Telehealth company Hims & Hers Health (NYSE: HIMS) missed Wall Street’s revenue expectations in Q1 CY2026 as sales rose 3.8% year on year to $608.1 million. On the other hand, next quarter’s outlook exceeded expectations with revenue guided to $690 million at the midpoint, or 6% above analysts’ estimates. Its GAAP loss of $0.40 per share was significantly below analysts’ consensus estimates.
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Hims & Hers Health (HIMS) Q1 CY2026 Highlights:
- Revenue: $608.1 million vs analyst estimates of $616.8 million (3.8% year-on-year growth, 1.4% miss)
- EPS (GAAP): -$0.40 vs analyst estimates of $0.03 (significant miss)
- Adjusted EBITDA: $44.28 million vs analyst estimates of $45.44 million (7.3% margin, 2.6% miss)
- The company lifted its revenue guidance for the full year to $2.9 billion at the midpoint from $2.8 billion, a 3.6% increase
- EBITDA guidance for the full year is $312.5 million at the midpoint, below analyst estimates of $329.5 million
- Operating Margin: -12.9%, down from 9.9% in the same quarter last year
- Free Cash Flow Margin: 8.7%, similar to the same quarter last year
- Customers: 2.58 million, up from 2.51 million in the previous quarter
- Market Capitalization: $6.53 billion
Company Overview
Originally launched with a focus on stigmatized conditions like hair loss and sexual health, Hims & Hers Health (NYSE: HIMS) operates a consumer-focused telehealth platform that connects patients with healthcare providers for prescriptions and wellness products.
Revenue Growth
A company’s long-term sales performance can indicate its overall quality. Any business can put up a good quarter or two, but many enduring ones grow for years. Luckily, Hims & Hers Health’s sales grew at an incredible 69.2% compounded annual growth rate over the last five years. Its growth surpassed the average healthcare company and shows its offerings resonate with customers, a great starting point for our analysis.
We at StockStory place the most emphasis on long-term growth, but within healthcare, a half-decade historical view may miss recent innovations or disruptive industry trends. Hims & Hers Health’s annualized revenue growth of 57.2% over the last two years is below its five-year trend, but we still think the results suggest healthy demand. 
Hims & Hers Health also reports its number of customers, which reached 2.58 million in the latest quarter. Over the last two years, Hims & Hers Health’s customer base averaged 26.1% year-on-year growth. Because this number is lower than its revenue growth, we can see the average customer spent more money each year on the company’s products and services. 
This quarter, Hims & Hers Health’s revenue grew by 3.8% year on year to $608.1 million, falling short of Wall Street’s estimates. Company management is currently guiding for a 26.6% year-on-year increase in sales next quarter.
Looking further ahead, sell-side analysts expect revenue to grow 21.2% over the next 12 months, a deceleration versus the last two years. Despite the slowdown, this projection is healthy and suggests the market sees success for its products and services.
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Adjusted Operating Margin
Hims & Hers Health was profitable over the last five years but held back by its large cost base. Its average adjusted operating margin of 5.5% was weak for a healthcare business.
On the plus side, Hims & Hers Health’s adjusted operating margin rose by 17.9 percentage points over the last five years, as its sales growth gave it immense operating leverage. Zooming into its more recent performance, however, we can see the company’s margin has decreased by 1.6 percentage points on a two-year basis. Given its business quality, we’re optimistic that Hims & Hers Health can correct course and return to expansion.
In Q1, Hims & Hers Health generated an adjusted operating margin profit margin of negative 6.8%, down 20.9 percentage points year on year. This contraction shows it was less efficient because its expenses grew faster than its revenue.
Earnings Per Share
Revenue trends explain a company’s historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions.
Although Hims & Hers Health’s full-year earnings are still negative, it reduced its losses and improved its EPS by 33.4% annually over the last five years. The next few quarters will be critical for assessing its long-term profitability. We hope to see an inflection point soon.
In Q1, Hims & Hers Health reported EPS of negative $0.40, down from $0.20 in the same quarter last year. This print missed analysts’ estimates. Over the next 12 months, Wall Street is optimistic. Analysts forecast Hims & Hers Health’s full-year EPS of negative $0.09 will flip to positive $0.58.
Key Takeaways from Hims & Hers Health’s Q1 Results
We were impressed by Hims & Hers Health’s optimistic revenue guidance for next quarter, which blew past analysts’ expectations. We were also glad its full-year revenue guidance trumped Wall Street’s estimates. On the other hand, its EPS missed and its EBITDA guidance for next quarter fell short of Wall Street’s estimates. Overall, this was a softer quarter. The stock traded down 11.5% to $26.09 immediately following the results.
Hims & Hers Health may have had a tough quarter, but does that actually create an opportunity to invest right now? When making that decision, it’s important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here (it’s free).
