Segments

The CODM utilizes net income (loss) as the measure of segment profit or loss. The CODM uses net income (loss) to evaluate return on assets and decide whether to reinvest profits into the segment or into other new investment opportunities.

In addition to the consolidated statements of operations and comprehensive income (loss), the CODM is regularly provided with financial information that includes the following captions when assessing the performance and allocation of resources: cost of revenue, customer acquisition costs (comprising advertising and media costs associated with the Company’s efforts to acquire new customers, promote its brands, and build awareness for its products and services, including advertising in digital media, social media, television, radio, out-of-home media, and various other media outlets and excluding content production costs), employee compensation (comprising salaries and wages, benefits, taxes, and performance bonuses, and excluding stock-

based compensation) by operating expense caption, and stock-based compensation by operating expense caption. These are significant segment expenses, as they are regularly provided to the CODM.

The table below highlights the segment’s revenue, expenses, and net income (loss) for the years ended December 31, 2025, 2024, and 2023 (in thousands):


	Year Ended December 31,
	2025		2024		2023
Revenue	$	2,347,637	$	1,476,514	$	872,000
Less:
Cost of revenue	614,259		303,379		157,051
Customer acquisition costs	798,477		594,479		379,673
Employee compensation included within:
Marketing	42,406		35,672		26,530
Operations and support	113,417		73,239		48,192
Technology and development	60,948		39,565		24,322
General and administrative	74,514		48,189		40,990
Stock-based compensation included within:
Marketing	12,510		9,392		5,477
Operations and support	18,910		10,205		6,815
Technology and development	19,240		12,534		7,126
General and administrative	84,584		60,191		46,662
Depreciation and amortization expense included within operating expenses	51,194		15,350		9,515
Interest income and expense, net	(23,526)		(10,349)		(9,029)
Income tax (benefit) expense	(4,441)		(54,327)		1,975
Other segment items*	356,780		212,957		150,247
Segment net income (loss)	128,365		126,038		(23,546)
Reconciliation of profit or loss
Adjustments and reconciling items	—		—		—
Consolidated net income (loss)	$	128,365	$	126,038	$	(23,546)

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(*) Other segment items included in segment net income (loss) primarily consist of professional services, fulfillment, transaction processing, technology, and other general operating costs.

In addition to the segment’s operating results, the CODM is regularly provided with total assets as reported on the Company’s consolidated balance sheets as well as the expenditures for both purchases of property, equipment, and intangible assets, and investment in website development and internal-use software, which are reported on the Company’s consolidated statements of cash flows and totaled $242.6 million, $52.8 million, and $26.5 million during the years ended December 31, 2025, 2024, and 2023, respectively.

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.

Hims & Hers Health, Inc. Segments Disclosure

About Segments Disclosures

Other Available Disclosures