Life360 Inc
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Quick analysis of Life360 (30 sec.)

1. Valuation of Life360 (5 min.)

Live pricePrice per share (EOD)

A$6.52

Book Value per Share

A$1.21

2. Growth of Life360 (5 min.)

Is Life360 growing?

	Current year	Previous year	Grow	Grow %
How rich?	$162.6m	$71.8m	$84m	53.9%

How much money is Life360 making?

	Current year	Previous year	Grow	Grow %
Making money	-$15.4m	-$7.5m	-$7.8m	?
Net Profit Margin	-43.3%	-21.2%	-	-

How much money comes from the company's main activities?

Quarterly Yearly

3. Financial Health of Life360 (5 min.)

4. Comparing to competitors in the Software-Application industry (5 min.)

Industry Rankings (Software-Application)

Richest
#266 / 842

Most Revenue
#350 / 842

Most Profit
#693 / 842

Most Efficient
#601 / 842

Fundamentals of Life360

Financial Health

Profitability Details

	Compared to previous year	Compared to industry
The company is making a huge loss.
Using its assets, the company is very inefficient in making profit.
Using its investors money, the company is very inefficient in making profit.

Operating Efficiency Details

	Compared to previous year	Compared to industry
The company is operating very inefficient.
The company is inefficient in keeping operating costs low.

Liquidity Details

	Compared to previous year	Compared to industry
The company is just able to pay all its short-term debts.
The company is just able to pay all its short-term debts with the most liquid assets.

Solvency Details

	Compared to previous year	Compared to industry
The company is very able to pay all its debts by selling its assets.
The company is very able to pay all its debts with equity.

1.1. Profitability of Life360 Inc.

1.1. Profitability

1.1.1. Net Profit Margin

Measures how much net profit Life360 earns for each $1 of revenue.

Above 10% is considered healthy but always compare Life360 to the Software-Application industry mean.
A Net Profit Margin of -17.2% means that $-0.17 for each $1 in revenue is generated as profit.

Let's take a look of the Net Profit Margin trends of Life360 Inc:

The MRQ is -17.2%. The company is making a huge loss. -2
The TTM is -43.3%. The company is making a huge loss. -2

Trends

Current period		Compared to		+/-
MRQ	-17.2%	TTM	-43.3%	+26.1%
TTM	-43.3%	YOY	-21.2%	-22.2%
TTM	-43.3%	5Y	-32.2%	-11.1%
5Y	-32.2%	10Y	-32.2%	0.0%

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
MRQ	-17.2%	-8.0%	-9.2%
TTM	-43.3%	-8.5%	-34.8%
YOY	-21.2%	-6.2%	-15.0%
5Y	-32.2%	-11.6%	-20.6%
10Y	-32.2%	-11.2%	-21.0%

Measures how much net profit Life360 earns for each $1 of revenue.

Revenue is the amount of profit Life360 generates before taxes and all other costs. For example, when you buy a cup of coffee it will cost you $3. The company does not earn $3 in profit but also has to pay various costs and taxes to create that cup of coffee. Let's assume the cost of creating a cup of coffee is $1.5.

The $3 you pay for a cup of coffee is called revenue.
The $1.5 that’s left over when all costs to create that cup of coffee (including taxes) are deduced from the revenue is called net profit.

The net profit margin looks at how much net profit Life360 earns for each $1 in revenue.

How to use net profit margin

Higher profit margin is better (more profit).
Above 10% is considered healthy but always compare Life360 to the Software-Application industry mean.
Can be used to compare companies within the Software-Application industry.

You typically want a high profit margin. This means that for each $1 in sales, Life360 makes more profit. This shows the investor how efficiently Life360 is operating in general and compared to other companies in the same industry. Life360 operates in the Software-Application industry.

Why do investors use net profit margin in their analysis

It helps investors to determine the efficiency of Life360. If profit margins remain low (compared to the Software-Application industry mean) and there are no improvements to make in production costs or other areas that might be a warning sign. If profit margins are high that means the company has low overhead costs and is efficiently using its resources to generate profit.

The three steps every investor should look at:

What is the current net profit margin?
The current most recent quarter (MRQ) Net Profit Margin of Life360 is -0.17. This means that Life360 earned $-0.17 for each $1 in revenue in the most recent quarter.
How does it compare to the industry?
The mean MRQ Net Profit Margin of the Software-Application industry is -8.0%.
What is the trend?
The trend is important because it shows you how Life360 is performing over time. The most recent quarter might be important if Life360 released a new product or service. And you can use MRQ to see if they performed better vs last year. You can find all the trends for Life360 up to 10 years back (depending if the company existed 10 years ago) when you exit this learning section.

