$HNST

Honest Company, Inc.

CIK:0001530979|SEC Filings

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Income Statement [Abstract]
Revenue	$ 83,303	$ 93,459	$ 161,402	$ 190,709
Cost of revenue	42,943	55,707	87,771	115,287
Gross profit	40,360	37,752	73,631	75,422
Operating expenses
Selling, general and administrative	14,967	20,352	32,436	41,393
Marketing	14,476	12,552	28,469	24,822
Restructuring	(383)	0	223	0
Research and development	1,722	1,960	3,584	3,812
Total operating expenses	30,782	34,864	64,712	70,027
Operating income	9,578	2,888	8,919	5,395
Interest and other income (expense), net	1,174	1,026	1,838	1,812
Income before provision for income taxes	10,752	3,914	10,757	7,207
Income tax provision	65	44	111	84
Net income	$ 10,687	$ 3,870	$ 10,646	$ 7,123
Net income per share attributable to common stockholders:
Basic (in dollars per share)	$ 0.10	$ 0.03	$ 0.10	$ 0.06
Diluted (in dollars per share)	$ 0.09	$ 0.03	$ 0.09	$ 0.06
Weighted-average shares used in computing net income per share attributable to common stockholders:
Basic (in shares)	110,734,911	110,991,363	111,771,587	110,275,931
Diluted (in shares)	113,106,023	114,041,772	113,355,168	114,310,420
Comprehensive income	$ 10,687	$ 3,870	$ 10,646	$ 7,123

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities
Net income	$ 10,646	$ 7,123
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization	1,344	1,458
Stock-based compensation	5,480	5,128
Amortization of operating ROU assets	3,277	3,293
Other	1,802	2,200
Changes in assets and liabilities:
Accounts receivable, net	(4,380)	(1,601)
Inventories	23,006	(11,386)
Prepaid expenses and other assets	(776)	1,012
Accounts payable, accrued expenses and other long-term liabilities	(323)	(6,462)
Deferred revenue	0	(218)
Operating lease liabilities	(2,307)	(4,230)
Net cash provided by (used in) operating activities	37,769	(3,683)
Cash flows from investing activities
Purchases of property and equipment	(2,498)	(143)
Net cash used in investing activities	(2,498)	(143)
Cash flows from financing activities
Repurchase of common stock	(19,061)	0
Proceeds from exercise of stock options	0	384
Proceeds from 2021 ESPP	108	85
Payments on finance lease liabilities	0	(1)
Net cash (used in) provided by financing activities	(18,953)	468
Net increase (decrease) in cash and cash equivalents	16,318	(3,358)
Cash and cash equivalents
Beginning of the period	89,581	75,435
End of the period	105,899	72,077
Supplemental disclosures of noncash activities
Capital expenditures included in accounts payable and accrued expenses	$ 79	$ 120

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Current assets
Cash and cash equivalents	$ 105,899	$ 89,581
Accounts receivable, net	38,093	33,761
Inventories	49,661	72,501
Prepaid expenses and other current assets	7,018	6,590
Total current assets	200,671	202,433
Operating lease right-of-use asset	8,074	11,351
Property and equipment, net	8,249	7,477
Goodwill	2,269	2,269
Intangible assets, net	127	162
Other assets	734	1,715
Total assets	220,124	225,407
Current liabilities
Accounts payable	17,832	15,134
Accrued expenses	33,068	35,685
Total current liabilities	50,900	50,819
Long term liabilities
Operating lease liabilities, net of current portion	2,204	4,919
Total liabilities	53,104	55,738
Commitments and contingencies (Note 7)
Stockholders’ equity
Preferred stock, $0.0001 par value, 20,000,000 shares authorized at June 30, 2026 and December 31, 2025, none issued or outstanding as of June 30, 2026 and December 31, 2025	0	0
Common stock, $0.0001 par value, 1,000,000,000 shares authorized at June 30, 2026 and December 31, 2025; 114,663,122 and 112,809,637 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively	11	11
Treasury stock, at cost, 5,575,583 and 0 shares as of June 30, 2026 and December 31, 2025, respectively	(18,882)	0
Additional paid-in capital	676,124	670,536
Accumulated deficit	(490,233)	(500,878)
Total stockholders’ equity	167,020	169,669
Total liabilities and stockholders’ equity	$ 220,124	$ 225,407