Hims and his health The shares fell 18% in the negotiation extended on Monday after investors looked beyond the better income and profits than expected and focused on the gross disappointing margin.
This is how the company did, compared to the consensus estimates of the LSE analysts:
- Profit per action: 11 cents vs. 10 expected cents
- Revenue: $ 481 million compared to $ 470 million expected
Revenue at the Telealth company increased 95% in the fourth quarter of $ 246.6 million during the same period last year, according to a statement.
However, the gross margin of the company, or the gain that remained after accounting for the cost of the goods sold was 77%, while the analysts surveyed by Streetacount waited 78.4%.
It is the second great fall of actions for him and for her in a matter of days. The shares fell 26% on Friday after the United States Food and Medicines Administration announced that the scarcity of semaglutidal injection products has been resolved.
In May, Hims & Hers began to prescribe composite semaglutida, the active ingredient in the GLP-1 medications of Novo Nordisk Ozempic and Wogovy. The company was a breakout star within the digital health sector in 2024, partly due to the success of its new and popular weight loss offer.
The company said its GLP-1 offer generated more than $ 225 million in revenues in 2024. The shares rose around 200% for the year.
Composite medications are personalized alternatives to brand medications designed to meet the needs of a specific patient, and compounds can occur when brand name treatments are scarcity. The FDA said Friday that it will begin to take measures against the compounds of violations in the next 60 to 90 days.
Hims & Hers said in the gain call as a result, the compound semaglutida will probably not be offered on the platform after the first quarter.
“We will have to start notifying customers in the next month or two who must start looking for alternative options in commercial dosage,” said the CEO of Hims & Hers, Andrew Dudum, in the call. “I would suspect, just be very direct, that many of these patients will try to go to the open market and try to ensure a brand option in some form factor.”
Some patients can still access the compound semaglutid if it is clinically necessary, the company added.
The company's weight loss offers will be composed mainly of its oral medications and the liraglutida of generic medicines, which plans to introduce on its platform this year. Excluding the contributions of the compound semaglutida, Hims & Hers said that it hopes that the weight loss offer will generate at least $ 725 million in revenues in 2025.
Hims & Hers also offers treatments for skin care, mental health, sexual health and hair care.
Income for products that are not LPG-1 increased 43% to $ 1.2 billion for the whole year “, fulfilling our previous income target of 2025 a year earlier,” said Financial Director YEMI OKUPE in a statement.
“The success we are experiencing is a direct reflection of our improvement ability to democratize access to high quality personalized attention in each of our specialties,” Okupe said.
The net income rose to $ 26,01 million, or 11 cents per share, of $ 1.25 million, or 1 penny per share, a previous year. The company reported adjusted profits of $ 54.1 million, complying with analysts' estimates, according to Streetacount.
For the first quarter, Hims & Hers expect to inform revenues from $ 520 million to $ 540 million, while analysts waited $ 497 million. Added profits will be between $ 55 million and $ 65 million for the period, said the company.
HIMS & HERS will organize your quarterly call with investors at 5:00 pm et.
– Brandon Gómez de CNBC contributed to this report.
