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EKSO BIONICS HOLDINGS, INC.

CHRN
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Business Summary

Ekso Bionics Holdings, Inc. designs, develops, and markets exoskeleton and complementary products primarily for the healthcare market, serving individuals with physical disabilities or impairments in physical rehabilitation and mobility. The company operates as one operating and reportable segment with two markets: Enterprise Health and Personal Health. Revenue generation is primarily through the sale and subscription of its EksoNR, Ekso Indego Therapy, and Ekso Indego Personal devices, along with support and maintenance contracts. The company is exploring business development initiatives to fuel growth and long-term value in its existing markets and is committed to improving mobility and health through technology and advanced rehabilitative programs.

The company's core business model revolves around selling and subscribing to its exoskeleton devices and associated services. In the Enterprise Health market, the focus is on educating clinical and executive stakeholders on the economic and clinical value of its robotic exoskeleton portfolio, including EksoNR and Ekso Indego Therapy, targeting rehabilitation centers specializing in stroke, TBI, MS, and SCI. Sales to Integrated Delivery Networks (IDNs) are a key focus, often involving multi-unit transactions. In the Personal Health market, the company serves individual users with the Ekso Indego Personal for overground ambulation in community and home settings, primarily for SCI users. Revenue is a mix of product sales, service and support contracts, and subscriptions, with subscription arrangements typically lasting 12 to 36 months.

Ekso Bionics offers several key products. EksoNR is a wearable robotic exoskeleton for rehabilitation settings, cleared by the FDA for SCI, acquired brain injury (ABI) including stroke and TBI, and multiple sclerosis (MS) . Ekso Indego Therapy is a modular, adjustable, lightweight, lower-limb powered exoskeleton cleared by the FDA for stroke or SCI . Ekso Indego Personal is a lightweight powered lower limb orthosis for independent walking in community or home settings, cleared by the FDA for SCI levels from T3 to L5 . Ekso Nomad, a power Knee Ankle Foot Orthosis (KAFO), is expected to begin general commercialization in late 2026, subject to clinical and patient feedback . Ekso EVO is a wearable upper body exoskeleton for able-bodied individuals, intended to reduce worker fatigue and injuries while boosting productivity, and is not FDA-regulated . The company also exclusively distributes the MediTouch BalanceTutor rehabilitation system in the United States, with distribution expected to begin in early 2026 .

Services offered include EksoCare, which provides extended warranty and premium service options, loaner devices, clinical support, and access to the EksoPulse online portal . For devices not under warranty, fee-for-service repairs and maintenance are available, along with short-term loaner device rentals . Training programs are offered online, in-person, or as a hybrid, often included with new device purchases or available separately .

For the fiscal year ended December 31, 2025, total revenue was $12,799 thousand , a decrease of 29% compared to $17,925 thousand in 2024 . Gross profit was $6,845 thousand , down 28% from $9,511 thousand in 2024 . The gross profit percentage remained flat at 53% for both 2025 and 2024 . Operating expenses totaled $20,171 thousand , a 1% increase from $19,971 thousand in 2024 . This resulted in a loss from operations of $13,326 thousand , compared to a loss of $10,460 thousand in 2024 . Net loss for 2025 was $11,695 thousand , a 3% increase from $11,330 thousand in 2024 . Diluted EPS was $(4.91) in 2025, compared to $(8.43) in 2024 . As of December 31, 2025, cash and restricted cash totaled $1,169 thousand , down from $6,493 thousand in 2024 . The company had an accumulated deficit of $262,396 thousand as of December 31, 2025, compared to $250,475 thousand in 2024 . Total current liabilities were $8,636 thousand , and total liabilities were $11,084 thousand . The B. Riley Promissory Note had a principal amount of $2,000 thousand and the Parker Hannifin Promissory Note had a principal amount of $2,187 thousand as of December 31, 2025. Net cash used in operating activities was $11,801 thousand in 2025, an increase of $2,000 thousand from $9,846 thousand in 2024 .

