Lifeward Ltd. reported third‑quarter 2025 revenue of $6.2 million, a 1 % year‑over‑year increase and an 8 % rise from the prior quarter. The figure fell short of the consensus estimate of $6.44 million, a miss of $240,000, largely because sales of the legacy Alter G platform declined 15 % YoY to $3.1 million while revenue from ReWalk Personal Exoskeletons and MyoCycle FES bikes grew 24 % YoY to $3.1 million. The strong performance in the ReWalk and MyoCycle segments was driven by record Medicare placements and a new CE mark for the ReWalk 7, which broadened U.S. and European market access.
Gross margin expanded to 43.7 % in Q3, up from 36.2 % a year earlier. The improvement reflects lower production costs after the closure of the Fremont manufacturing facility and the elimination of intangible amortization related to Alter G. The higher margin also benefited from a shift in product mix toward the higher‑margin ReWalk and MyoCycle lines, offsetting the lower‑margin decline in Alter G sales.
Operating expenses totaled $5.9 million, a modest increase from the prior year driven by a $2.0 million earnout write‑down. After adjusting for the write‑down, the operating loss narrowed to $3.0 million from $4.1 million YoY, indicating that cost controls and the margin expansion are beginning to translate into improved profitability, even as the company continues to invest in growth initiatives.
Cash and cash equivalents stood at $2.0 million at the end of September, a sharp decline from $5.73 million earlier in the year. To shore up liquidity, Lifeward secured a $3.0 million loan from Oramed Ltd. The facility carries a 15 % interest rate and is convertible, underscoring the company’s ongoing cash‑flow constraints and the need for additional financing to support its transformation strategy.
Management reaffirmed its full‑year 2025 guidance, projecting revenue between $24 million and $26 million and a net loss of $12 million to $14 million. CEO Mark Grant highlighted the company’s progress in Medicare placements, the impact of the ReWalk 7 CE mark, and a disciplined commercial model. The guidance signals confidence that the company can sustain its margin gains and achieve the projected revenue range, but the continued net loss and tight cash position indicate that liquidity remains a critical focus for the coming quarters.
Investors reacted negatively to the earnings release, with the primary driver being the revenue miss against analyst expectations. The market’s focus on top‑line growth, despite margin improvements and a narrowed operating loss, reflects concerns about the company’s ability to accelerate revenue and achieve profitability in the near term.
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