What happened
Shares of Progyny (PGNY -2.00%) were up 18.4% for the week as of Friday's close, according to data provided by S&P Global Market Intelligence. The stock closed last week at $31.09, then rose to as high as $38.56 on Wednesday. The benefits management company specializes in family-building and fertility solutions. Its 52-week low is $25.67 and its 52-week high is $53.10.
So what
The healthcare company delivered its fourth-quarter and full-year results on Monday, and investors reacted positively both to the report and management's 2023 guidance. Its 2022 revenue rose 57% to $786.9 million, while fourth-quarter revenue rose 66% year over year to $214.3 million.
That growth did come at a cost. Net income fell $53.8% to $30.4 million for the full year, and quarterly revenue slid 77.4%, year over year, to $3.4 million. The company cited increased taxes for the difference.
Employers have increasingly added family planning benefits to their packages. According to the Society for Human Resource Management's 2022 employee benefits survey, family care benefits were seen as important by 70% of employers in 2022. That's up from 52% of employers feeling that way before the COVID-19 pandemic, but down from 76% who felt that way earlier during the pandemic. Technology is allowing more people to grow their families through adoption or medical intervention.
Now what
CEO Pete Anevski said the macrotrends that drove record sales in 2022 should continue. Progyny's guidance for 2023 anticipates the company reaching $1 billion to $1.03 billion in revenue, for growth of 27% to 31%. Annual net income is expected to land in the range of $27 million to $32.7 million.
