Lifeward’s Q1 Revenue Down 22%, Loss of $10.8M, Cash Up to $11.4M
LFWD•Lifeward’s Q1 revenue fell 22% to $3.9M, triggering a $10.8M net loss as ReWalk sales rose 11% while AlterG shipments dropped 38% on supply-chain delays. A $10M convertible note and $6.5M from Oratech lifted cash to $11.4M, and management expects 2026 revenue to match 2025 with stronger H2 performance.
1. Q1 Financial Results
Lifeward reported Q1 2026 revenue of $3.9 million, a 22% year-over-year decline, resulting in a GAAP net loss of $10.8 million ($6.70 per share). Gross margin compressed to 34.2% due to lower manufacturing absorption, higher freight costs, tariffs, and unfavorable currency movements.
2. Strategic Acquisition and Financing
The company completed its Oratech acquisition, receiving $6.5 million in cash and secured a $10 million convertible note financing, boosting cash to $11.4 million as of quarter-end. This strengthened balance sheet supports the shift toward a channel-partner model and future R&D investments.
3. Operational Drivers
ReWalk exoskeleton sales grew 11% year-over-year, aided by expanded distribution and improved reimbursement access, while AlterG Anti-Gravity system shipments declined 38% due to temporary supply-chain constraints and working-capital timing issues. The manufacturing transition from California to Massachusetts contributed to timing variances.
4. Outlook
Management expects 2026 revenue to approximate 2025 levels, with a stronger exit in the second half as AlterG backlogs clear. The company anticipates completing supply-chain resolutions by the end of Q3 and advancing development of a new upper-body exoskeleton for stroke survivors.
