Ekso Bionics(US:EKSO)2025-07-28 21:30Financial Data and Key Metrics Changes - The company recorded revenue of $2.1 million for Q2 2025, down from $5 million in Q2 2024, primarily due to short-term delays in completing certain multi-device enterprise health sales [8][9] - Gross profit for Q2 2025 was $800,000, representing a gross margin of approximately 40%, compared to a gross profit of $2.6 million and a gross margin of 53% for the same period in 2024 [9] - Operating expenses for Q2 2025 were $4.8 million, a 4% improvement from $5 million in Q2 2024 [10] - The net loss applicable to common stockholders for Q2 2025 was $2.7 million, or $1.24 per share, compared to a net loss of $2.4 million, or $1.99 per share, for the same period in 2024 [10] Business Line Data and Key Metrics Changes - The legacy enterprise health product, primarily the EksoNR device, experienced a decrease in revenue, while sales of the Ekso Indigo personal device increased [9][12] - Personal health product revenues grew by more than 50% in the first half of 2025, despite total revenues being down 38% compared to the same period in 2024 [15][23] Market Data and Key Metrics Changes - The company noted that a small percentage of U.S. customers were impacted by the loss of federal grants and economic uncertainties, which may delay purchases into later 2025 or early 2026 [12][13] - The company has developed a pipeline of over 45 Medicare beneficiaries qualified for the Ekso Indigo Personal, up more than 200% from the end of 2024 [19] Company Strategy and Development Direction - The company is focusing on a scalable go-to-market strategy for the Ekso Indigo Personal, supported by new distribution partners and marketing efforts [23] - A strategic initiative is underway to build a proprietary foundation model for human motion in physical rehabilitation, integrating new AI capabilities across the product portfolio [20][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence that the second quarter revenue shortfall does not reflect the health of the current business or future prospects, citing expected closure of deferred sales [12][13] - The company is working to manage enterprise customer budgets and has engaged a third-party financial partner to assist in transitioning purchases from capital to operational budgets [42] Other Important Information - The company launched Ekso University, a virtual platform providing continuing education courses to physical therapists, aimed at increasing awareness and adoption of exoskeleton technology [14] - The company joined the NVIDIA Connect program to leverage AI and high-performance computing for product development [20][21] Q&A Session Summary Question: Can you quantify the deferred sales on the Enterprise Health side? - Management indicated that two multi-unit device sales fell out of Q2, with one being an international order and the other a North American IDN order expected to occur in Q3, totaling approximately $1.4 million [25][26] Question: When do you expect the Indigo Personal to overtake the Enterprise Health business? - Management believes that by 2025, the contribution from Personal Health will increase to about 25% of total revenue, with expectations to overtake Enterprise Health by 2027 [27][28] Question: How is the process of nailing down the patient profile progressing? - Management noted positive outcomes from recent ALJ hearings and emphasized the importance of ensuring the best claims possible for reimbursement [30] Question: Will Ekso University focus solely on exoskeletons? - Management stated that while initial courses will center on exoskeleton technology, future content will cover a broader range of neuro rehabilitation topics [32] Question: How are new collaborations aiding the commercialization of personal devices? - Management highlighted ongoing partnerships with industry leaders to navigate market access and build a scalable process for patient claims [37][40]