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HNGE Stock Up on Q1 Earnings & Revenue Beat, 2026 Outlook Improved
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Key Takeaways
Hinge Health beat Q1 estimates with EPS of 45 cents and revenues rising 47% year over year.
HNGE's growth was driven by platform strength, client expansion to 2,849 and higher billings.
Hinge Health raised its FY26 outlook, projecting up to $804M in revenues and stronger margins.
Hinge Health Inc. (HNGE - Free Report) reported adjusted earnings per share (EPS) of 45 cents in the first quarter of 2026, which beat the Zacks Consensus Estimate of 39 cents by 15.4%. The bottom line decreased 65.3% year over year.
GAAP EPS for the quarter was 41 cents, reflecting a downtick of 68.7% from the year-ago figure.
HNGE’s Q1 Revenues in Detail
Hinge Health registered revenues of $182.3 million in the first quarter, up 47% year over year. The increase was primarily driven by the strength of its platform that automates care delivery, improves member outcomes and lowers costs. The figure surpassed the Zacks Consensus Estimate by 5.8%.
LTM calculated billings reached $769.9 million, up from $507 million as of March 31, 2025. The company expanded its client base to 2,849, compared to 2,311 clients in the prior-year period.
Shares of HNGE were up approximately 10.5% during yesterday’s after-market trading following the first-quarter results. The company’s shares have gained 7.1% in the year-to-date period against the industry’s loss of 19.3%. The broader S&P 500 Index has increased 6% in the same time frame.
Image Source: Zacks Investment Research
HNGE’s Margin Trend
In the quarter under review, Hinge Health’s adjusted gross profit rose 54.8% year over year to $155.4 million. The adjusted gross margin expanded 400 basis points (bps) to 85%.
Research and development expenses increased 29.1% year over year to $30.3 million, sales and marketing expenses increased 47.3% year over year to $68.8 million, and general and administrative expenses increased 36.4% year over year to $23 million.
Total operating expenses of $122.2 million rose 40.3% year over year.
Adjusted operating income totaled $46.2 million, up 208.7% year over year. The adjusted operating margin was 25%, up 1300 bps from the prior-year quarter’s figure.
HNGE’s Financial Position
Hinge Health exited first-quarter 2026 with cash and cash equivalents of $186.7 million compared with $207.9 million at the end of fourth-quarter 2025.
Cumulative net cash provided by operating activities at the end of first-quarter 2026 was $43.1 million compared with $4.9 million a year ago.
HNGE’s Guidance for Q2 & 2026
Hinge Health has provided its financial outlook for the second quarter of 2026 and updated its outlook for the full year.
For the second quarter, the company expects revenues in the range of $194 million-$196 million, reflecting year-over-year growth of 40% at the midpoint. The Zacks Consensus Estimate is pegged at $177.7 million.
Adjusted operating income is expected to be between $47 million and $49 million, reflecting year-over-year growth of 84% and an adjusted operating margin of 25% at the midpoint.
For the full year, HNGE now expects revenues in the range of $798 million and $804 million (up from the prior outlook of $732 million to $742 million), reflecting year-over-year growth of 36% at the midpoint. The Zacks Consensus Estimate is pegged at $743.5 million.
The company now expects adjusted operating income to be between $205 million and $215 million (up from the prior outlook of $151 million to $156 million), reflecting year-over-year growth of 76% and an adjusted operating margin of 26% (up from 21% previously) at the midpoint.
Hinge Health Inc. Price, Consensus and EPS Surprise
Hinge Health delivered a strong start to 2026, reporting better-than-expected first-quarter results alongside robust growth across its core financial metrics. The company’s performance was driven by continued platform momentum, expanding client adoption and increasing member engagement. Expansion of both adjusted gross margin and adjusted operating margin during the quarter was encouraging.
Revenues for the quarter beat expectations, supported by strong growth in both eligible lives and member yield. Rise in calculated billings reflected deeper penetration within existing clients and better-than-expected contributions from new client launches. Member engagement trends remained strong, with improved conversion rates across both new and legacy clients, highlighting the effectiveness of Hinge Health’s AI-powered personalization and targeted enrollment strategies.
