Release Date: March 03, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Ekso Bionics Holdings Inc (NASDAQ:EKSO) achieved record revenue of $5.1 million in Q4 2024, marking a 5% increase from the same period in 2023.
• Gross profit for Q4 2024 was $2.7 million, with a gross margin of approximately 53%, up from 49% in Q4 2023, due to cost savings in supply chain and service costs.
• Operating expenses decreased by 15% in Q4 2024 compared to Q4 2023, attributed to a reduction in headcount and discretionary payroll costs.
• The company has engaged Priya Healthcare to assist with reimbursement services, which is expected to enhance market access and accelerate revenue growth in 2025.
• Ekso Bionics Holdings Inc (NASDAQ:EKSO) has established a strategic partnership with National Seating and Mobility to expand distribution of the Indigo personal device in the complex rehabilitation technology industry.

Negative Points

• Revenue for the full year 2024 was $17.9 million, a slight decline from $18.3 million in 2023, attributed to the absence of procurement cycles with large delivery networks.
• Net loss for Q4 2024 was $3.4 million, slightly higher than the $3.2 million loss in Q4 2023.
• The company faced challenges in submitting Medicare claims, with only one claim reimbursed by July 2024 and subsequent claims still in the appeals process.
• Ekso Bionics Holdings Inc (NASDAQ:EKSO) anticipates that the go-to-market program for the Indigo personal device will take time to scale and produce results.
• The company is still in the early stages of engaging with private insurance payers, focusing primarily on Medicare beneficiaries for the time being.

Q & A Highlights

• Warning! GuruFocus has detected 2 Warning Signs with EKSO.

Q: Can you discuss your confidence in securing multi-unit orders this year and the volume of claims you plan to submit? A: We expect to secure more multi-unit orders in 2025, particularly from larger health delivery networks as we return to their procurement cycles. Regarding CMS claims, we have a pipeline of about 25 individuals with suitable claims and anticipate growth in submissions throughout the year, which should positively impact our top line. Scott Davis, CEO

Q: Can you provide additional color on the growth trajectory in Europe and the APAC regions for 2025 and beyond? A: In APAC, we expect continued growth with our XONR and Indigo therapy devices, and potential growth in the Indigo personal product line due to existing reimbursement programs. In Europe, we experienced exceptional growth in 2024, particularly in French hospital systems, and expect to return to normal growth levels in 2025. Scott Davis, CEO

Q: How many individuals entering the queue for personal units are ultimately qualified for the technology? A: We prioritize individuals with Medicare coverage who meet the physical and health requirements for the technology. Currently, we have about 25 qualified individuals, but we are continually identifying more candidates as the program becomes more mainstream. Scott Davis, CEO

Q: Is there a plan to engage private payers for reimbursement, and how does PRA Healthcare assist in this process? A: We are focusing on achieving consistent success with Medicare before engaging private payers. PRA Healthcare helps us navigate coding, coverage, and payment complexities, which will eventually aid in engaging private insurers. Scott Davis, CEO

Q: Can you elaborate on the partnership with National Seating and Mobility and its significance in the CRT industry? A: Our partnership with National Seating and Mobility, a leader in the CRT industry, is crucial for expanding distribution of Indigo personal devices. They have expertise in handling complex reimbursement processes, which aligns with our strategy to work with top players in the industry. Scott Davis, CEO

For the complete transcript of the earnings call, please refer to the full earnings call transcript.