Hims & Hers, an online health and wellness company, posted a $92 million loss in the first quarter as it transitioned its weight loss business from selling compounded GLP-1 drugs to selling branded GLP-1 weight loss treatments.
In the same period last year, Hims & Hers posted a profit of $49.5 million.
The company had revenue of $608 million in the first quarter, up 4% year over year. The company’s shares fell about 15% in intraday trading Tuesday after the company’s unexpected loss in the first quarter. Sales also fell short of Wall Street analysts’ expectations. Hims & Hers reported a loss of 40 cents per share in the first quarter of 2026. Comparatively, the Zacks Consensus EPS estimate was pegged for earnings of 4 cents. Earnings also missed the Zacks Consensus Estimate by 1.9%.
In March, the company announced a strategic shift away from cheaper GLP-1 combination drugs to expand its lineup of branded drugs. The change was part of an arrangement with Novo Nordisk to provide multiple doses of Ozempic, Wigovy, and oral medications.
As part of the agreement, Novo announced it would drop its lawsuit against the company. Earlier this year, Hims & Hers came under fire from drug makers and federal regulators after it announced plans to launch a counterfeit version of Novo’s oral tablets. Under pressure, it withdrew its plans.
In April, the company announced that eligible users now have access to the full range of U.S. Food and Drug Administration (FDA)-approved GLP-1 drugs on its platform. Providers on the Hims & Hers platform will now be able to send prescriptions for Eli Lily’s Zepbound, Mounjaro and oral Foundayo to LillyDirect pharmacies, giving users access to out-of-pocket pricing for Hims & Hers customers.
However, the brand’s shift to weight loss drugs increased costs in the first quarter.
“We made a deliberate strategic pivot in the weight loss specialty space, knowing that this shift would create financial noise in the short term as the platform unlocks tremendous potential to accelerate at scale,” Hims & Hers Chief Financial Officer Yemi Okupe told investors during the company’s first-quarter earnings call on Monday.
“Prior to our strategic shift, we have made meaningful investments in products, technology and other capabilities to support our GLP-1 formulation supply chain,” he said.
The company incurred $33 million in restructuring charges in the first quarter, the main component of which was write-downs related to its complex GLP-1 supply chain, which “now faces obsolescence risk,” Okupe said on the conference call.
“First quarter results were impacted by non-recurring restructuring costs related to our weight loss specialty strategic axis, transaction costs related to M&A activity, and litigation costs,” he said.
However, the company expects growth to accelerate as a result of this strategic shift in its weight loss business, and executives expect Hims & Hers to meet its goals. The company expects to generate at least $6.5 billion in revenue and $1.3 billion in adjusted EBITDA by 2030.
Hims & Hers expects net profit to recover in 2027, Okupe said.
“We believe the shift we have made to prioritize branded products within our weight loss specialty will be transformative for the Hims & Hers platform, and we are already seeing early signs of success,” he said.
“The introduction of branded products such as Wegovy Pills and Wegovy Pens has already significantly expanded our addressable market. Within weeks of this launch, we are on track to add over 100,000 new subscribers per month in our weight loss specialty,” Okupe told investors.
Hims & Hers CEO Andrew Dadham told investors and analysts on a conference call that within six weeks of introducing direct access to Novo Nordisk’s GLP-1 products to its platform, the company had achieved more than 125,000 shipments of Wegovy products.
Hims & Hers subscribers on the platform grew to nearly 2.6 million by the end of the first quarter, up 9% year over year. Average monthly online revenue per subscriber decreased to $80 from $85 in Q1 2025.
Gross margin was 65% in the first quarter of 2026 compared to 73% in the first quarter of 2025. Adjusted EBITDA was $44.3 million in the first quarter compared to $91.1 million in the first quarter of 2025.
The company’s U.S. sales fell 8% to $530 million in the first quarter, but international sales rose nearly 10 times in the quarter to $78 million. The company is investing heavily to expand its business into international markets. Last year, the company increased its presence in the UK with the acquisition of Zaba, as well as marking its entry into Germany, France, Ireland and Spain. The Livewell acquisition agreement expands the company’s presence into Canada.
In February, Hims & Hers announced plans to acquire Eucalyptus, Australia’s largest digital health provider, for $1.15 billion.
Mr. Dudum told investors that the company’s U.S. operations are positioned to accelerate as it introduces new specialties and moves its weight loss strategy to a “globally unified approach.”
“2026 is a defining year for Hims & Hers. We’re not just growing, we’re stepping back on our path to becoming the world’s largest consumer health platform,” he said. “After the first quarter, our domestic business accelerated, we expanded into new categories and countries, and more people than ever are trusting us for access to personal, data-driven care.”
Hims & Hers has ambitions to become the “default health and wellness provider in the United States,” Okupe said. “We are confident that we can replicate our established category leadership as well as our success in key international markets such as Canada, the UK, Australia and other European countries. Early signs are encouraging and give us great confidence in the long-term trajectory of the business,” he said.
In addition to its weight loss business, the company has seen growth in specialty areas such as testosterone, menopause, and testing. Hims & Hers launched a direct-to-consumer lab testing program for health biomarker testing in November. Last week, the company launched an artificial intelligence agent called Labs AI embedded in its platform to help interpret biomarker test results and provide users with personalized insights into their health status.
The company also plans to roll out an AI weight loss companion that will “proactively reach out at the right time, help customers achieve their desired results, and engage clinicians when their expertise is needed,” Hims & Hers Chief Technology Officer Mo El-Shenawy told investors and analysts on an earnings call.
The company is also investing in comprehensive data, diagnostics and technology infrastructure to enable more personalized services. In the first quarter, we completed the acquisition of YourBio Health, a Boston-based pioneer in capillary whole blood sampling technology.
“We expect to continue investing in technology in the near term as the benefits cascade across multiple areas of the platform. A more robust infrastructure will accelerate the pace at which we can deliver new features and services to consumers,” Okupe said.
“Closed-loop provider networks have tens of millions of customer touch points annually, accumulating powerful data sets that are becoming increasingly difficult to replicate. These investments will enable faster and more efficient geographic and product expansion, more valuable customer interactions, and deeper engagement with our platform,” Dudum told investors.
The company is also eyeing emerging categories such as peptides and hopes to drive regulation to expand access to peptides.
The company acquired a California-based peptide manufacturing facility in February 2025, creating a fully verticalized U.S. supply chain, executives said.
“Bringing API manufacturing domestically gives us end-to-end control over much more of the process, giving us an edge in quality, purity, reliability, and ultimately brand trust. I think this is incredibly difficult for others to match, but I think it’s going to become increasingly important as these treatments and therapeutics become more mass market,” Dudum said on the conference call.
The FDA’s Pharmacy Compounding Advisory Committee will now discuss whether certain peptides should be allowed to be used from compounding pharmacies, suggesting that the FDA’s 2023 decision could be reversed, as reported by Fierce Pharma.
“Our medical team believes that several peptide therapies have meaningful potential, and we are pleased that the FDA is moving to more clearly define what is safe and acceptable here,” Dudum said.
The company expects second-quarter revenue to be in the range of $680 million to $700 million, reflecting a year-over-year increase of 25% to 28%.
Himes & Haas raised its full-year 2026 revenue guidance to a range of $2.8 billion to $3.0 billion, representing 19% to 28% growth from 2025 levels, and updated its adjusted EBITDA guidance to a range of $275 million to $350 million.
