Wearable Devices Announces First Half 2023 Results
25 Agosto 2023 - 10:05PM
Wearable Devices Ltd. (Nasdaq: WLDS, WLDSW) (“Wearable Devices” or
the “Company”), a technology growth company specializing in
AI-powered touchless sensing wearables, today announced its
financial results for the six months ended June 30, 2023.
Financial Review
The Company continued its investment in research
and development activities, and together with increased costs
associated with the ramping up of production related to the
upcoming shipment of the Mudra Band for Apple Watch, net loss
increased to $3.9 million, or $(0.26) per basic and diluted share,
for the six months ended June 30, 2023, compared to a net loss of
$2.1 million, or $(0.18) per basic and diluted share, for the six
months ended June 30, 2022.
Year-To-Date
Operational Highlights
- Announced preorder availability for
flagship consumer product, Mudra Band for Apple Watch
- Commenced commercial manufacturing
of Mudra Band for Apple Watch
- Launched AI-based Air-Touch
functionality for Android
- Filed patent application with
United States Patent and Trademark Office for expanded AI-based
immersion technology
- Strengthened leadership team with
the addition of Tamar Fleisher as Chief Operating Officer and
Pankaj Kedia to advisory board
- Announced Mudra Band compatibility
with B2B and B2C smart glasses brands
- Enabled new user experience for
mobile gaming
- Showcased Mudra technology at
numerous industry conferences around the globeSubsequent to the
second quarter of 2023:
- Completed first manufacturing batch
of the Mudra Band for Apple Watch; expects to begin shipments in
coming weeks
Asher Dahan, Chairman of the Board of Directors
and Chief Executive Officer of Wearable Devices, commented, “We are
focused on manufacturing a revolutionary product that will
transform the way people interact with their electronic devices. In
the near future, we believe that neural-based interfaces will
become the universal input standard for wearable computing and
digital devices in the same way that the touchscreen is for
smartphones.”
“In these nascent stages, we continue to deploy
capital in the form of strategic investments in our growth,
primarily in the initial manufacturing process and continued
research and development to refine and optimize our technology. AI
and the metaverse are burgeoning domains, capturing the attention
and resources of the world's leading tech giants. As these sectors
evolve and expand, they unveil vast market potential. We’re
confident that with its unique and industry leading capabilities,
our technology is positioned to blend effortlessly into these
dynamic platforms, carving out a significant presence.”
Mr. Dahan concluded, “Overall, we are encouraged
by the operational and technological progress that we’ve made so
far in 2023, and we’re encouraged as we continue to showcase the
breadth and depth of our technology and work to bring our
innovative products to market.”
About Wearable
Devices Ltd.
Wearable Devices is a growth company developing
a non-invasive neural input interface technology in the form of a
wrist wearable band for controlling digital devices using subtle
finger movements. Our company’s vision is to create a world in
which the user’s hand becomes a universal input device for
touchlessly interacting with technology, and we believe that our
technology is setting the standard input interface for the
Metaverse. Since our technology was introduced to the market, we
have been working with both Business-to-Business and
Business-to-Consumer customers as part of our push-pull strategy.
Combining our own proprietary sensors and Artificial Intelligence,
or AI, algorithms into a stylish wristband, our Mudra platform
enables users to control digital devices through subtle finger
movements and hand gestures, without physical touch or contact. For
more information, visit https://www.wearabledevices.co.il/.
Forward-Looking Statement
Disclaimer
This press release contains “forward-looking statements” within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, that are intended to be covered by the “safe harbor”
created by those sections. Forward-looking statements, which are
based on certain assumptions and describe our future plans,
strategies and expectations, can generally be identified by the use
of forward-looking terms such as “believe,” “expect,” “may,”
“should,” “could,” “seek,” “intend,” “plan,” “goal,” “estimate,”
“anticipate” or other comparable terms. For example, we are using
forward-looking statements when we discuss that our product will
transform the way people interact with their electronic devices,
that neural-based interfaces will become the universal input
standard for wearable computing and digital devices in the same way
that the touchscreen is for smartphones in the near future, that AI
and the metaverse will unveil vast market potential, the benefits
and advantages of our technology and that our technology will carve
out a significant presence. All statements other than statements of
historical facts included in this press release regarding our
strategies, prospects, financial condition, operations, costs,
plans and objectives are forward-looking statements.
