Hims & Hers Health’s third quarter results prompted a positive market reaction as the company delivered strong revenue growth driven by surging demand for personalized care, new specialty launches, and expanding international reach. Management credited its vertically integrated compounding infrastructure and the transition to multi-condition daily treatments for fueling scale and efficiency. CEO Andrew Dudum highlighted that “subscribers using personalized solutions grew 50% year-over-year,” underscoring the company’s evolution from serving narrow health needs to supporting a broad array of conditions. The company’s ability to leverage its growing customer base for improved engagement and operational learnings featured prominently in its assessment of the quarter.
Is now the time to buy HIMS? Find out in our full research report (it’s free for active Edge members).
Hims & Hers Health (HIMS) Q3 CY2025 Highlights:
- Revenue: $599 million vs analyst estimates of $579.6 million (49.2% year-on-year growth, 3.3% beat)
- Adjusted EPS: $0.28 vs analyst estimates of $0.23 (20.4% beat)
- Adjusted EBITDA: $78.37 million vs analyst estimates of $68.04 million (13.1% margin, 15.2% beat)
- Revenue Guidance for Q4 CY2025 is $615 million at the midpoint, below analyst estimates of $631.6 million
- EBITDA guidance for the full year is $312 million at the midpoint, below analyst estimates of $316.8 million
- Operating Margin: 2%, down from 5.6% in the same quarter last year
- Customers: 2.47 million, up from 2.44 million in the previous quarter
- Market Capitalization: $9.34 billion
While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Hims & Hers Health’s Q3 Earnings Call
- Justin Patterson (KeyBanc Capital Markets) asked about the impact of new diagnostic capabilities on product expansion and marketing strategy. CEO Andrew Dudum responded that diagnostics will accelerate hyper-personalization and shift the brand toward proactive wellness, requiring broader marketing approaches.
- Maria Ripps (Canaccord Genuity) inquired about the GLP-1 portfolio and price sensitivity. Dudum emphasized the importance of broad treatment options, while CFO Yemi Okupe explained that price reductions and operational verticalization are designed to improve accessibility and retention.
- Craig Hettenbach (Morgan Stanley) sought details on the growth drivers for Hers and the impact of menopause products. Dudum described a diverse set of drivers across legacy and new specialties, with diagnostics and hormonal care expected to expand the subscriber base.
- Brian Tanquilut (Jefferies) questioned capital allocation between buybacks and business investment. Okupe noted strong cash flows allow for continued investment in growth while opportunistically repurchasing shares during valuation disconnects.
- Ryan MacDonald (Needham) asked about international expansion and the integration of Zava. Dudum stated that demand for personalized health care is consistent globally and that localized adaptations will support scalable growth in new markets.
Catalysts in Upcoming Quarters
In the quarters ahead, StockStory analysts will closely track (1) the rollout and adoption rates of whole body lab testing and the planned longevity specialty, (2) the normalization of margins as verticalization and fulfillment investments mature, and (3) progress in expanding reach across Canada and Europe with tailored clinical networks. Execution on these fronts will be crucial for sustaining growth and delivering on management’s long-term targets.
Hims & Hers Health currently trades at $41.29, down from $44.38 just before the earnings. At this price, is it a buy or sell? See for yourself in our full research report (it’s free for active Edge members).
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