Summary of Progyny Conference Call Company Overview - **Company**: Progyny - **Industry**: Healthcare Facilities, specifically women's health and family-building benefits - **Key Executives Present**: CEO Pete Anevski, CFO Mark Livingston, Chief Commercial Officer Katie Higgins, COO Melissa Cummings [1][2] Core Business and Services - Progyny provides comprehensive benefits related to women's health and family-building, including fertility, adoption, surrogacy, pregnancy, postpartum, and menopause [3][4] - The company emphasizes expert care and support for members, leading to significant revenue growth and profitability since its IPO in 2019 [4] Market Insights and Trends - The prevalence of infertility is reported as 1 in 5, highlighting a significant need for related benefits [5] - Employers are increasingly focused on providing benefits that meet employee needs while managing medical costs [5][6] - Progyny has demonstrated a 5% compounded increase in medical costs over three years, compared to 27% for the broader market, indicating effective cost management [6][7] Client Retention and Growth - Progyny added 900,000 lives in the 2025 selling season with nearly 100% client retention [8][12] - Clients are not only retaining benefits but also expanding them, with 30% of the book of business adding to their benefits [12] Diversification and Risk Management - The company has reduced its exposure to the tech industry, with the largest industry now representing only 15% of lives covered, down from 18% [17][18] - The largest client is projected to represent only a mid-single-digit percentage of revenue in 2026, mitigating individual client risk [18] New Product Launch: Progyny Select - Progyny Select is designed for small employers (100+ employees) and offers a fully insured, pooled risk model for infertility benefits [19][21] - This market represents an additional 50 million covered lives, expanding Progyny's addressable market significantly [20][24] New Services and Offerings - Recent service expansions include pregnancy, postpartum, parenting, leave and benefit navigation, and menopause, aimed at enhancing member experience [25][26] - The company is focused on integrating these services to provide a cohesive experience for members [26] Global Expansion - Progyny's acquisition of Apryl in 2024 allows for a unified global offering that addresses women's health and family-building services across different countries [28][29] - The focus is on providing local customization while maintaining global consistency [30] Financial Performance and Cash Flow - Progyny has maintained a strong conversion rate of Adjusted EBITDA to cash flow, exceeding a 75% target [31] - The company plans to continue investing in business expansion, including new offerings and go-to-market resources [32] Future Outlook - The leadership expresses confidence in the growth potential of Progyny Select and the overall business strategy for 2026 and beyond [34][61] - The company aims to demonstrate its ability to grow sustainably despite macroeconomic challenges [63] Competitive Landscape - Progyny positions itself as a leader in the market, contrasting with competitors who may struggle with cash flow and business models [51][52] - The company welcomes competition, believing the market is large enough for multiple players [52] Conclusion - Progyny is well-positioned for future growth with a diversified client base, new product offerings, and a strong focus on member experience and cost management [64]