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Highlights

  • Progyny’s Q2 FY24 revenue was USD 278.08 million, up 7.62% from the previous corresponding period
  • PGNY’s net income for the quarter declined by 4.4% due to higher costs and tax provisions.
  • PGNY will release its June quarter results on August 06, 2024

Progyny, Inc. (NASDAQ: PGNY), a US-based company, specializes in fertility and family-building solutions. It has a market capitalization of USD 2.76 billion.

In Q2 FY24, the company reported a total revenue of USD 278.08 million, marking a 7.62% increase compared to the previous corresponding period (pcp). This growth was driven by a surge in the number of clients and covered lives. However, net income for the quarter fell by approximately 4.4%, attributed to higher service costs and increased tax provisions.

Despite the drop in net income, the company's cash and cash equivalents grew to USD 114.96 million, an 18.16% increase from the pcp. This rise in cash reserves was largely due to positive cash flows from operating and investing activities, although it was partially offset by cash outflows related to financing activities.

Recent business update

The company is expected to release its June quarter results after the market closes on Tuesday, August 06, 2024. In May, the company’s board of directors authorised a new share repurchase program. It amounts to worth USD 100 million of its common stock.

Company outlook

Looking ahead, the company plans to onboard several new clients in the coming months, aiming to surpass 460 clients by the end of 2024. For the full year ending December 31, 2024, the company expects revenue between USD 1,230 million and USD 1,270 million, reflecting a growth rate of 13% to 17%.

For the second quarter of 2024, revenue is anticipated to be between USD 300.0 million and USD 310.0 million, representing a growth of 7% to 11%. Net income for this period is expected to fall between USD 15.7 million and USD 17.8 million, translating to earnings of USD 0.16 to USD 0.18 per diluted share. Additionally, adjusted EBITDA for the quarter is expected to range from USD 52.0 million to USD 55.0 million.

Top 10 shareholders

The top 10 shareholders of PGNY collectively own approximately 51.91% of the company's shares, indicating a concentrated ownership structure. BlackRock Institutional Trust Company, N.A. is the largest shareholder, with stakes of around 10.04%. It is followed by The Vanguard Group, Inc. which holds around 8.71% of the total stake.

Stock information

PGNY's stock price has declined by 12.66% over the past three months and by 7.33% in the last nine months. The stock is approaching the lower end of its 52-week range, which spans from a high of USD 44.95 to a low of USD 23.90.

Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is July 31, 2024. The reference data in this report has been partly sourced from EODHD/Others.