NASDAQ$LFST

LifeStance Health Group Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

LifeStance's Q2 2023 financial performance reflected revenue growth driven by clinician growth and increased visit volumes, but was offset by increased expenses.

LifeStance Health Group reported a 24% increase in total revenue to $259.6 million for Q2 2023. The company's net loss was $45.5 million, driven by stock-based compensation expense. The company is raising full year revenue and Center Margin guidance, with the following outlook for 2023: expects full year revenue of $1.01 to $1.04 billion, Center Margin of $280 to $300 million, and Adjusted EBITDA of $50 to $62 million.

  • Total revenue increased 24% to $259.6 million.
  • Total clinicians reached 6,132, up 17% year-over-year.
  • Net loss was $45.5 million, compared to a net loss of $68.7 million in the prior year.
  • Adjusted EBITDA decreased 3% to $14.1 million.

Headline financials

Total Revenue

$260M

Previous: $210M+23.9%
EPS (adj)

-$0.13

Previous: -$0.19+31.6%
Clinicians

6.1K

Previous: 5.2K+17.3%
Capital Expenditures

-$19.3M

Previous: -$53.8M+64.1%
Free Cash Flow

-$64.8M

Previous: -$123M+47.1%
Net Income

-$45.5M

Previous: -$68.7M+33.8%
Operating Income

-$48.4M

Previous: -$60.5M+19.9%
Gross Profit

$260M

Previous: $210M+23.9%
Cash & Equivalents

$79.6M

Previous: $96.7M-17.7%
Total Assets

$2.17B

Previous: $1.97B+10.3%

Revenue & EPS history

LifeStance · Revenue · Quarterly

$260M

Q2 2023+23.9%vs Q2 2022
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Forward guidance

LifeStance is raising full year revenue and Center Margin guidance, with the following outlook for 2023: expects full year revenue of $1.01 to $1.04 billion, Center Margin of $280 to $300 million, and Adjusted EBITDA of $50 to $62 million. For the third quarter of 2023, the Company expects total revenue of $250 to $260 million, Center Margin of $69 to $76 million, and Adjusted EBITDA of $11 to $17 million.

Tailwinds

  • Expecting full year 2023 revenue of $1.01 to $1.04 billion
  • Expecting Center Margin of $280 to $300 million
  • Reaffirming full year 2023 Adjusted EBITDA guidance of $50 to $62 million
  • Expecting total revenue of $250 to $260 million for Q3 2023
  • Expecting Center Margin of $69 to $76 million for Q3 2023

Headwinds

  • Expecting Adjusted EBITDA of $11 to $17 million for Q3 2023
  • We may not grow at the rates we historically have achieved or at all
  • If we fail to manage our growth effectively, our expenses could increase more than expected
  • Our ability to recruit new clinicians and retain existing clinicians is a risk
  • If reimbursement rates paid by third-party payors are reduced our business could be harmed

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2023

Historical avgQ2 2023

-4.5%

Avg return

Earnings day

+0.3%

Avg return

5 days after

+1.2%

Avg return

30 days after

42%

8 / 19 earnings

Positive

+24.6%

Q4 2023

Best reaction

-49.7%

Q2 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+19.8%+7.7%+0.5%
Q4 2025+4.3%+0.0%-11.5%
Q3 2025-3.6%+29.1%+30.1%
Q1 2025-16.0%-10.7%-10.8%
Q4 2024+3.1%+6.8%-10.8%
Q3 2024+3.2%+3.8%+2.9%
Q2 2024+1.6%+6.0%+26.1%
Q1 2024-1.7%+5.9%-19.1%
Q4 2023+24.6%+21.8%-3.4%
Q3 2023-9.4%-8.9%+7.9%
Q2 2023-5.0%-7.4%-17.1%
Q1 2023-1.4%+1.1%+1.7%
Q4 2022+22.2%+23.8%+65.6%
Q3 2022-30.4%-15.9%-23.0%
Q2 2022+6.2%+10.8%+29.3%
Q1 2022-13.9%+0.4%+10.1%
Q4 2021-12.7%-5.9%+4.2%
Q3 2021-27.3%-22.8%-29.1%
Q2 2021-49.7%-40.6%-30.2%
Q1 2021
Q4 2020
Q3 2020
Q2 2020
Q1 2020

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