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Mar 31, 2021
Myomo Q1 2021 Earnings Report
Myomo's Q1 2021 financial results were announced, featuring a significant revenue increase and improved gross margin.
Key Takeaways
Myomo reported a strong first quarter with revenue up 132% year-over-year to $2.3 million and a gross margin of 73%, which is up 500 basis points. The company saw a 14% decrease in cash used in operations, amounting to $2.1 million. They also highlighted progress in international markets and an increase in their reimbursement pipeline.
Revenue increased by 132% to $2.3 million compared to the prior year.
Gross margin improved to 73%, up 500 basis points from the previous year.
Reimbursement pipeline grew by 22%, consisting of 940 MyoPro units.
Operating loss narrowed to $2.9 million from $3.4 million year over year.
Myomo
Myomo
Forward Guidance
Myomo anticipates a similar number of pipeline additions in Q2 2021 as in Q1, expecting this to translate into increased insurance authorizations. They project year-over-year revenue growth in the second quarter to align with the growth rate seen in the first quarter.
Positive Outlook
- Expected pipeline additions in Q2 to be approximately equal to Q1.
- Anticipated growth in insurance authorizations in Q2.
- Projected year-over-year revenue growth in Q2 in line with Q1.
- Existing cash is sufficient to fund operations well into 2022.
- Continued progress in international markets.
Challenges Ahead
- Cash used by operations is expected to increase in the second quarter of 2021 due to annual incentive compensation payments.
- The direct and indirect impact of the novel coronavirus (COVID-19) on our business and operations, including fabrication and delivery, sales, patient consultations, supply chain, manufacturing, insurance reimbursements and employees.
- Our ability to continue normal operations and patient interactions in order to cast, deliver and fit our custom-fabricated device.
- Our marketing and commercialization efforts.
- Our ability to achieve reimbursement from third-party payers for our products.