
The Honest Company reported Q1 2026 revenue of $78.1 million, down 19.7% due to strategic exits, but organic revenue grew 3.9%, driven by wipes and personal care products. Gross margin improved by 390 basis points to 42.6%, reflecting better product mix and cost efficiencies. The company posted a net loss of less than $0.1 million but adjusted net income was $1.3 million, reaffirming its full-year 2026 outlook with expected revenue of $306-$312 million and continued margin expansion. This signals a successful transformation focused on profitable growth and brand reinvestment.