ReWalk Robotics Ltd. (NASDAQ:LFWD): When Will It Breakeven?

ReWalk Robotics Ltd. (NASDAQ:LFWD) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. ReWalk Robotics Ltd., a medical device company, designs, develops, and commercializes technologies that enable mobility and wellness in rehabilitation and daily life for individuals with physical and neurological conditions in the United States, Europe, the Asia-Pacific, and internationally. On 31 December 2023, the US$41m market-cap company posted a loss of US$22m for its most recent financial year. Many investors are wondering about the rate at which ReWalk Robotics will turn a profit, with the big question being “when will the company breakeven?” In this article, we will touch on the expectations for the company’s growth and when analysts expect it to become profitable.

See our latest analysis for ReWalk Robotics

ReWalk Robotics is bordering on breakeven, according to some American Medical Equipment analysts. They anticipate the company to incur a final loss in 2025, before generating positive profits of US$3.9m in 2026. Therefore, the company is expected to breakeven roughly 2 years from now. 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 68%, which signals high confidence from analysts. Should the business grow at a slower rate, it will become profitable at a later date than expected.

Underlying developments driving ReWalk Robotics’ growth isn’t the focus of this broad overview, but, take into account that generally a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

One thing we’d like to point out is that ReWalk Robotics has no debt on its balance sheet, which is rare for a loss-making growth company, which usually has a high level of debt relative to its equity. The company currently operates purely off its shareholder funding and has no debt obligation, reducing concerns around repayments and making it a less risky investment.

Next Steps:

There are key fundamentals of ReWalk Robotics 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 ReWalk Robotics, take a look at ReWalk Robotics’ company page on Simply Wall St. We’ve also compiled a list of relevant factors you should look at:

1. Historical Track Record: What has ReWalk Robotics’ 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 ReWalk Robotics’ 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.

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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.