Lifeward Ltd. (Nasdaq: LFWD), a global leader in innovative medical technology, reported its financial results for the fourth quarter and full year ended December 31, 2025, revealing a 33% decline in revenue compared to the same period in 2024. The company also announced a strategic partnership with Oramed Pharmaceuticals, which involves the acquisition of a novel protein oral delivery platform, signaling a significant shift in its business model and long-term growth strategy.

Strategic Expansion Through Acquisition of Upper-Body Exoskeleton Technology

Lifeward is moving swiftly to execute its new strategic direction by acquiring a powered upper-body exoskeleton technology with integrated AI capabilities. The technology is designed to assist individuals with upper-limb mobility limitations and represents a natural extension of Lifeward’s leadership in wearable robotic rehabilitation solutions. This acquisition complements its existing ReWalk platform, which has already gained traction in the market.

The new exoskeleton technology is expected to be ready for commercial launch within 18 to 24 months after additional development and regulatory approvals. Lifeward anticipates that this product will deliver attractive gross margins and favorable unit economics over time, further diversifying its revenue streams beyond its current neuro-rehabilitation products.

Mark Grant, CEO of Lifeward, emphasized that the acquisition aligns with the company’s goal to become a diversified biomedical innovation company. ‘The acquisition of this upper-body exoskeleton technology is a strong example of our approach,’ Grant said. ‘It complements our ReWalk platform, uses the same sales, distribution and reimbursement infrastructure we have already built, and adds scale to our operations while delivering life-enhancing solutions to patients.’

Significant Strategic Agreement with Oramed Pharmaceuticals

Lifeward has secured shareholder approval for a significant strategic investment and technology collaboration agreement with Oramed Pharmaceuticals. Under the deal, Lifeward will acquire Oramed’s clinical-stage proprietary Protein Oral Delivery (POD) technology platform. In return, Oramed will receive up to 49.99% equity ownership in Lifeward.

Oramed will fund the clinical development of the POD technology, enabling Lifeward to access a potentially high-value platform while limiting its capital requirements. ORMD-0801, the lead drug candidate for the POD technology, has the potential to revolutionize the treatment of type 2 diabetes by delivering insulin orally at an earlier stage of treatment. This approach could curb disease progression and delay late-stage complications.

Based on an extensive analysis of Phase 2 and Phase 3 data, Oramed plans to initiate a 60-patient U.S.-based clinical trial. Lifeward expects the transaction to close shortly after satisfying additional customary closing conditions. The deal is expected to provide a cash runway and position Lifeward on a clear path toward achieving cash flow positive.

Expanding Reimbursement Coverage for ReWalk Personal Exoskeleton

Lifeward achieved significant progress in reimbursement coverage for the ReWalk Personal Exoskeleton with major U.S. insurers, including Aetna, Humana, and UnitedHealthcare. These payers now provide Medicare Advantage coverage for the device, which covers approximately 16 million lives in the United States.

This milestone represents a significant step forward in improving patient access and reinforces the growing recognition of the clinical value of robotic exoskeleton technology for individuals with spinal cord injuries. The expanded coverage is expected to drive broader adoption of the ReWalk Personal Exoskeleton and support revenue growth in the coming quarters.

In addition to the U.S. expansion, Lifeward has continued to grow its global footprint by expanding international distribution of the ReWalk Personal Exoskeleton into Mexico, Thailand, and the United Arab Emirates through an agreement with Verita Neuro. This partnership is structured as a capital-efficient model, with Verita Neuro leading the distribution efforts.

Transformation of U.S. Sales and Distribution Infrastructure

Lifeward has undertaken a significant transformation of its U.S. commercial infrastructure, transitioning to a hybrid sales model that combines direct efforts with strategic channel partnerships. This shift is aimed at improving sales execution, deepening payer relationships, and driving meaningful growth as the impact builds in the coming quarters.

However, these partnerships require time to scale and are not yet fully reflected in current revenue. The company’s U.S. commercial structure is now focused on three key areas: direct-to-patient engagement, capital equipment sales to institutional customers, and expanded payer and reimbursement capabilities. Strengthening reimbursement remains central to the Company’s strategy, as it enhances patient access and supports broader adoption of its neuro-rehabilitation products.

Operational Efficiency Continues to Improve

Lifeward has maintained a strong focus on operational discipline and efficiency throughout 2025, achieving improvements in operating performance on both a quarterly and full-year basis. GAAP operating expenses for the full year decreased by 25%, while non-GAAP operating expenses, which exclude a one-time impairment charge and better reflect ongoing improvements in operational efficiency, declined by 12%.

These efforts support Lifeward’s objective of driving sustainable growth and achieving positive cash flow while building high-value clinical assets that address substantial unmet clinical needs. The company is also advancing clinical collaboration with Shirley Ryan AbilityLab, a globally recognized leader in rehabilitation research and care. The partnership is designed to expand clinical research and training initiatives aimed at improving patient outcomes and accelerating the adoption of robotic rehabilitation technologies.

The company’s full-year 2025 results reflect a transition year as Lifeward repositions itself for the next phase of growth. While revenue declined in the fourth quarter compared to the same period in 2024, the company is already executing on its strategy to become a diversified biomedical innovation company. With the strategic partnership with Oramed and the acquisition of the upper-body exoskeleton technology, Lifeward is well-positioned for long-term growth and sustainability.