Revenue decreased by $5,126 thousand or 29% in 2025 compared to 2024, primarily due to a decrease in Enterprise Health device sales volume in the EMEA region, partially offset by increased Personal Health device sales volume in the Americas . Sales and marketing expenses decreased by $154 thousand or 2% in 2025, mainly due to lower headcount and discretionary payroll, and receipt of employee retention credits, partially offset by an impairment loss on the trade name intangible asset and severance expense . Research and development expenses decreased by $843 thousand or 22% in 2025, primarily due to lower headcount, discretionary payroll, and receipt of employee retention credits, partially offset by severance expense . General and administrative expenses increased by $1,197 thousand or 14% in 2025, driven by higher legal and audit costs, discretionary payroll, and an impairment loss on a finite-lived intangible asset, partially offset by employee retention credits . Interest expense, net, increased by 15% in 2025, mainly due to the B. Riley Promissory Note and lower interest income from cash deposits, partially offset by lower interest expense on the Parker Hannifin Promissory Note and interest income from late employee retention credit payments . The gain on revaluation of warrant liabilities was de minimis in 2025 compared to a $474 thousand gain in 2024 . Unrealized gain on foreign exchange was $1,965 thousand in 2025, a significant shift from an unrealized loss of $965 thousand in 2024, due to foreign currency exchange rate fluctuations .

During 2025, the company completed the transfer of all final assembly of Ekso Indego Therapy, Ekso Indego Personal, and Ekso Nomad devices from its Brecksville, Ohio facility to its San Rafael, California facility . Partial production of the Ekso Indego Personal product was transferred to a third-party contract manufacturing partner in the USA in the second quarter of 2025 . On April 16, 2025, the company executed a Termination Agreement with Vanderbilt University for the P-H Knee License Agreement, resulting in a $180 thousand impairment loss on the related intellectual property asset . In October 2025, the company issued and sold 769 thousand shares of common stock in a registered direct offering, generating net proceeds of approximately $3,231 thousand . On October 28, 2025, the ATM Prospectus was terminated, resulting in expensed deferred issuance costs of $125 thousand . On September 12, 2025, the company entered into a Secured Promissory Note and Security Agreement with B. Riley Commercial Capital, LLC for a secured term loan of up to $2,000 thousand , and simultaneously paid off the entire $2,000 thousand outstanding balance of its BoC Loan Agreement . On November 5, 2025, the company issued Phantom Performance-based Restricted Stock Units (PSUs) to executive officers . A 1-for-15 reverse stock split was effected on June 2, 2025 , and the company regained Nasdaq compliance on June 13, 2025 .

Business Outlook

Management expects that the majority of revenue in 2026 will continue to come from Enterprise Health sales, but with Personal Health product sales contributing more quarter over quarter . The company is seeking additional financing and evaluating financing alternatives in the near term to meet its cash requirements for the next 12 months, estimating that current cash on hand plus net proceeds from the Private Placement will fund operations until the end of the second quarter of 2026 . Management does not expect cash flows from operations to be sufficient to meet material cash requirements in the long term and anticipates continued reliance on external financing, including equity and debt financings .

A key growth area is the Personal Health market, particularly with the Ekso Indego Personal device. CMS approved a payment level of approximately $91,000 for Medicare reimbursement of the Ekso Indego Personal, effective April 1, 2024 . This reimbursement is expected to increase demand for the device among the estimated 309,000 individuals living with SCI, with an additional 18,000 new SCI injuries each year . Approximately 57% of individuals with SCI are enrolled in Medicare or Medicaid within five years post-injury . The company is developing its channel partner program with O&P and DME partners, and has signed agreements with National Seating & Mobility, Bionic Prosthetics & Orthotics Group, and Ottobock Patient Care . As of December 31, 2025, there was a sales backlog of over 50 individuals believed to qualify for potential reimbursement, with claims anticipated to be submitted over the next 12 months . The company is also seeking insurance coverage beyond CMS and additional indications of use for its products to drive significant growth .

Another growth vector is the general commercialization of Ekso Nomad, a power Knee Ankle Foot Orthosis (KAFO), which is expected to begin in late 2026, subject to clinical and patient feedback from clinical trials . Additionally, the company began marketing the MediTouch BalanceTutor to Enterprise Health customers in late 2025 as a complementary offering for treadmill-based gait training, with sales and distribution expected to commence in early 2026 .

The company expects operating expenses to grow as the business expands, but also anticipates these expenses to decline as a percentage of revenues over time, aiming to achieve viable operating margins and profitability . Cost savings in supply chain, manufacturing, and service, along with efficiencies in operating activities including headcount reductions, have partially offset lower revenues in 2025 . The QMSR, which incorporates ISO 13485:2016, went into effect in February 2026, requiring compliance from the company and its suppliers .

