The Honest Company HNST Gift Card — Revenue recognized
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Where this comes from
Reported directly by The Honest Company in its filing.
Tagged under the XBRL concept us-gaap:ContractWithCustomerLiabilityRevenueRecognized.
The source filing: The Honest Company’s 10-K, filed February 25, 2026.
- Filed
- Feb 25, 2026, 4:09 PM EST
- Fiscal year
- FY2025
- Accession
- 0001628280-26-011634
Previously, consumers may have purchased gift cards, which were recorded as deferred revenue at the time of purchase. The Company recognized revenue when these gift cards were redeemed for products and the revenue recognition criteria as described above were met. For the years ended December 31, 2025, 2024 and 2023, revenue recognized from the use of gift cards was $1.3 million, $0.6 million and $0.6 million, respectively. Effective December 31, 2025, the Company no longer offers gift card purchases on its website. As such, as of December 31, 2025, the Company accrued for the reimbursement of gift cards to consumers and wrote-off $1.1 million of deferred revenue related to direct-to-consumer gift card purchases. As of December 31, 2025, the Company did not have any deferred revenue outstanding. As of December 31, 2024, deferred revenue related to gift card purchases was $1.1 million.
Item 8. Financial Statements and Supplementary Data
FAQ
- What is The Honest Company's gift card — revenue recognized?
- The Honest Company (HNST) reported gift card — revenue recognized of $325K in Q4 2025.
- How has The Honest Company's gift card — revenue recognized changed year-over-year?
- The Honest Company's gift card — revenue recognized increased by 116.7% year-over-year, from $150K to $325K.
- What is the long-term trend for The Honest Company's gift card — revenue recognized?
- Over 4 years (2021 to 2025), The Honest Company's gift card — revenue recognized has grown at a 9.6% compound annual growth rate (CAGR), from $900K to $1.3M.
- What does gift card — revenue recognized mean?
- This metric represents the total revenue recognized from the redemption of gift cards within a specific reporting period. It reflects the conversion of deferred revenue liabilities into realized sales as customers utilize prepaid balances to purchase products across the company's retail and digital channels. Monitoring this figure provides insight into consumer engagement with the brand's prepaid ecosystem and the velocity at which outstanding gift card balances are being utilized.
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