Things to be aware of

Only compare Life360 with other companies in the same industry (Software-Application).
Net profit margin should rise over the years.
Can be influenced when Life360 sells assets (profit will increase while costs remain the same).
It won’t show what part of Life360 is doing great or needs improvement (it only looks at total revenue and total net income).

How to calculate net profit margin

Net profit margin = net income / total revenue * 100%

Real example of Life360

You need the following data to determine net profit margin:

Income statement from the period you want to calculate (for example, MRQ or TTM).

Net income MRQ Life360 = -12,303
Total revenue MRQ Life360 = 71,338
$-12,303 / $71,338 = -0.17 or -17.2%

Higher is better

The higher the net profit margin, the more efficient the company is generating income. This helps investors to determine how the company is managing money. The net profit margin is an important indicator when diving into the financial health of a company. Overall, you want to see the net profit margin rising over the years. That means the company improved their production and made it more efficient (if possible).

You can use the net profit margin to compare companies within the same industry. If there are two companies where one is much bigger but the smaller one has a higher net profit margin, that means the smaller company is more efficiently using operational costs.

Important: Profit margins can be very different between industries. Companies with assembly lines or transports are much more prone to see shifting in prices for fuel, ingredients and maintenance compared to companies that only provide services. You should never compare net profit margin between different industries.

1.1.2. Return on Assets

Shows how efficient Life360 is using its assets to generate profit.

Above 5% is considered healthy but always compare Life360 to the Software-Application industry mean.
-3.6% Return on Assets means that Life360 generated $-0.04 profit for each $1 in assets.

Let's take a look of the Return on Assets trends of Life360 Inc:

The MRQ is -3.6%. Using its assets, the company is very inefficient in making profit. -2
The TTM is -7.0%. Using its assets, the company is very inefficient in making profit. -2

Trends

Current period		Compared to		+/-
MRQ	-3.6%	TTM	-7.0%	+3.4%
TTM	-7.0%	YOY	-8.8%	+1.7%
TTM	-7.0%	5Y	-7.5%	+0.4%
5Y	-7.5%	10Y	-7.5%	0.0%

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
MRQ	-3.6%	-1.9%	-1.7%
TTM	-7.0%	-2.2%	-4.8%
YOY	-8.8%	-1.4%	-7.4%
5Y	-7.5%	-2.5%	-5.0%
10Y	-7.5%	-2.6%	-4.9%

Shows how efficient Life360 is using its assets to generate profit.

For a farm, a tractor is considered an asset. The tractor helps ploughing the land making it possible to plant and harvest crops. But the tractor might be old and needing maintenance all the time reducing its efficiency. Return on assets indicates how effectively the farm is using the tractor (and other assets that help the core business) to plough the land.

How to use return on assets

Higher is better.
Above 5% is considered healthy but always compare Life360 to the Software-Application industry mean.
Can be very different between industries.
Can be used to compare companies.

Why do investors use return on assets in their analysis

Shows the investor how effectively Life360 is using its resources to generate profit. If the return on assets (-3.6%) from Life360 are higher than the Software-Application mean (-1.9%) that means Life360 is using its resources better than their competitors. If not, that means their competitors are more efficient in using their resources to generate profit.

An investor should always look at:

What is the current return on assets?
The current most recent quarter (MRQ) Return on Assets of Life360 is -3.6%. This means the company generated $-0.04 for each $1 in assets.
How does it compare to the industry?
The mean MRQ Return on Assets of the Software-Application industry is -1.9%.
What is the trend?
The trend is important because it shows you how Life360 is performing over time. The most recent quarter might be important if Life360 released a new product or service. And you can use MRQ to see if they performed better vs last year. You can find all the trends for Life360 up to 10 years back (depending if the company existed 10 years ago) when you exit this learning section.

Things to be aware of

Only compare with other companies in the same industry.
If a company has many assets changing over time, it’s better to calculate the average assets instead of the total assets.

How to calculate return on assets

Return on assets = net income / total assets * 100%

Real example Life360

You need the following data to determine return on assets (ROA):

Income statement
Balance sheet

Net income MRQ (income statement) from Life360 = -12,303
Total assets MRQ (balance sheet) from Life360 = 339,630
-12,303 / 339,630 = -0.04 or -3.6%

ROA is an important ratio as it will tell you how effectively Life360 is using its resources to generate profits. Example:

Bob and Kristin both sell ice cream in the summer. They both have an ice cream truck. The truck Bob owes cost him $20.000 and the truck Kristin owes cost her $1500. Over the summer, Bob earned $2000 and Kristin earned $200. To calculate the return on assets:

Bob: $2000 / $20.000 * 100% = 10%
Kristin: $200 / $1500 * 100% = 13.3%

This tells you Bob’s company is more valuable but Kristin's company is more efficient. Be aware that total assets can change over time. A transportation business will buy and sell trucks or planes all the time. Before using return on assets as a guideline, you have to know what the exact assets are. For a company that has many assets changing over time, it’s better to calculate the average assets instead of the total assets.

