
Financial Performance - Total revenue for Q2 2019 was $0.9 million, a decrease of $893 thousand, or 50%, compared to Q2 2018[111] - Revenues decreased by approximately $891 thousand, or 27%, for the six months ended June 30, 2019 compared to the same period in 2018[113] - Personal unit revenues for Q2 2019 were $851 thousand, down from $1.77 million in Q2 2018[113] - Gross profit for Q2 2019 was $435,000, representing 50% of revenue, up from 43% in Q2 2018[115] - Gross profit for the first half of 2019 was $1,361,000, or 55% of revenue, compared to 43% in the same period of 2018[115] - The company anticipates continued net losses and negative cash flow from operations in the near term[109] Unit Sales and Product Development - 14 units were placed during Q2 2019, including 13 ReWalk Personal and 1 ReStore[111] - The number of Personal units placed decreased from 21 in Q2 2018 to 13 in Q2 2019[113] - Future growth is expected to be driven by sales of the ReWalk Personal device and the ReStore device to rehabilitation institutes[114] - The company plans to focus R&D on the ReStore product for stroke patients and future developments for conditions like multiple sclerosis and Parkinson's disease[118] Expenses and Cost Management - Research and development expenses decreased by $37,000, or 2%, for Q2 2019 compared to Q2 2018, and by $774,000, or 19%, for the first half of 2019[117] - Sales and marketing expenses decreased by $394,000, or 20%, for Q2 2019 compared to Q2 2018, and by $1,143,000, or 27%, for the first half of 2019[119] - General and administrative expenses decreased by $942,000, or 42%, for Q2 2019 compared to Q2 2018, and by $1,479,000, or 35%, for the first half of 2019[121] - Financial expenses, net, decreased by $169,000, or 32%, for Q2 2019 compared to Q2 2018, and by $236,000, or 23%, for the first half of 2019[122] Cash Flow and Financing - As of June 30, 2019, the company had cash and cash equivalents of $24 million and an accumulated deficit of approximately $162 million[129] - The company will need to seek additional financing if cash requirements exceed current estimates over the next 12 months[133] - Net cash used in operating activities decreased to $7.956 million for the six months ended June 30, 2019, compared to $9.068 million for the same period in 2018, primarily due to a reduction in operating costs offset by changes in working capital[161] - Net cash provided by financing activities increased to $22.473 million for the six months ended June 30, 2019, compared to $3.579 million for the same period in 2018, primarily due to higher proceeds from equity raise activities[162] - The company intends to continue using at-the-market offerings opportunistically to raise additional funds, subject to limitations under Form S-3[156] Debt and Obligations - The Company agreed to repay $3.6 million to Kreos, which included prepayment costs and end of loan payments, by issuing 192,000 units and 288,000 pre-funded units[139] - As of June 30, 2019, the outstanding principal amount under the Kreos Loan Agreement was $7.9 million[141] - Total contractual obligations as of June 30, 2019, amounted to $16.702 million, with $7.956 million due within one year[164] - The company has purchase obligations totaling $1.353 million, primarily dependent on a contract manufacturer for production[164] Fundraising Activities - The Company raised $20.2 million in gross proceeds from several fundraising events[111] - The Company raised approximately $13.1 million in gross proceeds from its follow-on public offering on November 20, 2018, selling 728,019 units at $7.5 per unit and 1,050,373 pre-funded units at $7.25 per unit[146] - The Company entered into a public offering of 760,000 ordinary shares at a price of $5.75 per share, generating total gross proceeds of $4.37 million on February 15, 2019[148] - The Company signed a purchase agreement for the issuance of 816,914 ordinary shares at $5.2025 per share, raising approximately $4.25 million on April 3, 2019[149] - As of June 30, 2019, the Company had sold 302,092 ordinary shares under the ATM Offering Program for net proceeds of $14.5 million[154] - The Company issued warrants to purchase up to 1,464,665 ordinary shares with an exercise price of $7.50 per share in June 2019[150] - The Company entered into a purchase agreement for the issuance of 833,334 ordinary shares at $6.00 per share and warrants to purchase up to 416,667 ordinary shares at the same price on June 12, 2019[151] - The Company has been subject to limitations under Form S-3, restricting capital raises to approximately $13.1 million in any 12-month period due to a public float of less than $75 million[142] - The company has incurred total expenses of approximately $1,171 thousand in connection with the ATM Offering Program as of June 30, 2019[154] Market Expansion Efforts - The company is currently in discussions with RealCan to explore alternative pathways for commercializing products in China, indicating ongoing efforts to penetrate this key market[159]