James Bales

James Bales questioned the significant slowdown in MAU growth year-over-year, especially given Q3 is typically the strongest and there was an exciting ad campaign, and asked for an explanation of the strategy to target consumers more likely to convert.

Answer

Russell Burke, CFO, explained that the MAU growth comparison was against an unusually high international growth period last year. He noted that the current strategy involves intentionally targeting users at the top of the funnel who are more likely to convert, which is reflected in strong conversion rates and record net paying circle additions. He also mentioned a possible pull-forward impact from a major Q2 campaign.

James Bales questioned the significant slowdown in MAU growth in Q3 2025 despite seasonal strength and ad campaigns, and asked for clarification on targeting higher-intent consumers.

Answer

Russell Burke, CFO of Life360, attributed MAU growth variation to difficult comparisons from exceptionally high international growth last year and an intentional shift in marketing to target higher-intent users, resulting in strong conversion rates. He also mentioned a Q2 campaign might have pulled forward some Q3 impact.

James Bales of Morgan Stanley inquired about the go-to-market strategy for Life360's upcoming pet tracking product, asking for details on the launch timing, target countries, sales channels, hardware pricing, and any potential production issues related to tariffs.

Answer

CEO Lauren Antonoff confirmed that the pet tracker launch is on schedule for the holiday season. However, she stated that specific details regarding pricing and market rollout are being withheld for now to ensure a successful launch event.

Inquired about the unexpected strength in subscriber growth compared to previous cautious guidance, the expected seasonality for the rest of the year, the strategy for the new advertising business including platform integrations and deal mix, and the size of the team working on the ad product.

Answer

Executives attributed strong growth to organic demographic tailwinds and international focus, with momentum continuing into April. The advertising strategy involves a multi-year build-out of a proprietary tech stack, not just plugging into platforms, to enable various deal types. The team working on ads is currently small and integrated into other functions, with investment planned to scale alongside revenue.