1.1.3. Return on Equity

Shows how efficient Life360 is using its investors money to generate profit.

Above 15%-20% is considered healthy but always compare Life360 to the Software-Application industry mean.
-5.0% Return on Equity means Life360 generated $-0.05 for each $1 the owners (shareholders) invested.

Let's take a look of the Return on Equity trends of Life360 Inc:

The MRQ is -5.0%. Using its investors money, the company is very inefficient in making profit. -2
The TTM is -10.0%. Using its investors money, the company is very inefficient in making profit. -2

Trends

Current period		Compared to		+/-
MRQ	-5.0%	TTM	-10.0%	+4.9%
TTM	-10.0%	YOY	-11.8%	+1.8%
TTM	-10.0%	5Y	-9.6%	-0.3%
5Y	-9.6%	10Y	-9.6%	0.0%

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
MRQ	-5.0%	-2.3%	-2.7%
TTM	-10.0%	-3.6%	-6.4%
YOY	-11.8%	-1.6%	-10.2%
5Y	-9.6%	-3.5%	-6.1%
10Y	-9.6%	-4.4%	-5.2%

Shows how efficient Life360 is using its investors money to generate profit.

A publicly traded company (any company that issues shares to the public) is owned by its shareholders. Return on equity calculates the amount of profit for every $1 the shareholders invested.

How to use return on equity

Higher is better.
Above 15%-20% is considered healthy but always compare Life360 to the Software-Application industry mean.
Can be very different between industries.
Can be used to compare companies.

Why do investors use return on equity in their analysis

To find out the owners/management's attitude toward their company. You typically want the owners/management to invest in the company and focus on generating profit. If not enough profit is generated (compared to the Software-Application industry mean), the company might not be investing their money efficiently.

The three steps every investor should look at:

What is the current return on equity?
The current most recent quarter (MRQ) Return on Equity of Life360 is -5.0%. This means Life360 generated $-0.05 for each $1 the owners (shareholders) invested.
How does it compare to the industry?
The mean MRQ Return on Equity of the Software-Application industry is -2.3%.
What is the trend?
The trend is important because it shows you how Life360 is performing over time. The most recent quarter might be important if Life360 released a new product or service. And you can use MRQ to see if they performed better vs last year. You can find all the trends for Life360 up to 10 years back (depending if Life360 existed 10 years ago) when you exit this learning section.

Things to be aware of

Only compare with other companies in the same industry.
Does not include intangible assets (non physical assets like licences, computer software, etc.).
Stockholders equity and shareholders equity refer to the same thing.
Liabilities should not be more than three times return on equity.

How to calculate return on equity

Return on equity = net profit / shareholders equity * 100%

Real example of Life360

You need the following data to determine ROE:

Income statement
Balance sheet
Net profit MRQ (income statement) Life360 = -12,303
Shareholders equity (balance sheet) MRQ Life360 = 244,538
-12,303 / 244,538 = -0.05 or -5.0%

A negative shareholder equity is a warning sign. It means the company has more liabilities than assets. It might also mean that the owners did not invest enough money or they are taking money out of the business.

1.2. Operating Efficiency of Life360 Inc.

1.2. Operating Efficiency

1.2.1. Operating Margin

Measures how efficient Life360 is operating .

Measures how much profit Life360 makes for each $1 of sales after paying variable costs (production costs, wages, etc) but before taxes.
Above 15% is considered healthy but always compare Life360 to the Software-Application industry mean.
An Operating Margin of -17.8% means the company generated $-0.18 for each $1 in revenue (before taxes).

Let's take a look of the Operating Margin trends of Life360 Inc:

The MRQ is -17.8%. The company is operating very inefficient. -2
The TTM is -38.2%. The company is operating very inefficient. -2

Trends

Current period		Compared to		+/-
MRQ	-17.8%	TTM	-38.2%	+20.4%
TTM	-38.2%	YOY	-12.6%	-25.6%
TTM	-38.2%	5Y	-23.4%	-14.7%
5Y	-23.4%	10Y	-23.4%	0.0%

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
MRQ	-17.8%	-7.3%	-10.5%
TTM	-38.2%	-4.7%	-33.5%
YOY	-12.6%	-4.1%	-8.5%
5Y	-23.4%	-6.2%	-17.2%
10Y	-23.4%	-6.7%	-16.7%

Measures how efficient Life360 is operating .

The more effecient a company creates products or provides services, the more profit it generates.

How to use operating margin

Higher is better
Above 15% is considered healthy but always compare Life360 to the Software-Application industry mean.
Can be very different between industries
Can be used to compare companies

Why do investors use operating margin in their analysis

To determine how much profit Life360 is making from it’s core business.

