MYOS RENS Technology CEO Joseph Mannello Issues Letter to Shareholders Outlining First Half 2019 Accomplishments and Opportunities for Future Growth
CEDAR KNOLLS, N.J., Aug. 8, 2019 /PRNewswire/ -- MYOS RENS Technology Inc. ("MYOS" or "the Company") (NASDAQ: MYOS), an advanced nutrition company and the owner of Fortetropin®, a proprietary bioactive composition derived from fertilized egg yolk that helps build lean muscle, issued a letter to its shareholders from Chief Executive Officer Joseph Mannello.
Dear Fellow Shareholders,
Thank you for your continued support of MYOS. I hope that this letter will help underline the incredible potential that I firmly believe this company is on the verge of realizing.
Shareholders should be very encouraged with our results and accomplishments in second quarter and the first half of 2019. We continue to make significant progress on the important drivers of ongoing and future growth for our business, raising awareness and market acceptance of our core brands, while building our scientific portfolio for Fortetropin through clinical trials. This progress, in conjunction with the accomplishments and achievements that we made in 2018, fueled a 109% increase in revenues for the first half of 2019 compared to the first half of 2018.
Last year, we launched our Fortetropin-based canine product, Myos Canine Muscle Formula® ("Myos Canine"), based on the encouragement that we received from veterinarians and countless pet parents who gave Fortetropin to their aging or disabled pets and had observed positive results. We initiated a clinical study with Kansas State University College of Veterinary Medicine, to examine the impact of Fortetropin on reducing muscle atrophy in dogs after tibial-plateau-leveling osteotomy (TPLO) surgery. The results from the study showed that dogs that received Fortetropin experienced reduced muscle atrophy and could exert greater force with their operated limb relative to dogs that received a macronutrient-matched placebo. At the same time, dogs in the Fortetropin group maintained stable levels of myostatin following surgery while an increase in myostatin levels of ~10% was noted in dogs that received a macronutrient-matched placebo.
Since the launch of Myos Canine, we have experienced double-digit revenue growth every quarter, including 46% growth in the second quarter of 2019. We are thrilled with this performance but believe that we've only scratched the surface of the potential for Myos Canine Muscle Formula. To date, the growth in revenues have largely been fueled by the amazing testimonials that we received and, continue to receive, from dog owners. The traffic to our myospet.com website and social media channels has consistently grown every month and our presence on Amazon has accelerated our sales momentum.
We've always said that the key to building the Myos Canine brand and maintaining its long-term sustainability will depend on its acceptance by veterinarians, because while humans do not always follow their doctor's orders, pet owners follow their vet's instructions to the letter. After we announced the positive results of our Kansas State study, we began reaching out to veterinarians with our data, sending samples of our product and engaging them with our scientific team. The benefits of this outreach has translated to a sizable amount of inquiries that we receive weekly from veterinarians. To build on this strategy and in line with our commitment towards further building the scientific portfolio that supports Fortetropin, we sponsored another study at Kansas State University College of Veterinary Medicine. This study will evaluate the impact of Fortetropin on the quality of life and activity in geriatric dogs. Thus far, 17 of the 40 dogs for the study have been recruited as of the end of the second quarter. We believe that there is potential for MYOS Canine Muscle Formula to one day become a mainstay in veterinary practices across the country.
In April of 2018, we launched Yolked muscle health powder, our all-natural, NSF Certified for Sport® nutrition product made with Fortetropin, that is marketed specifically to competitive athletes. We are making steady headway in what is a highly competitive marketplace. Customers continue to enthusiastically respond to Yolked and we have our eyes firmly fixed on our mission to change the way people think about the importance of muscle health.
Additionally, our marketing partner IMG has facilitated relationships on MYOS' behalf with athletic departments at over 12 Division I universities. We are in constant contact with the trainers and nutritionists at these universities, providing ongoing education on the Yolked product and strategizing the best way for the product to help their student-athletes. This fall, Yolked will be a key part of the athletic training programs at three partner schools: Boston College, Marshall University, and Brown University. With the cooperation of each school's training staff, we hope to show that Yolked not only helps make athletes stronger, but also helps in recovery. In addition to these three universities, we are deep in discussions with several other universities.
Throughout the Spring 2019 basketball season, Yolked was featured prominently on each school's TV-visible courtside basketball signage, reaching millions of fans via national TV coverage. In addition, Yolked was featured on each athletic department's official website and official social media channels and was featured as a sponsor of nightly on-court fan contests and t-shirt toss promotions. These marketing efforts were designed to introduce Yolked and drive brand awareness among millions of college sports fans, a very affluent, active, and loyal audience segment.
