Recent IPO stock Life360 late Tuesday beat expectations for users in the third quarter but sales came in lighter than predicted. Still, Life360 stock rose in extended trading.
The San Mateo, Calif.-based company said it earned 9 cents a share on sales of $92.9 million in the September quarter. In the year-earlier period, it lost 10 cents a share on sales of $78.6 million. Analysts polled by FactSet had expected sales of $97.9 million in the third quarter.
Life360 ended the period with 76.9 million global monthly active users, up 32% year over year. Analysts were expecting 74.9 million.
Life360 describes itself as a "family connection and safety company." It sells Tile-brand tracking devices and subscription services for families to keep track of loved ones and valuable items.
The company trimmed its sales forecast for the full year to $371 million from $374 million previously, based on the midpoint of its outlook. Wall Street had been modeling 2024 sales of $374.4 million.
Life360 blamed the guidance cut on lower hardware sales due to delays in getting its new Tile trackers to market.
"The new Tile launch had logistical delays, including certification, labeling, and supply chain issues," Chief Executive Chris Hulls said in a news release.
"This led to lower-than-expected device sales and reduced margins in Q3, as there were periods when our full lineup was unavailable due to planned inventory shifts to the new product line. Fortunately, these were temporary setbacks, and the issues have now been resolved."
Life360 Stock Up After Report
Hulls said he is optimistic for strong Black Friday and holiday sales for the new devices.
"Our new Tile lineup — the first designed in-house by Life360 — significantly differentiates us from our competitors with its SOS feature that turns all Tiles into safety devices, a capability currently unattainable by others at scale across the Google and Apple platforms," he said.
In after-hours trading on the stock market today, Life360 stock climbed more than 1% to 48.74. During the regular session, Life360 stock dipped a fraction to close at 48.10.
Life360 went public on June 6 with its IPO priced at $27 a share.
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