Hims & Hers Health (NYSE:HIMS) executives used the company’s fourth-quarter and full-year 2025 earnings call to emphasize expanding scale, broader specialty breadth, and accelerating international growth, while also addressing scrutiny around compounded GLP-1s and outlining 2026 expectations.
Platform growth and product expansion
Co-founder and CEO Andrew Dudum reiterated the company’s mission to make “high-touch, personalized care accessible to millions of people,” arguing that healthcare is moving toward a more consumer-oriented distribution model. Dudum described GLP-1s as a “case study” in shifting market dynamics, citing U.S. prices for injectable GLP-1s falling more than 80% over the last 18 months as evidence of pressure for better access and pricing.
Dudum said the company has increased its speed to market. Historically, it aimed to launch one new specialty per year, and older offerings took three to four years to surpass $100 million in annual revenue. In contrast, he said the weight loss offering reached a $100 million revenue run rate in under seven months after launch (excluding compounded GLP-1 contributions). Within three months in 2025, Hims & Hers launched labs and hormone therapies supporting low testosterone, menopause, and perimenopause.
Management cited early indicators for the newer entry points:
- Dudum said more than 70% of lab customers may be eligible for treatment plans available on the platform.
- He said more than 95% of individuals using testosterone support experienced an increase in testosterone levels within two months, with an average increase of over 80%.
International expansion and acquisitions
Hims & Hers highlighted international expansion as a major strategic focus. Dudum noted that the acquisition of Zava expanded the company’s presence in the U.K. and enabled entry into Germany, France, Ireland, and Spain, while the acquisition of Livewell extended its reach into Canada.
He also discussed a recently announced agreement to acquire Eucalyptus, which would add markets including Australia and Japan. Dudum said the company believes international business can scale to more than $1 billion in annual revenue within three years with “deliberate investment and execution.” In Q&A, he described an ambition to target “10 key most critical markets” and to unify the Hims and Hers brand across major markets within one to two years, with a “North Star” of $1 billion-plus in incremental international revenue in the next few years.
2025 financial results and subscriber economics
CFO Yemi Okupe said subscriber growth and deepening engagement drove financial performance in 2025. He reported that approximately 65% of subscribers, or 1.6 million people, were using a personalized treatment by the end of 2025, and that nearly 1 million net new subscribers have been added since the end of 2023 as the company increased investment in personalized offerings.
Okupe reported fourth-quarter revenue of $618 million, up 28% year-over-year. Full-year 2025 revenue was $2.35 billion, up 59% year-over-year. Monthly revenue per average subscriber increased 11% year-over-year to $83 in the fourth quarter.
On profitability, Okupe said full-year 2025 adjusted EBITDA rose nearly 80% to $318 million, with adjusted EBITDA margin expanding to 14%. Fourth-quarter adjusted EBITDA was $66 million, an 11% margin. Gross margin in the fourth quarter declined about two points sequentially to 72%, which Okupe attributed to a mix of factors including a growing revenue contribution from international markets, launch expenses for new specialties, and pressure from shorter shipping cadences in weight loss that management had discussed previously.
Marketing as a percentage of revenue was 39% in the fourth quarter and full year, a seven-point year-over-year improvement, which Okupe tied to brand investments driving more lower-cost and non-paid acquisition channels and retention improvements. He also noted technology and development costs rose to 7% of revenue for both the quarter and year, reflecting investment in engineering and AI talent.
Net income for 2025 was $128 million. The company generated $300 million in operating cash flow and more than $57 million in free cash flow, ending 2025 with $929 million of cash and investments. Okupe said the company invested more than $225 million in discretionary capex in 2025, entered agreements totaling more than $330 million in acquisition consideration, and repurchased roughly $90 million of stock in 2025 (including $80 million in the fourth quarter at an average price of $39).
2026 outlook and GLP-1-related timing impacts
Okupe provided initial 2026 guidance excluding the Eucalyptus transaction. For the first quarter, the company expects revenue of $600 million to $625 million (up 2% to 7% year-over-year) and adjusted EBITDA of $35 million to $55 million. For full-year 2026, management expects revenue of $2.7 billion to $2.9 billion (up 15% to 24%) and adjusted EBITDA of $300 million to $375 million.
Key assumptions discussed on the call included:
- An estimated $65 million first-quarter revenue headwind tied to a change in shipping cadences in the weight loss business following a shift to 503A fulfillment, which management said affects revenue recognition timing, not demand.
- Additional first-quarter EBITDA pressure from a 60-second Super Bowl ad, with management reiterating a framework targeting a marketing payback period of less than one year.
- Incremental scaling of newer offerings such as low testosterone, menopausal support, and labs throughout 2026.
- Increased prioritization of product experience, technology, and AI capabilities.
- At least $200 million of revenue contribution from international markets in 2026 in the company’s initial outlook, with potential for at least an additional $200 million in the second half if Eucalyptus closes as expected.
Regulatory scrutiny, compounding, and product assortment
Executives fielded multiple questions about compounded GLP-1s and regulatory scrutiny. Dudum said management does not view the company as dependent on a single treatment, noting that the “majority” of revenue and profitability is driven by offerings outside of weight loss and that patients on compounded GLP-1s represent a small minority of subscribers.
Asked about durability in U.S. weight loss if compounding were restricted, Dudum pointed to an “increasing range of assortment” and said he expects many additional treatments to come to market over the next two to three years. He said Hims & Hers plans to keep evolving offerings to match patient needs, including branded and other therapies, and cited the company’s early scaling in weight loss even before compounded GLP-1s were part of the business line.
On questions about a pill launch that was later pulled, Dudum said the company pulled it back to prioritize engagement and relationships with ecosystem stakeholders and said the company continues to welcome conversations with regulators, while adding he could not share details on any ongoing discussions.
About Hims & Hers Health (NYSE:HIMS)
Hims & Hers Health, Inc is a telehealth platform providing direct-to-consumer personal care products and virtual medical services in the United States. Operating under the Hims & Hers brand, the company offers an integrated digital experience that connects users with licensed healthcare providers, enabling online consultations and prescriptions for a range of conditions. Its telemedicine infrastructure supports both prescription medications and over-the-counter products, with home delivery to patients’ doorsteps.
The company’s product portfolio addresses key areas of men’s and women’s health, including hair loss treatments, sexual wellness therapies, skincare regimens and mental health support.
