Myomo, Inc. reported second-quarter 2025 revenue of $9.7 million, a 28% increase compared to Q2 2024, exceeding expectations. The company recognized revenue on 178 MyoPro units, up 13% year-over-year, with an average selling price of approximately $54,200. Medicare Part B patients represented 56% of Q2 2025 revenue.
Gross margin for Q2 2025 decreased to 62.7% from 70.8% in Q2 2024, primarily due to higher material and overhead spending. Operating expenses increased by 65% to $10.6 million, driven by higher payroll, increased engineering activity, and advertising expenditures of $2.2 million, up 162%. The cost per direct billing pipeline add increased by 89% to $2,926 due to lead quality issues.
The net loss for Q2 2025 was $4.6 million, or $0.11 per share, compared to a net loss of $1.1 million, or $0.03 per share, in Q2 2024. Cash used in operating activities was $8.9 million, significantly higher than $1.9 million in Q2 2024, partly due to $2.9 million in 2024 incentive compensation payments and a $1.5 million payment hold by a DME MAC.
The MyoPro patient pipeline increased 37% to 1,611 patients, with 816 medically-qualified patients added in Q2 2025. However, authorizations and orders decreased by 3% to 207 units, and backlog decreased by 18% to 230 patients. The company reduced its workforce by approximately 8% in July and eliminated certain spending on outside services, expecting to reduce cash expenditures by at least $2 million over the next 12 months.
Myomo updated its full-year 2025 revenue guidance to a range of $40 million to $42 million, down from the previous guidance of $50 million to $53 million. This new guidance represents a 23% to 29% increase versus 2024. The company expects Q3 2025 revenue to be in the range of $9.5 million to $10.0 million.
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