Hims & Hers Health, Inc.

Second-quarter revenue grew nearly 40% year over year to more than $753 million. Adjusted EBITDA was $60 million, with an 8% adjusted EBITDA margin, and gross margin was 64%, down approximately 6 points quarter over quarter on an adjusted basis. GAAP net loss was $86 million; operating cash flow was negative $36 million and free cash flow was negative $68 million. On a trailing 12-month basis, operating cash flow was over $260 million. Looking ahead, Q3 revenue is expected to be $880 million-$900 million, implying about 47% to 50% year-over-year growth, and adjusted EBITDA is expected to be $75 million-$95 million. For full-year 2026, revenue guidance was raised to $3.1 billion-$3.3 billion and adjusted EBITDA was guided to $275 million-$325 million. Management also said international revenue should be at least $600 million in 2026 and expected free cash flow generation to resume in the second half of the year. The company ended the quarter with more than $840 million of cash and short-term investments after the Eucalyptus payment, plus $225 million remaining on its share repurchase authorization.

Andrew Dudum framed the quarter as proof that Hims & Hers can combine profitable growth with a more personalized, AI-native healthcare experience. He emphasized three strategic pillars: AI and technology, the ability to serve more complex categories through its infrastructure, and global expansion through the Eucalyptus acquisition. His tone was highly confident and expansive, repeatedly saying the company is building something difficult to replicate and that the platform is moving toward being an everyday health partner across the full care journey.

Yemi Okupe focused on scale, margin tradeoffs, and the company’s funding position. He highlighted 64% gross margin, 8% adjusted EBITDA margin, and the impact of about $81 million of nonrecurring costs tied to Eucalyptus, restructuring, and FTC-related legal accruals. He said marketing as a percentage of revenue improved 5 points year over year to 34%, operating cash flow was temporarily pressured by working capital needs in branded weight loss, and the company added a $400 million receivables facility plus over $400 million of convertible debt to protect balance sheet flexibility. He also said AI investments should pay back within 12 to 18 months and that gross margins should remain below historical levels because branded weight loss and international are taking a larger share.

Analysts pressed on peptides, AI rollout, retention in branded weight loss, and the contribution of Eucalyptus. Management said it is waiting for full and final FDA rulemaking before launching 503A peptides, but has already begun validation and stability testing and expects to move quickly once allowed. On AI, management said Hers is the starting point because it is the most complex, high-engagement use case, and that the same system will roll out to Hims-side launches over the next couple of quarters. On retention, Yemi said it is tracking with expectations and that stronger engagement and lower cancellations in AI pilots support the case for better retention. On Eucalyptus, he said it contributed about $40 million of revenue in Q2 and is generally running near breakeven to moderately loss-making, with international markets expected to remain near breakeven as the company prioritizes scale.