Hi, I don't have much advice for you really but just a similar experience/ been in a similar boat so I understand.
We have what would be classed as severe male factor infertility. DNA fragmentation was much lower than yours at 24%. But morphology around the same as you, and very low motility. Basically, the chances of natural conception are slim to none.
We have tried ICSI and have now made the difficult decision to use a donor and go for IUI.
Partly due to age (he's in his 40's and doesn't want to be much older as a dad), partly due to me responding badly to the IVF drugs (I had OHSS both times despite having normal fertility and being generally healthy myself).
Anyway, moving to a donor is a horrible decision to have to make, and I totally understand the initial ick about it (we've been through it). But, how much have you really discussed/ looked into it as a possibility? Is it really a 'no go' or is it just a difficult thing to get your heads around... because we have been through that journey and come out the other side, and now we both feel completely happy with the decision.
I'm not saying you shoudn't try again with the ICSI (no one can really make that decision for you!) but just saying that using a donor might not be as awful a thing as you think.
I wish you all the best, whatever you decide.