{"id":756073,"date":"2023-05-08T16:13:34","date_gmt":"2023-05-08T20:13:34","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/progyny-inc-announces-first-quarter-2023-results\/"},"modified":"2023-05-08T16:13:34","modified_gmt":"2023-05-08T20:13:34","slug":"progyny-inc-announces-first-quarter-2023-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/progyny-inc-announces-first-quarter-2023-results\/","title":{"rendered":"Progyny, Inc. Announces First Quarter 2023 Results"},"content":{"rendered":"
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Reports Record Quarterly Revenue of $258.4 Million, Reflecting 50% Growth Over the Prior Year Period
Raises Full Year Revenue and Earnings Guidance
Strong Demand Continues for Family Building Solutions as Affirmed by Healthy Utilization, Early Sales Activity and New Partnerships<\/p>\n

NEW YORK, May 08, 2023 (GLOBE NEWSWIRE) — Progyny, Inc. (Nasdaq: PGNY) (\u201cProgyny\u201d or the \u201cCompany\u201d), a leading benefits management company specializing in fertility and family building benefits solutions, today announced its financial results for the three-month period ended March\u00a031, 2023 (\u201cthe first quarter of 2023\u201d) as compared to the three-month period ended March\u00a031, 2022 (\u201cthe first quarter of 2022\u201d or \u201cthe prior year period\u201d).<\/p>\n

\u201cWe’re pleased with our strong start to 2023, as the ongoing healthy demand for fertility and family building care helped us achieve our highest-ever quarterly revenue, gross profit and Adjusted EBITDA, while our continued focus on cash flow from operations has allowed us to generate our highest-ever first quarter cash flow for that metric,\u201d said Pete Anevski, Chief Executive Officer of Progyny.\u00a0 \u201cA recent report from the World Health Organization has revealed that the prevalence of infertility – which has long been recognized as a disease – continues to increase.\u00a0 Access to effective treatment for any disease is essential, and we believe fertility care should likewise be an essential benefit that’s available to everyone, given the profound impact it has on both employers and their employees.<\/p>\n

\u201cWith that critical dynamic as a backdrop, we believe that the 5.4 million covered lives we manage today represent just a fraction of our market opportunity.\u00a0 Although our selling season for 2024 launches is at its earliest stages, we are pleased that our sales and pipeline activity is favorable when compared to the record level of activity that we had a year ago.\u00a0 In addition, we’ve already had a healthy number of early commitments as well.\u00a0 We believe this positive activity, as well as our recently announced strategic relationships with Evernorth and Children’s Hospital Association, further validates both the strong demand in the market, as well as our leading position as the provider of choice for fertility and family building solutions.\u201d<\/p>\n

\u201cOur first quarter gross profit increased 78% and Adjusted EBITDA nearly doubled when compared to the prior year period, reflecting the impact of our strong revenue growth, as well as the efficiencies that we continue to realize throughout our cost structure, even as we rapidly scale the business,\u201d said Mark Livingston, Progyny\u2019s Chief Financial Officer. <\/p>\n

\n First<\/strong>
\n Quarter 2023 Highlights:<\/strong>
\n \n <\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n
(unaudited; in thousands, except per share amounts)<\/td>\n\n 1Q 2023<\/strong>
\n
\n
\n <\/strong>\n <\/td>\n		\u00a0<\/td>\n\u00a0<\/td>\n\n 1Q 2022<\/strong>
\n
\n
\n <\/strong>\n <\/td>\n		\u00a0<\/td>\n<\/tr>\n
Revenue<\/td>\n$<\/td>\n258,394<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n$<\/td>\n172,217<\/td>\n\u00a0<\/td>\n<\/tr>\n
\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n<\/tr>\n
Gross Profit<\/td>\n$<\/td>\n58,640<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n$<\/td>\n32,949<\/td>\n\u00a0<\/td>\n<\/tr>\n
\n Gross Margin<\/em>\n <\/td>\n\u00a0<\/td>\n\n 22.7<\/em>\n <\/td>\n\n %<\/em>\n <\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\n 19.1<\/em>\n <\/td>\n\n %<\/em>\n <\/td>\n<\/tr>\n
Net Income<\/td>\n$<\/td>\n17,678<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n$<\/td>\n4,971<\/td>\n\u00a0<\/td>\n<\/tr>\n
\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n<\/tr>\n
Net Income per Diluted Share1 <\/sup><\/td>\n$<\/td>\n0.18<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n$<\/td>\n0.05<\/td>\n\u00a0<\/td>\n<\/tr>\n
\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n<\/tr>\n
Adjusted EBITDA2<\/sup><\/td>\n$<\/td>\n46,360<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n$<\/td>\n24,806<\/td>\n\u00a0<\/td>\n<\/tr>\n
\n Adjusted EBITDA Margin<\/em>
\n
\n 2<\/em>
\n <\/sup>\n <\/td>\n		\u00a0<\/td>\n\n 17.9<\/em>\n <\/td>\n\n %<\/em>\n <\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\n 14.4<\/em>\n <\/td>\n\n %<\/em>\n <\/td>\n<\/tr>\n<\/table>\n

\n
\n 1<\/sup> Net income per diluted share reflects weighted-average shares outstanding as adjusted for potential dilutive securities, including options, restricted stock units, warrants to purchase common stock, and shares issuable under the employee stock purchase plan.
<\/sub>
\n
\n 2<\/sup>\u00a0Adjusted EBITDA and Adjusted EBITDA margin are financial measures that are not required by, or presented in accordance with, U.S. generally accepted accounting principles (“GAAP”). Please see Annex A of this press release for a reconciliation of Adjusted EBITDA to net income, the most directly comparable financial measure stated in accordance with GAAP for each of the periods presented. We calculate Adjusted EBITDA margin as Adjusted EBITDA divided by revenue.<\/sub>\n <\/p>\n

\n Financial Highlights<\/strong>\n <\/p>\n

Revenue was $258.4 million, a 50% increase as compared to the $172.2 million reported in the first quarter of 2022, primarily as a result of the increase in our number of clients and covered lives.<\/p>\n