The Honest Company, Inc. (HNST) Financials
A multiple compares the market's price with a filed figure; it says what the market pays, not how the business is doing. The market capitalization is the vendor's as of Oct 9, 2026; every other figure is from the SEC filings on this page. Not financial advice.
Newest figures come from the 10-Q for Q2 FY2026, filed Aug 5, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the HNST SEC filings page.
The Honest Company, Inc. (HNST) reported $342.0M in revenue over the twelve months to Jun 30, 2026, down 12.3% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 7 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
The business now converts losses into cash more often, but FY2025 shows its margin improvement remains uneven.
Operating cash flow changed direction from-$76.3M in FY2022 to$19.4M in FY2023, showing the business can release cash before reporting profit. In FY2025, operating cash flow of$15.1M alongside a net loss of$15.7M points to non-cash or working-capital support for cash conversion, not yet self-funded earnings.
Gross margin expanded from
Liabilities fell from
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of The Honest Company, Inc.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
The Honest Company, Inc. has an operating margin of -5.0%, meaning the company loses $5 on every $100 of revenue. This results in a profitability score of 31/100. This is down from -1.7% the prior year.
The Honest Company, Inc.'s revenue declined 1.9% year-over-year, from $378.3M to $371.3M. This contraction results in a growth score of 44/100.
The Honest Company, Inc. carries a low D/E ratio of 0.33, meaning only $0.33 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 68/100, indicating a strong balance sheet with room for future borrowing.
With a current ratio of 3.98, The Honest Company, Inc. holds $3.98 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 87/100.
The Honest Company, Inc. has a free cash flow margin of 3.7%, earning a moderate score of 37/100. The company generates positive cash flow after capital investments, but with room for improvement.
The Honest Company, Inc. posts a -9.3% return on equity (ROE), meaning it loses $9 for every $100 of shareholders' equity. This results in a returns score of 27/100. This is down from -3.5% the prior year.
The Honest Company, Inc. scores 4.93, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($543.9M) relative to total liabilities ($55.7M). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
The Honest Company, Inc. passes 4 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 2 of 4 profitability signals pass, 1 of 2 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.
The Honest Company, Inc. reported a net loss of $15.7M while generating $15.1M in operating cash flow. Operations generated cash despite the loss, but with no positive earnings behind it, the ratio between the two carries no quality signal.
Key Financial Metrics
Earnings & Revenue
The Honest Company, Inc. generated $83.3M in revenue in Q2 2026. This represents a decrease of 10.9% from the same quarter a year earlier. Against the prior quarter it is up 6.7%.
The Honest Company, Inc.'s EBITDA was $10.3M in Q2 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 183.2% from the same quarter a year earlier. Against the prior quarter it is up 79146.2%.
The Honest Company, Inc. reported $10.7M in net income in Q2 2026. This represents an increase of 176.1% from the same quarter a year earlier. Against the prior quarter it is up 25545.2%.
The Honest Company, Inc. earned $0.09 per diluted share (EPS) in Q2 2026. This represents an increase of 200.0% from the same quarter a year earlier.
Cash & Balance Sheet
The Honest Company, Inc. generated $31.5M in free cash flow in Q2 2026, representing cash available after capex. This represents an increase of 3911.7% from the same quarter a year earlier. Against the prior quarter it is up 731.6%.
The Honest Company, Inc. held $105.9M in cash as of Q2 2026; long-term debt is not reported for that period.
Not reported for Q2 2026.
Margins & Returns
The Honest Company, Inc.'s gross margin was 48.4% in Q2 2026, indicating the percentage of revenue retained after direct costs. This is up 8.1 percentage points from the same quarter a year earlier. Against the prior quarter it is up 5.8 percentage points.
The Honest Company, Inc.'s operating margin was 11.5% in Q2 2026, reflecting core business profitability. This is up 8.4 percentage points from the same quarter a year earlier. Against the prior quarter it is up 12.3 percentage points.
The Honest Company, Inc.'s net profit margin was 12.8% in Q2 2026, showing the share of revenue converted to profit. This is up 8.7 percentage points from the same quarter a year earlier. Against the prior quarter it is up 12.9 percentage points.
The Honest Company, Inc.'s ROE was 6.4% in Q2 2026, measuring profit generated per dollar of shareholder equity. This is up 4.3 percentage points from the same quarter a year earlier. Against the prior quarter it is up 6.4 percentage points.
Capital Allocation
The Honest Company, Inc. invested $1.7M in research and development in Q2 2026. This represents a decrease of 12.1% from the same quarter a year earlier. Against the prior quarter it is down 7.5%.
The Honest Company, Inc. spent $16.1M on share buybacks in Q2 2026, returning capital to shareholders by reducing shares outstanding. Against the prior quarter it is up 435.4%.
