Ekso Bionics Holdings, Richmond, California, reported financial results for the first quarter (1Q) of 2016, ended March 31. Total revenue for 1Q 2016 was $8.5 million compared to $1.7 million for 1Q 2015. Medical-device-related revenue was $8.1 million compared to $1 million in 1Q 2015; 1Q 2016 medical device revenue includes a $6.5 million one-time noncash recognition of previously deferred medical device revenue and $1.5 million of device revenue primarily related to medical devices sold during 1Q 2016. Engineering services revenue decreased by $300,000, or 39 percent, to $400,000 for the three months ended March 31, when compared to 1Q 2015. This was primarily due to a decrease in revenue generating projects.
Gross profit for 1Q 2016 was $1.5 million compared to $400,000 for 1Q 2015. Operating expenses were $8.1 million for 1Q 2016 compared to $4.5 million for 1Q 2015. The increase in operating expenses included a one-time $800,000 noncash charge related primarily to the extension of the period to exercise options made to the company’s former CEO as well as recognition of a $300,000 severance. Net loss applicable to common shareholders in 1Q was $6.8 million, or $0.44 per basic and diluted share. Net loss applicable to common shareholders for the quarter included a noncash preferred share deemed dividend of $3.1 million, offset by a noncash gain of $3 million on the revaluation of a warrant liability. Both noncash items were associated with the company’s equity financing in December 2015.
Cash was $12.3 million as of March 31. Cash outflow from operations in 1Q 2016 was $6.8 million, which included nonroutine investments of working capital, the majority of which the company expects will reverse during the year, compared to $3.8 million in 1Q 2015.
Among the recent highlights noted by the company is that U.S. Food and Drug Administration (FDA) clearance was received to market the Ekso GT™ exoskeleton for use in the treatment of individuals with hemiplegia due to stroke and individuals with spinal cord injuries at levels L5 to C7.
