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Jun 30, 2024

Myomo Q2 2024 Earnings Report

Reported record revenue and MyoPro authorizations and orders.

Key Takeaways

Myomo reported a record revenue of $7.5 million for Q2 2024, up 26% compared to Q2 2023. The company also achieved record 213 MyoPro authorizations and orders, and added a record 550 patients to the pipeline, ending the quarter with 1,179 patients in the pipeline.

Product revenue was $7.5 million, up 77%.

Orders and insurance authorizations were received for 213 MyoPro units, up 70%.

550 new candidates were added to the patient pipeline, up 35%.

Gross margin was 70.8%, down 100 basis points, with gross margin on product revenues up 1,030 basis points.

Total Revenue
$7.52M
Previous year: $5.96M
+26.2%
EPS
-$0.03
Previous year: -$0.04
-25.0%
Gross Margin
70.8%
Previous year: 71.8%
-1.4%
Gross Profit
$5.33M
Previous year: $4.28M
+24.4%
Cash and Equivalents
$5.85M
Previous year: $6.01M
-2.7%
Free Cash Flow
-$2.04M
Previous year: -$300K
+577.3%
Total Assets
$16.2M
Previous year: $13.3M
+21.8%

Myomo

Myomo

Forward Guidance

Myomo expects third quarter revenue to be in the range of $8.0 million to $8.5 million. The company continues to believe its full year revenue expectation of $28 million to $30 million is achievable.

Positive Outlook

  • Backlog entering the third quarter is slightly higher than the backlog entering the second quarter.
  • Velocity of revenue recognition is expected to be somewhat higher as the company is now recording revenue from Medicare Part B patients at the time of product delivery.
  • Full year revenue expectation of $28 million to $30 million is achievable.
  • Required clinical, reimbursement and manufacturing capacity is in place.
  • Efforts to position the company to achieve revenue of $10 million in the fourth quarter and for continued growth in 2025.

Challenges Ahead

  • Increasing advertising spending to educate prospective patients in the second half of the year may impact achieving operating cash flow breakeven in the fourth quarter.
  • Ability to obtain sufficient reimbursement from third-party payers for products.
  • Ability to navigate factors both within and outside control to grow revenues sufficiently to achieve operating cash flow breakeven on a quarterly basis.
  • Revenue concentration with Medicare and with a particular insurance payer.
  • General market, economic, environmental and social factors that may affect the evaluation, fitting, delivery and sale of products to patients.