UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
For the quarterly period ended
Commission File Number:
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation or organization) | (IRS Employer Identification No.) |
(Address of principal executive offices, including zip code)
(
(Registrant's telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading symbol | Name of each exchange on which registered |
|---|---|---|
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes
As of March 31, 2026, the registrant had
Form type: 10-Q
Period end: 2026-03-31
| Three Months Ended March 31, 2026 | Three Months Ended March 31, 2025 | |
|---|---|---|
| Revenue | ||
| Total Revenue | ||
| Cost of revenue | 211,317,000 | 155,321,000 |
| Total COGS | ||
| Gross Profit | ||
| Amortization of intangible assets | ||
| General and administrative | ||
| Other operating expenses | ||
| Selling and marketing | ||
| Total operating expenses | ||
| Operating income | - | |
| Other income (expense) | ||
| Other income (expense), net | - | |
| Income before income taxes | - | |
| Income tax expense (benefit) | - | |
| Net Income | - | |
| Basic earnings per share | - | |
| Diluted earnings per share | - | |
| Weighted average shares outstanding, basic | ||
| Weighted average shares outstanding, diluted | ||
| Three Months Ended March 31, 2026 | Three Months Ended March 31, 2025 | |
|---|---|---|
| Net income | -92,115,000 | 49,485,000 |
| Other comprehensive income (loss), net of tax | - | |
| Comprehensive income | - |
| March 31, 2026 | December 31, 2025 | |
|---|---|---|
| Assets | ||
| Current assets | ||
| Accounts receivable | 32,100,000 | |
| Cash and cash equivalents | ||
| Inventory | ||
| Prepaid expenses and other current assets | ||
| Short-term investments | ||
| Other current assets (derived) | ||
| Total current assets | ||
| Noncurrent assets | ||
| Deferred tax assets | ||
| Goodwill | ||
| Intangible assets, net | ||
| Long-term investments | 0 | 351,263,000 |
| Operating lease right-of-use assets | ||
| Other noncurrent assets | ||
| Property equipment and software net | ||
| Total noncurrent assets | ||
| Total Assets | ||
| Liabilities | ||
| Current liabilities | ||
| Accounts payable | ||
| Accrued compensation | ||
| Accrued liabilities | ||
| Deferred revenue | ||
| Earn out liabilities | ||
| Operating lease liabilities, current | ||
| Taxes payable | ||
| Other current liabilities (derived) | ||
| Total current liabilities | ||
| Noncurrent liabilities | ||
| Deferred tax liabilities | ||
| Earn out liability | ||
| Earn out payable | 0 | |
| Long-term debt | ||
| Operating lease liabilities, noncurrent | ||
| Other noncurrent liabilities | ||
| Other liabilities (derived) | ||
| Total noncurrent liabilities | ||
| Total Liabilities | ||
| Equity | ||
| Accumulated other comprehensive income (loss) | - | |
| Additional paid-in capital | ||
| Common stock | ||
| Retained earnings (accumulated deficit) | - | - |
| Total Equity | ||
| Total liabilities and equity | ||
| Three Months Ended March 31, 2026 | Three Months Ended March 31, 2025 | |
|---|---|---|
| Operating activities | ||
| Net income | - | |
| Depreciation and amortization | ||
| Stock-based compensation | ||
| Deferred income taxes | - | - |
| Other noncash items, net | ||
| Change in inventories | - | - |
| Change in prepaid expenses and other assets | - | |
| Change in accounts payable | ||
| Change in contract liabilities | ||
| Change in accrued liabilities | ||
| Changes in operating assets and liabilities, net | - | |
| Net cash from operating activities | ||
| Investing activities | ||
| Proceeds from sales of available-for-sale securities | ||
| Proceeds from maturities, prepayments and calls of available-for-sale securities | ||
| Other investing activities (derived) | - | - |
| Net cash from investing activities | - | - |
| Financing activities | ||
| Tax withholding payments for share-based compensation | - | - |
| Proceeds from exercise of stock options | ||
| Other financing activities (derived) | - | - |
| Repurchases of common stock | ||
| Net cash from financing activities | - | - |
| Effect of exchange rate changes on cash | - | |
| Net change in cash | - | |
| Cash at beginning of period | 221,440,000 | |
| Cash at end of period | 274,959,000 | |
| Supplemental cash flow information | ||
| Cash paid for interest | ||
| Cash paid for income taxes | - | |
| Supplemental disclosure of noncash investing and financing activities | ||
| Capital expenditures incurred but not yet paid | ||
| Common stock | Additional paid-in capital | Retained earnings (accumulated deficit) | Accumulated other comprehensive income (loss) | Total | |
|---|---|---|---|---|---|
| Balance at December 31, 2024 | 22,000 | 719,155,000 | -242,137,000 | -324,000 | 476,716,000 |
| Net income | |||||
| Other equity movements | 0 | 22,900,000 | 0 | 160,000 | 23,060,000 |
