Myomo Inc.

Good day and welcome to the MiOMO first quarter 2026 financial results conference call. All participants will be in listen only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there'll be an opportunity to ask questions. To ask a question, you may press star then one on your touchtone phone. To withdraw your question, please press star then two. Please note that this event is being recorded. I would now like to turn the conference over to Bruce Voss of Alliance Advisors. Please go ahead.

Bruce Voss Thank you, and good afternoon, everybody. This is Bruce Voss with Alliance Advisors IR. Welcome to the MIOMO First Quarter 2026 Financial Results Conference Call. With me on today's call are MIOMO's Chief Executive Officer, Paul Goudonis, and Chief Financial Officer, Dave Henry. Before we begin, I'd like to caution listeners that statements made during this call by management other than historical facts are forward-looking statements. The words anticipate, believe, estimate, expect, intend, guidance, outlook, confidence, target, project, and other similar expressions are typically used to identify such forward-looking statements. These forward-looking statements are not guarantees of future performance and may involve and are subject to risks, uncertainties, and other factors that may affect MIOMO's business, financial condition, and operating results. These risks, uncertainties, and other factors are discussed in MIOMO's filings with the Securities and Exchange Commission. Actual outcomes and results may differ materially from what's expressed in or implied by these forward-looking statements. Furthermore, except as required by law, MIOMO undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date of this call today, May 7, 2026. It's now my pleasure to turn the call over to MIOMO CEO, Paul Goudonis. Paul, please go ahead.

