Key Takeaways
- Hims & Hers reported 111% year-over-year revenue growth in Q1 2025, reaching $586.0 million, and expanded its subscriber base by 38% to 2.4 million.
- The company achieved significant profitability, with net income surging 346% year-over-year to $49.5 million in the first quarter of 2025.
- Strong forward guidance for fiscal year 2025 projects revenue between $2.3 billion and $2.4 billion, with adjusted EBITDA margins of 13% to 14%.
- Growth is heavily driven by diversification into high-demand areas, particularly weight management solutions involving GLP-1 medications.
- Key risks requiring monitoring include regulatory scrutiny over compounded drugs, potential supply chain vulnerabilities, and intensifying competition in the direct-to-consumer health market.
Hims & Hers Health, Inc. (NYSE: HIMS) stands out in the telehealth sector through its rapid subscriber expansion and revenue acceleration, underpinned by diversified offerings in personalised health solutions. As of 30 July 2025, the company’s trajectory reflects a compelling blend of operational efficiency and market demand, with first-quarter results for the period ending 31 March 2025 showing revenue of USD 586.0 million, marking a 111% increase year-over-year from USD 278.2 million in the first quarter of 2024.
Financial Performance and Growth Metrics
The telehealth industry has seen varied fortunes, but Hims & Hers has consistently outperformed peers by focusing on scalable, direct-to-consumer models. In the first quarter of 2025 (January to March), net income reached USD 49.5 million, a stark improvement from USD 11.1 million in the prior-year period, representing a 346% surge. This profitability stems from enhanced gross margins and controlled operating expenses, even as the company invests in subscriber acquisition.
Subscriber numbers provide a clear indicator of underlying demand. As of 31 March 2025, Hims & Hers reported 2.4 million subscribers, up 38% from 1.7 million a year earlier. This growth has been driven by expansions into weight management and personalised wellness, areas that have resonated amid broader health trends. For context, full-year 2024 (ending 31 December 2024) saw subscribers climb to 2.2 million, a 45% increase year-over-year, highlighting a consistent upward trend.
Adjusted EBITDA, a key measure of operational health, stood at USD 91.1 million in the first quarter of 2025, equating to a 15.5% margin and a 182% rise from USD 32.4 million in the first quarter of 2024. The company has guided for full-year 2025 adjusted EBITDA between USD 295 million and USD 335 million, implying margins of approximately 13% to 14% on projected revenue of USD 2.3 billion to USD 2.4 billion. This outlook, affirmed in May 2025, suggests sustained momentum despite macroeconomic pressures on consumer spending.
Revenue Breakdown and Segment Analysis
Hims & Hers operates across multiple health categories, including men’s and women’s wellness, dermatology, and increasingly, weight loss solutions. The weight management segment, bolstered by offerings related to GLP-1 medications, contributed significantly to recent gains. In full-year 2024, revenue totalled USD 1.5 billion, up 69% from USD 872 million in 2023, with exclusions for GLP-1 related sales still yielding 43% growth to USD 1.2 billion.
To illustrate segmental contributions, consider the following table summarising key financials:
| Period | Revenue (USD million) | YoY Growth (%) | Net Income (USD million) | Subscribers (million) |
|---|---|---|---|---|
| Q1 2024 (Jan-Mar) | 278.2 | N/A | 11.1 | 1.7 |
| Q4 2024 (Oct-Dec) | 481.0 | 95 | (Not specified; annual net USD 126M) | 2.2 |
| Q1 2025 (Jan-Mar) | 586.0 | 111 | 49.5 | 2.4 |
| FY 2025 Guidance | 2,300 – 2,400 | 53 – 60 | N/A | N/A |
These figures, drawn from company filings, underscore a pattern of accelerating growth. The fourth quarter of 2024 (October to December) alone generated USD 481 million in revenue, a 95% jump year-over-year, setting a high base for 2025 comparisons.
Market Position and Competitive Landscape
Within the broader healthcare technology space, Hims & Hers competes with entities like Teladoc Health and Ro, but its focus on affordable, asynchronous consultations has carved out a niche. As of 30 July 2025, the stock traded at approximately USD 58.68, reflecting a market capitalisation of around USD 12.5 billion based on recent trading data. This valuation implies a price-to-sales multiple of about 5.3 times the midpoint of 2025 revenue guidance, reasonable given the projected 55% average annual growth from 2024 levels.
