Myomo (MYO) Q4 2025 earnings summary

Executive summary

• Achieved 26% full-year revenue growth to $40.9 million, with Q4 revenue at $11.4 million, the highest quarter of the year.

• Record 241 MyoPro orders/authorizations in Q4, up sequentially, driven by O&P channel, MyoConnect referrals, and international growth.

• Recurring revenue sources grew to 42% of Q4 revenue, reflecting a strategic shift toward sustainable streams.

• Gross margin for Q4 was 68.6%, down from 71.4% a year ago, primarily due to lower ASP and higher warranty costs.

• Q4 operating loss was $2.8 million; net loss was $3.8 million ($0.09/share).

Financial highlights

• Q4 revenue of $11.4 million, up 13% sequentially but down 6% year-over-year due to lower units and ASP.

• Full-year gross margin at 65.7%, down from 71.2% in 2024, impacted by higher overhead and warranty costs.

• Adjusted EBITDA for Q4 was negative $1.9 million; full-year Adjusted EBITDA was negative $11.5 million.

• Q4 operating expenses: $10.6 million, up 19% year-over-year, mainly from higher sales and marketing.

• Cash and short-term investments at $18.4 million as of year-end; Q4 cash burn was $1.5 million.

Outlook and guidance

• 2026 revenue expected between $43 million and $46 million, with Q1 revenue seasonally lower at $9–$9.5 million.

• Gross margin expected to rise in 2026 due to higher volume, cost reductions, and a 2% Medicare price increase.

• Operating loss and cash burn projected to be cut by half in 2026, with OpEx growth limited to half the revenue growth rate.

• Focus on growing recurring revenue sources to approach 50% of total revenue by end of 2026.

• Efforts underway to reduce material costs by 20%, with full benefits expected in H2 2026.