| Balance at March 31, 2025 | 22,000 | 742,055,000 | -192,652,000 | -164,000 | 549,261,000 |
| Balance at December 31, 2025 | - | ||||
| Net income | - | - | |||
| Other equity movements | 0 | 4,053,000 | 0 | -6,699,000 | -2,646,000 |
| Balance at March 31, 2026 | - | - |
Hims & Hers Health, Inc. is a public reporting company classified under Services-Offices & Clinics of Doctors of Medicine, and its principal products, services, markets, and strategy are described in its prior SEC filings. Hims & Hers Health, Inc. is a public reporting company classified under Services-Offices & Clinics of Doctors of Medicine. Its principal products, services, markets, and strategy are described in its prior SEC filings. The accompanying condensed financial statements as of and for the interim period ended March 31, 2026 are unaudited, have been prepared from the Company's connected books, and the results for the interim period are not necessarily indicative of the results to be expected for the full year. Interim statements are unaudited, prepared from the connected books, and results are not necessarily indicative of a full year. In the opinion of management, the unaudited condensed financial statements reflect all adjustments necessary for a fair statement of the results for the period presented. [COMPLETE: fiscal year-end and reference to the most recent audited annual financial statements]
Revenue for the period was $608,104,000 compared to $586,010,000 in the prior period, an increase of 3.8%, while cost of revenue increased 36.1% to $211,317,000 from $155,321,000. Revenue: current $608104000, prior $586010000, delta 3.8% Cost of revenue: current $211317000, prior $155321000, delta 36.1%. Deferred revenue, representing amounts billed in advance of performance, was $165,132,000 at period end compared to $110,765,000 in the prior period. Deferred revenue: current $165132000, prior $110765000, delta 49.1%. The Company recorded a net loss of $92,115,000 for the period, which included an income tax benefit of $9,436,000 compared to income tax expense of $11,010,000 in the prior period, reflecting an effective tax rate of 9.3%. Net income: $-92115000 Income tax expense (benefit): current $-9436000, prior $11010000 Effective tax rate 9.3%. Basic and diluted net loss per share were each $(0.40), computed using 228,357,303 weighted-average basic shares outstanding; potentially dilutive securities were excluded from the diluted computation because their effect would have been anti-dilutive given the net loss. Earnings per share: basic EPS $-0.40; diluted EPS $-0.40; weighted basic shares 228,357,303.
As of March 31, 2026, the Company had long-term debt of $974,106,000, compared to no long-term debt outstanding in the prior period, and total liabilities of $1,820,876,000. Long-term debt: current $974106000, prior $0 Total debt: $1820876000. [COMPLETE: description of the debt instruments, including issuance date, principal terms, interest rate, maturity, covenants and carrying value reconciliation] Operating lease liabilities totaled $157,931,000 on a present value basis, consisting of a current portion of $5,579,000 and a noncurrent portion of $152,352,000, with corresponding operating lease right-of-use assets of $144,247,000 compared to $62,198,000 in the prior period. present value of operating lease liabilities $157,931,000.00 Operating lease liabilities, current: $5,579,000.00; Operating lease liabilities, noncurrent: $152,352,000.00 Operating lease right-of-use assets: current $144247000, prior $62198000. Future undiscounted lease payments were $10,695,000 for the remainder of the fiscal year, $16,899,000 within one year, $17,114,000 in year two, $17,432,000 in year three, $17,750,000 in year four and $151,625,000 thereafter, for total undiscounted lease payments of $231,515,000, less imputed interest of $73,584,000. Operating leases: Remainder of fiscal year $10,695,000.00; Within one year $16,899,000.00; Year two $17,114,000.00; Year three $17,432,000.00; Year four $17,750,000.00; Thereafter $151,625,000.00; total undiscounted lease payments $231,515,000.00; imputed interest $73,584,000.00. The weighted-average remaining lease term was 12.7 years and the weighted-average discount rate was 6.0%; operating lease cost was $5,000,000, variable lease cost was $400,000, cash paid for amounts included in the measurement of operating lease liabilities was $1,900,000, and right-of-use assets obtained in exchange for operating lease liabilities were $9,518,000 during the period. weighted average remaining lease term 12.7 years; weighted average discount rate 6.0%; operating lease cost $5,000,000.00; variable lease cost $400,000.00; cash paid for amounts included in the measurement of operating lease liabilities $1,900,000.00; right-of-use assets obtained in exchange for operating lease liabilities $9,518,000.00.
