1Q26 Result - Focus on Financials

研报英文原文证据摘录

1Q26 Result - Focus on Financials

Australia | Software

Life360 EquityMayResearch12, 2026

TARGET | ESTIMATE CHANGE1Q26 Result - Focus on Financials

We see the softness in MAU as a short-term blip, and while achieving the RATING BUY

17-20% growth target is more challenging, it has limited impact on earnings. PRICE AUD20.11^

What matters more is Paying Circles, which grew 25% Y/Y and ARPPC PRICE TARGET | % TO PT AUD26.00 (AUD31.00) |

+7.2%. Conversion from free to paying circles is accelerating, showing the +29%

52W HIGH-LOW AUD55.87 - AUD16.90

value of paid memberships. Ad revenue is tracking well and Life360 is

FLOAT (%) | ADV MM (USD) 0.0% | 26.12

delivering good returns to advertisers.

MARKET CAP AUD4.8B | $3.5B

MAU miss has minimal impact on earnings. Q1 MAU additions of 1.9m were below TICKER 360 AU

^Prior trading day's closing price unless otherwise

expectations, driven by a technical issue that suppressed the Android acquisition channel. noted.

The impact was concentrated on low-end Android users with minimal monetisation potential.

Fixes have been made, and Life360 expects a return to MAU addition levels consistent with RATING BUY

prior Q2s, with further adds through the year. However, we think it could be challenging for TICKER LIF

Life360 to accelerate MAU net adds to ~5m per quarter to reach its guidance of 17-20% growth.

PRICE $43.28^

We are forecasting MAU growth of 16%. Importantly, we note that lower MAU growth doesn't

materially affect the financial outlook. If Life360 adds 4m per quarter for the rest of FY26, as PRICE TARGET | % TO PT $57.00 ($66.00) | +32%

opposed to 5m, the potential impact on revenue and EBITDA is <1% in FY26.

FY (Dec) CHANGE TO JEFe JEF vs CONS

Conversion to Paying Circles is accelerating. Paying Circles reached 3.0m with record Q1