The three steps every investor should look at:

What is the current net profit margin?
The current most recent quarter (MRQ) Operating Margin of Life360 is -17.8%. This means that Life360 earned $-0.18 for each $1 in revenue in the most recent quarter.
How does it compare to the industry?
The mean MRQ Operating Margin of the Software-Application industry is -7.3%.
What is the trend?
The trend is important because it shows you how Life360 is performing over time. The most recent quarter might be important if Life360 released a new product or service. And you can use MRQ to see if they performed better vs last year. You can find all the trends for Life360 up to 10 years back (depending if the company existed 10 years ago) when you exit this learning section.

Things to be aware of

Only compare with other companies in the same industry
Can be calculated in different ways

How to calculate operating margin

Operating margin = operating earnings / total revenue

Real example of Life360

You need the following data to determine operating margin:

Income statement
Operating earnings MRQ Life360 = -12,712
Total revenue MRQ Life360 = 71,338
$-12,712 / $71,338 = -0.18 or -17.8%

Operating margin is used to calculate how much profit a company makes after variable costs of production but before paying interest and taxes. Some variable costs examples are wages, raw materials, packaging, and transaction fees. The amount of variable costs is different for each company and industry. In general, a higher operating margin is better as this implicates that a company is running efficiently.

For investors, a higher operating margin is a good sign. Although you should always look at operating margin in the long term. If operating margin is fluctuating over the years this might be a sign that things are not running efficiently enough. It’s a way to check how much profit a company is making from its core business.

Operation earnings can be calculated in multiple ways:

Operation earnings = EBIT - non operating income + non operating expense
Operation earnings = Gross profit - operating expense - depreciation and amortisation
Operation earnings = Total revenue - COGS (costs of goods sold) - indirect costs

1.2.2. Operating Ratio

Measures how efficient Life360 is keeping operating costs low.

Below 1 is considered healthy (always compare to Software-Application industry mean).
An Operation Ratio of 1.18 means that the operating costs are $1.18 for each $1 in net sales.

Let's take a look of the Operating Ratio trends of Life360 Inc:

The MRQ is 1.178. The company is inefficient in keeping operating costs low. -1
The TTM is 1.414. The company is inefficient in keeping operating costs low. -1

Trends

Current period		Compared to		+/-
MRQ	1.178	TTM	1.414	-0.236
TTM	1.414	YOY	0.581	+0.833
TTM	1.414	5Y	0.704	+0.710
5Y	0.704	10Y	0.704	0.000

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
MRQ	1.178	1.303	-0.125
TTM	1.414	1.321	+0.093
YOY	0.581	1.282	-0.701
5Y	0.704	1.301	-0.597
10Y	0.704	1.239	-0.535

Measures how efficient Life360 is keeping operating costs low.

If the operating ratio is below 1 that means the company is making money. The lower the operating ratio, the more efficient the company.

How to use operating ratio

Lower is better.
Below 1 is considered healthy but always compare Life360 to the Software-Application industry mean.
Can be very different between industries.
Can be used to compare companies.

Why do investors use operating ratio in their analysis

Shows if costs of creating products and or services is increasing or decreasing. The lower the operating ratio, the more efficient the company is creating products and services.

The three steps every investor should look at:

What is the current Operatin ratio?
The current most recent quarter (MRQ) Operating Ratio of Life360 is 117.8%. This means that Life360 earned $1.18 for each $1 in net sales in the most recent quarter.
How does it compare to the industry?
The mean MRQ Operating Ratio of the Software-Application industry is 1.30.
What is the trend?
The trend is important because it shows you how Life360 is performing over time. The most recent quarter might be important if Life360 released a new product or service. And you can use MRQ to see if they performed better vs last year. You can find all the trends for Life360 up to 10 years back (depending if the company existed 10 years ago) when you exit this learning section.

Things to be aware of

Only compare with other companies in the same industry.
You need COGS to calculate operating ratio which is not always shown in the income statement.
Does not consider debt.

How to calculate operating ratio

Operating ratio = Operating expenses + COGS \ Net sales

Real life example Life360

You need the following data to determine operating ratio:

Income statement

COGS is not always specified on the income statement. If so you can use the following calculation:

(cost of revenue + total operating expenses) \ total revenue
(26,386 +57,664) \ 71,338 = 1.18

The operating ratio measures the efficiency of a company at keeping low costs while generating profits from sales. It compares the total operating expenses to the net amount of sales. The total operating expenses exists of:

COGS (materials, labour, rent of facility, repairs)
Operating expenses (legal fees, marketing, wages, rent, maintenance/repairs)

Operating expenses are all the costs the company makes that are not directly tied to the production of the service or product. Where COGS are costs that are directly tied to the production of a product or service.

