Hims & Hers $HIMS ( ▲ 6.13% ) delivered a mixed earnings report, topping profit expectations but missing on revenue and issuing underwhelming guidance all while navigating legal turmoil tied to its controversial copy of Novo Nordisk’s weight-loss drug. The telehealth company earned $0.08 per share versus expectations of $0.04, but revenue of $617.8 million came in slightly below forecasts.
Shares slipped after hours, adding to a brutal year in which the stock has already lost more than half its value.
The GLP-1 gamble backfires
Much of the drama centers on the company’s attempt to capitalize on the weight-loss drug boom by offering compounded versions of Novo Nordisk’s treatments. That strategy triggered a patent lawsuit from Novo and potential scrutiny from regulators, forcing Hims to pull back the rollout and focus on damage control.
Executives insist the business isn’t dependent on these drugs, noting that most subscribers use other treatments. Still, the controversy has overshadowed what was supposed to be a major growth engine.
Growth abroad, thinner margins ahead
Looking forward, the company expects 2026 revenue of $2.7 billion to $2.9 billion roughly in line with expectations but profitability guidance disappointed, partly because Hims plans to sacrifice margins to win international market share.
Expansion is accelerating overseas through acquisitions and new launches, including entry into markets like Australia, Japan, Canada, and parts of Europe. International revenue has already surged, jumping to $133.9 million in 2025 from just $26.8 million the year before.
Diversifying beyond weight loss
To reduce reliance on the GLP-1 frenzy, Hims is pushing into new categories such as hormone therapy, diagnostics, recovery treatments, sleep solutions, and peptide therapies. The company also added lab services including a cancer detection test as it tries to evolve into a broader digital health platform.
Bottom line: Hims is still growing, but the path forward looks bumpier. Legal risks, margin pressure, and shifting strategy mean investors are no longer treating it like a straightforward telehealth success story.