Exhibit 99.1

Femasys Inc. Announces Financial Results for the First Quarter Ended
March 31, 2022

Furthers advancement of much-needed minimally invasive technologies for underserved areas of women’s health with pending commercialization of products, FemCerv® and FemCath™  expected by year-end
 
Continued progress with FemaSeed and FemBloc biomedical product candidates in development
 
ATLANTA, May 11, 2022 -- Femasys Inc. (NASDAQ: FEMY), a biomedical company aiming to meet women's needs worldwide by developing a suite of product candidates that include minimally invasive, in-office technologies for reproductive health, today announced financial results for the first quarter ended March 31, 2022.
 
“We are adding two approved products to our commercial portfolio as we broaden solutions to improve the continuum of healthcare options for women,” said Kathy Lee-Sepsick, founder, president and chief executive officer of Femasys. “FemCath, our selective delivery catheter, and FemCerv, our endocervical tissue sampler, are pending commercialization later this year, while supporting commercial efforts for our complementary FemVue® diagnostic product, the first device enabling an in-office ultrasound diagnosis, an alternative approach to assess the fallopian tubes for infertility. Our goal is to further grow this synergistic product portfolio by exploring partnering opportunities and with our product candidates, FemBloc for permanent birth control and FemaSeed for infertility treatment once approved, designed to address substantial, multi-billion-dollar global market segments.”
 
Ms. Lee-Sepsick added, “Women deserve safe options and the right to control their reproductive health and journey. In terms of the recent discussions regarding Roe v Wade, a ruling which occurred over 48 years ago, safety for women should be upheld as paramount. Safety and choice are core drivers in our mission to develop non-surgical reproductive health solutions for women around the world.”
 
First Quarter 2022 Highlights:  Augmented Leadership

•
In February, Dov Elefant was appointed to chief financial officer (CFO). Mr. Elefant has 25 years of financial management experience at both public and private biopharmaceutical companies. He brings a proven record as a senior level global financial expert with financial reporting, fundraising, and mergers and acquisitions expertise.

•
In January, Wendy Perrow joined as a new board member. Ms. Perrow brings decades of experience in the life sciences industry related to fundraising, global product launches and corporate strategy.

First Quarter 2022 and Recent Developments Related to Clinical Programs

•
Femasys expects to complete enrollment for its Stage 2 study of FemBloc in the third quarter of this year and file an IDE for a pivotal trial to support a PMA in the first quarter of next year.

•
An interim analysis for the FemaSeed LOCAL de novo pivotal trial is planned for the fourth quarter of this year. The trial is being conducted across centers in the United States and is expected to enroll up to 792 patients who are diagnosed as infertile. The primary endpoints of the study are to determine effectiveness (clinical pregnancy rate) and safety over a period of up to seven weeks. The Company expects to complete enrollment in the second quarter of next year.

Ms. Lee-Sepsick continued, “We are on target to meet our milestones later this year in terms of obtaining an interim read-out from our up to 792-patient LOCAL de novo trial for FemaSeed. Recently, we added a number of new sites to our LOCAL trial, and we are encouraged that the impact of the pandemic may be waning, which has broadly affected enrollment for many clinical trials in the industry. In addition, we are approaching enrollment completion for our FemBloc study, and are on track for submitting our Investigational Device Exemption (IDE) filing early next year for a pivotal trial, which will be used in support of a Pre-Market Authorization (PMA) application for this product candidate.”

First Quarter 2022 Financial Results

•
General and administrative expenses increased by $555,368, or 62.3%, to $1,447,355 for the three months ended March 31, 2022 from $891,987 for the three months ended March 31, 2021. The increase was largely due to various additional costs associated with being a public company, including salaries and related personnel costs due to an increase in headcount, facility, and other allocated overhead costs mainly for additional directors and officers (D&O) insurance, and increased professional costs for legal and accounting.
 
•
Research and development expenses increased by $426,041 or 42.8%, to $1,421,063 for the three months ended March 31, 2022 from $995,022 for the three months ended March 31, 2021. The net increase of $426,041 largely consists of the $88,245 increase in compensation and related personnel costs primarily due to an increase in headcount, an increase of $270,497 in clinical-related costs associated with our clinical trials, and an increase of $50,707 in professional and outside consultant costs which are largely attributable to additional consulting costs to support the Company’s clinical trials.
 