Do note that COGS is not always available in the income statement. Some companies include COGS in the operating expenses while others list COGS separately. To make it even more confusing, COGS is also known as “costs of sales” and costs of sales is the same as costs of revenue.

The operating ratio tells you how efficient the company is creating its products or services while keeping prices low. In this case, a lower ratio is better. Higher or rising operating ratios might tell you that costs are rising while sales are not improving or staying the same.

1.3. Liquidity of Life360 Inc.

1.3. Liquidity

1.3.1. Current Ratio

Measures if Life360 is able to pay off Short-term Debt.

Above 1.5 is considered healthy (always compare to Software-Application industry mean).
A Current Ratio of 1.63 means the company has $1.63 in assets for each $1 in short-term debts.

Let's take a look of the Current Ratio trends of Life360 Inc:

The MRQ is 1.628. The company is able to pay all its short-term debts. +1
The TTM is 1.378. The company is just able to pay all its short-term debts.

Trends

Current period		Compared to		+/-
MRQ	1.628	TTM	1.378	+0.249
TTM	1.378	YOY	4.789	-3.411
TTM	1.378	5Y	3.924	-2.546
5Y	3.924	10Y	3.924	0.000

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
MRQ	1.628	1.728	-0.100
TTM	1.378	1.790	-0.412
YOY	4.789	1.952	+2.837
5Y	3.924	1.894	+2.030
10Y	3.924	1.900	+2.024

Measures if Life360 is able to pay off Short-term Debt.

How to use current ratio

Higher is better
Above 1.5 is considered healthy (always compare to Software-Application industry mean).
Can be very different between industries
Can be used to compare companies

Why do investors use current ratio in their analysis

Shows if the company can pay of short term debts if needed. A company that can't pay off it's short term debts might get in trouble if they have to pay off their short term debts for whatever reason. For example, markets can change due to global events like covid-19 or the war in Ukraine versus Russia. Because debts are always taken based on future income, it might become troublesome for Life360 if something happens in the market that will cause sales to plummet.

The three steps every investor should look at:

What is the current current Ratio?
The current most recent quarter (MRQ) Current Ratio of Life360 is 1.63. This means Life360 has $1.63 in assets for each $1 in short-term debts.
How does it compare to the industry?
The mean MRQ Current Ratio of the Software-Application industry is 1.73.
What is the trend?
The trend is important because it shows you how Life360 is performing over time. The most recent quarter might be important if Life360 released a new product or service. And you can use MRQ to see if they performed better vs last year. You can find all the trends for Life360 up to 10 years back (depending if the company existed 10 years ago) when you exit this learning section.

Things to be aware of

Only compare with other companies in the same industry.
Might be deluded.
Not all assets can always be quickly sold.
Can be manipulated by increasing or decreasing the assets and/or liabilities.

How to calculate current ratio

Current ratio = current assets \ current liabilities

Real life example Life360

You need the following data to determine operating ratio:

Balance sheet
Current ratio = current assets \ current liabilities
142,655 \ 87,649) = 1.63

The current ratio measures if Life360 is able to pay short-term debts (obligations). Short term in this context means all debt obligations that are about to expire within one year. The current ratio incorporates current liabilities and current assets. Current assets are all the assets a company has that are expected to be consumed or sold within standard business operations. You can find the current assets in the balance sheet. They consist of:

Inventory
Accounts receivable
Marketable securities
Prepaid expenses
Cash
Cash equivalents
liquid assets

The current liabilities are short term obligations that are due within one year. These consist of:

Short term debts
Dividends
Income taxes
Short-term debts
Accounts payable
Interest payments

The result shows an investor if Life360 is able to pay all its short-term debts if they were due all at once. When the result of the above formula is below 1, then Life360 does not have enough capital after selling all its assets to pay all short-term debts. If the ratio drops far below 1 that might indicate Life360 is or will be in financial trouble anytime soon.

Although this gives an investor some clues, the current ratio may also be deluded. Because owning assets does not mean the company can easily sell them. Also, Accounts receivable may be quite old (they will probably never pay) which deludes the current ratio. As with all ratios, you should only compare them between the same industries and companies.

1.3.2. Quick Ratio

Measures if Life360 is able to pay off Short-term Debt but only using the most liquid assets.

Above 1 is considered healthy but always compare Life360 to the Software-Application industry mean.
A Quick Ratio of 1.26 means the company can pay off $1.26 for each $1 in debt (using most liquid assets).

Let's take a look of the Quick Ratio trends of Life360 Inc:

The MRQ is 1.257. The company is able to pay all its short-term debts with the most liquid assets. +1
The TTM is 1.073. The company is just able to pay all its short-term debts with the most liquid assets.

