CAMBRIDGE, Mass.--(BUSINESS WIRE)--Myomo, Inc. (NYSE American: MYO), a wearable medical robotics company that offers increased functionality for those suffering from neurological disorders and upper limb paralysis, today announced its financial results for the first quarter ended March 31, 2019.

Recent Highlights and Accomplishments:

• Revenues for the first quarter 2019 of $830,000 increased by 165% versus the comparable period of 2018. Gross profit for the quarter increased by 219% compared to the first quarter of 2018 and gross margin expanded to 79% from 65%.
• The Company’s reimbursement pipeline contained 354 MyoPro units as of March 31, 2019, up 16% from 306 units at the end of the fourth quarter 2018. In the first quarter 2019, the Company sold 35 units.
• The Company expanded its US distribution from 42 to all 50 of the top metro areas through the addition of O&P partners and entered into new agreements with O&P providers with multiple locations in Italy, Chile, and Australia.

“The strong growth in first quarter revenues in 2019 is the result of our national rollout launched in 2018, which consisted of online marketing and broader metro area coverage with O&P clinical partners,” said Paul R. Gudonis, Chairman and CEO of Myomo. “Our reimbursement pipeline continues to grow, which is expected to result in significant revenue growth in 2019.”

Higher revenue for the three months ended March 31, 2019 reflects both higher volume and a higher average unit selling price compared to the three months ended March 31, 2018.

Gross margin was 79% for the three months ended March 31, 2019. Gross margin increased compared to the 65% for the three months ended March 31, 2018, respectively due to higher average selling price on devices directly sold to patients.

Operating expenses were $3,337,000, an increase of $729,000, or 28%, during the three months ended March 31, 2019, versus the comparable period of 2018. The increase in operating expenses primarily reflects the addition of personnel in the second half of 2018 in support of the Company’s expansion of its sales, marketing and reimbursement functions.

The Company’s net loss for the quarter ended March 31, 2019 was $2,598,000, or ($0.17) per share, compared with a net loss of $2,345,000, or ($0.20) per share for the corresponding period of 2018.

Adjusted EBITDA1 for the quarter ended March 31, 2019 was a loss of $2,454,000, compared with a loss of $2,052,000 for the corresponding period in 2018. A reconciliation of GAAP net loss to this non-GAAP financial measure has been provided in the financial statement tables included in this press release. An explanation of this measure is also included below under the heading “Non-GAAP Financial Measures.”

Liquidity

Cash on hand at March 31, 2019 was $9,234,000, compared to $6,541,000 at December 31, 2018. On February 12, 2019, the Company successfully completed a follow-on public offering of its common stock, generating net proceeds of approximately $5,600,000, which the Company continues to expect will provide sufficient liquidity to fund its operations through 2019.

About Myomo

Myomo, Inc. is a wearable medical robotics company that offers expanded mobility for those suffering from neurological disorders and upper limb paralysis. Myomo develops and markets the MyoPro product line. MyoPro is a powered upper limb orthosis designed to support the arm and restore function to the weakened or paralyzed arms of patients suffering from CVA stroke, brachial plexus injury, traumatic brain or spinal cord injury, ALS or other neuromuscular disease or injury. It is currently the only marketed device that, sensing a patient’s own EMG signals through non-invasive sensors on the arm, can restore an individual’s ability to perform activities of daily living, including feeding themselves, carrying objects and doing household tasks. Many are able to return to work, live independently and reduce their cost of care. Myomo is headquartered in Cambridge, Massachusetts, with sales and clinical professionals across the U.S. For more information, please visit www.myomo.com.