Forward-looking statements are neither historical facts nor
assurances of future performance. Instead, they are based only on
our current beliefs, expectations and assumptions regarding the
future of our business, future plans and strategies, projections,
anticipated events and trends, the economy and other future
conditions. Because forward-looking statements relate to the
future, they are subject to inherent uncertainties, risks and
changes in circumstances that are difficult to predict and many of
which are outside of our control. Our actual results and financial
condition may differ materially from those indicated in the
forward-looking statements. Therefore, you should not rely on any
of these forward-looking statements. Important factors that could
cause our actual results and financial condition to differ
materially from those indicated in the forward-looking statements
include, among others, the following: our use of proceeds from the
offering; the trading of our ordinary shares or warrants and the
development of a liquid trading market; our ability to successfully
market our products and services; the acceptance of our products
and services by customers; our continued ability to pay operating
costs and ability to meet demand for our products and services; the
amount and nature of competition from other security and telecom
products and services; the effects of changes in the cybersecurity
and telecom markets; our ability to successfully develop new
products and services; our success establishing and maintaining
collaborative, strategic alliance agreements, licensing and
supplier arrangements; our ability to comply with applicable
regulations; and the other risks and uncertainties described in our
annual report on Form 20-F for the year ended December 31, 2022,
filed with the Securities and Exchange Commission (“SEC”) on March
22, 2023, and our other filings with the SEC. We undertake no
obligation to publicly update any forward-looking statement,
whether written or oral, that may be made from time to time,
whether as a result of new information, future developments or
otherwise.
Investor Relations Contact
Walter FrankIMS Investor
Relations203.972.9200wearabledevices@imsinvestorrelations.com
INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS
(UNAUDITED) |
|
|
|
U.S. dollars (in
thousands) |
|
|
|
|
June 30, |
|
December 31, |
|
2023 |
|
2022 |
ASSETS |
|
|
|
|
|
|
|
CURRENT
ASSETS: |
|
|
|
|
|
|
|
Cash and cash equivalents |
5,954 |
|
10,373 |
Short term bank deposits |
2,003 |
|
- |
Governmental grant receivable |
83 |
|
54 |
Other receivables and prepaid expenses |
637 |
|
543 |
Inventories |
12 |
|
6 |
|
|
|
|
TOTAL CURRENT
ASSETS |
8,689 |
|
10,976 |
|
|
|
|
NON-CURRENT
ASSETS: |
|
|
|
|
|
|
|
Long term bank deposits |
52 |
|
- |
Right-of-use assets |
491 |
|
180 |
Property and equipment,
net |
137 |
|
68 |
|
|
|
|
TOTAL NON-CURRENT
ASSETS |
680 |
|
248 |
|
|
|
|
TOTAL
ASSETS |
9,369 |
|
11,224 |
|
|
|
|
|
|
INTERIM CONDENSED CONSOLIDATED BALANCE
SHEETS (UNAUDITED) |
|
U.S. dollars (in
thousands) |
|
|
|
|
|
|
|
|
June 30, |
|
December 31, |
|
2023 |
|
2022 |
LIABILITIES AND
SHAREHOLDERS' EQUITY |
|
|
|
|
|
|
|
CURRENT
LIABILITIES: |
|
|
|
Accounts payables |
112 |
|
|
156 |
|
Advance payments |
373 |
|
|
353 |
|
Deferred revenues |
- |
|
|
12 |
|
Accrued payroll and other employment related accruals |
579 |
|
|
416 |
|
Accrued expenses |
191 |
|
|
145 |
|
Lease liabilities |
271 |
|
|
68 |
|
TOTAL CURRENT
LIABILITIES |
1,526 |
|
|
1,150 |
|
Lease
liabilities |
202 |
|
|
94 |
|
TOTAL
LIABILITIES |
1,728 |
|
|
1,244 |
|
|
|
|
|
SHAREHOLDERS'
EQUITY |
|
|
|
Ordinary shares, NIS 0.01 par value: |
46 |
|
|
43 |
|
