Digital health and wellness company Hims & Hers tightened its full-year 2026 revenue outlook after missing Wall Street analysts’ revenue and earnings estimates.
Andrew Dudum, co-founder, chairman and CEO, pointed investors toward the increasing scale of Hims & Hers' pharmacy and lab infrastructure. That growth is driving efficiencies for the company, as is its artificial intelligence native experience, he said.
“That infrastructure positions us to launch treatments of increasing complexity, including testosterone replacement therapy this quarter and our Peptides Plus offering later this month,” Dudum said.
Peptides have been a focus for the company as of late, with Dudum telling investors last quarter it plans to offer already-permitted peptides, like sermorelin and NAD+.
Dudum said Hims & Hers’ long-term strategy focuses on “three critical commitments:” being a leader in metabolic health domestically and globally, leading major markets globally and being "at the forefront of category expansion.”
“Each of these reinforces the other, and together they describe how Hims & Hers becomes the global destination for consumer health,” he said. “We are investing aggressively against all three, because this opportunity is growing quickly, and we believe it will become more valuable every quarter.”
The company reported $890.4 million in revenue in Q3, up 49% compared to revenue of $599 million the year prior, according to financial results published Monday. Net loss was $33 million, compared to $15.8 million in profit the same quarter a year ago.
Chief Financial Officer Yemi Okupe said revenue excluded $18 million from the “scaling of membership revenue” in the company’s weight loss offering, but will be recognized in the fourth quarter.
“This revenue deferral has no impact on free cash flow generation,” Okupe noted.
Hims & Hers’ subscribers grew to nearly 2.8 million in Q3 2026, up 13% year-over-year.
Adjusted EBITDA was $82.4 million compared to $78.4 million the year prior.
Ethan Feller, stock strategist at Zacks Investment Research, told Fierce Healthcare the company’s revenue was “roughly what Wall Street expected,” adding that U.S. “growth sped up to 21%.”
“But the company lost 14 cents a share against an expected gain of 6 cents, its third big miss in a row,” Feller said. “It is also keeping less of each sale, as gross margin fell to 57%, down from 74% a year ago, as more of the business shifts to lower-margin brand-name weight-loss drugs.”
Feller added the company’s “growth story is still a real long-term tailwind.”
“Demand for weight-loss drugs is strong, and having both Novo and Lilly on the platform helps,” Feller said. “But as long as margins keep shrinking, the stock will likely stay under pressure, until either the price falls to a level that reflects the lower margins or the company shows it can turn a steady profit.”
As a result, Hims & Hers tightened its full-year 2026 revenue guidance to a range of $3.13 billion to $3.15 billion and reduced its adjusted EBITDA guidance to a range of $257 million to $277 million.
“This is a reflection of the more aggressive strategic pricing and marketing actions that we expect to take in the U.K. and Germany, and the weight loss membership deferral noted above,” Okupe said.
The earnings report comes on the heels an announcement that the company struck a deal with Eli Lilly to offer its branded obesity treatments directly through the Hims & Hers platform. The drugs were previously only available to patients if they left the site and went to Lilly's direct-to-consumer platform, LillyDirect.
“Nearly 3 million people across four continents rely on us to access care,” Dudum said. “That trust has made us a valuable partner to global pharmaceutical leaders like Novo and Lilly, and positions us to keep bringing the most innovative treatments to our customers as they come to market.”
Dudum added the company is planning to launch “flexible multi-month subscriptions” across its assortment to make it easier for customers to address health goals.
“We will continue to prioritize partnerships across the industry, with the goal that whenever an innovative therapy reaches the market, our customers can access it here,” Dudum said. “That assortment will sit alongside an AI-native experience that will soon be available to nearly every weight loss customer on our platform.”