Total stockholders' equity was $446,167,000 as of March 31, 2026, consisting of common stock of $23,000, additional paid-in capital of $656,436,000, an accumulated deficit of $205,887,000 and accumulated other comprehensive loss of $4,405,000. Stockholders' equity: Accumulated other comprehensive income (loss): $-4,405,000.00; Additional paid-in capital: $656,436,000.00; Common stock: $23,000.00; Retained earnings (accumulated deficit): $-205,887,000.00 Total equity: $446167000. Additional paid-in capital decreased 11.5% from $742,055,000 in the prior period, the accumulated deficit increased from $192,652,000, and accumulated other comprehensive loss increased from $164,000 in the prior period. Additional paid-in capital: current $656436000, prior $742055000, delta -11.5% Retained earnings (accumulated deficit): current $-205887000, prior $-192652000 Accumulated other comprehensive income (loss): current $-4405000, prior $-164000. Total share-based compensation expense recognized in the period was $36,862,000 compared to $24,858,000 in the prior period. Share-based compensation: total expense $36,862,000.00 (prior $24,858,000.00). [COMPLETE: description of share repurchase activity, equity award activity and other components of the change in additional paid-in capital during the period]
The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and the applicable rules and regulations of the Securities and Exchange Commission. In the opinion of management, the financial statements reflect all adjustments necessary for a fair statement of the financial position, results of operations, and cash flows for the periods presented.
The financial statements include the accounts of the Company and its consolidated subsidiaries, if any. All intercompany balances and transactions have been eliminated in consolidation.
Inventories are stated at the lower of cost and net realizable value.
Receivables are recorded at the amounts contractually due from customers and other counterparties, net of any allowance for amounts not expected to be collected.
Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. When the carrying amount of an asset or asset group is not recoverable, an impairment loss is recognized for the amount by which the carrying amount exceeds fair value.
The Company determines whether an arrangement is or contains a lease at inception. For leases with terms greater than twelve months, a right-of-use asset and a corresponding lease liability are recognized at the lease commencement date, measured at the present value of the remaining lease payments over the lease term.
Debt is carried at amortized cost. Debt issuance costs and discounts or premiums are presented as an adjustment to the carrying amount of the related debt and amortized to interest expense over the contractual term of the debt.
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences of temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases, measured using enacted tax rates expected to apply in the years in which those temporary differences are expected to be recovered or settled. A valuation allowance is recognized when it is more likely than not that some portion of the deferred tax assets will not be realized.
Share-based compensation is measured at the grant-date fair value of the award and recognized as expense over the requisite service period of the award.
Basic earnings per share is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock, except when the effect would be antidilutive.
Advertising and marketing costs are expensed as incurred and are included in operating expenses in the statements of operations.
The financial statements of operations whose functional currency is not the U.S. dollar are translated into U.S. dollars using period-end exchange rates for assets and liabilities and average exchange rates for revenues and expenses, with the resulting translation adjustments reported as a component of other comprehensive income (loss). Gains and losses arising from transactions denominated in a currency other than the functional currency are recognized in earnings in the period they arise.
Equity instruments issued by the Company are classified in stockholders' equity based on their terms. The components of stockholders' equity and the changes in those components for the periods presented are set forth in the equity note.
The Company evaluates the applicability and impact of Accounting Standards Updates issued by the Financial Accounting Standards Board as they are issued. Adopted updates and updates not yet effective are not expected to have a material effect on the financial statements, except as otherwise described in these notes.
