YOKNEAM ILIT, Israel and MARLBOROUGH, Mass., Nov. 03, 2016 (GLOBE NEWSWIRE) -- ReWalk Robotics Ltd. (Nasdaq:RWLK) today announced its financial results for the three- and nine-month periods ended September 30, 2016.
Highlights of and subsequent to the third quarter include:
- Total revenue of $1.4 million for the third quarter of 2016, compared to $1.2 million for the third quarter of 2015;
- 23 and 80 ReWalk systems placed during the three and nine months ended September 30, 2016, compared to 23 and 48 ReWalk systems placed during the three and nine months ended September 30, 2015;
- 7 additional users initiated use of the ReWalk Personal 6.0 in various clinical studies: 3 initiating the Stanford study and 4 in the VA research study. All 7 are potential separate sales in future quarters;
- 20 individual personal use systems placed during the quarter;
- 13 favorable case-by-case insurance reimbursement decisions; and,
- $12.2 million raised in a public offering of ReWalk ordinary shares and warrants subsequent to the end of the quarter.
“We continue to focus on executing our strategic plan to build the exoskeleton market. Our efforts with insurance providers have resulted in 64 positive reimbursement decisions, including 41 so far this year, and we ended the quarter with a strong pipeline of 149 pending insurance claims,” stated Larry Jasinski, Chief Executive Officer.
“During the first nine months of 2016, 11 systems were provided to veterans through the Department of Veteran Affairs (VA) Coverage Policy (SOP) and 22 systems for the VA’s ongoing studies regarding the potential benefits of walking in the ReWalk. We expanded the clinical study initiated with Stanford University to focus more broadly on quality of life, utilization and cost utility outcomes. And, we made meaningful progress on our research and development efforts on a soft exo-suit technology for stroke and multiple sclerosis patients through our partnership with the Wyss Institute at Harvard University,” he added.
“With our latest financing in place, we believe we are well-positioned to continue building upon the positive trajectory of our insurance coverage and R&D efforts, which will enable us to deliver on our milestones,” concluded Jasinski.
Third Quarter 2016 Financial Results
Total revenue was $1.4 million for the third quarter of 2016, an increase of 20%, compared with $1.2 million in the third quarter of 2015. 23 ReWalk systems were placed during the third quarter and 80 were placed in the nine months ended September 30, 2016, compared with 23 and 48 ReWalk systems placed in the corresponding prior year periods. The increase in revenue was driven by unit sales and the conversion of prior period rentals.
R&D expense was $2.0 million for the third quarter of 2016, compared to $1.3 million during the same period last year, reflecting investment in product development programs.
SG&A expense grew to $5.7 million for the third quarter of 2016, compared to $5.1 million in the prior year period, primarily reflecting investment in reimbursement activities.
Net loss was $7.9 million for the third quarter of 2016 compared with a net loss of $6.4 million in the prior year quarter. Non-GAAP net loss for the third quarter was $6.7 million compared with a non-GAAP net loss of $5.8 million in the third quarter of 2015.
A reconciliation of net loss to non-GAAP net loss is included at the end of this press release under our Condensed Consolidated Statement of Operations.
Liquidity
As of September 30, 2016, ReWalk had $12.4 million in cash. Subsequent to the end of the quarter, ReWalk raised gross proceeds of $12.2 million in a public offering of ordinary shares and warrants.
Guidance
Management is reiterating revenue guidance in the range of $6.2 to $7.0 million for the full year, subject to the timing of certain key business catalysts including placements in our international markets, timing of reimbursement decisions, rental unit conversions and larger orders to support the VA’s research studies.
AboutReWalk Robotics Ltd.ReWalk Robotics Ltd. develops, manufactures and markets wearable robotic exoskeletons for individuals with spinal cord injury. Our mission is to fundamentally change the quality of life for individuals with lower limb disability through the creation and development of market leading robotic technologies. Founded in 2001, ReWalk has headquarters in the U.S., Israel and Germany. For more information on the ReWalk systems, please visit http://www.rewalk.com.
