Hims & Hers posts wider loss as shift to branded weight-loss drugs drives up costs

Hims & Hers Health Inc. reported a wider-than-expected second-quarter net loss of 37 cents per share, swinging from a profit a year earlier as its shift to branded GLP-1 weight-loss drugs and international expansion drove up costs. Despite adding over 300,000 subscribers and raising its 2026 revenue outlook to $3.1 billion–$3.3 billion, concerns over gross margin compression sent shares down. The company plans to enter the peptide market before the end of 2026 to capture new growth.

Q2 financial loss

• ▪Following the second-quarter earnings release, Hims & Hers Health Inc. shares fell nearly 7% in premarket trading and 6% in extended trading.
• ▪Hims & Hers Health Inc. reported a second-quarter net loss of 37 cents per share, wider than the 1-cent loss per share estimated by analysts.
• ▪Hims & Hers Health Inc. posted a second-quarter net loss for 2026, swinging to a loss from a profit in the same period a year earlier.

Branded GLP-1 transition costs

• ▪Hims & Hers Health Inc. incurred restructuring costs of $4.6 million during the second quarter due to its transition to branded GLP-1 weight-loss drugs.
• ▪Hims & Hers Health Inc. stated that it expects to return to profitability in 2027.

Gross margin compression

• ▪Hims & Hers Health Inc. experienced gross margin declines for the fourth consecutive quarter as of the second quarter of 2026.
• ▪Chief Financial Officer Oluyemi Okupe stated that Hims & Hers Health Inc. expects gross margins to remain below historical levels as branded weight-loss and international offerings expand.

Subscriber growth metrics

• ▪Hims & Hers Health Inc. added more than 300,000 subscribers in the second quarter, bringing its total subscriber base to nearly 2.9 million, a 19% increase year-over-year.
• ▪Hims & Hers Health Inc. reported that its monthly online revenue per average subscriber increased by 21% year-over-year to $92 in the second quarter.

Eucalyptus acquisition

• ▪The updated full-year revenue guidance for Hims & Hers Health Inc. includes contributions from Eucalyptus, an Australian digital health company it agreed to acquire in February.
• ▪Hims & Hers Health Inc. raised its full-year 2026 revenue outlook to a range of $3.1 billion to $3.3 billion, up from its previous forecast of $2.8 billion to $3 billion.

Peptide market entry

• ▪Hims & Hers Health Inc. acquired a California-based peptide facility earlier in 2026 and is testing ingredients to compound peptide treatments at scale.
• ▪Hims & Hers Health Inc. plans to enter the peptide market before the end of 2026 by selling allowed compounds including sermorelin and glutathione.

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