| Current | Prior | |
|---|---|---|
| Long-term debt | ||
| Operating lease liabilities, current | ||
| Operating lease liabilities, noncurrent | ||
| Total debt | 1,132,037,000 | 1,120,590,000 |
| Current | Prior | |
|---|---|---|
| Gross carrying amount | ||
| Net carrying amount |
| Amount | |
|---|---|
| Remainder of fiscal year | |
| Next twelve months | |
| Year two | |
| Year three | |
| Year four |
| Current | Prior | |
|---|---|---|
| Amortization expense | 12,500,000 | 2,100,000 |
| Current | Prior | |
|---|---|---|
| Accumulated other comprehensive income (loss) | - | |
| Additional paid-in capital | ||
| Common stock | ||
| Retained earnings (accumulated deficit) | - | - |
| Total stockholders' equity | 446,167,000 | 540,928,000 |
| Current | Prior | |
|---|---|---|
| Weighted average shares outstanding, basic | ||
| Weighted average shares outstanding, diluted | ||
| Basic earnings per share | -0.40 | 0.22 |
| Diluted earnings per share | - |
| Amount | |
|---|---|
| Remainder of fiscal year | |
| Within one year | |
| Year two | |
| Year three | |
| Year four | |
| Thereafter | 151,625,000 |
| Total undiscounted lease payments | |
| Less imputed interest | |
| Present value of operating lease liabilities | |
| Weighted average remaining lease term (years) | |
| Weighted average discount rate |
| Current | Prior | |
|---|---|---|
| Operating lease cost | ||
| Variable lease cost | ||
| Cash paid for amounts included in the measurement of operating lease liabilities | ||
| Right-of-use assets obtained in exchange for operating lease liabilities |
| Current | Prior | |
|---|---|---|
| Effective tax rate |
| Current | Prior | |
|---|---|---|
| Deferred tax assets, gross | ||
| Operating loss carryforwards | ||
| Share-based compensation | ||
| Other deferred tax assets | ||
| Valuation allowance | ||
| Deferred tax assets, net | ||
| Reserves and accruals | ||
| Goodwill and intangible assets | ||
| State and local operating loss carryforwards | ||
| Foreign tax credit carryforwards | ||
| Inventory | ||
| Domestic operating loss carryforwards | ||
| Foreign operating loss carryforwards | ||
| Research tax credit carryforwards | ||
| Deferred income tax liabilities | ||
| Property and equipment | ||
| Other deferred tax liabilities | ||
| Leasing arrangements | ||
| Intangible assets | ||
| Prepaid expenses | ||
| Unrealized gains on trading securities | ||
| Net deferred tax position |
| Amount | |
|---|---|
| Balance at beginning of period |
| Current | Prior | |
|---|---|---|
| Accrued interest and penalties |
| Current | Prior | |
|---|---|---|
| Total share-based compensation expense |
| Current | Prior | |
|---|---|---|
| Other nonoperating income (expense), net |
Hims & Hers Health, Inc. is a public reporting company classified under Services-Offices & Clinics of Doctors of Medicine. Our management primarily uses the Subscribers and Monthly Revenue per Average Subscriber metric to manage and monitor the performance of our business. Increases or decreases in these key business metrics may not correspond with increases or decreases in our revenue, and we continually and strategically review our key business metrics to ensure that they are helpful in managing or monitoring the performance of our business as it grows, which may result in changes in our key business metrics over time. The following discussion compares our results for the three months ended March 31, 2026 to the comparable prior-year period and should be read together with our condensed consolidated financial statements. For the period, we reported a net loss of $92.1 million, or $0.40 per basic share, based on 228,357,303 weighted-average basic shares outstanding.
Revenue increased 3.8% to $608.1 million from $586.0 million in the prior-year period, an increase of approximately $22.1 million [COMPLETE: describe the subscriber and pricing drivers of the revenue increase]. Cost of revenue increased 36.1% to $211.3 million from $155.3 million, an increase of approximately $56.0 million that outpaced revenue growth and reduced gross profit as a percentage of revenue to approximately 65% from approximately 74% in the prior-year period [COMPLETE: describe drivers of the cost of revenue increase]. Selling and marketing expense decreased 4.0% to $222.0 million from $231.2 million, a decrease of approximately $9.2 million. General and administrative expense increased 125.6% to $109.7 million from $48.6 million, an increase of approximately $61.1 million, and other operating expenses increased 44.1% to $130.9 million from $90.8 million, an increase of approximately $40.1 million [COMPLETE: describe drivers of the general and administrative and other operating expense increases, including any acquisition-related costs]. Amortization of intangible assets increased to $12.5 million from $2.1 million, consistent with the increase in intangible assets, net, to $261.0 million from $43.4 million and the increase in goodwill to $342.8 million from $117.8 million. Other expense, net was $23.2 million compared to other income, net of $2.6 million in the prior-year period, reflecting in part the interest cost associated with long-term debt of $974.1 million outstanding at period end, compared to none in the prior-year period. We recorded an income tax benefit of $9.4 million compared to income tax expense of $11.0 million in the prior-year period.