Authorized 50,000,000 as of June 30, 2023 and December 31, 2022;
Issued and outstanding 15,942,984 shares as of June 30, 2023 and
15,049,720 shares as of December 31, 2022. |
Additional paid-in capital |
24,900 |
|
|
23,346 |
|
Accumulated losses |
(17,305 |
) |
|
(13,409 |
) |
|
|
|
|
TOTAL SHAREHOLDERS’
EQUITY |
7,641 |
|
|
9,980 |
|
|
|
|
|
TOTAL
LIABILITIES AND SHAREHOLDERS’
EQUITY |
|
|
|
9,369 |
|
11,224 |
|
|
|
|
|
|
INTERIM CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE
LOSS (UNAUDITED) |
|
U.S. dollars (in
thousands) |
|
|
|
|
Six months |
|
|
Six months |
|
ended |
|
|
ended |
|
June 30, |
|
|
June 30, |
|
|
2023 |
|
|
2022 |
|
|
|
|
|
|
|
|
U.S. dollars |
in thousands |
|
(except per
share amounts) |
|
|
|
|
|
|
Revenues |
12 |
|
|
28 |
|
Expenses: |
|
|
|
|
|
Cost of materials |
(3 |
) |
|
(5 |
) |
Research and development, net |
(1,560 |
) |
|
(944 |
) |
Sales and marketing expenses |
(1,050 |
) |
|
(471 |
) |
General and administrative expenses |
(1,453 |
) |
|
(587 |
) |
Initial public offering expenses |
- |
|
|
(74 |
) |
OPERATING LOSS |
(4,054 |
) |
|
(2,053 |
) |
FINANCING INCOME, NET |
158 |
|
|
2 |
|
|
|
|
|
COMPREHENSIVE AND NET
LOSS |
(3,896 |
) |
|
(2,051 |
) |
|
|
|
|
Net loss per ordinary share, basic and
diluted |
(0.26 |
) |
|
(0.18 |
) |
|
|
|
|
Weighted average number of ordinary shares outstanding
basic and diluted |
15,254,457 |
|
|
11,136,850 |
|
|
|
INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED) U.S. dollars (in thousands) |
|
|
|
|
Six months ended |
June 30, |
|
|
|
|
|
2023 |
|
|
2022 |
|
|
CASH FLOWS FROM
OPERATING ACTIVITIES: |
|
|
|
|
Net loss |
(3,896 |
) |
|
(2,051 |
) |
|
|
|
|
|
|
Adjustments required to reconcile net loss to net cash used in |
|
|
|
operating activities - |
|
|
|
|
|
|
Depreciation |
23 |
|
|
11 |
|
|
Share based compensation
expenses |
109 |
|
|
376 |
|
|
|
|
|
|
|
Changes in operating assets and liabilities items: |
|
|
|
|
Increase (decrease) in inventory |
(6 |
) |
|
3 |
|
|
Increase in trade receivables |
- |
|
|
(9 |
) |
|
Increase in deferred initial public offering cost |
- |
|
|
(25 |
) |
|
Decrease (increase) in governmental grants receivables |
(29 |
) |
|
7 |
|
|
Decrease (increase) in other receivables and prepaid expenses |
(95 |
) |
|
29 |
|
|
Increase in advance payments |
20 |
|
|
11 |
|
|
Decrease in deferred revenues |
(12 |
) |
|
(1 |
) |
|
Increase (decrease) in accounts payable |
(44 |
) |
|
16 |
|
|
Increase in accrued payroll and other employment related
accruals |
163 |
|
|
71 |
|
|
Increase in accrued expenses |
48 |
|
|
123 |
|
|
Net cash used in operating activities |
(3,719 |
) |
|
(1,439 |
) |
|
|
|
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES: |
|
|
|
|
Purchase of property and equipment |
(93 |
) |
|
(15 |
) |
|
Net change in deposits |
(2,055 |
) |
|
- |
|
|
Net cash used in investing activities |
(2,148 |
) |
|
(15 |
) |
|
CASH FLOWS FROM
FINANCING ACTIVITIES: |
|
|
|
|
Proceeds from issuance of
SAFEs |
- |
|
|
500 |
|
|
Proceeds from issuance of
ordinary shares as a result of exercise of warrants |
1,448 |
|
|
- |
|
|
Net cash provided by financing activities |
1,448 |
|
|
500 |
|
|
|
|
|
|
|
NET DECREASE IN CASH
AND CASH EQUIVALENTS |
(4,419 |
) |
|
(954 |
) |
|
CASH AND CASH EQUIVALENTS AT BEGINNING OF
PERIOD |
10,373 |
|
|
1,274 |
|
|
CASH AND CASH EQUIVALENTS AT END OF PERIOD |
5,954 |
|
|
320 |
|
|
SUPPLEMENTAL DISCLOSURES OF CASH FLOW
INFORMATION: |
|
|
|
|
|
|
Right-of-use asset recognized against lease liability |
446 |
|
|
56 |
|
|
|
|
|
|
|
|
Grafico Azioni Wearable Devices (NASDAQ:WLDSW)
Storico
Da Mag 2024 a Giu 2024
Grafico Azioni Wearable Devices (NASDAQ:WLDSW)
Storico
Da Giu 2023 a Giu 2024