•
Sales of the Company’s FemVue® product decreased by $8,370, or 2.5%, to $321,405 for the three months ended March 31, 2022 from $329,775 for the same period last year. The $8,370 decrease was largely attributable to the 4.1% decrease in U.S. units sold for the three months ended March 31, 2022 as compared to the same period last year. International sales were $58,045 for both the three months ended March 31, 2022 and 2021.

•
Sales and marketing expenses increased by $46,044 or 201.8%, to $68,863 for the three months ended March 31, 2022 from $22,819 for the three months ended March 31, 2021 largely due to an increase in compensation and related personnel costs due to an increase in headcount and additional marketing costs associated with our FemVue social media campaign to increase our commercial presence.
 
Cost of sales and gross margin percentage
 
•
Cost of sales increased by $29,633, or 31.8%, to $122,675 for the three months ended March 31, 2022 from $93,042 for the three months ended March 31, 2021. The increase in cost of sales was largely due to increased labor and overhead costs applied to our cost of sales for the three months ended March 31, 2022 as compared to the same period last year mostly due to production personnel turnover as compared to the same period last year. As a result, gross margin percentage was 61.8% for the three months ended March 31, 2022 as compared to 71.8% for the three months ended March 31, 2021. The Company stated that it expects to see improvement in its gross margin in the future after investing in equipment and tooling that will replace and reduce labor in certain manufacturing processes as well as the costs of materials.
 
•
Net loss was $2,883,030, or $0.24 per basic and diluted share attributable to common stockholders, primarily reflecting the factors noted above, for the period ended March 31, 2022, compared to $1,830,232, or $1.84 per basic and diluted share attributable to common stockholders, for the same period ended March 31, 2021.

•
Cash and cash equivalents as of March 31, 2022 and December 31, 2021, were $21,767,634 and $24,783,029, respectively.

FEMASYS INC.
Balance Sheets
(unaudited)

Assets
  
March 31, 2022
    
December 31, 2021
  
Current assets:
            
Cash and cash equivalents
  
$
21,767,634
      
24,783,029
  
Accounts receivable, net
    
170,302
      
84,258
  
Inventory, net
    
223,008
      
208,270
  
Other current assets
    
567,300
      
555,853
  
Total current assets
    
22,728,244
      
25,631,410
  
Property and equipment, at cost:
                
Leasehold improvements
    
1,195,637
      
1,155,332
  
Office equipment
    
99,344
      
99,344
  
Furniture and fixtures
    
424,947
      
424,947
  
Machinery and equipment
    
2,287,126
      
2,261,793
  
Construction in progress
    
434,443
      
379,713
  
     
4,441,497
      
4,321,129
  
Less accumulated depreciation
    
(2,854,315
)
    
(2,722,117
)
Net property and equipment
    
1,587,182
      
1,599,012
  
Long-term assets:
                
Lease right-of-use assets, net
    
574,943
      
665,747
  
Intangible assets, net of accumulated amortization
    
17,663
      
25,093
  
Other long-term assets
    
625,418
      
655,418
  
Total long-term assets
    
1,218,024
      
1,346,258
  
                 
Total assets
  
$
25,533,450
      
28,576,680
  

FEMASYS INC.
Balance Sheets
(unaudited)

Liabilities and Stockholders’ Equity
  
March 31, 2022
    
December 31, 2021
  
Current liabilities:
            
Accounts payable
  
$
548,377
      
445,522
  
Accrued expenses
    
565,228
      
603,787
  
Clinical holdback - current portion
    
36,238
      
18,947
  
Note payable – current portion
    
45,666
      
181,123
  
Lease liabilities – current portion
    
400,620
      
406,674
  
Other – current
    
36,037
      
36,037
  
Total current liabilities
    
1,632,166
      
1,692,090
  
Long-term liabilities:
                
Clinical holdback - long-term portion
    
102,502
      
149,791
  
Lease liabilities – long-term portion
    
305,071
      
402,417
  
Total long-term liabilities
    
407,573
      
552,208
  
Total liabilities
    
2,039,739
      
2,244,298
  
Commitments and contingencies
                
Stockholders’ equity:
                