Trends

Current period		Compared to		+/-
MRQ	1.257	TTM	1.073	+0.185
TTM	1.073	YOY	2.419	-1.346
TTM	1.073	5Y	2.065	-0.993
5Y	2.065	10Y	2.065	0.000

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
MRQ	1.257	1.067	+0.190
TTM	1.073	1.145	-0.072
YOY	2.419	1.429	+0.990
5Y	2.065	1.358	+0.707
10Y	2.065	1.367	+0.698

1.4. Solvency of Life360 Inc.

1.3. Liquidity

1.4.1. Debt to Asset Ratio

Measures how much % of Life360 assets are financed with debt.

Below 1 (100%) is considered healthy but always compare Life360 to Software-Application industry mean.
A Debt to Asset Ratio of 0.28 means that Life360 assets are financed with 28.0% credit (debt) and the remaining percentage (100% - 28.0%) is financed by its owners/shareholders.

Let's take a look of the Debt to Asset Ratio trends of Life360 Inc:

The MRQ is 0.280. The company is very able to pay all its debts by selling its assets. +2
The TTM is 0.292. The company is very able to pay all its debts by selling its assets. +2

Trends

Current period		Compared to		+/-
MRQ	0.280	TTM	0.292	-0.012
TTM	0.292	YOY	0.246	+0.046
TTM	0.292	5Y	0.199	+0.093
5Y	0.199	10Y	0.199	0.000

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
MRQ	0.280	0.453	-0.173
TTM	0.292	0.444	-0.152
YOY	0.246	0.447	-0.201
5Y	0.199	0.482	-0.283
10Y	0.199	0.488	-0.289

Measures how much % of Life360 assets are financed with debt.

When there are more debts than assets, that means creditors have a larger stake Life360 than its shareholders.

How to use debt to asset ratio

Lower is better.
below 1 (100%) is considered healthy but always compare Life360 to Software-Application industry mean.
Can be very different between industries.
Can be used to compare companies.

Why do investors use the debt to asset ratio in their analysis

It shows how much debt the company used to finance its assets. If a company is almost entirely financed with debt that means the company might get into serious trouble when emergencies arise like a raise in interest.

The three steps every investor should look at:

What is the current debt to asset ratio?
The current most recent quarter (MRQ) Debt to Asset Ratio of Life360 is 0.28. This means means that Life360 is financed with 28.0% credit and the remaining percentage is financed by it's owners (shareholders).
How does it compare to the industry?
The mean MRQ Current Ratio of the Software-Application industry is 172.8%.
What is the trend?
The trend is important because it shows you how Life360 is performing over time. The most recent quarter might be important if Life360 released a new product or service. And you can use MRQ to see if they performed better vs last year. You can find all the trends for Life360 up to 10 years back (depending if the company existed 10 years ago) when you exit this learning section.

Things to be aware of

Only compare with other companies in the same industry
Some companies can have higher debt to assets ratio's (for example, banks).
Debt to asset ratio should improve over the years.
If the debt to asset ratio is above 1, look at the industry mean and find out why Life360 has so much debt.

How to calculate debt to asset ratio

Debt to asset ratio = total debt \ total assets

Real life example Life360

You need the following data to determine debt to asset ratio:

Balance sheet
Debt to asset ratio = total debt \ total assets
95,092 \ 339,630 = 28.0% or 0.28.

The debt to total assets ratio shows if the company is owned by creditors or shareholders. Or in other words, the total debt in relation to the total amount of assets. It shows how much debt the company used to finance its assets.

1.4.2. Debt to Equity Ratio

Measures if Life360 is able to pay off its debts by using shareholders equity.

Below 2 is considered healthy but always compare Life360 to the Software-Application industry mean.
A Debt to Equity ratio of 38.9% means that company has $0.39 debt for each $1 in shareholders equity.

Let's take a look of the Debt to Equity Ratio trends of Life360 Inc:

The MRQ is 0.389. The company is very able to pay all its debts with equity. +2
The TTM is 0.413. The company is very able to pay all its debts with equity. +2

Trends

Current period		Compared to		+/-
MRQ	0.389	TTM	0.413	-0.024
TTM	0.413	YOY	0.330	+0.082
TTM	0.413	5Y	0.263	+0.149
5Y	0.263	10Y	0.263	0.000

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
MRQ	0.389	0.732	-0.343
TTM	0.413	0.732	-0.319
YOY	0.330	0.688	-0.358
5Y	0.263	0.793	-0.530
10Y	0.263	0.801	-0.538

Measures if Life360 is able to pay off its debts by using shareholders equity.

How to use debt to equity ratio

Lower is better.
Below 2 is considered healthy (always use industry average).
Can be very different between industries.
Can be used to compare companies.

Why do investors use the debt to shareholders equity ratio in their analysis

It shows how much debt the company uses to finance their operations. Shareholders equity is whats left over when you subtract total liabilities from total assets. It's another way to meassure how much of Life360 is financed with debt or own resources.