The Honest Company, Inc. invested $762K in capex in Q2 2026, funding long-term assets and infrastructure. This represents an increase of 840.7% from the same quarter a year earlier. Against the prior quarter it is down 56.1%.
HNST Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Revenue | $83.3M-10.9% | $78.1M-19.7% | $88.0M-11.8% | $92.6M-6.7% | $93.5M+0.4% | $97.3M+12.8% | $99.8M+10.6% | $99.2M+15.2% |
| Cost of Revenue | $42.9M-22.9% | $44.8M-24.8% | $74.2M+21.5% | $58.1M-4.5% | $55.7M-3.0% | $59.6M+9.7% | $61.1M+1.7% | $60.8M+3.2% |
| Gross Profit | $40.4M+6.9% | $33.3M-11.7% | $13.8M-64.3% | $34.5M-10.2% | $37.8M+6.0% | $37.7M+18.2% | $38.8M+28.3% | $38.4M+41.1% |
| R&D Expenses | $1.7M-12.1% | $1.9M+0.5% | $1.8M+7.0% | $1.7M-2.4% | $2.0M+14.4% | $1.9M+10.2% | $1.7M+8.8% | $1.7M+10.0% |
| SG&A Expenses | $15.0M-26.5% | $17.5M-17.0% | $20.4M-23.6% | $17.7M-24.5% | $20.4M-23.0% | $21.0M-6.2% | $26.8M+36.7% | $23.4M-3.0% |
| Operating Income | $9.6M+231.6% | -$659K-126.3% | -$24.2M-2251.1% | $313K+449.1% | $2.9M+171.4% | $2.5M+290.6% | -$1.0M-191.1% | $57K+100.7% |
| EBITDA | $10.3M+183.2% | -$13K-100.4% | -$23.4M-7296.8% | $1.0M+35.6% | $3.6M+208.8% | $3.2M+639.1% | -$317K-117.2% | $763K+110.4% |
| Income Tax | $65K+47.7% | $46K+15.0% | $10K-44.4% | $110K+478.9% | $44K+238.5% | $40K+60.0% | $18K | $19K-45.7% |
| Net Income | $10.7M+176.1% | -$42K-101.3% | -$23.6M-2813.2% | $758K+359.4% | $3.9M+194.9% | $3.3M+331.9% | -$809K-170.8% | $165K+102.0% |
| EPS (Basic) | $0.10+233.3% | $0.00-100.0% | -$0.21-2000.0% | $0.01 | $0.03+175.0% | $0.03+400.0% | -$0.01-200.0% | $0.00+100.0% |
| EPS (Diluted) | $0.09+200.0% | $0.00-100.0% | -$0.21-2000.0% | $0.01 | $0.03+175.0% | $0.03+400.0% | -$0.01-200.0% | $0.00+100.0% |
| Diluted Shares (Avg) | 113M-0.8% | 113M-1.5% | N/A | 114M+8.7% | 114M+15.1% | 115M+19.0% | N/A | 105M+9.9% |
Not reported in any period shown, so not listed: Interest Expense.
HNST Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $220.1M-11.6% | $214.9M-19.0% | $225.4M-8.9% | $241.5M+15.5% | $249.0M+24.4% | $265.3M+33.9% | $247.4M+22.7% | $209.2M+7.0% |
| Current Assets | $200.7M-9.2% | $192.8M-17.8% | $202.4M-5.4% | $216.2M+24.7% | $220.9M+36.2% | $234.6M+50.0% | $213.9M+35.6% | $173.3M+15.9% |
| Cash & Equivalents | $105.9M+46.9% | $90.4M+24.1% | $89.6M+18.8% | $71.5M+33.7% | $72.1M+97.0% | $72.8M+116.8% | $75.4M+129.8% | $53.4M+131.3% |
| Short-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Inventory | $49.7M-47.7% | $61.2M-32.2% | $72.5M-15.0% | $93.9M+25.6% | $95.0M+29.0% | $90.3M+21.2% | $85.3M+16.0% | $74.7M-6.0% |
| Long-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Goodwill | $2.3M+1.7% | $2.3M+1.7% | $2.3M+1.7% | $2.2M0.0% | $2.2M0.0% | $2.2M0.0% | $2.2M0.0% | $2.2M0.0% |
| Total Liabilities | $53.1M-14.3% | $45.8M-46.0% | $55.7M-23.7% | $51.4M-31.8% | $62.0M-12.0% | $84.9M+15.9% | $73.1M-6.9% | $75.3M-0.3% |
| Current Liabilities | $50.9M-4.4% | $42.8M-42.2% | $50.8M-15.1% | $44.9M-25.2% | $53.3M+0.6% | $74.0M+37.8% | $59.9M+5.6% | $60.0M+16.4% |
| Non-Current Liabilities | $2.2M-74.8% | $3.1M-72.0% | $4.9M-62.7% | $6.5M-57.8% | $8.7M-50.2% | $11.0M-44.0% | $13.2M-39.4% | $15.4M-36.0% |
| Total Equity | $167.0M-10.7% | $169.1M-6.2% | $169.7M-2.7% | $190.2M+42.1% | $187.0M+44.2% | $180.4M+44.6% | $174.3M+41.6% | $133.9M+11.5% |
| Retained Earnings | -$490.2M-2.5% | -$500.9M-3.9% | -$500.9M-3.2% | -$477.3M+1.5% | -$478.1M+1.3% | -$481.9M-0.3% | -$485.2M-1.3% | -$484.4M-0.9% |
Not reported in any period shown, so not listed: Accounts Receivable, Long-Term Debt.
