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Sep 30, 2021

Myomo Q3 2021 Earnings Report

Achieved record revenue with a 128% increase year-over-year, driven by growth in the direct billing channel and unit sales.

Key Takeaways

Myomo reported record revenue of $4.4 million for Q3 2021, a 128% increase compared to Q3 2020. The growth was driven by a record direct billing channel revenue and a 100% increase in revenue units. Gross margin improved to 75%, and backlog increased to 177 units.

Revenue reached a record $4.4 million, up 128% year-over-year.

Direct billing channel revenue was a record, representing 85% of total revenue.

Gross margin increased to 75%, a 1,900 basis point improvement.

Backlog grew to a record 177 units as of September 30, 2021.

Total Revenue
$4.38M
Previous year: $1.93M
+127.5%
EPS
-$0.36
Previous year: -$0.65
-44.6%
Gross Margin
75%
Previous year: 56%
+33.9%
Gross Profit
$3.27M
Previous year: $1.07M
+205.6%
Cash and Equivalents
$12.6M
Previous year: $13.3M
-5.3%
Free Cash Flow
-$2.26M
Total Assets
$17.5M

Myomo

Myomo

Forward Guidance

Myomo anticipates strong year-over-year revenue growth for 2021 but faces short-term challenges in Q4 due to subcontractor labor shortages and claim denials, making revenue forecasting difficult.

Positive Outlook

  • Expects strong year-over-year revenue growth for 2021.
  • Record number of units in backlog.
  • Subcontractor capacity has returned to nearly normal.
  • Focus on growing the pipeline.
  • Focus on growing the backlog.

Challenges Ahead

  • Temporary labor shortage at a subcontractor constrained capacity and deliveries in early Q4.
  • Difficulty in making up all delayed shipments by the end of the year.
  • Delayed shipments and associated revenue may be realized in early 2022.
  • Appealing a number of recent claim denials after pre-authorization and delivery to the patient.
  • Difficult to forecast revenue for the fourth quarter.