Overview
- Hims & Hers reported Monday that Q1 revenue rose 4% to $608.1 million while earnings flipped to a $0.40 per‑share loss, with active subscribers near 2.6 million and average monthly revenue per subscriber down to $80.
- Following Monday's report, shares fell roughly 15% in early trading Tuesday as investors reacted to the miss and the stock’s heavy short interest that has made moves more volatile.
- Executives said the loss stemmed from inventory write‑downs tied to compounded semaglutide ingredients and one‑time legal and merger costs, after the company shifted to selling Novo Nordisk’s branded Wegovy and Ozempic that only went live on March 26.
- Hims & Hers raised guidance, projecting Q2 revenue of $680 million to $700 million and full‑year revenue of $2.8 billion to $3.0 billion, and the CFO reiterated a goal to return to profitability in 2027.
- Margins narrowed as gross margin fell to 65% from 73%, U.S. revenue declined 8% to $529.9 million after a change in shipping schedules affected revenue timing, and rest‑of‑world sales rose to $78.2 million as the company retools its weight‑loss business.