Common stock, $.001 par, 200,000,000 authorized,
11,921,388 shares issued and 11,804,165 outstanding as of
March 31, 2022 and December 31, 2021
    
11,921
      
11,921
  
Treasury stock, 117,223 shares
    
(60,000
)
    
(60,000
)
Warrants
    
702,492
      
702,492
  
Additional paid-in-capital
    
108,462,663
      
108,418,304
  
Accumulated deficit
    
(85,623,365
)
    
(82,740,335
)
Total stockholders’ equity
    
23,493,711
      
26,332,382
  
Total liabilities and stockholders' equity
  
$
25,533,450
      
28,576,680
  


FEMASYS INC.
Statements of Comprehensive Loss
(unaudited)

   
Three Months Ended March 31,
  
   
2022
    
2021
  
Sales
  
$
321,405
      
329,775
  
Cost of sales
    
122,675
      
93,042
  
Gross margin
    
198,730
      
236,733
  
Operating expenses:
                
Research and development
    
1,421,063
      
995,022
  
Sales and marketing
    
68,863
      
22,819
  
General and administrative
    
1,447,355
      
891,987
  
Depreciation and amortization
    
144,199
      
153,453
  
Total operating expenses
    
3,081,480
      
2,063,281
  
Loss from operations
    
(2,882,750
)
    
(1,826,548
)
Other income (expense):
                
Interest income, net
    
2,454
      
164
  
Interest expense
    
(2,734
)
    
(3,848
)
Other expense, net
    
(280
)
    
(3,684
)
Net loss
  
$
(2,883,030
)
    
(1,830,232
)
                 
Net loss attributable to common stockholders, basic and diluted
  
$
(2,883,030
)
    
(1,830,232
)
Net loss per share attributable to common stockholders, basic and diluted
  
$
(0.24
)
    
(1.84
)
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted
    
11,804,165
      
995,208
  
 
About Femasys

Femasys Inc. is a biomedical company aiming to meet women's needs worldwide by developing a suite of product candidates that include minimally invasive, in-office technologies for reproductive health. Its two lead product candidates are FemBloc® permanent birth control and FemaSeed® localized directional insemination for infertility. The Company’s product for fallopian tube assessment by ultrasound, FemVue®, is currently marketed in the United States. Femasys is also advancing FemCath™, an intrauterine catheter for selective evaluation of the fallopian tubes and FemCerv®, an endocervical tissue sampler that is the first product of the technology platform for tissue sampling intended to be marketed alongside its other women-specific medical products in the physician’s office setting.
 
Forward-Looking Statements
 
This press release contains forward-looking statements that are subject to substantial risks and uncertainties. Forward-looking statements can be identified by terms such as “may,” “will,” “should,” “expect,” “plan,” “anticipate,” “could,” “pending,” “intend,” “believe,” “potential” or “continue” or the negative of these terms or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements are based on our current expectations and are subject to inherent uncertainties, risks and assumptions, many of which are beyond our control, difficult to predict and could cause actual results to differ materially from what we expect. Further, certain forward-looking statements are based on assumptions as to future events that may not prove to be accurate. Factors that could cause actual results to differ include, among others: our ability to develop and advance our current product candidates and programs into, and successfully initiate, enroll and complete, clinical trials; the ability of our clinical trials to demonstrate safety and effectiveness of our product candidates and other positive results; estimates regarding the total addressable market for our product candidates; our business model and strategic plans for our products, technologies and business, including our implementation thereof; and those other risks and uncertainties described in the section titled "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2021 and our Form 10-Q for the quarter ended March 31, 2022, when filed with the Securities and Exchange Commission (the “SEC”), and other reports as filed with the SEC. Forward-looking statements contained in this press release are made as of this date, and Femasys undertakes no duty to update such information except as required under applicable law.
 
Contacts:
 
Investors
Chuck Padala
LifeSci Advisors, LLC
+1-917-741-7792
chuck@lifesciadvisors.com

Media
Zuri McClelland
LifeSci Communications
zmcclelland@lifescicomms.com

Femasys Inc.
Investor Contact:
IR@femasys.com

Media Contact:
Media@femasys.com