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The Markets
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The Markets
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Hardware & electrical equipment

Ekso Bionics reports miss on 2Q earnings and revenue; shares fall

The maker of exoskeleton vests posts a quarterly rise in revenue on the heels of a big contract with Ford Motor Co

Ekso Bionics Holdings Inc (NASDAQ:EKSO) missed on second-quarter earnings, sending shares into a tailspin, even as revenue rose for the developer and the manufacturer of exoskeleton vests, which recently clinched a major supply deal with Ford Motor Co (NYSE:F).

The company posted a loss of US$0.13, down sharply from the year-ago loss of US$0.02 and below the average consensus for a loss of US$0.09. Second-quarter revenue hit US$3mln, above the consensus estimate of US$2.79mln and the year-ago level of US$1.6mln.

READ: Shares of Ekso Bionics jump after forging deal with Ford to supply bionic vests

Gross profit for the quarter was at US$1mln compared to US$400,000 in the same quarter last year.

Shares of the company were down 13.3% to US$2.02. Ekso Bionics stock finished Tuesday up 28% to US$2.33 following the news about its agreement with Ford.

Ekso CEO Jack Peurach said the deal along with improvements in acquisition costs and expenses "are strengthening our financial position" and should provide a platform to grow existing product lines.

The company announced further orders from Ford for the vest as part of an expanded initiative to reduce the physical toll among its assembly line workers. The vests will be supplied to 15 Ford assembly plants in seven countries.

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