Progyny, Inc. has recently released its 10-K report, detailing its operations for the fiscal year ended December 31, 2023. Progyny is a benefits management company that specializes in fertility and family building benefits solutions for employers in the United States. The company's offerings include fertility benefits solutions, personalized concierge-style member support services, an integrated pharmacy benefits solution called Progyny Rx, and surrogacy and adoption reimbursement programs for employers.
In the fiscal year ended December 31, 2023, Progyny served over 450 employers with at least 1,000 covered lives, representing approximately 6.4 million employees and their partners. The company reported a Net Promoter Score (NPS) of +80 for both its fertility benefits solution and Progyny Rx. Progyny's Smart Cycle plan design, which includes 20 different treatment bundles, has contributed to healthier pregnancies, superior rates of pregnancy and live births, reduced rates of miscarriages, and limited personal and professional disruption for its members.
Progyny's revenue model includes both a utilization-based component and a population-based component. Clients pay for the fertility benefits and Progyny Rx solutions utilized by their employees, as well as a per employee per month fee for access to Progyny's services. The company's revenue is determined by the level and mix of utilization of its solutions by members and the number of members enrolled in clients' benefits plans.
As of December 31, 2023, Progyny served over 450 employers with at least 1,000 covered lives in the United States across more than 40 industries. The company's member base of approximately 6.4 million covered lives under contract represents a mid-single digit percent of its total market opportunity. Progyny plans to continue driving new client acquisition and increasing brand awareness and adoption with employers.
In addition to its client base, Progyny's key operational and business metrics include benefits utilization, which measures the rate at which members utilize their fertility benefits. The company's membership has grown from approximately 110,000 members in 2016 to 5.4 million members as of December 31, 2023.
The COVID-19 pandemic had a significant impact on Progyny's business, with restrictions and responses to the pandemic affecting how members used its services and accessed providers. The company continues to evaluate the potential impacts of COVID-19 on its business, results of operations, and liquidity.
The market has reacted to these announcements by moving the company's shares 5.1% to a price of $36.41. For more information, read the company's full 10-K submission here.
