Myomo (MYO) H.C. Wainwright 28th Annual Global Investment Conference summary

Market overview and business model

• Over 3 million people in the U.S. live with chronic arm paralysis, with 800,000 new strokes annually and 250,000 left with lasting impairment each year.

• The company has transitioned from direct-to-consumer marketing to a mix of DTC and recurring patient referrals, now with over 300 rehab hospitals referring patients.

• Medicare coverage secured two years ago doubled revenues and enabled broader insurance contracts and clinical adoption.

• The MyoPro myoelectric orthosis is used by nearly 4,000 patients, primarily in the U.S. and Germany, with 80–100 units delivered monthly.

• Referral-based patients are higher quality, more recently injured, and have better insurance coverage, improving conversion rates.

Channel expansion and growth drivers

• The MyoConnect referral program yields a 10x higher qualification rate than DTC leads and is key to approaching cash flow breakeven at $15M revenue per quarter.

• Over 15–20% of referral sites have made multiple patient referrals, with a target to reach 1,000 referral locations in the coming years.

• The U.S. O&P channel, though a small revenue share, is growing over 100% year-over-year, supported by partnerships with major clinic networks and Ottobock.

• The O&P channel offers high contribution margins, with device ASPs over $68,000 and favorable economics for both manufacturer and clinics.

• Marketing cost per pipeline ad is expected to decrease as referral sources expand and advertising spend is reduced.

Financial performance and operational efficiency

• Gross margin improved from 63% to 72% year-over-year, driven by higher ASPs, CMS price increases, material cost savings, and increased volume.

• Further margin gains are expected from insourcing 3D printing and continued volume growth.

• Cash burn reduced to $7M in 2026 from $18M in 2025, with $13M cash on hand and improved productivity through AI and cost controls.