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SAN RAFAEL, Calif. - Ekso Bionics Holdings, Inc. (NASDAQ:EKSO), a company specializing in the development of exoskeletons for medical and industrial applications with annual revenue of $17.54 million, has declared a reverse stock split of its common stock at a 1-for-15 ratio, set to take effect on May 27, 2025. According to InvestingPro data, the company’s stock has declined 73% over the past year, currently trading near its 52-week low of $0.34. This strategic move aims to elevate the per-share trading price of the company’s stock to comply with the Nasdaq Capital Market’s minimum bid price requirement. Despite recent market challenges, InvestingPro analysis indicates the stock is currently undervalued, with strong fundamentals including a healthy current ratio of 2.35 and more cash than debt on its balance sheet. Subscribers can access 10+ additional ProTips and comprehensive financial metrics on the platform.
Post-split, Ekso Bionics’ outstanding common stock will reduce from roughly 35.3 million shares to approximately 2.35 million shares. The par value per share will remain unchanged. This consolidation was approved by shareholders on May 16, 2025, and is anticipated to help the company maintain its listing on the Nasdaq. For continued listing, the company’s stock must have a closing bid price of at least $1.00 for ten consecutive trading days.
No fractional shares will be issued because of the reverse split. Shareholders who would have received a fractional share will instead have their shares rounded up to the nearest whole number. All aspects of the reverse stock split, including adjustments to outstanding stock options, warrants, and restricted stock units, will be uniformly applied to all shareholders, ensuring no significant alteration in any shareholder’s percentage interest in the company’s equity.
Electronic shareholders need not take any action as adjustments will be made automatically by brokerage firms or trustees. However, those holding physical share certificates can reach out to the company’s transfer agent, VStock Transfer, LLC, for information on exchanging their certificates for new ones that reflect the reverse stock split.
The company’s decision to execute a reverse stock split is part of its broader strategy to remain compliant with trading requirements and to stabilize its market position. With a market capitalization of $9.61 million and an overall Financial Health score of FAIR according to InvestingPro, Ekso Bionics continues to focus on enhancing human capabilities in various sectors through their advanced robotic exoskeletons. Detailed analysis and growth prospects are available in the comprehensive Pro Research Report, part of the extensive coverage of 1,400+ US stocks on InvestingPro.
This news is based on a press release statement from Ekso Bionics Holdings, Inc. Additional details on the reverse stock split can be found in the company’s Definitive Proxy Statement filed with the SEC on April 10, 2025, and on the company’s website.
In other recent news, Ekso Bionics reported a 10% decrease in total revenue for the first quarter of 2025, with figures dropping to $3.4 million, falling short of the consensus expectation of $4.6 million. The company also reported a wider-than-expected loss, with earnings per share (EPS) at -$0.12, missing the forecast of -$0.08. H.C. Wainwright, a financial firm, responded by cutting its price target for Ekso Bionics from $9.00 to $4.00, though it maintained a Buy rating. This adjustment was attributed to a decline in enterprise revenue, largely due to customer budget cuts.
Ekso Bionics management noted that some customers are facing budget constraints linked to economic uncertainty, affecting sales of the EksoNR device. Despite these challenges, the company remains optimistic about a recovery in enterprise sales from integrated delivery networks in the current year. The firm’s gross profit for the first quarter was reported at $1.8 million, maintaining a gross margin of 54%. Ekso Bionics is also focusing on expanding its distribution network and maintaining strong gross margins, as highlighted by CEO Scott Davis.
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