Why Did INVO Fertility Plunge 13.39% Despite 116% Revenue Surge?

On May 1, 2025, INVO Fertility experienced a significant drop of 13.39% in pre-market trading, marking a notable decline in its stock performance.

INVO Fertility reported strong financial results for 2024, achieving a remarkable 116% annual revenue growth to $6.5 million. This growth was driven by the company's focus on expanding access to advanced fertility treatments through the establishment, acquisition, and operation of fertility clinics. The company's consolidated clinic revenue increased by 125% to $6.45 million, while revenue from all clinics, including both consolidated and equity method clinics, rose by 78% to $7.73 million.

Despite the revenue growth, INVO Fertility's net loss increased to $9.1 million compared to $8.0 million in the previous year. This increase was attributed to the addition of NAYA Therapeutics and the corresponding merger costs. However, the company's Adjusted EBITDA improved to $2.2 million from $4.9 million, indicating a positive trend in operational efficiency.

In response to the financial results, INVO Fertility's CEO, Steve Shum, highlighted the company's efforts to streamline its operating structure and move towards positive cash flow. The company has also announced its decision to divest a majority stake in NAYA Therapeutics, allowing it to refocus on its core fertility business. This strategic move is expected to enable both businesses to focus on their respective opportunities and operations, with the existing management team and board of directors set to lead the INVO Fertility public company moving forward.