Profitability was another standout, driven by continued efficiency gains from AI and automation. The company’s ability to scale its care delivery model while controlling costs translated into significant operating leverage, underscoring the durability of its business model.
A key highlight of the quarter was the launch of Hinge Health’s migraine care program, marking its first expansion beyond MSK. Early adoption has been strong, with more than 125 clients already signed, representing over 2 million eligible lives. While the near-term revenue contribution is expected to be minimal, the launch demonstrates the scalability of Hinge Health’s platform and its ability to extend into adjacent conditions, supported by its clinical data, proprietary technology and extensive distribution network.
The company improved its full-year 2026 guidance, supported by strong pipeline growth, improving yields and client expansion. Management expressed confidence in the upcoming sales season, citing robust demand across both enterprise and SMB segments.
However, the limited near-term revenue impact from new product expansions like migraine care puts greater reliance on continued execution in its core MSK business.
HNGE’s Zacks Rank & Key Picks
Hinge Health currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are West Pharmaceutical Services, Inc. (WST - Free Report) , Intuitive Surgical (ISRG - Free Report) and Cardinal Health, Inc. (CAH - Free Report) .
West Pharmaceutical reported first-quarter 2026 EPS of $2.13, which beat the Zacks Consensus Estimate by 26.8%. Revenues of $844.9 million surpassed the Zacks Consensus Estimate by 8.5%. It currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
West Pharmaceutical has a long-term estimated growth rate of 13.9%. WST’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 19.37%.
Intuitive Surgical reported first-quarter 2026 adjusted EPS of $2.50, beating the Zacks Consensus Estimate by 20.19%. Revenues of $2.77 billion surpassed the Zacks Consensus Estimate by 6.2%. It currently carries a Zacks Rank of 2 (Buy).
Intuitive Surgical has a long-term estimated growth rate of 14.6%. ISRG’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 16.82%.
Cardinal Health, carrying a Zacks Rank of 2 at present, reported third-quarter fiscal 2026 adjusted EPS of $3.17, which beat the Zacks Consensus Estimate by 13.2%. Revenues of $60.94 billion missed the Zacks Consensus Estimate by 2.3%.
Cardinal Health has a long-term estimated growth rate of 15.7%. CAH’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 10.27%.
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HNGE Stock Up on Q1 Earnings & Revenue Beat, 2026 Outlook Improved
Key Takeaways
Hinge Health Inc. (HNGE - Free Report) reported adjusted earnings per share (EPS) of 45 cents in the first quarter of 2026, which beat the Zacks Consensus Estimate of 39 cents by 15.4%. The bottom line decreased 65.3% year over year.
GAAP EPS for the quarter was 41 cents, reflecting a downtick of 68.7% from the year-ago figure.
HNGE’s Q1 Revenues in Detail
Hinge Health registered revenues of $182.3 million in the first quarter, up 47% year over year. The increase was primarily driven by the strength of its platform that automates care delivery, improves member outcomes and lowers costs. The figure surpassed the Zacks Consensus Estimate by 5.8%.
LTM calculated billings reached $769.9 million, up from $507 million as of March 31, 2025. The company expanded its client base to 2,849, compared to 2,311 clients in the prior-year period.
Shares of HNGE were up approximately 10.5% during yesterday’s after-market trading following the first-quarter results. The company’s shares have gained 7.1% in the year-to-date period against the industry’s loss of 19.3%. The broader S&P 500 Index has increased 6% in the same time frame.
Image Source: Zacks Investment Research
HNGE’s Margin Trend
In the quarter under review, Hinge Health’s adjusted gross profit rose 54.8% year over year to $155.4 million. The adjusted gross margin expanded 400 basis points (bps) to 85%.
Research and development expenses increased 29.1% year over year to $30.3 million, sales and marketing expenses increased 47.3% year over year to $68.8 million, and general and administrative expenses increased 36.4% year over year to $23 million.
Total operating expenses of $122.2 million rose 40.3% year over year.
Adjusted operating income totaled $46.2 million, up 208.7% year over year. The adjusted operating margin was 25%, up 1300 bps from the prior-year quarter’s figure.
HNGE’s Financial Position
Hinge Health exited first-quarter 2026 with cash and cash equivalents of $186.7 million compared with $207.9 million at the end of fourth-quarter 2025.
