Riding IVF tailwinds, Gaudium IVF faces workforce headwinds ahead of IPO

In vitro fertilisation (IVF) treatments provider Gaudium IVF & Women Health is set to launch its initial public offering on February 20, aiming to tap into the rapid expansion of India’s IVF market. While favourable industry trends are expected to support growth, the company has identified workforce-related risks as a key concern in its red herring prospectus (RHP).

 

Gaudium IVF & Women Health, in its RHP, said its business is highly dependent on doctors, nurses and other healthcare professionals, cautioning that any inability to attract and retain such talent could materially impact operations.

 

“The Company is highly dependent on doctors, nurses and other healthcare professionals and the business will be impacted significantly if the Company is unable to attract / retain such professionals,” the company said.

 

 

Employee attrition, according to the RHP, stood at 31 per cent for the period ended September 30, 2025, following elevated levels of 63 per cent in FY25 and 51 per cent each in FY24 and FY23.

 

The company also noted that professional and consultation fees paid to doctors account for a significant share of its total expenses.

 

“The Professional and Consultation fees paid to doctors as a percentage of our total expenses were 6.08 per cent, 8.28 per cent, 12.23 per cent and 13.78 per cent, for the period ended September 30, 2025 and for Fiscal 2025, Fiscals 2024 and 2023,” the RHP stated.

 

In addition to workforce dependence, the company has disclosed contingent liabilities of ₹45 crore (₹4,499.34 lakh, including interest) as of September 30, 2025, against a net worth of ₹58.85 crore. It has also cautioned investors about operational and reputational risks inherent in healthcare services, reliance on a limited pool of embryologists, related-party transactions, past negative cash flows, rapid technological changes, and dependence on its promoters.

Strong industry momentum

The offering comes amid robust growth projections for the IVF industry globally and in India. According to estimates cited in the RHP, the global IVF market is valued at $27.49 billion in 2024 and is projected to reach $54.60 billion by 2034, reflecting a compound annual growth rate (CAGR) of 7.10 per cent.

 

India, meanwhile, is expected to outpace global growth. The domestic IVF market is projected to expand from $1.32 billion in 2024 to $4.54 billion by 2034, registering a CAGR of 13.13 per cent. India’s share of the global market is estimated to increase from about 4.8 per cent in 2024 to 8.3 per cent by 2034. 

(Source: Company's RHP)

 

The company attributed this growth to structural and demographic shifts, including rising infertility rates, delayed marriages, increasing maternal age, and greater awareness of assisted reproductive technologies (ART), particularly in urban and semi-urban centres.

 

It added that technological advancements, such as AI-enabled embryo selection, preimplantation genetic testing, cryopreservation and improved clinical protocols, are enhancing success rates and strengthening patient confidence. Supportive regulatory frameworks, including the ART and Surrogacy Acts, along with the potential inclusion of fertility treatments under insurance coverage, are expected to improve affordability and access.

 

"Collectively, these factors position India as a critical growth hub within the global IVF landscape, supported by favourable demographics, medical expertise, and rising affordability," said the company. 

Fertility trends reinforce demand

The RHP also highlighted a sustained global decline in fertility rates. The average number of births per woman fell from around 3.0 in 2003 to 2.4 in 2023. In India, fertility declined from 3.1 births per woman in 2003 to 2.0 in 2023, nearing the replacement level of 2.1.

 

Across countries, the decline has varied in pace. According to data cited in the RHP, Australia’s fertility rate dropped from 1.7 in 2003 to 1.5 in 2023, while China saw a sharper fall from 1.6 to 1.0 over the same period. The United Kingdom’s rate eased from 1.7 to 1.6, and the United States declined from 2.0 to 1.6. India, though close to the replacement threshold, recorded a significant reduction from 3.1 births per woman in 2003 to 2.0 in 2023 (World Bank Group). 

(Source: Company's RHP)

 

“This structural decline in fertility across both developed and developing economies underscores the growing demand for assisted reproductive technologies, including IVF. Countries with rates at or below the replacement level of 2.1 are increasingly turning to medical interventions to address infertility and sustain birth rates, highlighting the relevance and growth potential of the IVF industry,” said the company in its RHP.