HNST Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $32.2M+4428.5% | $5.5M+288.0% | $19.3M+214.8% | -$504K-103.3% | -$745K-125.3% | -$2.9M-974.4% | -$16.8M-269.6% | $15.1M+165.9% |
| Depreciation & Amortization | $698K-5.8% | $646K-9.9% | $721K+1.4% | $722K+2.3% | $741K+4.5% | $717K0.0% | $711K-1.1% | $706K+3.7% |
| Stock-Based Compensation | $3.0M+11.0% | $2.5M+2.2% | N/A | $2.4M+10.8% | $2.7M-69.5% | $2.4M-4.4% | N/A | $2.2M-41.6% |
| Capital Expenditures | $762K+840.7% | $1.7M+2700.0% | $1.2M+260.4% | $120K+29.0% | $81K+440.0% | $62K-18.4% | $346K+38.4% | $93K-76.9% |
| Free Cash Flow | $31.5M+3911.7% | $3.8M+226.2% | $18.1M+205.2% | -$624K-104.2% | -$826K-128.2% | -$3.0M-1253.8% | -$17.2M-277.5% | $15.0M+184.4% |
| Investing Cash Flow | -$762K-840.7% | -$1.7M-2700.0% | -$1.2M-260.4% | -$120K-29.0% | -$81K-440.0% | -$62K+18.4% | -$346K-33.1% | -$93K+76.9% |
| Financing Cash Flow | -$16.0M-18868.2% | -$3.0M-883.3% | $67K-99.8% | $0-100.0% | $85K+9.0% | $383K-23.1% | $39.2M+63069.4% | $1.9M+14376.9% |
| Share Buybacks | $16.1M | $3.0M | N/A | N/A | $0 | $0 | N/A | N/A |
Not reported in any period shown, so not listed: Dividends Paid.
HNST Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 48.4%+8.1pp | 42.6%+3.9pp | 15.7%-23.1pp | 37.3%-1.4pp | 40.4%+2.1pp | 38.7%+1.8pp | 38.8%+5.3pp | 38.7%+7.1pp |
| Operating Margin | 11.5%+8.4pp | -0.8%-3.4pp | -27.5%-26.4pp | 0.3%+0.3pp | 3.1%+7.4pp | 2.6%+4.1pp | -1.0%-2.3pp | 0.1%+9.3pp |
| Net Margin | 12.8%+8.7pp | -0.1%-3.4pp | -26.8%-26.0pp | 0.8%+0.7pp | 4.1%+8.5pp | 3.4%+5.0pp | -0.8%-2.1pp | 0.2%+9.6pp |
| Return on Equity | 6.4%+4.3pp | 0.0%-1.8pp | -13.9%-13.4pp | 0.4%+0.3pp | 2.1%+5.2pp | 1.8%+2.9pp | -0.5%-1.4pp | 0.1%+6.9pp |
| Return on Assets | 4.9%+3.3pp | 0.0%-1.3pp | -10.5%-10.1pp | 0.3%+0.2pp | 1.6%+3.6pp | 1.2%+1.9pp | -0.3%-0.9pp | 0.1%+4.2pp |
| Current Ratio | 3.94-0.2x | 4.51+1.3x | 3.98+0.4x | 4.82+1.9x | 4.15+1.1x | 3.17+0.3x | 3.57+0.8x | 2.890.0x |
| Debt-to-Equity | 0.320.0x | 0.27-0.2x | 0.33-0.1x | 0.27-0.3x | 0.33-0.2x | 0.47-0.1x | 0.42-0.2x | 0.56-0.1x |
| Asset Turnover | 0.380.0x | 0.360.0x | 0.390.0x | 0.38-0.1x | 0.38-0.1x | 0.37-0.1x | 0.400.0x | 0.470.0x |
| FCF Margin | 37.8%+38.7pp | 4.9%+7.9pp | 20.5%+37.7pp | -0.7%-15.8pp | -0.9%-4.0pp | -3.1%-3.4pp | -17.2%-27.9pp | 15.1%+9.0pp |
Similar Companies
Newest fiscal year on record for each company. The health score is the peer-relative Financial Health Score for that year; a dash means no score is published for it.
