Key Highlights

  • Life360 (ASX:360) shares were trading at A$21.11, down 6.14%, or A$1.38, on 19 August 2026 at 3:13 pm.
  • Q2 2026 Revenue increased 38% year-on-year to US$159.0 million, while subscription revenue rose 31% to US$115.6 million.
  • Advertising revenue surged 315% to a quarterly record of US$22.0 million following the integration of the Life360 Advertising Platform.
  • Monthly active users reached approximately 102.4 million, while paying circles increased 27% year-on-year to 3.2 million.

Life360, Inc. (NASDAQ:LIF) (ASX:360) shares were trading at A$21.11, down 6.14%, or A$1.38, on 19 August 2026 at 3:13 pm, despite the company reporting significant year-on-year growth across revenue, users, subscriptions and advertising in its second-quarter 2026 results. Revenue reached US$159.0 million, up 38%, while Operating Cash Flow increased 79% to US$23.8 million.

Revenue Growth Accelerates

Life360's Q2 2026 total revenue rose 38% from the prior-year period to US$159.0 million. Subscription revenue increased 31% to US$115.6 million, while core subscription revenue grew 34% to US$111.1 million.

Annualized Monthly Revenue reached US$537.2 million, representing a 29% increase from a year earlier. The growth reflects continued expansion in the company's subscription Business across international and core markets.

Advertising was another significant contributor. Quarterly advertising revenue reached US$22.0 million, up 315% year-on-year. Life360 said the advertising platform integration was largely complete and that the business was continuing to build commercial momentum following the integration.

Paying Circles and User Base Expand

Life360 recorded 185,000 net additions to global Paying Circles during the second quarter. Total Paying Circles increased 27% year-on-year to 3.2 million.

The company also reported a return to quarterly user growth, with 4.6 million net additions lifting monthly active users to approximately 102.4 million. MAUs increased 16% year-on-year.

Average Revenue Per Paying Circle rose 5%, primarily reflecting a shift towards higher-priced offerings in selected international markets during the second half of 2025.

Adjusted EBITDA and Cash Flow Increase

Adjusted EBITDA increased 53% to US$31.1 million from US$20.3 million in Q2 2025. The increase accompanied the higher revenue base and continued expansion of the subscription business.

Operating cash flow was US$23.8 million, up 79% year-on-year. At the end of the quarter, Life360 held US$467.7 million in cash, cash equivalents, restricted cash and short-term investments. This was US$33.5 million higher than the comparable figure reported for Q2 2025.

Advertising Becomes a Larger Revenue Contributor

The 315% increase in advertising revenue marks a significant expansion in a revenue stream that was considerably smaller in the prior-year period. Life360 said the advertising platform was entering a period of increased commercial activity after the integration.

The company expects advertising to benefit from the seasonal strength of the second half of the year. At the same time, Life360 plans to continue investing in international expansion, advertising platform development, AI initiatives and product innovation.

Outlook for the Second Half

Management expects revenue growth to accelerate into the second half of 2026. The outlook is based on continued subscription growth and further development of the advertising platform.

Life360 is also balancing Investment in international markets, AI labs and product development with its stated objective of expanding margins. The company has not provided a specific full-year revenue figure in the supplied update.

Conclusion

Life360's Q2 2026 results showed continued expansion across its principal operating metrics, with revenue increasing 38%, paying circles rising 27%, monthly active users reaching approximately 102.4 million and advertising revenue increasing 315%. Adjusted EBITDA and operating cash flow also increased, while the company's cash and investment holdings rose year-on-year. The principal areas to monitor are the sustainability of advertising growth, continued international subscription expansion and the effect of ongoing investment in AI and product development on margins as the company enters the second half of 2026.