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ChronoScale reached a new agreement with Jerome Wong to continue serving as Chief Financial Officer. The deal, which took effect August 16, sets his annual base salary at $400,000 and includes a performance bonus target of 60 percent of that salary. He will also receive 300,000 restricted stock units, which are shares that vest over time as an incentive to stay with the company.
This is a routine step to keep a key leader in place as the company tries to shift from making medical robotic suits to renting out computer power for AI. While the agreement includes severance pay if he is let go after a change in control, it suggests the current leadership team is staying put to manage the transition.
Source: 8-K filing
ChronoScale has formed a partnership with Nutanix, a company that helps businesses manage their software and data. The two will integrate their systems so that Nutanix customers can more easily rent ChronoScale's specialized computer chips, which are used to build and run AI models.
This is a helpful step for ChronoScale as it tries to move away from its old medical business. By connecting with a larger partner like Nutanix, it gains a new way to find customers for its expensive server fleet. The success of this move depends on whether these businesses actually sign up to use ChronoScale's hardware over larger rivals.
Source: GlobeNewsWire
ChronoScale reports its quarterly results today. Analysts expect the company to report a loss of about 6 cents per share. The main thing to watch is the progress of its transition away from medical robotics and into renting out computer power for AI. We are looking for any updates on the sale of its legacy bionics division and the expansion of its server fleet, which are the keys to its new business model.
ChronoScale is expected to report its quarterly numbers today. Analysts are looking for a loss of about 6 cents per share. The main thing to watch is the company's progress in selling off its old medical bionics business. ChronoScale is trying to shift entirely into renting out AI computing power, so any update on that sale or the growth of its server fleet will be more important than the headline profit or loss number.
ChronoScale is scheduled to release its quarterly numbers today. Analysts are looking for a loss of about 6 cents per share on very little revenue as the company continues its shift from making robotic medical suits to renting out computer power for AI. The most important thing to watch is the progress of the bionics division sale. The company needs that cash to buy the expensive servers required for its new business model, especially since it is currently spending more cash than it brings in.
Management has a habit of clearing the low bars they set, beating expectations in three of the last five quarters even while the business loses money.
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