Executive Summary

Q3 2025 delivered 23% year-over-year revenue growth to $1.76M, driven by stronger patient flow and marketing/telehealth expansion, but sequential revenue fell from Q2’s record, and profitability remained negative; Adjusted EBITDA was $(0.95)M and net loss was $(2.64)M .
Management highlighted two growth pillars—organic clinic performance and accretive acquisitions—with expectations to complete at least one acquisition in the coming months, positioning M&A as a potential near-term catalyst .
INVOcell device revenue rose ~130% YoY on expanded training and improved pricing, and policy tailwinds emerged as U.S. agencies enabled employers to offer standalone infertility benefits, a potential driver of demand over time .
Wall Street consensus estimates from S&P Global for Q3 2025 revenue and EPS were unavailable; no direct comparison vs estimates is possible (S&P Global data unavailable for Q3 2025).

What Went Well and What Went Wrong

What Went Well

Strong top-line momentum: Revenue grew 23% YoY to $1.76M, with clinic revenue up 21% and “all clinics” revenue (consolidated + equity-method) up 18% YoY, reflecting higher patient flow and service expansion .
Product traction: INVOcell device revenue rose ~130% YoY, supported by expanded clinical/embryology training and improved pricing—evidence of early leverage in the device-led channel .
Strategic pipeline/catalysts: “We expect to complete at least one acquisition in the coming months,” underscoring a growing pipeline and a pathway to scale and mix-shift benefits .

What Went Wrong

Profitability still challenged: Adjusted EBITDA remained negative at $(0.95)M and operating margin was roughly −93% in Q3; net loss widened YoY to $(2.64)M driven by operating losses and OI&E, including a loss from debt extinguishment .
Sequential deceleration: Revenue declined sequentially vs. Q2’s record $1.86M and Adjusted EBITDA deteriorated from $(0.59)M in Q2 to $(0.95)M in Q3, indicating operating leverage remains elusive near-term .
Cost intensity and financing drag: SG&A increased YoY (to $2.13M from $1.51M), and Q3 OI&E included $(0.88)M loss from debt extinguishment and $(0.15)M interest expense, weighing on bottom-line .

Financial Results

P&L vs Prior Year and Prior Quarter (Actuals)

Metric	Q3 2024	Q2 2025	Q3 2025
Revenue ($)	$1,433,151	$1,863,654	$1,757,094
Basic EPS (Total)	$(15.11)	$(13.30)	$(0.77)
Adjusted EBITDA ($)	$(945,949)	$(587,230)	$(947,568)
Cost of Revenue ($)	$988,465	$1,093,603	$1,127,749
Gross Profit ($)	$444,686 (calc)	$770,051 (calc)	$629,345 (calc)
Gross Margin %	31.0% (calc)	41.3% (calc)	35.8% (calc)
Loss from Operations ($)	$(1,300,402)	$(2,990,088)	$(1,635,484)
Operating Margin %	−90.8% (calc)	−160.4% (calc)	−93.1% (calc)
Net Loss from Continuing Ops ($)	$(1,630,662)	$(3,209,094)	$(2,644,625)
Net Income Margin % (Cont.)	−113.8% (calc)	−172.2% (calc)	−150.5% (calc)

Notes: Adjusted EBITDA is non-GAAP; reconciliation provided by the company .

Segment/Revenue Mix

Segment	Q1 2025	Q2 2025	Q3 2025
Clinic Revenue ($)	$1,621,553	$1,832,094	$1,722,223
Product Revenue (INVOcell) ($)	$15,632	$31,560	$34,871
Total Revenue ($)	$1,637,185	$1,863,654	$1,757,094
Revenue from All Clinics incl. equity-method ($)	$1,943,763	$2,188,893	$1,995,007
Consolidated Clinic Revenue ($)	$1,621,553	$1,832,094	$1,722,223

Estimates vs Actuals (S&P Global)

Metric	Q3 2025 Consensus (S&P Global)	Q3 2025 Actual
Revenue ($)	N/A (unavailable)	$1,757,094
Primary EPS ($)	N/A (unavailable)	$(0.77)

Note: S&P Global consensus for Q3 2025 was not available via our data pull; no direct beat/miss assessment possible.

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Company Guidance	N/A	N/A	No formal quantitative guidance disclosed in the Q3 release	N/A

No explicit revenue/margin/OpEx or other quantitative guidance ranges were provided.

