San Francisco, May 11, 2026, 15:02 (PDT)
Hims & Hers Health plunged roughly 10% after hours Monday, following a first-quarter revenue miss and an unexpected loss—results that overshadowed its bump in the 2026 sales outlook.
Timing’s critical here. Hims & Hers wants to convince investors it can sustain momentum after shifting away from lower-cost compounded GLP-1s—those diabetes and obesity meds linked to blood sugar and appetite—over to big pharma’s branded options. The FDA, for its part, has reminded compounders that copycat versions of approved drugs aren’t allowed once shortages let up, stressing compounded products don’t have FDA approval.
So Hims & Hers is operating in a weight-loss sector that’s stricter, heavily connected to Novo Nordisk and Eli Lilly — and likely tougher on profit margins. This quarter offers an initial glimpse: can a bump in subscribers really make up for slimmer customer wallets and rising costs?
Revenue was up 4% at $608.1 million for the quarter ended March 31, missing forecasts. Hims & Hers swung to a net loss of $92.1 million, or 40 cents per share, after reporting net income of $49.5 million in the same period last year. Subscriber numbers climbed 9% to 2.584 million, but average monthly revenue per subscriber slipped to $80 from $85. U.S. revenue landed at $529.9 million, down 8%.
CFO Yemi Okupe described a “strategic pivot” that boosted the company’s branded GLP-1 selection, pointing to initial demand as evidence of wider consumer appeal. Investors weren’t convinced; they were looking for evidence this lineup could drive profit, not just bring in more users. Investing.com
The company lifted its 2026 revenue outlook to a range of $2.8 billion to $3.0 billion, up from its earlier $2.7 billion to $2.9 billion target. For the second quarter, it’s now projecting revenue between $680 million and $700 million—topping figures tracked by Wall Street analysts. At the same time, the firm trimmed its full-year adjusted EBITDA forecast, lowering it to $275 million to $350 million from the previous $300 million to $375 million range. Adjusted EBITDA, the company notes, strips out interest, taxes, depreciation and certain costs from operating profit.
Still, that higher sales forecast arrives alongside a softer profit picture. Gross margin dropped to 65% from the previous 73%. Operating expenses jumped to $475.1 million, up from $372.8 million, with charges tied to restructuring, legal settlements, and M&A activity weighing in. Should branded GLP-1 demand cool, or if regulators clamp down further on compounding, the company’s bump in revenue guidance could leave the margin outlook unresolved.
Competition is front and center. Hims & Hers now offers branded GLP-1 drugs like Wegovy and prescriptions linked to Zepbound, broadening its menu. Novo Nordisk and Eli Lilly, meanwhile, are scrambling to defend their obesity-drug lines as lower-cost generics loom.
Another potential growth stream could be on the table, though it’s not right around the corner. Back in April, Michael Cherny at Leerink Partners flagged a possible FDA softening on certain peptide-compounding regulations as a “clear positive for Hims.” Still, he cautioned that it’s unlikely to become a near-term revenue driver. Peptides—short amino acid chains—play a role in some therapies, including segments of the weight-loss drug business. Reuters
Hims & Hers is stretching its footprint beyond the U.S. This February, the company struck a deal worth up to $1.15 billion to acquire Australian digital-health firm Eucalyptus—a move aimed at boosting reach in Australia and Japan, while also strengthening its business in the UK, Germany, and Canada. At the time, Cherny pointed out that the key question hanging over Hims remained the future for compounded GLP-1s. That’s not going away until there’s clarity.
CEO Andrew Dudum labeled 2026 “a defining year” for the company. That prediction echoed in Monday’s report, though it came with some mess. Hims & Hers lifted its revenue outlook. As for the shares, the reaction suggested investors are still sizing up what earnings can really stick after the GLP-1 shakeup.