Planned capital allocation includes using net proceeds from the Private Placement, expected to be approximately $5.3 million , for working capital and general corporate purposes . The company also used net proceeds of approximately $3.2 million from the October 2025 Offering for general corporate purposes, including research and development activities, selling, general and administrative costs, and working capital needs . Research and development efforts will continue to focus on improving existing products and services and developing new ones, with a customer-focused approach to enhance functionality, reliability, and reduce costs .

Management explicitly flagged several structural headwinds and execution risks. The proposed business combination with Applied Digital Cloud Corporation may not be completed on the terms or timeline contemplated, which could have a material adverse effect on the business, financial condition, and results of operations . If the Business Combination is not consummated, the company expects to have limited cash resources, insufficient to sustain operations for the next twelve months, and would likely need highly dilutive additional capital fundraising . The pendency of the Business Combination could also negatively impact the business by causing customers, suppliers, and partners to delay or defer decisions, or by affecting the ability to attract and retain key personnel . The company is prohibited from entering into certain transactions or taking certain actions that might otherwise be beneficial due to "no-shop" restrictions in the Contribution Agreement . Furthermore, the company has incurred and will continue to incur significant costs related to the Business Combination, many of which are payable even if the transaction is not completed .

Geographic, regulatory, and macro factors also pose constraints. International sales are subject to risks such as failure of local laws to protect intellectual property, protectionist laws, expenses of establishing foreign operations, and challenges from distance, language, and cultural differences . Changes in legal regulations, markets, and customer preferences in different regions may limit the ability to adapt products or succeed . Multiple, conflicting, and changing laws and regulations, including international import and export legislation, trading and investment policies, exchange controls, and tariff barriers, can impact the business . Fluctuations in currency exchange rates and foreign currency translation adjustments also present risks . For example, increased sales in France in 2024 due to local policy changes are expected to be limited to that year and future replacement periods, if policies remain in effect .

Risk Factors

The company faces significant macroeconomic risks, including difficult and challenging economic conditions, an increasingly inflationary environment, and federal funding and policy changes that have led to increased price-based competition, particularly impacting the EksoNR and Ekso Indego Therapy products . Geopolitical conflicts in the Middle East and Europe, or further trade tensions between the United States and China, could prolong or deepen supply chain disruptions and material shortages . Changes in domestic and international trade policies, including higher tariffs, could increase raw material and component costs, reduce profit margins, and adversely affect export sales . Operationally, the company has incurred significant losses, with a net loss of $11,695 thousand in 2025 and an accumulated deficit of $262,396 thousand , raising substantial doubt about its ability to continue as a going concern without additional financing . The B. Riley Promissory Note imposes restrictive covenants, limiting management's discretion in operating the business, and the company has material near-term indebtedness from this note and the $5,000 thousand Parker Hannifin Promissory Note . The company recorded a $570 thousand impairment loss on its trade name asset in 2025 due to downward revisions in revenue forecasts , and a $180 thousand impairment loss on an intellectual property asset due to a licensing agreement termination . Cybersecurity threats, including interruptions, outages, and breaches to operational and financial systems, are a risk, despite policies and third-party assistance . Product liability claims and recalls are inherent risks, especially given the potential for severe injury or death from exoskeleton malfunction or misuse . Regulatory risks include the complex and lengthy reimbursement process for Personal Health products, with no guarantees of success for existing or future claims, and potential delays . Failure to obtain or maintain necessary FDA clearances or approvals for medical devices, or delays in approvals for new products or modifications, could harm commercial operations . Non-compliance with post-market regulatory requirements, such as the QMSR, could lead to fines, shutdowns, or recalls . The company is also subject to federal and state fraud and abuse regulations, including anti-kickback and false claims laws, with potential for substantial penalties for non-compliance .

Management Priorities

Management's message to shareholders conveys a focus on navigating financial challenges while pursuing strategic growth initiatives. They explicitly state that the company has incurred significant losses to date and anticipates continuing to incur losses in the future, and that profitability may not be achieved or maintained . They believe current cash resources, expected modest revenue increases, and flat operating expenses are sufficient to operate for the foreseeable future, but acknowledge that unless significant revenues are generated, the company will remain dependent on capital raised from past and future financings . Management estimates that cash on hand as of December 31, 2025, in addition to the net proceeds from the Private Placement, will fund operations until the end of the second quarter of 2026 . A key strategic priority is the proposed business combination with Applied Digital Cloud Corporation, which, if consummated, would result in the company changing its name to ChronoScale Corporation and Contributor owning approximately 97% of the combined company's outstanding equity . Another strategic priority is the continued development of the go-to-market program for Personal Health products, particularly leveraging the Medicare reimbursement approval of approximately $91,000 for the Ekso Indego Personal device, and seeking additional insurance coverage beyond CMS and expanded indications of use . They also emphasize ongoing research and development efforts to improve existing products and services and develop new ones, with a customer-focused approach to enhance functionality, reliability, and reduce costs .