As of March 31, 2026, we had cash and cash equivalents of $222.3 million compared to $273.7 million in the prior-year period, a decrease of approximately $51.5 million, and short-term investments of $528.6 million compared to $48.9 million, an increase of approximately $479.7 million. During the period we had $974.1 million of long-term debt outstanding, and we recorded earn out obligations totaling approximately $49.6 million, comprising earn out liabilities of $10.4 million, earn out liability of $12.3 million and earn out payable of $26.9 million, with no comparable balances in the prior-year period. Deferred revenue increased 49.1% to $165.1 million from $110.8 million, and accounts payable increased 181.7% to $306.9 million from $108.9 million, while property, equipment and software, net was $333.8 million at period end. [COMPLETE: describe cash flows from operating, investing and financing activities, including the source and terms of the long-term debt]. We believe that our existing cash, cash equivalents and short-term investments will be sufficient to meet our working capital, debt service and capital expenditure requirements for at least the next twelve months [COMPLETE: confirm management's liquidity assessment]. Our primary market risk exposure is interest rate risk on cash, cash equivalents, and short-term investments, and we do not have material foreign currency or commodity price exposure. We are involved in legal proceedings arising in the ordinary course of business from time to time, and management does not currently believe any pending matter is material to the financial statements.
We are exposed to market risk in the ordinary course of our business, and our primary market risk exposure is interest rate risk on cash, cash equivalents, and short-term investments. As of March 31, 2026, we held cash and cash equivalents of approximately $222.3 million and short-term investments of approximately $528.6 million, compared with approximately $273.7 million and $48.9 million, respectively, as of the end of the prior period. The increase in short-term investments of approximately 980% over the prior period, together with the decrease in cash and cash equivalents of approximately 18.8%, reflects a shift in the composition of our liquid assets toward interest-bearing instruments and has correspondingly increased the sensitivity of our interest income to changes in prevailing rates. A hypothetical change in interest rates would primarily affect the interest income we earn on these balances and the fair value of our investment portfolio. [COMPLETE: quantified effect of a hypothetical 100 basis point change in interest rates on interest income and on the fair value of short-term investments as of March 31, 2026, and a statement of the types and maturities of securities held.]
As of March 31, 2026, we also had long-term debt of approximately $974.1 million outstanding, compared with no long-term debt outstanding as of the end of the prior period. [COMPLETE: description of the interest rate terms of the long-term debt, including whether the debt bears interest at fixed or variable rates, the extent to which its fair value is sensitive to changes in market interest rates, and any related sensitivity analysis.] Our operating lease liabilities, comprising approximately $5.6 million classified as current and approximately $152.4 million classified as noncurrent as of March 31, 2026, are measured using discount rates established at lease commencement and therefore are not remeasured for subsequent changes in market interest rates.
We do not have material foreign currency or commodity price exposure. Although our Rest of the World Revenue increased to approximately $134.0 million for the year ended December 31, 2025, from approximately $26.8 million for the year ended December 31, 2024, an increase of 399%, the substantial majority of our revenue continues to be generated in the United States, which totaled approximately $2,213.6 million for the year ended December 31, 2025. Accordingly, we do not currently believe that fluctuations in foreign currency exchange rates or commodity prices would have a material effect on our financial condition or results of operations, and we do not currently hedge these exposures. We will continue to monitor our market risk exposures and may evaluate hedging or other risk management strategies in the future if our exposures become material.
Our management, with the participation of our principal executive officer and principal financial officer, is responsible for establishing and maintaining disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, and evaluated the effectiveness of those disclosure controls and procedures as of the end of the period covered by this report, Hims & Hers Health, Inc.'s quarterly report for the period ended 2026-03-31. Management evaluated disclosure controls and procedures as of the end of the period and concluded they were effective at the reasonable assurance level. Based on that evaluation, our principal executive officer and principal financial officer concluded that, as of March 31, 2026, our disclosure controls and procedures were effective at the reasonable assurance level to ensure that information required to be disclosed in the reports we file or submit under the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in the SEC's rules and forms, and is accumulated and communicated to our management as appropriate to allow timely decisions regarding required disclosure. [COMPLETE: management to review and formally adopt the foregoing conclusion language prior to filing]
Our management is also responsible for establishing and maintaining internal control over financial reporting, as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act, and our principal financial officer, Okupe Oluyemi, and our principal executive officer have certified this report accordingly. No changes materially affected internal control over financial reporting during the quarter. Accordingly, there were no changes in our internal control over financial reporting during the three months ended March 31, 2026 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
Our management, including our principal executive officer and principal financial officer, does not expect that our disclosure controls and procedures or our internal control over financial reporting will prevent or detect all errors and all fraud. A control system, no matter how well designed and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met, and the design of any control system must reflect the fact that there are resource constraints and that the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, have been detected, and projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions or that the degree of compliance with policies or procedures may deteriorate.