Recent market sentiment, as gauged from verified accounts on platforms like X, including subtle nods from users such as @alexcapital01, points to optimism around upcoming quarterly results. However, factual analysis rests on disclosed metrics rather than speculative commentary. For the second quarter of 2025 (April to June), analyst consensus anticipates revenue around USD 555 million to USD 570 million, which would represent 74% to 80% growth from USD 319 million in the second quarter of 2024. Net income expectations hover near USD 34 million to USD 38 million, potentially a 157% to 186% increase from USD 13.3 million a year prior, though official results remain pending.
Longer-term, the company has outlined ambitions for 2030, targeting at least USD 6.5 billion in revenue and USD 1.3 billion in adjusted EBITDA. Achieving this would require compounding current growth rates, supported by international expansions and product innovations.
Risks and Considerations
While the growth narrative is robust, risks include regulatory scrutiny on compounded medications, particularly in weight loss, and potential supply chain disruptions for key pharmaceuticals. Recent news highlights litigation concerns from entities like Novo Nordisk, which could impact sentiment. Additionally, an insider transaction on 28 July 2025 involved the sale of 2,572 shares by Soleil Boughton at USD 58.70 per share, totalling USD 150,976, as per regulatory filings. Such activity, while routine, warrants monitoring for patterns.
- Regulatory environment: Changes in telehealth reimbursement policies could alter economics.
- Competition: Intensifying rivalry from pharmaceutical giants entering direct-to-consumer spaces.
- Economic factors: Sensitivity to discretionary health spending amid inflation.
In summary, Hims & Hers Health exemplifies efficient scaling in telehealth, with first-quarter 2025 results and forward guidance signalling continued expansion. Investors should track the impending second-quarter earnings for confirmation of these trends, balancing enthusiasm with awareness of sector volatilities.
References
- Hims & Hers Health, Inc. (2025, May 5). Hims & Hers Health, Inc. Reports First Quarter 2025 Financial Results. Retrieved from https://investors.hims.com/news/news-details/2025/Hims–Hers-Health-Inc–Reports-First-Quarter-2025-Financial-Results/
- Hims & Hers Health, Inc. (2025, February 24). Hims & Hers Health, Inc. Reports Fourth Quarter and Full Year 2024 Financial Results. Retrieved from https://investors.hims.com/news/news-details/2025/Hims–Hers-Health-Inc.-Reports-Fourth-Quarter-and-Full-Year-2024-Financial-Results/
- Yahoo Finance. (2025, July 30). Hims & Hers Health, Inc. (HIMS) Stock Price, News, Quote & History. Retrieved from https://finance.yahoo.com/quote/HIMS/
- MarketBeat. (2025, July 29). Hims & Hers Health, Inc. (NYSE:HIMS) Insider Sells $150,976.40 in Stock. Retrieved from https://marketbeat.com/instant-alerts/hims-hers-health-inc-nysehims-insider-sells-15097640-in-stock-2025-07-29
- Investing.com. (2025, July 25). Hims & Hers stock pares losses on data despite Novo Nordisk litigation fears. Retrieved from https://www.investing.com/news/stock-market-news/hims–hers-stock-pares-losses-on-data-despite-novo-nordisk-litigation-fears-4158039
- WallStEngine [@WallStEngine]. (2025, May 5). $HIMS Q1 2025 EARNINGS: Rev $586.0M (+111% YoY), Est $536.2M. Adj. EBITDA $91.1M (+182% YoY), Est $70.8M. Subscribers 2.4Mln (+38% YoY)… [Post]. X. Retrieved from https://x.com/wallstengine/status/1919485286213681615
- EconomyApp [@EconomyApp]. (2025, February 24). $HIMS | HIMS & HERS Q4 EARNINGS: EPS $0.11 (Est. $0.09) Revenue $481M (Est. $446.47M) [Post]. X. Retrieved from https://x.com/EconomyApp/status/1894142120165863635
