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Exhibit 99.1

Record ReWalk revenue with 20 systems placed

Recent Highlights and Milestones for Lifeward

 

 

 

 

 

“We are succeeding with the basics of execution with building a Medicare processing pipeline and by successfully getting paid. In addition our integration of two companies has expanded our scale and positions us well for the coming quarters” said Larry Jasinski, Chief Executive Officer of Lifeward. “The ability to drive growth and to cut and leverage expenses are the meaningful output of these achievements.

 

Second Quarter 2024 Financial Results

 

Total operating expenses in the second quarter of 2024 were $7.2 million, compared to $5.7 million in the second quarter of 2023.  On a non-GAAP basis, which excludes the items listed in the attached non-GAAP reconciliation table, adjusted operating expenses were $6.9 million in the second quarter of 2024, compared to $4.5 million in the second quarter of 2023, a $2.3 million increase.  This increase is primarily due to the addition of headcount and outside spending from the acquisition of AlterG and investment in additional commercial resources.

 

Operating loss in the second quarter of 2024 was $4.4 million, compared to $5.2 million in the second quarter of 2023. On a non-GAAP basis, which excludes the items in the attached non-GAAP reconciliation table, adjusted operating loss was $3.7 million in the second quarter of 2024, compared to a loss of $3.9 million in the second quarter of 2023.

 

Net loss was $4.3 million, or $0.50 per share, for the second quarter of 2024, compared to a net loss of $4.6 million, or $0.55 per share, in the second quarter of 2023. On a non-GAAP basis, which excludes the items in the attached non-GAAP reconciliation table, adjusted net loss was $3.6 million, or $0.42 per share, in the second quarter of 2024, compared to $3.4 million, or $0.40 per share, during the second quarter of 2023.

 

Liquidity

 

As of June 30, 2024, ReWalk had $15.1 million in unrestricted cash and cash equivalents on its balance sheet with no debt.  During the second quarter of 2024, cash used in operations was $5.6 million, which was adversely affected by long lead times required by the Medicare Administrative Contractors to set up and commence initial claims payments. At the end of the second quarter of 2024, Lifeward had $2.6 million of accounts receivable for Medicare claims that had been submitted in 2023 and the first half of 2024 which have begun to be paid subsequent to the end of the second quarter.

 

Financial Guidance

 

Following the results of the second quarter of 2024, Lifeward continues to expect full year revenue of between $28 million to $32 million in 2024.  Based on the expanded access to ReWalk systems from the recently established Medicare coverage and continued improvement of sales traction by the new commercial team, Lifeward expects sequential improvement in quarterly revenue through the rest of 2024.

 

Conference Call

 

Lifeward management will host its conference call as follows:

 

About Lifeward

 

Forward-Looking Statements

 

In addition to historical information, this press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, Section 27A of the U.S. Securities Act of 1933, and Section 21E of the U.S. Securities Exchange Act of 1934. Such forward-looking statements may include projections regarding the Company's future performance and other statements that are not statements of historical fact and, in some cases, may be identified by words like "anticipate," "assume," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "future," "will," "should," "would," "seek" and similar terms or phrases. The forward-looking statements contained in this press release are based on management's current expectations, which are subject to uncertainty, risks and changes in circumstances that are difficult to predict and many of which are outside of the Company’s control. Important factors that could cause the Company’s actual results to differ materially from those indicated in the forward-looking statements include, among others: the Company’s ability to realize the anticipated benefits of the acquisition of AlterG, including the possibility that the expected benefits of the acquisition will not be realized within the expected time period or at all; the effect of the AlterG acquisition on the ability of the Company to retain customers and key personnel and to maintain relationships with suppliers, distributors and other key business relations; potential litigation in connection with the AlterG acquisition; uncertainties associated with future clinical trials and the clinical development process, the product development process and FDA regulatory submission review and approval process; the Company's ability to have sufficient funds to meet certain future capital requirements, which could impair the Company's efforts to develop and commercialize existing and new products; the Company’s ability to manage challenges and expenses associated with activist shareholder activities, including litigation; the Company's ability to maintain and grow its reputation and the market acceptance of its products; the Company's ability to achieve reimbursement from third-party payors, including CMS, for its products; the Company's limited operating history and its ability to leverage its sales, marketing and training infrastructure; the Company's expectations as to its clinical research program and clinical results; the Company's expectations regarding future growth, including its ability to increase sales in its existing geographic markets and expand to new markets; the Company's ability to obtain certain components of its products from third-party suppliers and its continued access to its product manufacturers; the Company's ability to improve its products and develop new products; the Company's compliance with medical device reporting regulations to report adverse events involving the Company's products, which could result in voluntary corrective actions or enforcement actions such as mandatory recalls, and the potential impact of such adverse events on the Company's ability to market and sell its products; the Company's ability to gain and maintain regulatory approvals; the Company's ability to maintain adequate protection of its intellectual property and to avoid violation of the intellectual property rights of others; the risk of a cybersecurity attack or breach of the Company's IT systems significantly disrupting its business operations; the Company's ability to use effectively the proceeds of its offerings of securities; and other factors discussed under the heading "Risk Factors" in the Company’s annual report on Form 10-K, as amended, for the year ended December 31, 2023 filed with the SEC and other documents subsequently filed with or furnished to the SEC. Any forward-looking statement made in this press release speaks only as of the date hereof. Factors or events that could cause the Company’s actual results to differ from the statements contained herein may emerge from time to time, and it is not possible for the Company to predict all of them. Except as required by law, the Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise.

 

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