EKSO BIONICS HOLDING (OTCBB:EKSO) has been moving up after it announced the acquisition of a third contract with US Special Operations Command. EKSO has been called in for the third development phase of the “Tactical Assault Light Operator Suit”, after successful completion of the second phase. Additionally, the company has been gaining patents for the technology being used in its projects with DARPA and the US government. The company has been gaining strength in terms of finances as well, but unfortunately fails to keep its stock on the rise.
It is important to note here that despite EKSO having had no promotion, since its listing on the OTCBB, it still trades millions of shares and is one of the top stocks in the market. Financially, the company has become very strong in the past year. EKSO’s medical devices are high in demand and contribute the most to its revenues. The company also has 12-patents from its operations with the US government alone.
As per the company’s 1Q2015, it experienced a revenue growth of 87% compared to the same period for the previous year, owing to the increased sales of medical devices. However, the cost of revenue increased by 142% for medical devices. Additional increases in marketing, R&D and administrative expenses led to the company reporting a net loss of $4.1 million, compared to $81.8 million for the same period in the preceding year.
Overall, the company has been making financial progress and its recent associations with the US military would definitely yield some good results. Additionally, EKSO is also concentrating on expanding its distribution network for medical devices. However, the company really needs to work on minimizing its operating expenses. As per its last filing, EKSO had $21.1 million in cash a decline from $25.2 million. $3.8 million was used by the company in operations, compared to $5.5 million in the preceding year.
EKSO BIONICS HOLDING (OTCBB:EKSO) closed at $1.84, the company traded 102.60 million shares on May 26 and lost 7.54% in share value.