The three steps every investor should look at:

What is the current debt to equity ratio?
The current most recent quarter (MRQ) quickRatio of Life360 is 0.39. This means that Life360 can pay off $0.39 for each $1 in debt.
How does it compare to the industry?
The mean MRQ Quick Ratio of the Software-Application industry is 0.73.
What is the trend?
The trend is important because it shows you how Life360 is performing over time. The most recent quarter might be important if Life360 released a new product or service. And you can use MRQ to see if they performed better vs last year. You can find all the trends for Life360 up to 10 years back (depending if the company existed 10 years ago) when you exit this learning section.

Things to be aware of

Only compare with other companies in the same industry.
Not all debt is equally risky (for example, short term risk is less risky).

How to calculate debt to equity ratio

Debt to equity ratio = total debt \ shareholders equity.

Real life example Life360

You need the following data to determine equity ratio:

Balance sheet
Debt to equity ratio = total debt \ shareholders equity
95,092 \ 244,538 = 0.39 or 38.9%

Debt to equity measures the total debt versus the total shareholders equity. While the total debts to total assets ratio uses total assets, the debt to equity ratio looks at the total equity of shareholders. Where equity of shareholders are:

Common shares.
Preferred shares.
Retained earnings.

You can find the shareholders' equity in the balance sheet. A ratio between 0,5 and 1,5 is preferred. If the ratio is above 1.5, that would indicate creditors have significantly more stake (debt) in the company than the shareholders. In other words, the company is using a lot of debt to finance their operations.

Not all debt is equally risky. Meaning you can adjust the ratio by including or excluding certain amounts of debt. Short term debts are less risky because they have to be paid back within one year anyway. It’s much easier to plan one year ahead versus five or ten years.

2. Market Valuation of Life360 Inc

2. Earnings Per Share

2.1. Price to Earnings Ratio

Measures how much money you pay for each share for every $1 in earnings Life360 generates.

Above 15 is considered overpriced but always compare Life360 to the Software-Application industry mean.
A PE ratio of -80.05 means the investor is paying $-80.05 for every $1 in earnings.

Let's take a look of the Price to Earnings Ratio trends of Life360 Inc:

The EOD is -107.390. Company is losing money. -2
The MRQ is -80.049. Company is losing money. -2
The TTM is -69.858. Company is losing money. -2

Trends

Current period		Compared to		+/-
EOD	-107.390	MRQ	-80.049	-27.342
MRQ	-80.049	TTM	-69.858	-10.190
TTM	-69.858	YOY	-220.968	+151.110
TTM	-69.858	5Y	-110.928	+41.070
5Y	-110.928	10Y	-110.928	0.000

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
EOD	-107.390	-1.879	-105.511
MRQ	-80.049	-2.621	-77.428
TTM	-69.858	-3.215	-66.643
YOY	-220.968	-6.701	-214.267
5Y	-110.928	-2.080	-108.848
10Y	-110.928	-1.657	-109.271

Measures how much money you pay for each share for every $1 in earnings Life360 generates.

Indicates if the company’s shares are under or overvalued.

How to use PE ratio

Above 15 is considered overpriced but is hard to determine. Always compare Life360 to the Software-Application industry mean.
Can be very different between industries.
Can be used to compare companies.

Why do investors use PE ratio in their analysis

The PE ratio tells investors the current sentiment in the market for that company. As with every stock, the stock price never shows the real valuation of a company but rather how the market thinks how much the stock is worth.

In other words, the current stock price also incorporates any future earnings or business opportunities in the future. The best example is the stock market crash in 2000. The PE ratio for any internet based company was going through the roof. Only based on the general assumption the internet and all associated businesses would thrive in the future. But this was based on nothing. A business still needs a good product or service to be able to survive. Instead, every investor bought any stock which did something related to the internet. Result: huge market crash.

Many investors were willing to pay premium prices and that was causing the PE ratio to rise. A high PE ratio is a warning sign that investors might be overvaluing a stock based on future earnings.

The three steps every investor should look at:

What is the current PE Ratio?
The current most recent quarter (MRQ) PE Ratio of Life360 is -80.05. This means the investor is paying $-80.05 for every $1 in earnings.
How does it compare to the industry?
The mean MRQ Quick Ratio of the Software-Application industry is -2.62.
What is the trend?
The trend is important because it shows you how Life360 is performing over time. The most recent quarter might be important if Life360 released a new product or service. And you can use MRQ to see if they performed better vs last year. You can find all the trends for Life360 up to 10 years back (depending if the company existed 10 years ago) when you exit this learning section.

Things to be aware of

Only compare with other companies in the same industry.
Some industries might have very high or very low PE ratios in general.
PE ratios can be high for several years, it does not mean a sudden collapse is imminent.
Earnings growth is not included in the PE ratio.

