Life360 Q1 2024 Financial Results

Life360, Inc. (ASX: $360) based in San Francisco, reported unaudited financial results for the quarter ended March 31, 2024. The company achieved a new first quarter record with net Paying Circles additions nearly doubling to 96 thousand from 54 thousand in Q4'23. Additionally, the company saw 4.9 million new Monthly Active Users, also a new first quarter record. The company's Q1'24 revenue grew by 15% YoY, while operating expenses increased just 3% YoY. Life360 also made meaningful progress on its path to profitability, narrowing its Net Loss and delivering its sixth consecutive quarter of positive Adjusted EBITDA, and fourth consecutive quarter of positive Operating Cash Flow. The company's CY24 guidance includes consolidated revenue of $365-$375 million and Adjusted EBITDA of $30 million - $35 million.

Executive Commentary on Q1'24 Results and CY24 Outlook

Life360 Co-founder and Chief Executive Officer Chris Hulls expressed satisfaction with the Q1'24 results, highlighting the continued momentum and the achievement of new first quarter records in net Paying Circles additions and Monthly Active Users. He emphasized the company's commitment to balancing fiscal responsibility with prudent investment to position the business for long-term success, as reflected in the revenue growth and operating expenses. Hulls also discussed the introduction of a new advertising offering, the signing of a non-binding letter of intent to partner with Hubble Network, Inc., and the company's potential partnership with Hubble to open another low effort, high margin revenue stream. He expressed confidence in the company's position to serve ads to its members in a privacy-first manner and the potential to enhance the tracking capabilities of its consumer devices. Hulls also provided an outlook, maintaining CY24 guidance and expecting sustained positive EBITDA in CY25.

Summary of Q1'24 Financial Results and Outlook

Life360 reported strong Q1'24 results with significant growth in net Paying Circles additions and Monthly Active Users, reflecting continued momentum and market opportunity. The company's commitment to balancing fiscal responsibility with prudent investment was evident in its revenue growth and operating expenses. The introduction of a new advertising offering and the potential partnership with Hubble Network, Inc. demonstrate the company's focus on expanding revenue streams and enhancing its tracking capabilities. Life360 maintained its CY24 guidance and expects sustained positive EBITDA in CY25, indicating confidence in its future performance and growth potential.