Honest Co Q2 FY26 net income rises to $10.7 million; revenue drops 10.9% to $83.3 million
HNST•Margins and outlook
Gross margin widened 8 percentage points to 48.4%, helped by tariff refunds, favorable mix, and benefits from strategic exits.
Underlying adjusted EBITDA (non-GAAP) edged up to $7.8 million, with margin improving 1.6 percentage points to 9.8%.
Full-year revenue outlook was raised to $319 million-$325 million, with adjusted EBITDA (non-GAAP) guided at $23 million-$25 million.
Q2 revenue and net income
The Honest Company posted Q2 revenue of $83.3 million, down 10.9% from a year earlier.
GAAP net income rose to $10.7 million, lifting diluted EPS to $0.09.
