Ekso Bionics Holdings, Inc.'s (NASDAQ:EKSO) Shift From Loss To Profit

With the business potentially at an important milestone, we thought we'd take a closer look at Ekso Bionics Holdings, Inc.'s (NASDAQ:EKSO) future prospects. Ekso Bionics Holdings, Inc. designs, develops, sells, and rents exoskeleton products in the Americas, Germany, Poland, Europe, the Middle East, Africa, the Asia Pacific, and internationally. The US$14m market-cap company posted a loss in its most recent financial year of US$15m and a latest trailing-twelve-month loss of US$11m shrinking the gap between loss and breakeven. The most pressing concern for investors is Ekso Bionics Holdings' path to profitability – when will it breakeven? Below we will provide a high-level summary of the industry analysts’ expectations for the company.

Check out our latest analysis for Ekso Bionics Holdings

According to the 2 industry analysts covering Ekso Bionics Holdings, the consensus is that breakeven is near. They expect the company to post a final loss in 2025, before turning a profit of US$609k in 2026. Therefore, the company is expected to breakeven just over a year from today. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 62%, which signals high confidence from analysts. Should the business grow at a slower rate, it will become profitable at a later date than expected.

We're not going to go through company-specific developments for Ekso Bionics Holdings given that this is a high-level summary, but, bear in mind that generally a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

Before we wrap up, there’s one aspect worth mentioning. The company has managed its capital prudently, with debt making up 36% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.

Next Steps:

There are key fundamentals of Ekso Bionics Holdings which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at Ekso Bionics Holdings, take a look at Ekso Bionics Holdings' company page on Simply Wall St. We've also compiled a list of pertinent aspects you should look at:

1. Historical Track Record: What has Ekso Bionics Holdings' performance been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Ekso Bionics Holdings' board and the CEO’s background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.