View Source Annual Report on SEC.gov ↗

References

  1. [1] Item 1, Business — Products
  2. [2] Item 1, Business — Products
  3. [3] Item 1, Business — Products
  4. [4] Item 1, Business — Products
  5. [5] Item 1, Business — Products
  6. [6] Item 1, Business — Products
  7. [7] Item 1, Business — Services
  8. [8] Item 1, Business — Services
  9. [9] Item 1, Business — Services
  10. [10] Item 7, MD&A — Consolidated Results of Operations
  11. [11] Item 7, MD&A — Consolidated Results of Operations
  12. [12] Item 7, MD&A — Consolidated Results of Operations
  13. [13] Item 7, MD&A — Consolidated Results of Operations
  14. [14] Item 7, MD&A — Gross Profit and Gross Margin
  15. [15] Item 7, MD&A — Consolidated Results of Operations
  16. [16] Item 7, MD&A — Consolidated Results of Operations
  17. [17] Item 7, MD&A — Consolidated Results of Operations
  18. [18] Item 7, MD&A — Consolidated Results of Operations
  19. [19] Item 7, MD&A — Consolidated Results of Operations
  20. [20] Item 7, MD&A — Consolidated Results of Operations
  21. [21] Item 8, Consolidated Statements of Operations and Comprehensive Loss
  22. [22] Item 8, Consolidated Statements of Operations and Comprehensive Loss
  23. [23] Item 7, MD&A — Liquidity and Capital Resources
  24. [24] Item 7, MD&A — Liquidity and Capital Resources
  25. [25] Item 7, MD&A — Financial & Accounting Risks
  26. [26] Item 7, MD&A — Financial & Accounting Risks
  27. [27] Item 8, Consolidated Balance Sheets
  28. [28] Item 8, Consolidated Balance Sheets
  29. [29] Item 7, MD&A — Contractual Obligations and Commitments
  30. [30] Item 7, MD&A — Contractual Obligations and Commitments
  31. [31] Item 7, MD&A — Net Cash Used in Operating Activities
  32. [32] Item 7, MD&A — Net Cash Used in Operating Activities
  33. [33] Item 7, MD&A — Revenue
  34. [34] Item 7, MD&A — Revenue
  35. [35] Item 7, MD&A — Operating Expenses
  36. [36] Item 7, MD&A — Operating Expenses
  37. [37] Item 7, MD&A — Operating Expenses
  38. [38] Item 7, MD&A — Operating Expenses
  39. [39] Item 7, MD&A — Operating Expenses
  40. [40] Item 7, MD&A — Operating Expenses
  41. [41] Item 7, MD&A — Total Other Income (Expense), Net
  42. [42] Item 7, MD&A — Total Other Income (Expense), Net
  43. [43] Item 7, MD&A — Total Other Income (Expense), Net
  44. [44] Item 7, MD&A — Total Other Income (Expense), Net
  45. [45] Item 7, MD&A — Total Other Income (Expense), Net
  46. [46] Item 7, MD&A — Total Other Income (Expense), Net
  47. [47] Item 1, Business — Supply of Components
  48. [48] Item 1, Business — Supply of Components
  49. [49] Item 8, Note 8 — Intangible Assets
  50. [50] Item 7, MD&A — Liquidity and Capital Resources
  51. [51] Item 7, MD&A — Liquidity and Capital Resources
  52. [52] Item 7, MD&A — Net Cash Provided by Financing Activities
  53. [53] Item 7, MD&A — Net Cash Provided by Financing Activities
  54. [54] Item 7, MD&A — Net Cash Provided by Financing Activities
  55. [55] Item 8, Note 2 — Phantom Performance-based Restricted Stock Valuation
  56. [56] Item 7, MD&A — Risks Related to Ownership of Common Stock
  57. [57] Item 7, MD&A — Risks Related to Ownership of Common Stock
  58. [58] Item 7, MD&A — Personal Health Market
  59. [59] Item 7, MD&A — Material Cash Requirements and Going Concern
  60. [60] Item 7, MD&A — Material Cash Requirements and Going Concern
  61. [61] Item 7, MD&A — Personal Health Market
  62. [62] Item 7, MD&A — Personal Health Market
  63. [63] Item 7, MD&A — Personal Health Market
  64. [64] Item 7, MD&A — Personal Health Market
  65. [65] Item 7, MD&A — Personal Health Market
  66. [66] Item 7, MD&A — Personal Health Market
  67. [67] Item 7, MD&A — Personal Health Market
  68. [68] Item 7, MD&A — Enterprise Health Market
  69. [69] Item 1A, Risk Factors — We may not be able to leverage our cost structure or achieve better margins.
  70. [70] Item 7, MD&A — Net Cash Used in Operating Activities
