The Life360 Inc (ASX: 360) share price is down 9% after reporting its 2026 quarterly growth for the three months to 30 September 2026.
Life360 is best-known for providing a location sharing app so family members and friends can keep track of their close ones.
2026 third-quarter update
It was another strong quarter for the ASX tech share.
It reported a growing user base, global monthly active users (MAU) grew by 17% year on year to around 107.7 million, with international MAU increasing 21% year on year.
Paying members continue to increase, with global paying circles increasing 26% year on year to around 3.4 million. Its quarterly net additions were 188,000, a year on year increase of 10%.
Life360 also highlighted how it’s creating new revenue streams, with growing advertising revenue – this increased by 250% year on year to $25.4 million. It’s also establishing new business-to-business partnerships (such as with AccuWeather) to drive “indirect monetisation”.
The above aspects led to the company being able to report 40% year on year revenue growth to $174.1 million.
It generated an adjusted EBITDA (EBITDA explained) of $34.6 million, up 41% year on year, with a 20% margin.
The company also said that its operating expenses increased by 38% year on year to $126 million, primarily driven by higher personnel costs (including Nativo), app store commissions and growth media spending.
Operating expenses represented 72% of revenue, a 1% decrease year on year, which demonstrated continued operating leverage.
However, operating cashflow only increased by 3% to $27.2 million for the quarter.
Thoughts on the Life360 share price
The fact that its revenue continues to grow strongly and adjusted EBITDA – not the best measure of profit, but a measure nonetheless – is growing faster, is a good sign the business continues to win over users despite AI concerns.
Management believe the business still has a long growth runway in the US and there’s a large global opportunity in places like Canada, the UK, Europe, Australia and other countries.
I think it’s one of the ASX growth shares to keep a close eye on considering it’s still growing quickly and it’s willing to embed AI into its offering, giving it some protection against possible AI competition in the future.
