Hims & Hers Reports Q1 Revenue of $608M, Maintains 2025 Outlook Despite Wider Net Loss

Hims & Hers shares fell 15% in midday trading Tuesday after the telehealth company reported a widened first-quarter net loss and issued guidance that Citi analysts described as mixed. The company posted a net loss of $92 million in the first quarter, compared with $50 million in the prior-year quarter. Adjusted EBITDA dropped to $44 million from $91 million a year earlier.

Revenue rose 4% to $608 million. Average monthly revenue per subscriber slipped to $80 from $85 in the prior-year quarter. Hims & Hers expects second-quarter revenue between $680 million and $700 million.

It forecasts up to $3 billion in revenue for the full year and adjusted EBITDA of up to $350 million for the year. For the second quarter it forecast adjusted EBITDA of up to $55 million. The first quarter marked a transition phase as the company reduces reliance on compounded GLP-1 drugs, according to Citi analysts who noted that the Q2 outlook came in below their estimates.

Hims & Hers reached a deal with Novo Nordisk in March to sell its GLP-1 weight loss drug Wegovy on its platform. As part of the agreement the company committed to stop advertising compounded versions of the drug. Novo Nordisk said in February it would sue Hims for selling copycat versions of the Wegovy pill for $49.

"The action by Hims & Hers is illegal mass compounding that poses a significant risk to patient safety," Novo Nordisk stated at the time. Hims pulled the compounded pill shortly after the backlash.

Hims stock has often reacted strongly to any news that may affect its ability to sell weight loss drugs to consumers. The firm has faced controversy over its selling of copycat weight loss drugs via a regulatory loophole that enables companies other than the patent holder to sell a drug if it is in shortage.

Although the shortage was resolved, Hims continued selling its version of the drugs despite patent protection until 2032.

Novo even partnered with Hims last year to offer discounted treatments, but the deal ended quickly with Novo accusing Hims of deceptive marketing and raising concerns about patient safety. "It's a very different situation than the last time we did this," Novo CEO Mike Doustdar told CNBC in March.