Progyny (PGNY) Canaccord Genuity's 46th Annual Growth Conference summary

Business performance and seasonality

• Q2 results showed pronounced summer seasonality in member utilization, similar to 2022, but engagement is expected to rebound in September and remain strong through year-end.

• Seasonality is attributed to members delaying treatments for personal reasons during summer, with activity levels returning to normal post-summer.

• Guidance and expectations for the remainder of the year are based on current visibility and predictive models, with confidence in meeting targets.

Sales pipeline, renewals, and expansion

• Early renewal commitments have de-risked next year's renewal rates, with a significant portion of clients renewing ahead of schedule.

• New sales activity is ahead of last year, with strong early commitments and a healthy pipeline, supporting the goal of adding 1 million new members.

• Upselling and benefit expansions are common, with 20%-30% of clients typically adding new features; no indications of benefit reductions.

Market dynamics and client diversification

• Early commitments this year are more weighted toward competitive takeaways (brownfield) rather than new market entries (greenfield), driven by cost management needs.

• Client base has diversified from technology to over 45 industries, including government and healthcare, with ongoing penetration across sectors.

• Infertility prevalence and demand for benefits are consistent across company sizes and industries, supporting broad market relevance.