BrainsWay : Q1 2024

BRAINSWAY LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

U.S. dollars in thousands

			March 31,					December 31,
			2024					2023
ASSETS		(Unaudited)					(Audited)
Current Assets
Cash and cash equivalents	$	12,382	$	10,520
Short-term deposits		35,196					35,465
Restricted cash		271					271
Trade receivables, net		4,339					3,780
Inventory		3,832					3,717
Other current assets		1,373					1,712
			57,393					55,465
Non-Current Assets
System components		1,495					1,273
Leased systems, net		3,600					3,700
Other property and equipment		779					817
Other long-term assets		1,876					1,717
			7,750					7,507
		$	65,143		$	62,972
LIABILITIES AND EQUITY
Current Liabilities
Trade payables	$	892	$	758
Deferred revenues		5,480					2,504
Liability in respect of research and development grants		1,035					1,008
Other accounts payable		5,415					5,491
			12,822					9,761
Non-Current Liabilities
Deferred revenues and other liabilities		4,483					5,553
Liability in respect of research and development grants		5,841					6,077
			10,324					11,630
Equity
Share capital		367					367
Share premium		140,449					140,344
Share-based payment reserve		4,560					4,360
Currency Translation Adjustments		(2,188)					(2,188)
Accumulated deficit		(101,191)					(101,302)
			41,997					41,581
		$	65,143		$	62,972

BRAINSWAY LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

U.S. dollars in thousands (except per share data)

For the three months ended

March 31,

		2024			2023
		(Unaudited)
Revenues	$	9,095	$	6,625
Cost of revenues		2,283			1,792
Gross income		6,812			4,833
Research and development expenses, net		1,626			1,785
Selling and marketing expenses		3,827			4,912
General and administrative expenses		1,266			1,803
Total operating expenses		6,719			8,500
Operating income (loss)		93			(3,667)
Finance income		618			1,424
Finance expenses		428			17
Income (loss) before income taxes		283			(2,260)
Taxes on income		172			171
Net income (loss) and total comprehensive income (loss)	$	111	$	(2,431)
Basic and diluted net income (loss) per share	$	0.00		$	(0.07)

BRAINSWAY LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

U.S. dollars in thousands

For the three months ended

March 31,

		2024			2023
		(Unaudited)
Cash flows from operating activities:
Total comprehensive income (loss)	$	111	$	(2,431)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Adjustments to profit or loss items:
Depreciation and amortization		62			93
Depreciation of leased systems		255			233
Impairments and disposals		251			246
Finance expenses, net		(190)			(1,407)
Cost of share based payment		305			(51)
Income taxes		172			171
Total adjustments to reconcile income (loss)		855			(715)
Changes in asset and liability items:
Increase in trade receivables		(574)			(493)
Increase in inventory		(53)			(928)
Decrease (increase) in other current assets		264			(222)
Increase (decrease) in trade payables		150			(535)
Increase (decrease) in other accounts payable		(365)			447
Increase in deferred revenues and other liabilities		1,924			700
Total changes in asset and liability		1,346			(1,031)
Cash paid and received during the period for:
Interest paid		(11)			(31)
Interest received		877			674
Income taxes paid		-			(7)
Total cash paid and received during the period		866			636
Net cash provided by (used in) operating activities:		3,178			(3,541)
Cash flows from investing activities:
Proceeds from (purchase of) property and equipment and system components, net		(724)			66
Proceeds from sub-lease asset		20			-
Investment in long-term deposits, net		(6)			(2)
Net cash provided by (used in) investing activities		(710)			64
Cash flows from financing activities:
Repayment of liability in respect of research and development grants		(532)			-
Repayment of lease liability		(57)			(66)
Net cash used in financing activities		(589)			(66)
Exchange rate differences on cash and cash equivalents		(17)			13
Increase (decrease) in cash and cash equivalents		1,862			(3,530)
Cash and cash equivalents at the beginning of the period		10,520			47,581
Cash and cash equivalents at the end of the period	$	12,382	$	44,051
(a) Significant non cash transactions:
Recognition of new lease liability and right-of-use		72			24
Termination of lease liability and right-of-use		-			11

BRAINSWAY LTD.

A reconciliation of Adjusted EBITDA to net income (loss), the most directly comparable IFRS measure, is set forth below:

U.S. dollars in thousands (except share and per share data)

Net income (loss) and total comprehensive income (loss)

Finance income, net

Income taxes

Depreciation and amortization

Depreciation of leased systems

Cost of share based payment

Restructuring and litigation Cost

Adjusted EBITDA

For the three months ended March 31,

2024 2023

(Unaudited)

$	111	$	(2,431)
	(190)		(1,407)
	172		171
	62		93
	255		233
	305		(51)
	-		535
$	715	$	(2,857)