On May 15, 2020, Dynatronics Corporation (the “Company”) received written notice (“Letter”) from the Listing Qualifications Department of the Nasdaq Stock Market LLC (“Nasdaq”) informing the Company that the closing bid price of its common stock (the “Common Stock”) for the last 30 consecutive business days prior to the date of the Letter failed to comply with the $1.00 per share minimum bid price required for continued listing on The Nasdaq Capital Market under Nasdaq Listing Rule 5550(a)(2). The Letter has no immediate effect on the Common Stock listing or trading on Nasdaq.

The Letter indicated that, due to extraordinary and unprecedented turmoil in U.S. and world financial markets, Nasdaq has determined to toll the compliance period for the minimum bid price requirement under Rule 5450(a)(1) through June30,2020. As a result, the Company will be provided with a compliance period of 180 calendar days beginning July 1, 2020, and the new date by which the Company has to gain compliance with the minimum bid price requirement is December 28, 2020 (the “Compliance Date”) to Nasdaq Listing Rule 5810(c)(3)(A). If at any time before the Compliance Date, the closing bid price of the Common Stock is at least $1.00 per share for a minimum of ten consecutive business days, Nasdaq will provide written notification that the Company has achieved compliance with the minimum bid requirement.

If the Company does not regain compliance by the Compliance Date, it may be eligible for an additional grace period, provided it meets the applicable market value of publicly held shares requirement for continued listing, and all other applicable Nasdaq standards for initial listing on the Nasdaq Capital Market, with the exception of bid price.

The Company intends to actively monitor the bid price for its common stock between now and the Compliance Date, and will consider available options to resolve the deficiency and regain compliance with Nasdaq’s minimum bid price requirement but has not yet determined to take any other action in response to the notice.

About Dynatronics Corporation (NASDAQ:DYNT)

Dynatronics Corporation is a manufacturer and distributor of physical medicine products. The Company’s products include a line of medical equipment for physical medicine applications, including therapy devices, medical supplies and soft goods, treatment tables and rehabilitation equipment. Its products are used by physical therapists, chiropractors, sports medicine practitioners, podiatrists, physicians and other physical medicine professionals. Its physical medicine products include therapeutic modalities, such as Dynatron Solaris, including electrotherapy and thermal therapy, and 25 Series, including electrotherapy and ultrasound; manufactured capital products, including traction systems and wood furniture; manufactured supplies, including cold packs, straps, wedges, bolsters and mats; distributed capital products, including hydrotherapy, weight training equipment and pilates, and distributed supplies, including clinical accessories, sports med and taping products, lotions and gels.