Thanks, Bruce. Well, good afternoon, and thank you all for joining us today. We remain very excited about the opportunity in front of us to improve lives and grow our company. Chronic upper limb paralysis is an underserved medical condition, and each year stroke leaves hundreds of thousands of Americans with lasting arm impairments. When you add in spinal cord injury, traumatic brain injury, and brachial plexus injuries, the addressable U.S. population reaches into the millions and globally millions more. For most of these patients, The standard of care has been a passive brace, ongoing physical therapy with diminishing returns, or resignation to permanent loss of function. AmioPro is the only commercially available powered arm orthosis in the U.S. that uses non-invasive EMG sensors to detect the patient's own muscle signals and amplify them into functional movement, thereby permitting paralyzed individuals to feed themselves, carry objects, return to work, and reclaim independence at home. That's not an incremental improvement on existing care. It's really an entirely different category of device, and Myoma owns it. Let me start with a quick real-life story. Our staff just helped Mike, who lost the use of his right arm due to a brachial plexus injury from a motorcycle accident when he was just 17 years old. And now, some 50 years later, he's using both arms again with the help of a MyoPro. He's carrying objects safely around his home, and he's doing household tasks such as mowing his lawn. Our MyoPro has improved the quality of life for Mike and for his wife, reducing the burden of care from his impairment, and that's what this is all about. Several positive factors are converging right now to drive MyoMo's success. Reimbursement, distribution, and technology. Reimbursement by CMS in a new Medicare Part B benefit category with hip-fix codes for the MyoPro has opened access to a Medicare population of tens of millions, and remove the single largest historical barrier to adoption. New clinical studies and in-network contracts with a growing number of commercial payers have significantly increased market access for patients covered by these plans. We're transitioning our go-to-market strategy with the distribution system based on recurring patient sources from rehab hospitals and O&P providers, to reduce our customer acquisition costs and to build the foundation for accelerated growth going forward. And our investments in technology are increasing the value to patients and clinicians while reducing our operating costs as we scale the business to sustain profitability. Earlier this year, we established four success pillars for 2026. Recurring revenue, market access, operating leverage, and innovation. With strong progress against each first quarter, revenue and profitability exceeded our targets. We measure our progress against these four success pillars, so let's review each of them. Number one, the shift to recurring patient sources. We launched the MyoConnect program in mid-2025 to encourage therapists and physicians at rehab hospitals, stroke clinics, and other healthcare facilities to refer prospective MyoPro patients to us or to a local ONP partner. These channels not only provide recurring referrals, but they also carry lower acquisition costs and higher conversion rates versus direct-to-patient marketing. With Medicare coverage in place and the new MyoPro 2X introduced last year, it was the right time to bring the benefits of the MyoPro to the incidence population of patients who are currently in outpatient therapy, expanding our target market beyond the individuals with chronic arm paralysis and the large prevalence populations. We reoriented our field clinical team, added sales specialists, and conducted numerous in-service educational sessions at these rehab locations. I'm pleased to report that now more than 150 rehab facilities are now referring candidates to us. The O&P channel is another source of recurring referrals, and our O&P revenue grew 79% year over year as we trained and certified additional CPOs and jointly implemented outreach programs. Earlier this week, we announced that we've been working with Ottobock's U.S. clinical operations to certify them as MyoPro Centers of Excellence, and we recently conducted training for over 20 clinical specialists from around the country as part of their national rollout. Ottobock is the world's largest provider of O&P products and clinical services, and we're very pleased to be working so closely with them. In Germany, we have more than 100 O&P practices working with us to provide the MyoPro to their patients, The insurance environment in Germany is highly favorable, and our international revenue has reached a Q1 record of approximately $2 million. We continue to expand our sales and clinical staff in Germany, and later this month we'll be attending the OT World Conference in Leipzig to engage with additional O&P clinics. This conference is the largest O&P event in Europe. As a result of these efforts, we're tracking extremely well against our targets at consistently increasing revenue from recurring patient sources. Pillar number two, that's the second success pillar, is to increase market access for patients by signing additional payer contracts. As discussed in March, we signed a national arrangement with Elevance, which manages a number of Anthem Blue Cross Blue Shield plans in 27 states, including large ones like Texas, Ohio, Virginia, and California. We've been entering into these payer contracts to secure myoma as an in-network provider with case-by-case coverage determinations and an agreed-upon price for the MyoPro. As a result, we're now seeing a significantly higher authorization rate from these payers' Medicare Advantage and commercial plans. And over the next several months, I expect we'll sign additional state contracts under the ELEVEN's national arrangements. And since we secured Medicare coverage in April of 2024 and added various commercial and Medicare Advantage contracts, We've gone from just 9 million covered lives to 158 million lives currently. Puller number three is to demonstrate operating leverage and the path to profitability. We demonstrated early operating leverage in the first quarter with revenue up 3% while OpEx was down 1% year over year. We also expanded gross margin by 100 basis points. And the combination of these accomplishments resulted in a 20% improvement in adjusted EBITDA. The pillar four is to continue to invest in product development and clinical research. At the end of March, we launched a new mobile app, which allows clinicians, patients, and caregivers to use their smartphones to adjust the MyoPro device settings, display their muscle movements and EMD signals, and collect usage data that can be used by therapists and physicians. The app also eliminates the need to ship a laptop with our proprietary software to each user, reducing our MyoPro material cost by about 10%. you'll see this benefit flowing through the gross margin beginning in the second quarter. Another R&D investment is a randomized control trial being conducted by the University of Utah Rehabilitation Hospital. After a successful pilot last year, the university's IRB approved the study, which will compare the outcomes of users with the MyoPro against those who receive the current standard of care of occupational therapy. We've enrolled 18 of the 50 subjects to date, and when completed, and assuming similar results to our pilot last year, this clinical evidence is expected to support increased reimbursement of the MyoPro. Finally, development of the MyoPro3 Next Generation platform is progressing. We're focused on enhanced functionality and increased processing power to support future software-driven innovations. So progress on each of our four success pillars is tracking with our targets, and we're excited to keep on delivering. On the marketing front, we added a new marketing executive and engaged a new digital ad agency in Q1. As a result, we've also refined our marketing strategy with a new approach to digital channels and data-driven targeting. We're also expanding the use of social media to engage directly with healthcare providers and to introduce the MyoPro in geographies with payer contracts. These initiatives are already improving lead quality, which is resulting in more pipeline ads for lead generated and reducing patient acquisition costs. We expect further efficiency gains as these programs scale throughout 2026. With that overview, I'll turn the call over to our CFO, Dave Henry, to walk through the financial results in more detail.