The Honest Company Inc. published the transcript of its fourth quarter and full year 2025 earnings call. The call was attended by Interim Head of Investor Relations Chris Mandeville, CEO Carla Vernón, and CFO Curtiss Bruce. Management said the company is entering 2026 with a streamlined portfolio after executing its “Powering Honest Growth” transformation, including exiting Honest.com as a direct fulfillment website, the apparel category, and its Canadian business to focus on wipes, personal care, and diapers. “Honest enters 2026 as a more focused and agile organization,” Vernón said, adding that the company is starting the year “with a leaner, higher-margin operating model poised for growth.” For 2025, the company reported organic revenue of $294 million, up 5.3%, with adjusted gross margin of 38.7% and adjusted EBITDA of $21.8 million. It ended the year with about $90 million in cash and no debt, and announced a new $25 million share repurchase authorization. “Our Board of Directors has authorized a $25 million share repurchase program,” Vernón said, calling it a sign of confidence in the strategy. The company highlighted strong momentum in wipes and personal care, offset by weakness in diapers, and outlined innovation and distribution plans for 2026, including larger “Mega Pack” wipes and expanded Disney partnerships. Bruce said the restructuring program is expected to deliver “between $10 to $15 million in annualized savings,” and guided to 2026 organic revenue growth of 4% to 6%, adjusted gross margins “in the low 40s,” and adjusted EBITDA of $20 million to $23 million, while reported revenue is expected to decline 18% to 16% due to the strategic exits. The full transcript can be accessed through the link below.
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 February 26, 2026, and is solely responsible for the information contained therein.
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