• Honest posted transcript of its Q1 2026 earnings call attended by CEO Carla Vernón, CFO Curtiss Bruce, interim head of investor relations Chris Mandeville.
• Organic revenue rose 3.9% to $78.1 million, while reported revenue fell from $97.3 million due to Powering Honest Growth category and channel exits.
• Adjusted gross margin reached a record 43.5%, up 480 bps, driven by mix shift toward wipes and personal care and lower freight costs, partly offset by tariffs.
• Net loss narrowed to less than $0.1 million, adjusted EBITDA totaled $4 million, free cash flow was $3.8 million; quarter ended with $90.4 million cash and zero debt.
• Full-year outlook reaffirmed for reported revenue down 18% to 16%, organic revenue growth 4% to 6%, adjusted gross margin in low 40s, adjusted EBITDA $20 million to $23 million; $3 million of a $25 million buyback used in quarter, another $8.3 million deployed post-quarter at $3.26 average price.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. The Honest Company Inc. published the original content used to generate this news brief on May 13, 2026, and is solely responsible for the information contained therein.