Cumulative net cash provided by operating activities at the end of first-quarter 2026 was $43.1 million compared with $4.9 million a year ago.
HNGE’s Guidance for Q2 & 2026
Hinge Health has provided its financial outlook for the second quarter of 2026 and updated its outlook for the full year.
For the second quarter, the company expects revenues in the range of $194 million-$196 million, reflecting year-over-year growth of 40% at the midpoint. The Zacks Consensus Estimate is pegged at $177.7 million.
Adjusted operating income is expected to be between $47 million and $49 million, reflecting year-over-year growth of 84% and an adjusted operating margin of 25% at the midpoint.
For the full year, HNGE now expects revenues in the range of $798 million and $804 million (up from the prior outlook of $732 million to $742 million), reflecting year-over-year growth of 36% at the midpoint. The Zacks Consensus Estimate is pegged at $743.5 million.
The company now expects adjusted operating income to be between $205 million and $215 million (up from the prior outlook of $151 million to $156 million), reflecting year-over-year growth of 76% and an adjusted operating margin of 26% (up from 21% previously) at the midpoint.
Hinge Health Inc. Price, Consensus and EPS Surprise
Hinge Health Inc. price-consensus-eps-surprise-chart | Hinge Health Inc. Quote
Our Take on Hinge Health’s Q1 Results
Hinge Health delivered a strong start to 2026, reporting better-than-expected first-quarter results alongside robust growth across its core financial metrics. The company’s performance was driven by continued platform momentum, expanding client adoption and increasing member engagement. Expansion of both adjusted gross margin and adjusted operating margin during the quarter was encouraging.
Revenues for the quarter beat expectations, supported by strong growth in both eligible lives and member yield. Rise in calculated billings reflected deeper penetration within existing clients and better-than-expected contributions from new client launches. Member engagement trends remained strong, with improved conversion rates across both new and legacy clients, highlighting the effectiveness of Hinge Health’s AI-powered personalization and targeted enrollment strategies.
Profitability was another standout, driven by continued efficiency gains from AI and automation. The company’s ability to scale its care delivery model while controlling costs translated into significant operating leverage, underscoring the durability of its business model.
A key highlight of the quarter was the launch of Hinge Health’s migraine care program, marking its first expansion beyond MSK. Early adoption has been strong, with more than 125 clients already signed, representing over 2 million eligible lives. While the near-term revenue contribution is expected to be minimal, the launch demonstrates the scalability of Hinge Health’s platform and its ability to extend into adjacent conditions, supported by its clinical data, proprietary technology and extensive distribution network.
The company improved its full-year 2026 guidance, supported by strong pipeline growth, improving yields and client expansion. Management expressed confidence in the upcoming sales season, citing robust demand across both enterprise and SMB segments.
However, the limited near-term revenue impact from new product expansions like migraine care puts greater reliance on continued execution in its core MSK business.
HNGE’s Zacks Rank & Key Picks
Hinge Health currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are West Pharmaceutical Services, Inc. (WST - Free Report) , Intuitive Surgical (ISRG - Free Report) and Cardinal Health, Inc. (CAH - Free Report) .
West Pharmaceutical reported first-quarter 2026 EPS of $2.13, which beat the Zacks Consensus Estimate by 26.8%. Revenues of $844.9 million surpassed the Zacks Consensus Estimate by 8.5%. It currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
West Pharmaceutical has a long-term estimated growth rate of 13.9%. WST’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 19.37%.
Intuitive Surgical reported first-quarter 2026 adjusted EPS of $2.50, beating the Zacks Consensus Estimate by 20.19%. Revenues of $2.77 billion surpassed the Zacks Consensus Estimate by 6.2%. It currently carries a Zacks Rank of 2 (Buy).
Intuitive Surgical has a long-term estimated growth rate of 14.6%. ISRG’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 16.82%.
Cardinal Health, carrying a Zacks Rank of 2 at present, reported third-quarter fiscal 2026 adjusted EPS of $3.17, which beat the Zacks Consensus Estimate by 13.2%. Revenues of $60.94 billion missed the Zacks Consensus Estimate by 2.3%.
Cardinal Health has a long-term estimated growth rate of 15.7%. CAH’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 10.27%.