LifeStance Health Group, Inc. specializes in delivering outpatient mental healthcare services through its subsidiary network. The company offers a comprehensive array of ...
LifeStance Health Group, Inc. (Nasdaq: LFST) is a leading provider of outpatient mental healthcare services in the United States. The company delivers a comprehensive range of mental health solutions, including psychiatric evaluations and treatment, psychological and neuropsychological testing, and individual, family, and group therapy. It addresses a wide spectrum of ...LifeStance Health Group, Inc. (Nasdaq: LFST) is a leading provider of outpatient mental healthcare services in the United States. The company delivers a comprehensive range of mental health solutions, including psychiatric evaluations and treatment, psychological and neuropsychological testing, and individual, family, and group therapy. It addresses a wide spectrum of conditions from anxiety and depression to bipolar disorder, eating disorders, psychotic disorders, and PTSD. Care is provided through a hybrid model of in-person visits at centers across 32-33 states and virtual telehealth sessions. Founded in 2017, LifeStance has grown rapidly through acquisitions and organic expansion, going public in June 2021. The company is headquartered in Scottsdale, Arizona, and serves all age groups from children to the elderly. With over 10,000 employees including psychiatrists, advanced practice nurses, psychologists, and therapists, LifeStance is dedicated to 'reimagining mental health' by making high-quality, evidence-based care accessible and affordable. Financially, the company has a market cap of approximately $4.2 billion, with annual revenue of about $1.58 billion (TTM) and a gross margin of 25.8%. It maintains a moderate debt level (debt-to-equity of 13.6%) and generates positive operating cash flow. The leadership team, led by CEO David Bourdon, includes experienced healthcare executives focused on clinical excellence and operational efficiency. LifeStance continues to expand its network and enhance its digital platform to meet growing demand for mental health services.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$1.4B
+13.9%
+7.9%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$9.7M
+116.8%
+65.8%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+32.4%
+0.6%
+4.3%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+1.7%
+167.1%
+27.5%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
+0.7%
+114.8%
+53.6%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$110.0M
+28.4%
+293.5%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+7.7%
+12.8%
+264.7%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
12.8%
-62.0%
+2.3%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
1.65x
+21.0%
-7.3%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Hello, and thank you for standing by. My name is Bella, and I will be your conference operator today. At this time, I would like to welcome everyone to LifeStance Health Second Quarter 2026 Earnings Call. [Operator Instructions] I would now like to turn the conference over to Monica Prokocki. You may begin.
Monica Prokocki: Thank you, operator. Good morning, everyone, and welcome to LifeStance Health's second quarter 2026 earnings conference call. I'm Monica Prokocki, Vice President of Finance and Investor Relations. Joining me today are Dave Bourdon, Chief Executive Officer; and Ryan McGroarty, Chief Financial Officer. We issued the earnings release and presentation before the market open this morning. Both are available on the Investor Relations section of our website, investor.lifestance.com. In addition, a replay will be available following the call. Before turning over to management for their prepared remarks, please direct your attention to the disclaimers about forward-looking statements included in the earnings press release and SEC filings. Today's remarks contain forward-looking statements, including statements about our financial performance outlook, business model and strategy. Those statements involve risks, uncertainties and other factors, as noted in our periodic filings with the SEC that could cause actual results to differ materially. Please note that we report results using non-GAAP financial measures, which we believe provide additional information for investors to help facilitate comparison of current and past performance. A reconciliation to the most directly comparable GAAP measures is included in the earnings press release tables and presentation appendix. Unless otherwise noted, all results are compared to the comparable period in the prior year. At this time, I'll turn the call over to Dave Bourdon, CEO of LifeStance. Dave?
David Bourdon: Thanks, Monica, and thank you all for joining us today. This was another exceptional quarter for LifeStance. We exceeded each of our guided metrics for the quarter, delivering remarkable revenue growth of over 26% and adjusted EBITDA margins that exceeded 15%. Given the outperformance in the quarter, we are again raising our full year guidance across all metrics. Ryan will provide the details on our improved view of 2026 later. Regarding operational execution, we continue to grow our clinician base now at over 8,500 clinicians as our value proposition continues to resonate. Clinician productivity also remained strong in the quarter, reflecting the power of our operating model and discipline. As for specialty services, we continue to expand our reach as we launched TMS and Spravato in additional centers to support patients with treatment-resistant depression and to drive clinically meaningful improvements in outcomes. Turning to technology. We continue to deploy digital, AI-enabled and workflow automation tools that improve patient access, enhance the clinician experience and …