Hinge Health (HNGE) investor relations material

Executive summary

• Q3 revenue rose 52% YoY to $235.0M; GAAP net income was $57.4M versus a $1.8M loss a year earlier.

• Nine-month revenue increased 51% to $630.1M; net income was $136.2M versus a $560.4M loss, with prior-year results heavily affected by IPO-related stock-based compensation.

• FY2026 revenue and operating income guidance increased, supported by higher expected eligible lives and yield and disciplined expense growth.

Financial highlights

• Q3 revenue was $235.0M versus $154.2M a year earlier and exceeded the $223M–$225M guidance range; LTM calculated billings reached $960.3M, up 54% YoY.

• GAAP operating income was $50.3M versus a $6.1M loss; non-GAAP operating income was $77.2M versus $30.4M.

• GAAP diluted EPS was $0.66 versus a $0.02 loss; non-GAAP diluted EPS was $0.71 versus $0.32.

• Free cash flow was $112.7M, or a 48% margin; excluding $7M of one-time acquisition-related payments, it was $120M, or a 51% margin.

• Nine-month operating cash flow was $259.1M, up from $107.5M; deferred revenue increased $156.7M.

Outlook and guidance

• Q4 revenue guidance is $249M–$251M, representing 46% YoY growth at midpoint; non-GAAP operating income guidance is $81M–$83M, with a 33% midpoint margin.

• FY2026 revenue guidance increased to $879M–$881M, or 50% YoY growth at midpoint; non-GAAP operating income guidance increased to $266M–$268M, with a 30% midpoint margin.

• FY2026 assumptions include ~25.5M LTM average eligible lives and 4.6% yield, up from 4.45%; expected diluted share count is 85M–87M.

• 2027 gross margin target is 85%; ASP is expected to remain roughly flat, with potential uplift as Migraine and GI scale in late 2027 and 2028.

• Management expects eligible lives and yield to contribute roughly equally to 2027 growth; Migraine is expected to add 10–20 bps to yield.