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Here are 1-3 brief analogies to describe Progyny:

• Progyny is like CVS Caremark for fertility benefits.
• Progyny is like One Medical for fertility treatments.

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• Fertility Benefits Solution: Comprehensive service offering differentiated plan design, personalized member support, and access to a selective network of fertility specialists.
• Progyny Rx: An integrated pharmacy benefits solution providing members with access to necessary medications during their fertility treatment.
• Surrogacy Reimbursement Programs: Employer-sponsored programs designed to help cover the costs associated with surrogacy.
• Adoption Reimbursement Programs: Employer-sponsored programs designed to help cover the costs associated with adoption.

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Progyny, Inc. (PGNY) primarily sells its fertility and family building benefits solutions to other companies, specifically employers, who then offer these benefits to their employees.

Due to client confidentiality and the nature of their business as a benefits management provider, Progyny does not publicly disclose the specific names of its major corporate customers. Therefore, it is not possible to list individual customer companies with their symbols.

However, Progyny frequently describes its customer base as comprising a broad range of leading, large, and self-insured employers across various industries. Key characteristics of their corporate customers include:

• Large Employers: Progyny targets and serves substantial organizations, often including those within the Fortune 500 and other large enterprises, as these companies typically have the resources and employee base to invest in comprehensive benefits programs.
• Self-Insured Employers: A significant portion of Progyny's client base consists of companies that self-fund their employee health benefits. This model allows employers greater flexibility and control over their benefits design, making them ideal partners for specialized solutions like Progyny's.
• Diverse Industries: Progyny's clients span a wide array of sectors, including but not limited to technology, financial services, retail, professional services, and healthcare, reflecting a broad market adoption for their fertility and family building solutions.

Progyny's business model is centered on partnering with these types of employers to provide comprehensive and differentiated fertility benefits to their employee populations.

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Pete Anevski, Chief Executive Officer

Pete Anevski is the Chief Executive Officer at Progyny, leading the company's strategic vision and growth in the family building and women's health benefits industry. He has decades of experience building and scaling operations at leading healthcare and technology companies. Prior to becoming CEO in January 2022, Anevski served as Progyny's President and Chief Financial Officer. Before joining Progyny, he was Chief Financial Officer at WebMD, where he helped scale the organization and expand access to health information.

Mark Livingston, Chief Financial Officer

Mark Livingston serves as the Chief Financial Officer of Progyny, a role he was promoted to in September 2020 after joining the company in 2019 as Executive Vice President of Finance. He brings over 30 years of experience in accounting, public company reporting, and financial planning and analysis. Previously, Livingston served as CFO of the international business at Scripps Network Interactive and as CFO at Emerson, Reid & Company, an employee benefits wholesaler. He also held senior financial leadership roles at WebMD and Hess Corporation.

David Schlanger, Executive Chairman

David Schlanger brings over 25 years of healthcare and executive management experience to Progyny. He served as CEO of Progyny, leading the company through key milestones including its public offering and inclusion in the S&P 400 index. Prior to Progyny, Schlanger was the CEO of WebMD from 2013 to 2016, where he oversaw record revenue and profitability, and also led strategy, M&A, and business development functions. His early career involved corporate finance and M&A law, including work in the LBO (now private equity) world, with a notable client being Drexel Burnham. He joined Progyny when it was backed by investors like Kleiner Perkins and TPG.

Michael Sturmer, President

Michael Sturmer serves as the President of Progyny. He held this position from 2022 to 2025, and his employment as President will cease effective December 31, 2025, after which he will serve as a non-employee consultant to the company through December 31, 2026. Before joining Progyny, Sturmer was Senior Vice President of Health Services at Livongo Health, Inc. and Chief Operating Officer-New York at The Cigna Group.

Dr. Janet Choi, Chief Medical Officer

Dr. Janet Choi is the Chief Medical Officer at Progyny, where she leads the clinical strategy and ensures high-quality care across the family building and women's health continuum. She is a double board-certified reproductive endocrinologist and OB/GYN with over three decades of clinical leadership and patient care experience. Before Progyny, Dr. Choi was Medical Director at CCRM New York and held academic and clinical leadership roles at Columbia University Medical Center, serving as Director of Onco-Fertility and Co-Director of the Fertility Preservation Program.

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The key risks to Progyny's business, which specializes in fertility and family-building benefits solutions, include client concentration, intensifying competition, and macroeconomic sensitivity.

1. Client Concentration and Loss of Major Clients: A significant portion of Progyny's revenue is derived from its largest clients, many of which are concentrated in the technology industry. This presents a material financial risk, as the non-renewal or loss of a single large client's contract can have a substantial negative impact on revenue and stock price. For instance, the loss of one major client that accounted for 13% of revenue led to a 33% drop in Progyny's stock price.
2. Intensifying Competition and Market Conditions: The fertility benefits management sector is becoming increasingly competitive, with new specialized providers and large healthcare payors developing their own comprehensive fertility benefit programs. This heightened competition can lead to pressure on Progyny's gross margins and may limit its ability to maintain premium pricing for its services.
3. Macroeconomic Sensitivity: Progyny's financial performance is sensitive to broader macroeconomic conditions. Fertility treatments are often considered discretionary benefits, and during economic downturns, employers may scrutinize or reduce spending on such premium benefits. This can impact client adoption and retention, directly affecting Progyny's revenue projections.