Earnings Call Themes & Trends

Note: An earnings call transcript for Q3 2025 was not available in our dataset. The themes below draw from company earnings releases across Q1–Q3 2025.

Topic	Previous Mentions (Q1–Q2 2025)	Current Period (Q3 2025)	Trend
Organic clinic growth and marketing/telehealth	Refocus on fertility operations; launched telehealth in Wisconsin; expanded services (e.g., PRP therapy)	Growth attributed to higher patient flow aided by awareness, telehealth expansion, and broader services	Continuing/expanding
INVOcell device strategy	Expanded training; improved pricing; new patent allowance extending IP to 2040	~130% YoY device revenue growth from training/pricing initiatives	Improving
M&A pipeline	Strategic focus on acquisitions after NAYA separation	Pipeline growing; expect at least one acquisition in coming months	Building toward action
Policy tailwinds	N/A in Q1; strategic refocus noted	Federal update allows standalone employer infertility benefits, expanding potential coverage	New positive tailwind
Operational efficiency/technology	Operating discipline emphasized post-divestiture	AI-powered scribe (Heidi Health) integration to drive efficiency	Early adoption
Portfolio focus	NAYA majority divestiture completed June 2, 2025	Continued focus on fertility clinics and device expansion	Completed restructuring, focused execution

Management Commentary

“We saw a robust 18% organic growth across our clinics driven by higher patient volume and increased awareness of our fertility services… expanded telehealth reach, and continued investment in a comprehensive suite of fertility offerings” .
“Policy momentum continues to build, with recent federal updates enabling employers to offer standalone infertility benefits—an important step forward in further expanding access to IVF” .
“Our pipeline of target clinics continues to grow, and we expect to complete at least one acquisition in the coming months” .
“INVOcell device expansion initiatives delivered respectable performance, with expanded training support and improved pricing driving 130% year-over-year device revenue growth” .

Non-GAAP note: Adjusted EBITDA is provided with reconciliation and is intended by management to supplement GAAP results; it excludes items including stock-based comp, amortization of debt discounts, loss from debt extinguishment, depreciation & amortization, among others .

Q&A Highlights

No Q3 2025 earnings call transcript was available in our dataset; therefore, no Q&A details to report.

Estimates Context

S&P Global consensus for Q3 2025 revenue and EPS was unavailable; as a result, we cannot determine beats/misses vs Street for this quarter. The company reported Revenue of $1.76M and Basic EPS of $(0.77) .
In absence of consensus, near-term estimate revisions will likely hinge on management’s acquisition timing and policy-driven demand visibility, alongside evidence of operating efficiency progress (e.g., Heidi Health integration) .

Key Takeaways for Investors

Revenue momentum but uneven leverage: 23% YoY revenue growth confirms demand, but sequential deceleration and negative margins indicate the model still needs scale and efficiency to approach breakeven .
M&A as a catalyst: Management expects at least one acquisition soon—closing and integrating targets could accelerate revenue scale and potentially improve fixed-cost absorption .
Policy tailwind: New federal allowance for standalone infertility benefits could expand covered populations and drive volume over time; watch employer adoption and payer responses .
Device growth optionality: ~130% YoY INVOcell device revenue growth, supported by training and pricing initiatives, suggests a developing second engine alongside clinics .
Operating efficiency push: Integration of AI scribe (Heidi Health) and continued efficiency focus are key to narrowing losses; monitor SG&A trajectory and Adjusted EBITDA trend .
Profitability watchpoints: Q3 Adjusted EBITDA deteriorated vs Q2; however, net loss improved sequentially as operating loss narrowed—sustained multi-quarter improvement is needed to change the narrative .
Data gap: With S&P Global consensus unavailable, stock reactions may hinge more on company-specific catalysts (M&A closure, policy adoption signals) and sequential trend improvements than on headline beats/misses.

Supporting Details and Data References:

Q3 2025 8-K, including consolidated statements and Adjusted EBITDA reconciliation .
Q2 2025 8-K for quarterly record revenue context and detailed P&L/Adjusted EBITDA .
Q1 2025 8-K for baseline post-divestiture focus and P&L .

INVO Fertility, Inc. (IVF)·Q3 2025 Earnings Summary