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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.

Total Revenue
$2.34M
Previous year: $1.01M
+131.7%
EPS
-$0.57
Previous year: -$2.51
-77.3%
Gross Margin
73%
Previous year: 68.4%
+6.7%
Backlog Units
118
Previous year: 80
+47.5%
Gross Profit
$1.71M
Previous year: $689K
+148.5%
Cash and Equivalents
$17.4M
Previous year: $13.7M
+26.6%
Total Assets
$20.9M

Myomo

Myomo

Myomo Revenue by Segment

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.