Hims & Hers reports 57% revenue increase, launch of AI offering and more earnings news

Direct-to-consumer virtual care company Hims & Hers Health reported 57% year-over-year revenue in the third quarter of this year at $226.7 million, compared to $144.8 million in the same period last year.  

Net loss was $7.6 million in Q3 this year, down from $18.8 million in Q3 last year, and adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) was $12.3 million, compared to a $6.1 million loss in 2022’s third quarter.  

The company gained 1.4 million new subscribers in Q3 2023, up 56% from quarter three last year.

The California-based company raised its full-year revenue guidance for 2023 to range from $868 million to $873 million and its adjusted EBITDA guidance from $43 million to $46 million. 

It also announced the launch of a new AI-enabled offering currently in beta testing dubbed MedMatch, which provides healthcare providers with anonymized data points generated from the company’s customer database to help identify suitable treatments for patients suffering from anxiety and depression according to their individual needs. 

“We believe that key to our mission is building a foundation of innovative technologies that empower providers to deliver a level of clinical care unmatched by the traditional system,” Andrew Dudum, cofounder and CEO of Hims and Hers, said in a statement. 

“At the heart of our work is patient trust – trust in their provider, in their care plan, and in their treatment to work. MedMatch is an incredibly exciting step in transforming healthcare to truly serve the patient and, ultimately, give the patient confidence in their care.”

Butterfly Network, maker of a handheld, smartphone-connected ultrasound system, reported a total revenue of $15.4 million in the third quarter of 2023, down from $19.6 million in Q3 2022. 

U.S. revenue decreased 15% from the prior-year period to $10.4 million, and international sales declined 36% year-over-year to $3.8 million, which the company attributed to the one-time grant received from the Bill and Melinda Gates Foundation agreement.

Butterfly reported a net loss of $27.4 million for the third quarter this year compared to a $54.7 million loss in Q3 2022. 

Adjusted EBITDA in the third quarter totaled a loss of $12.5 million compared to a $31.8 million loss during the same period last year.

Gross profit for the third quarter of this year was $9.4 million, as opposed to $11 million in the same period last year. 

Total operating expenses for Q3 2023 were $41.9 million compared to $57 million in Q3 2022, a decrease of 26.4%, due to reductions in workforce and “non-payroll spend rationalization across all areas.” 

“Butterfly had a productive third quarter as we executed on our strategic plan and near-term initiatives while reducing losses and investing in growth. The completion of our reorganization and the investments we have made in our company will enable us to accelerate our return to growth while further fortifying our position as the leading point-of-care ultrasound company,” Joe DeVivo, Butterfly’s chairman and CEO, said in a statement.  

Teletherapy company Talkspace reported its third quarter financial results, showing a 32% increase in revenue over the prior-year period to $38.6 million, driven by an increase in B2B revenue and offset by a year-over-year decline in consumer revenue.

The company’s gross profit increased by 29% to 18.8 million, compared to the same time last year, and operating expenses were down 30% from the prior year, to $24 million. 

Net loss substantially improved in the third quarter of this year to $4.4 million, compared to $18 million last year, which the company said was driven by increased revenue and lower operating expenses. 

“The strong momentum in our payor business continues, driven by increasing demand for high-quality in-network benefits and enhanced engagement across our covered population,” Jon Cohen, CEO of Talkspace, said in a statement.  

“We grew our clinical network to support our current and future growth while driving further gains in access and quality metrics and improving network productivity. These enhancements and our relentless focus on innovation will drive our growth as we continue to expand in existing and new verticals.”