Lifeward Ltd. (Nasdaq: LFWD) reported financial results for the third quarter ended September 30, 2026, noting a transitional period for its ReWalk division while its AlterG segment continued to grow.
For the third quarter of 2026, the company reported total revenue of $5.4 million, a decrease of $0.8 million, or 12%, compared to the same period in 2025. This decline was driven by lower sales of ReWalk Personal exoskeletons, which fell to $1.7 million from $3.0 million in the prior year. This drop reflects the company's transition of ReWalk from direct sales to a channel-partner distribution model, which the company believes will expand access and support long-term revenue growth.
Conversely, revenue from AlterG products and services increased 18% year-over-year to $3.6 million. This growth was attributed to higher U.S. unit shipments, increased service revenue, and improved average selling prices. This marks the second consecutive quarter of double-digit growth for the AlterG segment.
On the balance sheet, unrestricted cash and cash equivalents totaled $4.5 million as of September 30, 2026, up from $2.2 million at the end of 2025.
The company reported a net loss of $5.1 million, or $1.32 per share, for the third quarter of 2026, compared to a net loss of $3.2 million, or $2.37 per share, in the prior year. Gross margin for the quarter was 27.4%, down from 43.7% in the prior year due to adverse foreign exchange rates, higher freight costs, tariffs, and revenue-sharing expenses related to the March 2026 acquisition of Oratech Pharmaceuticals Ltd.
In a business update, Lifeward highlighted that ReWalk is covered by Medicare and the three largest Medicare Advantage insurers, Aetna, Humana, and UnitedHealthcare. The company also noted the publication of two peer-reviewed studies in September and October 2026 that supported the long-term benefits of the ReWalk Personal Exoskeleton.
