Up 29% today. Why Life360 shares are surging on record results

Life360 shares jump as record results and upbeat outlook surprise the market.

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Shares in Life360 Inc (ASX: 360) are flying today after the company delivered a standout quarterly update that beat expectations.

At the time of writing, the Life360 share price is up a massive 28.91% to $34.20.

Zooming out, the stock is now around 38% higher than this time last year, underlining just how sharply investor sentiment has turned.

Let's take a closer look at the key numbers behind the move.

Record users and subscribers drive momentum

According to the release, Life360 reported a record fourth quarter for user growth, with monthly active users (MAU) reaching 95.8 million. That marks the highest Q4 MAU level in the company's history and reflects net additions of 16.2 million users over calendar year 2025.

Growth was strong across both regions. US MAU reached 50.6 million, up 18% year on year, while international MAU climbed to 45.3 million, representing 26% annual growth.

Subscriber numbers also hit new highs. Paying Circles reached 2.8 million in Q4, with full-year net additions of 576,000, the largest annual increase on record. International subscriptions stood out, growing 32% year on year.

Financial results beat guidance

Life360 now expects full-year 2025 revenue of $486 million to $489 million, representing approximately 32% year-over-year growth. Adjusted EBITDA is forecasted to reach between $87 million and $92 million, implying margins of around 19%.

Both metrics came in ahead of the company's prior guidance, confirming Life360's ability to scale while improving profitability.

The balance sheet also remains solid, giving management flexibility to fund product development, marketing, and international expansion without relying heavily on additional capital.

Management also flagged continued strength in user acquisition and monetisation, supported by improved retention rates and expanding subscription adoption.

Looking ahead to 2026

While the market was clearly focused on Life360's stronger-than-expected fourth-quarter results, investors were also encouraged by the company's outlook.

Management expects MAU growth of around 20% in 2026, suggesting the current growth trajectory remains on track. The company plans to continue investing in growth initiatives while remaining focused on expanding EBITDA margins over time.

Life360 will provide its full-year results and a detailed 2026 guidance at its investor conference call in early March.

Why investors are excited

This result highlights how quickly Life360's business model is maturing.

User growth remains strong, subscription adoption is accelerating, and profitability is improving at the same time.

With the stock now trading near multi-month highs, the next test will be whether Life360 can carry this momentum into 2026.

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Life360. The Motley Fool Australia has positions in and has recommended Life360. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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