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Progyny, Inc. (symbol: PGNY) addresses significant and growing markets within the United States for its fertility and family-building benefits solutions, as well as its integrated pharmacy benefits.

Fertility Benefits Solution

The addressable market for fertility services in the U.S. is substantial and expanding. In 2024, the U.S. fertility market size was estimated at approximately USD 8.37 billion and is projected to reach about USD 19.72 billion by 2034, with a compound annual growth rate (CAGR) of 9.10% from 2025 to 2034. Other estimates for the U.S. fertility market size indicate it was around USD 5.6 billion in 2024 and is expected to grow to USD 8.7 billion by 2033 at a CAGR of 5.1%. Progyny estimates that there are around 8,000 self-insured employers in the United States, representing a total of 106 million potential covered lives. As of December 31, 2025, Progyny served 555 clients, covering approximately 6.7 million members. A significant growth trend shows that more than 4 out of 10 U.S. employers (42%) offered fertility benefits in 2024, a notable increase from 30% in 2020. This trend is expected to continue, with 86% of employer respondents planning to offer family-forming and reproductive support in 2025.

Progyny Rx (Integrated Pharmacy Benefits Solution)

Progyny Rx, which provides access to essential medications for fertility treatments, represents a substantial portion of Progyny's revenue. This segment constituted about 36% of the company's revenue, totaling $458.93 million in the twelve months leading up to the report date. While a specific market size for "fertility medications within specialty pharmacy" is not readily available, it operates within the broader U.S. specialty pharmacy market, which is described as enormous, with fertility medications forming a significant and high-margin niche within it.

Surrogacy and Adoption Reimbursement Programs

The market for surrogacy and adoption reimbursement programs as part of employer-sponsored family-building benefits is also growing in the U.S. In 2024, 37% of employers offered paid adoption leave, an increase from 27% in 2020. Additionally, 20% of employers provided financial assistance for adoption in 2024. The high cost of private domestic adoption, typically ranging from $35,000 to $50,000, highlights the value of these benefits. Research also indicates that approximately 45% of clients with a leading family-building provider offer surrogacy and adoption benefits, with a projected 5% growth in 2025.

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Progyny (PGNY) is expected to drive future revenue growth over the next 2-3 years through several key initiatives and market dynamics:

• Growth in Clients and Covered Lives: Progyny anticipates continued expansion by attracting new large self-insured employers and increasing the number of covered lives under its benefits solutions. The company added over 80 new clients and approximately 900,000 new covered lives in a recent selling season. For 2026, Progyny projects around 7.2 million covered lives, marking an increase of approximately 7.4% from 2025's 6.7 million covered lives.
• Expansion into New Markets: The company is strategically preparing to introduce new programs for the fully insured market, broadening its addressable market beyond its traditional focus on large self-insured employers. Additionally, Progyny is looking to expand its presence globally.
• Launch and Growth of New Products and Services: Progyny launched new programs focused on pregnancy, postpartum care, and menopause for global employers, effective January 1, 2026. These offerings are designed to complement its core fertility benefits and target a wider women's health market.
• Increased Adoption of Progyny Rx: The integrated pharmacy benefits solution, Progyny Rx, continues to be a growth driver. The adoption of this solution has steadily increased among clients, with approximately 90% of clients having Progyny Rx in 2023, up from 85% in 2022.
• High Client Retention and Pricing Power: Progyny benefits from a high client retention rate, reported to be nearly 100%, which provides a stable revenue base. The company has also demonstrated the ability to implement price increases, with revenue growth outpacing the growth in units sold in recent periods, indicating sustained pricing power.

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Share Repurchases

• In fiscal year 2024, Progyny executed a significant share repurchase program totaling $312 million, reducing the share count to 91 million.
• The Board of Directors authorized two separate share repurchase programs in 2024, each for up to $100 million, funded through available cash balances.
• In fiscal year 2025, Progyny spent $81.7 million on share buybacks, with additional repurchases of approximately 3.3 million shares for $83.6 million in Q4 2025 under a $200 million authorization.

Share Issuance

• From fiscal 2020 to 2023, the number of shares outstanding steadily increased from 86 million to 95 million, primarily due to substantial stock-based compensation.
• However, the company achieved an approximate 15% reduction in its total shares outstanding from Q4 2023 to Q4 2025, moving from 96.5 million to 81.9 million shares.

Capital Expenditures

• Capital expenditures are typically minimal, reflecting an asset-light, services-based business model, often less than $6 million per quarter.
• Annual capital expenditures were $4 million in 2023 and $5 million in 2024.
• In fiscal year 2025, capital expenditures increased significantly to $18.4 million, a 240.6% increase from the prior year, primarily focused on funding long-term assets and infrastructure.