| Company | Fiscal year | Revenue | Net income | Net margin | Market cap | Health score |
|---|---|---|---|---|---|---|
| The Honest Company, Inc. HNST | FY2025 | $371.3M | -$15.7M | -4.2% | $543.9M | 49/100 |
| NuSkin Enterprises, Inc. NUS | FY2025 | $1.5B | $160.2M | 10.8% | $232.2M | 40/100 |
| Helen Of Troy Ltd HELE | FY2026 | $1.8B | -$899.0M | -50.3% | $621.0M | 32/100 |
| SkinHealth Systems Inc. SKIN | FY2025 | $300.8M | -$9.5M | -3.2% | $74.0M | 29/100 |
| Edgewell Personal Care Company EPC | FY2025 | $2.2B | $25.4M | 1.1% | $1.3B | 37/100 |
| Yatsen Holding Limited YSG | FY2025 | $614.6M | -$11.6M | -1.9% | $235.4M | 50/100 |
Where The Honest Company, Inc. Ranks
Frequently Asked Questions
What is The Honest Company, Inc.'s annual revenue?
The Honest Company, Inc. (HNST) reported $371.3M in total revenue for fiscal year 2025. This represents a -1.9% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is The Honest Company, Inc.'s revenue growing?
The Honest Company, Inc. (HNST) revenue declined by 1.9% year-over-year, from $378.3M to $371.3M in fiscal year 2025.
Is The Honest Company, Inc. profitable?
No, The Honest Company, Inc. (HNST) reported a net income of -$15.7M in fiscal year 2025, with a net profit margin of -4.2%.
What is The Honest Company, Inc.'s EBITDA?
The Honest Company, Inc. (HNST) had EBITDA of -$15.6M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
What is The Honest Company, Inc.'s gross margin?
The Honest Company, Inc. (HNST) had a gross margin of 33.3% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is The Honest Company, Inc.'s operating margin?
The Honest Company, Inc. (HNST) had an operating margin of -5.0% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is The Honest Company, Inc.'s net profit margin?
The Honest Company, Inc. (HNST) had a net profit margin of -4.2% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is The Honest Company, Inc.'s return on equity (ROE)?
The Honest Company, Inc. (HNST) has a return on equity of -9.3% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is The Honest Company, Inc.'s free cash flow?
The Honest Company, Inc. (HNST) generated $13.6M in free cash flow during fiscal year 2025. This represents a 1246.3% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is The Honest Company, Inc.'s operating cash flow?
The Honest Company, Inc. (HNST) generated $15.1M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are The Honest Company, Inc.'s total assets?
The Honest Company, Inc. (HNST) had $225.4M in total assets as of fiscal year 2025, including both current and long-term assets.
What are The Honest Company, Inc.'s capital expenditures?
The Honest Company, Inc. (HNST) invested $1.5M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does The Honest Company, Inc. spend on research and development?
The Honest Company, Inc. (HNST) invested $7.3M in research and development during fiscal year 2025.
What is The Honest Company, Inc.'s current ratio?
The Honest Company, Inc. (HNST) had a current ratio of 3.98 as of fiscal year 2025, which is generally considered healthy.
What is The Honest Company, Inc.'s debt-to-equity ratio?
The Honest Company, Inc. (HNST) had a debt-to-equity ratio of 0.33 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is The Honest Company, Inc.'s return on assets (ROA)?
The Honest Company, Inc. (HNST) had a return on assets of -7.0% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is The Honest Company, Inc.'s P/E ratio?
The Honest Company, Inc. (HNST) has no price-to-earnings ratio at the moment: net loss, so no earnings multiple (trailing 12 months to June 30, 2026). The market capitalization is $543.9M as of Oct 9, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is The Honest Company, Inc.'s price-to-sales ratio?
The Honest Company, Inc. (HNST) trades at 1.6x sales, its market capitalization divided by revenue of $342.0M revenue, trailing 12 months to June 30, 2026. The market capitalization is $543.9M as of Oct 9, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is The Honest Company, Inc.'s Altman Z-Score?
The Honest Company, Inc. (HNST) has an Altman Z-Score of 4.93, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is The Honest Company, Inc.'s Piotroski F-Score?
The Honest Company, Inc. (HNST) has a Piotroski F-Score of 4 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are The Honest Company, Inc.'s earnings high quality?
The Honest Company, Inc. (HNST) reported a net loss of $15.7M while generating $15.1M in operating cash flow. Operations generated cash despite the loss, but with no positive earnings behind it, the ratio between the two carries no quality signal. This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
How financially healthy is The Honest Company, Inc.?
The Honest Company, Inc. (HNST) scores 49 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.