Rewalk Robotics (Nasdaq: RWLK) today reported its third-quarter revenues were half what they were a year before, with losses widening.
However, the robotic exoskeletons company is seeking to advance its technology through reimbursement wins in the U.S. and Germany.
Early this month, Rewalk submitted its first case to Medicare Administrative Contractors (MACs) for coverage and reimbursement of the company’s exoskeleton for Medicare beneficiaries. The company announced in September that CMS was giving MACs the discretion to cover the exoskeleton.
In addition, the German Federal Social Court will hold a hearing on Nov. 10 to review whether an exoskeleton medical device should be classified as directly or indirectly compensating for the lost function of individuals with spinal cord injuries or paraplegia.
On top of the efforts to secure more reimbursements for the Rewalk robotic exoskeleton, the company had repurchased $900,000 of its stock as of Nov. 4. The company faces a Nasdaq delisting next year if it can’t keep the RWLK shares above $1 apiece in price for 10 consecutive business days.
“With the submission of the first Medicare case based on the guidance of the Centers for Medicare and Medicaid Services (CMS), Rewalk has taken an important step in advancing its mission to expand the access to its exoskeleton devices for the spinal cord injury (SCI) community,” Rewalk CEO Larry Jasinski said in a news release.
“We look forward to continuing our work with CMS as we take the next step in the process toward establishing a coverage mechanism for Medicare beneficiaries. ReWalk remains committed to our mission of helping individuals with SCI to achieve the benefits of functional ambulation. We believe these important steps will ultimately lead to exoskeletal walking as a routine part of everyday life for Medicare beneficiaries.”
More about Rewalk Robotics’ Q3 results
Rewalk Robotics lost nearly $5.5 million, or 9¢ per share, off $886,000 in revenue for the quarter ended Sept. 30, 2022. it lost nearly $2.7 million, or 6¢ per share, off nearly $2 million in revenue during Q3 2021.
The company cited a lower number of ReWalk personal units sold in Europe and a lower number of personal and rehabilitation units sold in the United States. An increase in distributed product volumes partially offset the negative results. The timing of coverage decisions by insurers and delays in the training timetables for some candidates also negatively affected sales.
The company had $74 million in cash on hand as of Sept. 30. It spent $5.7 million in Q3 2022, up from $3.8 million in Q3 2021.
Investors reacted by sending RWLK shares down slightly to 98¢ apiece in morning trading. MassDevice‘s MedTech 100 Index, which includes stocks of the world’s largest medical device companies, was up slightly.