We enacted national expansion for Yolked with our agreement with The Vitamin Shoppe, which is selling Yolked in its 775 store locations across the U.S. and online at vitaminshoppe.com. In addition, our distribution agreement with National Sales Associates will enable Yolked to be sold through their national sales network of eight regional offices with over 160 associates.
From a marketing perspective, we want Yolked to represent much more than a nutritionally sound muscle health product. We want to create an emotional connection with our target consumers by telling stories about a commitment to hard work, perseverance and persistence, humility and professionalism in our workouts, in our games and in our daily lives. Those attributes are exemplified with our most recent endorsement partner, Carli Lloyd. Carli is a two-time Olympic gold medalist, two-time FIFA Women's Player of the Year, three-time Olympian, and now a two-time FIFA Women's World Cup champion in her 4th appearance as a member of the team. Carli joins NBA superstar Aaron Gordon of the Orlando Magic as one of our endorsement partners forming Team Yolked®. We have rolled out additional footage of the ads featuring Aaron throughout social media and will be meeting with Carli Lloyd soon to prepare her campaign.
As I have said since becoming CEO, the success of our products is driven by our ability to demonstrate clinical benefits of our key ingredient Fortetropin in order to fully leverage its capabilities. We were delighted to announce positive top-line results from our randomized, double-blind, placebo-controlled study that was recently completed at the University of California, Berkeley and the University of Arkansas for Medical Sciences, where we evaluated the impact of Fortetropin on the rate of muscle protein synthesis in older men and women between 60-75 years of age. This study showed that Fortetropin significantly increased the fractional synthetic rate of muscle proteins relative to placebo. The Principal Investigator, Dr. William Evans at the University of California, Berkeley is recognized as a key opinion leader in the field of muscle health and sarcopenia. Dr. Evans commented, "Fortetropin clearly has a robust effect on the rate of muscle protein synthesis in older adults. It is rare for a nutrition product to show such a consistent and positive effect."
Our studies support our product claims, expand our commercial footprint, and with that, create shareholder value.
All of these efforts lead to the goal of building and growing shareholder value. While I am very pleased with the overall progress of our brands' growth and the expansion of our patents and clinical study data, we have only scratched the surface of the opportunities for MYOS.
So, in closing, I want to assure you that the entire team here at MYOS is focused and working hard to execute our plan to advance the field of muscle health through the development of innovative, advanced nutrition products that are safe, natural, effective and backed by rigorous scientific research and, which, we believe will create tremendous value for all of us. I look forward to sharing updates with you next quarter.
Chief Executive Officer
MYOS RENS Technology
About MYOS RENS Technology Inc.
MYOS RENS Technology Inc. (MYOS), "The Muscle Company®", is a Cedar Knolls, NJ-based advanced nutrition company that develops and markets products that improve muscle health and performance. MYOS is the owner of Fortetropin®, a fertilized egg yolk-based product manufactured via a proprietary process to retain and optimize its biological activity. Fortetropin has been clinically shown to increase muscle size and lean body mass in conjunction with resistance training. MYOS believes Fortetropin has the potential to redefine existing standards of physical health and wellness. For more information, please visit www.myosrens.com.
Any statements in this release that are not historical facts are forward-looking statements. Actual results may differ materially from those projected or implied in any forward-looking statements. Such statements involve risks and uncertainties, including but not limited to those relating to product and customer demand, market acceptance of our products, the ability to create new products through research and development, the successful results of strategic initiatives, the success of our products, including Qurr®, Yolked® and MYOS Canine Muscle Formula® , the success of our research and development, the results of the clinical evaluation of Fortetropin® and its effects, the ability to enter into new partnership opportunities and the success of our existing partnerships, the ability to generate revenue and cash flow from sales of our products, the ability to increase our revenue and gross profit margins, the ability to achieve a sustainable, profitable business, the effect of economic conditions, the ability to protect our intellectual property rights, competition from other providers and products, the continued listing of our securities on the Nasdaq Stock Market, risks in product development, our ability to raise capital to fund continuing operations, and other factors discussed from time to time in our filings with the Securities and Exchange Commission. We undertake no obligation to update or revise any forward-looking statement for events or circumstances after the date on which such statement is made except as required by law.
These statements have not been evaluated by the Food and Drug Administration. Our products are not intended to diagnose, treat, cure or prevent any disease.
Porter LeVay & Rose
Matthew Abenante, IRC, SVP
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SOURCE MYOS RENS Technology Inc.
Released August 8, 2019