  71. [71] Item 1, Business — Government Regulation
  72. [72] Item 7, MD&A — Liquidity and Capital Resources
  73. [73] Item 7, MD&A — Liquidity and Capital Resources
  74. [74] Item 7, MD&A — Liquidity and Capital Resources
  75. [75] Item 1, Business — Research and Development
  76. [76] Item 1A, Risk Factors — Risks Related to the Proposed Business Combination
  77. [77] Item 1A, Risk Factors — Risks Related to the Proposed Business Combination
  78. [78] Item 1A, Risk Factors — Risks Related to the Proposed Business Combination
  79. [79] Item 1A, Risk Factors — Risks Related to the Proposed Business Combination
  80. [80] Item 1A, Risk Factors — Risks Related to the Proposed Business Combination
  81. [81] Item 1A, Risk Factors — International sales of our products are subject to factors outside of our control.
  82. [82] Item 1A, Risk Factors — International sales of our products are subject to factors outside of our control.
  83. [83] Item 1A, Risk Factors — International sales of our products are subject to factors outside of our control.
  84. [84] Item 1A, Risk Factors — International sales of our products are subject to factors outside of our control.
  85. [85] Item 1A, Risk Factors — International sales of our products are subject to factors outside of our control.
  86. [86] Item 7, MD&A — Economic and Industry Trends
  87. [87] Item 1A, Risk Factors — Shortages in the materials used to manufacture our products and supply chain disruptions, including as a result of changes in trade policies, could impact our future results.
  88. [88] Item 1A, Risk Factors — Shortages in the materials used to manufacture our products and supply chain disruptions, including as a result of changes in trade policies, could impact our future results.
  89. [89] Item 7, MD&A — Financial & Accounting Risks
  90. [90] Item 7, MD&A — Financial & Accounting Risks
  91. [91] Item 7, MD&A — Material Cash Requirements and Going Concern
  92. [92] Item 7, MD&A — Financial & Accounting Risks
  93. [93] Item 7, MD&A — Financial & Accounting Risks
  94. [94] Item 8, Note 8 — Intangible Assets
  95. [95] Item 8, Note 8 — Intangible Assets
  96. [96] Item 8, Note 8 — Intangible Assets
  97. [97] Item 8, Note 8 — Intangible Assets
  98. [98] Item 1C, Cybersecurity — Risk Management and Strategy
  99. [99] Item 1A, Risk Factors — Product Liability Risks
  100. [100] Item 1A, Risk Factors — If we fail to manage the complex and lengthy reimbursement process, our business and operating results could be adversely affected.
  101. [101] Item 1A, Risk Factors — If we fail to obtain or maintain necessary regulatory clearances or approvals for our medical device products, or if clearances or approvals for future products or modifications to existing products are delayed or not issued, our commercial operations would be harmed.
  102. [102] Item 1A, Risk Factors — Our failure to meet strict post-market regulatory requirements with respect to our products could require us to pay fines, incur other costs or even close our facilities.
  103. [103] Item 1A, Risk Factors — Failure to comply with anti-kickback and fraud regulations could result in substantial penalties and changes in our business operations.
  104. [104] Item 1A, Risk Factors — We have incurred significant losses to date and anticipate continuing to incur losses in the future, and we may not achieve or maintain profitability.
  105. [105] Item 1A, Risk Factors — We have incurred significant losses to date and anticipate continuing to incur losses in the future, and we may not achieve or maintain profitability.
  106. [106] Item 8, Note 1 — Liquidity and Going Concern
  107. [107] Item 7, MD&A — Business Combination
  108. [108] Item 7, MD&A — Business Combination
  109. [109] Item 7, MD&A — Personal Health Market
  110. [110] Item 7, MD&A — Personal Health Market
  111. [111] Item 1, Business — Research and Development

Analysis on 5/20/2026