The 36-year-old Austrian, who ended five years of retirement in 2024 to race for the Netherlands, his mother's country, had been targeting an Olympic comeback at Milano Cortina.
"A lot of speculation about a start at the World Cup races, whether I start or not, that's why I wanted to bring it up. The truth is it's not possible at the moment," Hirscher said on Instagram.
"The pace at which I can go right now is not on a World Cup level, and I was able to train with the best of the world... It was great to see what's required to be truly world-class, which is not possible for me at the moment."
The 2018 double Olympic gold medallist and record eight-times overall World Cup winner had recovered from a cruciate ligament tear before he announced his comeback, but injury dealt another setback to his comeback plans.
"During the Christmas period I was forced to take a 14-day break due to a calf injury which doesn't really help to find the pace and confidence," he explained.
"That's why I am not competing in races this season, and also no Olympic Games. Haters are going to love it, and for all who wanted to see me ski, I am also not happy with the situation."
While a return to the Austrian Olympic team was not an option, the Netherlands had offered Hirscher a far easier route to the Milano Cortina Games if he had stayed clear of injury.
"I am sorry that it's not going to happen this year," he added. "I am going to continue training. Hopefully, see you next year."