,825 |
|
|
121,291 |
|
Accumulated
other comprehensive (loss) income |
|
(340 |
) |
|
79 |
|
Accumulated
deficit |
|
(144,154 |
) |
|
(114,861 |
) |
Total
stockholders' equity |
|
21,391 |
|
|
6,531 |
|
Total
liabilities and stockholders' equity |
$ |
37,988 |
|
$ |
24,425 |
|
|
Ekso Bionics (NASDAQ:EKSO)
Historical Stock Chart
From Aug 2024 to Sep 2024
Ekso Bionics (NASDAQ:EKSO)
Historical Stock Chart
From Sep 2023 to Sep 2024