From time to time, we are involved in legal proceedings arising in the ordinary course of business. These matters may include claims and disputes of the type ordinarily encountered by companies operating in our industry. Management does not currently believe that any pending matter is material to our financial statements.
The outcome of litigation and other legal matters is inherently uncertain, and we cannot predict with certainty the ultimate resolution of any pending or future matter. Based on information currently available, however, we do not believe that the resolution of any pending matter will have a material adverse effect on our financial statements as of or for the period ended March 31, 2026. We will continue to monitor developments in these matters and will disclose any proceeding that becomes material in accordance with applicable SEC requirements.
Our business has a history of net losses, and we may not achieve or sustain profitability. For the period ended March 31, 2026, we generated revenue of $608,104,000 and recorded a net loss of $92,115,000, and revenue increased only 3.8% from $586,010,000 in the prior period while our accumulated deficit widened to $205,887,000 from $192,652,000. General and administrative expenses rose to $109,668,000 from $48,610,000, amortization of intangible assets increased to $12,500,000 from $2,100,000, and cost of revenue increased to $211,317,000 from $155,321,000, outpacing revenue growth. We also recorded an income tax benefit of $9,436,000 compared with income tax expense of $11,010,000 in the prior period, and our deferred tax assets increased to $92,091,000 from $62,493,000; if we are unable to generate sufficient future taxable income, we may be required to record valuation allowances against these assets. As a public reporting company classified under Services-Offices & Clinics of Doctors of Medicine, we operate in a highly regulated environment, and our ability to control costs while continuing to grow subscribers and revenue is subject to significant uncertainty.
Our recent acquisitions and related indebtedness expose us to integration, impairment, and leverage risks. Goodwill increased to $342,838,000 from $117,753,000 and intangible assets, net increased to $261,034,000 from $43,431,000, and we recorded earn out liabilities of $10,362,000, an earn out liability of $12,287,000, and an earn out payable of $26,944,000 that did not exist in the prior period. If acquired businesses fail to perform as anticipated, we may be required to record impairment charges or make contingent payments in excess of our current estimates. We incurred long-term debt of $974,106,000 during the period, compared with none in the prior period, and our total liabilities were $1,820,876,000 against total equity of $446,167,000. Our lease obligations also expanded, with noncurrent operating lease liabilities increasing to $152,352,000 from $59,648,000 and property, equipment and software, net reaching $333,845,000 from none in the prior period. This indebtedness and these fixed commitments could limit our operating flexibility, require us to dedicate a substantial portion of cash flow to debt service, and increase our vulnerability to adverse economic or industry conditions. Rest of the World revenue grew 399% in the year ended December 31, 2025, and continued international expansion subjects us to additional regulatory, operational, and compliance risks in unfamiliar jurisdictions.
Our financial position and results are also subject to market, legal, and control-related risks. Our primary market risk exposure is interest rate risk on cash, cash equivalents, and short-term investments, and we do not have material foreign currency or commodity price exposure. Cash and cash equivalents declined to $222,266,000 from $273,736,000 while short-term investments increased to $528,609,000 from $48,935,000, and a decline in interest rates or an adverse change in the credit quality of our investments could reduce investment income or the fair value of our portfolio. We are involved in legal proceedings arising in the ordinary course of business from time to time, and management does not currently believe any pending matter is material to the financial statements; however, the outcome of litigation is inherently uncertain and an adverse result could harm our business. Management evaluated our disclosure controls and procedures as of the end of the period and concluded they were effective at the reasonable assurance level, and no changes materially affected internal control over financial reporting during the quarter, but any future failure to maintain effective controls, particularly as we integrate acquired operations, could impair our ability to report financial results accurately and timely. [COMPLETE: reference to Item 1A of the Annual Report on Form 10-K and confirmation of whether any other material changes to previously disclosed risk factors have occurred]
During the three months ended March 31, 2026, the following disclosure is provided by Hims & Hers Health, Inc. pursuant to Item 408(a) of Regulation S-K regarding the adoption or termination of Rule 10b5-1 trading arrangements by the company's directors and officers. [COMPLETE: Rule 10b5-1 trading arrangement adoptions and terminations from the D&O questionnaires]