Ekso Bionics(US:EKSO)2020-10-30 02:45Financial Data and Key Metrics Changes - The company achieved third quarter revenues of $2.9 million, representing a 28% sequential increase over Q2 2020 and 90% of revenues compared to the same period last year [9][23] - Gross margin reached a record 63%, up from 53% in the same period last year, driven by higher average selling prices and lower production costs [10][23] - Operating expenses for Q3 2020 were $4.2 million, a reduction of approximately 24% compared to $5.5 million in Q3 2019 [24] Business Line Data and Key Metrics Changes - EksoNR generated third quarter revenue of $2.9 million, compared to $2.3 million in Q2 2020 and $3.3 million in Q3 2019 [23] - The company recorded 22 total EksoNR bookings in Q3, including 17 for new units, indicating a solid order pipeline despite pandemic-related delays [10][12] Market Data and Key Metrics Changes - The company reported improved customer interactions and engagement levels, particularly in North America, while also gaining traction in international markets, including APAC and EMEA [16][17] - The introduction of the EVO exoskeleton has generated strong customer enthusiasm across various industry verticals, including construction and logistics [20] Company Strategy and Development Direction - The company is focused on expanding its install base through multiple acquisition options, including a new subscription model, to enhance customer engagement [12] - The launch of EVO aims to address productivity and health risk challenges in the industrial sector, with positive initial customer feedback [20][38] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the near-term outlook due to the rise of COVID cases, while emphasizing the importance of maintaining customer engagement [9][17] - The company is committed to delivering long-term value for patients, customers, and shareholders, with a focus on increasing user adoption and education [37][38] Other Important Information - The company reported a net income of $2.5 million for Q3 2020, benefiting from the revaluation of warrants, compared to a net income of $0.2 million in Q3 2019 [25] - Cash used in operating activities for the first nine months of 2020 was $7 million, significantly lower than $14.3 million for the same period in 2019 [27] Q&A Session Summary Question: Sales cycle and placements - The sales cycle has been extended due to the pandemic, but efforts are being made to shorten it through various strategies [30][31] Question: Sustainability of international markets - The company is focused on a methodical approach to expanding its global presence, particularly in Asia and Europe, while evaluating market investments [33] Question: Operating margin and expenses - The company is making progress in reducing cash burn and is comfortable with its current infrastructure, expecting stability in operating expenses [34]