INVO Fertility — Q2 2026 Earnings Summary

Financial Performance

• Total revenue increased 17% year-over-year to $2,175,485 in Q2 2026, compared to $1,863,654 in Q2 2025.
• Consolidated clinic revenue grew 18% to $2,167,785, up from $1,832,094 in the prior year period.
• Clinic-Level Adjusted EBITDA (before corporate operating and public company expenses) was approximately $333,000 in Q2 2026, compared to approximately $164,000 in Q1 2026 and $951,000 for the full year ended December 31, 2025.
• Net income was $0.9 million for Q2 2026, a significant improvement from a net loss of $(3.6) million in Q2 2025.
• Adjusted EBITDA was $(1.0) million for Q2 2026, compared to $(0.6) million in Q2 2025.
• Cash on hand was $3.7 million as of June 30, 2026.
• Cost of services increased to $1,352,665 in Q2 2026 from $1,090,540 in Q2 2025, driven by the addition of Family Beginnings and one-time staffing costs at the Georgia clinic.
• Selling, general, and administrative expenses decreased to $1,906,750 in Q2 2026 from $2,193,049 in Q2 2025, primarily due to lower professional services expenses.
• Loss from operations improved to $(1.3) million in Q2 2026 from $(3.0) million in Q2 2025.
• The Company recognized a $2.5 million gain on remeasurement related to the Birmingham acquisition in Q2 2026.
• There were no losses from discontinued operations in Q2 2026, compared to $2.1 million in losses related to NAYA Therapeutics in Q2 2025.
• As of August 14, 2026, there were 2,506,969 shares of common stock outstanding.

Guidance and Future Outlook

• Management intends to drive organic growth across the existing clinic network.
• The Company plans to leverage corporate infrastructure across a larger revenue base to support future growth.
• Future strategy includes pursuing disciplined acquisitions of established, profitable fertility practices.
• Management believes the Company is well-positioned to build a scaled fertility services company and create meaningful long-term value given its growing operating platform and robust pipeline of opportunities.

Business Segments and Product Lines

• Q2 2026 revenue benefited from a full-quarter contribution from the Indiana-based Family Beginnings clinic, acquired in February 2026.
• Organic growth initiatives were reported at the Wisconsin Fertility Institute and the Georgia clinic.
• The Birmingham, Alabama fertility clinic was converted from a joint venture to a wholly owned subsidiary in June 2026, providing 100% participation in future economics.
• The Company continues to build capabilities in operations, human resources, and finance to support a larger clinic network and integrate future acquisitions.
• Clinical research included five poster abstracts presented at the 2026 Midwest Reproductive Symposium International by Dr. Gretchen Collins regarding ovarian and subendometrial platelet-rich plasma.
• The Company maintains a robust pipeline of U.S.-based, established, and profitable fertility clinics for potential acquisition.
• The Company operates four fertility clinics in the United States and continues to sell and distribute the INVOcell medical device to third-party clinics.

Market and Competitive Landscape

• The Company focuses on acquiring US-based, profitable fertility clinics that can benefit from shared operational, financial, and administrative resources.
• The strategy emphasizes building a larger platform to improve scalability and consolidated Adjusted EBITDA.

Risks and Challenges

• The press release includes a standard Safe Harbor statement noting that forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from anticipated results.
• Specific risks mentioned include factors beyond the Company's control that could impact expected future financial position, results of operations, cash flows, and business strategies.

Management Commentary and Tone

• CEO Steve Shum stated that the second quarter provided further validation of the Company's strategy, citing revenue growth and clinic platform profitability.
• Management highlighted the success of the two primary growth avenues: organic growth within the existing clinic base and disciplined acquisitions.
• Shum emphasized the objective to pair strong local clinical teams with shared services and resources to grow patient volumes and improve execution.
• The tone was confident regarding the Company's ability to achieve cash flow break-even or profitability and build a scaled fertility services company.

Other Key Points

• The Birmingham acquisition resulted in a $2.5 million gain on remeasurement included in the Q2 2026 net income.
• The Company hosted a webcast on August 17, 2026, to discuss results and provide a business update.
• The Company reported no loss from discontinued operations in Q2 2026, whereas the prior year period included losses related to the NAYA Therapeutics divestiture.
• Clinic-Level Adjusted EBITDA is presented as a non-GAAP measure to provide visibility into the earnings capacity of the operating clinic platform separate from public company costs.