How to calculate PE ratio

PE ratio = market value per share \ earnings per share

Real life example Life360

You need the following data to determine the PE ratio:

Balance sheet
Income statement

The PE ratio is a very commonly used ratio to determine the value of a company by comparing the current stock price relative to its earnings per share (EPS). Before we can calculate the PE ratio we need to know the EPS. EPS is calculated as follows:

EPS = (net profit - preferred dividends) \ end of period outstanding shares*
Net profit = revenue - expenses
-12,303 \ 202,642 = EPS
PE ratio MRQ = -80.05

* The net profit minus preferred dividends can be found in the incomestatement as netIncomeApplicableToCommonShares.

The PE value helps investors to determine if the current stock price is under or overvalued. It also projects future growth.

In general, a higher PE ratio means that investors predict higher future growth. If the PE ratio is too high, then investors expect way too much future growth the company can never fulfil. This is most likely to happen in faster moving companies like tech companies or automobile companies like Tesla. These are hot and booming markets where investors expect much future growth driven by new technology (electric cars). When looking at the current MRQ (most recent quarter) PE ratio of Tesla ( jan. 2021) it's about 247 while the average in the industry is only 6. That might be a clue that Tesla is trading for way too high prices compared to their current assets and is more based on future growth.

2.2. Price Earnings to Growth Ratio

Measures the predicted future growth of Life360.

Lower is better.
A PEG ratio of 1 means the market price of the stock and the expected future earnings are on par.

Let's take a look of the Price Earnings to Growth Ratio trends of Life360 Inc:

The MRQ is -56.047. Very Bad. -2
The TTM is -47.470. Very Bad. -2

Trends

Current period		Compared to		+/-
MRQ	-56.047	TTM	-47.470	-8.577
TTM	-47.470	YOY	-339.020	+291.550
TTM	-47.470	5Y	-165.799	+118.329
5Y	-165.799	10Y	-165.799	0.000

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
MRQ	-56.047	3.504	-59.551
TTM	-47.470	4.586	-52.056
YOY	-339.020	10.416	-349.436
5Y	-165.799	28.331	-194.130
10Y	-165.799	41.372	-207.171

PEG Ratio	Meaning
0.5	You can buy the stock cheap based on future growth
1	You pay a fair price based on future growth
2	The stock is overpriced based on future growth

2. Book Value per Share

2.3. Price to Book Ratio

Measures if the stock price of Life360 is to cheap or to expensive compared to its book value.

At or below 1 is considered healthy (always compare to Software-Application industry mean).
A PB ratio of 4.03 means the investor is paying $4.03 for each $1 in book value.

Let's take a look of the Price to Book Ratio trends of Life360 Inc:

The EOD is 5.403. Seems overpriced? -1
The MRQ is 4.027. Neutral. Compare to industry.
The TTM is 6.224. Seems overpriced? -1

Trends

Current period		Compared to		+/-
EOD	5.403	MRQ	4.027	+1.376
MRQ	4.027	TTM	6.224	-2.197
TTM	6.224	YOY	18.840	-12.616
TTM	6.224	5Y	9.052	-2.828
5Y	9.052	10Y	9.052	0.000

Compared to industry (Software-Application)

Period	Company	Industry (mean)	+/-
EOD	5.403	2.748	+2.655
MRQ	4.027	2.964	+1.063
TTM	6.224	2.965	+3.259
YOY	18.840	4.692	+14.148
5Y	9.052	4.073	+4.979
10Y	9.052	4.338	+4.714

2. Total Gains per Share

3. Holders & Insider Transactions

Let's take a look at which institutions, funds and insiders are holding shares of Life360 Inc.

3.1. Funds holding Life360 Inc

Date	Name	Total Shares	Total Assets	Current Shares	Change	%
2021-02-28	Global X Fds-Global X Social Media Index ETF	0.04	-	63238	-	-
Total		0.04	0	63238	0	0.0%

4. Summary

4.1. Key Performance Indicators

The key performance indicators of Life360 Inc compared to the Most Recent Quarter (MRQ).

	End of day	+/-	Most Recent Quarter	Trailing 12 Months	+/-	Year-Over-Year	+/-	5 Year	+/-	10 Year	+/-
Book Value Change Per Share	-	-	0.123	-0.013	+111%	0.234	-47%	0.067	+84%	0.067	+84%
Book Value Growth	-	-	1.135	0.997	+14%	1.798	-37%	1.198	-5%	1.198	-5%
Book Value Per Share	-	-	1.207	0.968	+25%	0.543	+122%	0.498	+142%	0.498	+142%
Book Value Per Share Growth	-	-	1.114	1.275	-13%	1.798	-38%	1.272	-12%	1.272	-12%
Current Ratio	-	-	1.628	1.378	+18%	4.789	-66%	3.924	-59%	3.924	-59%
Debt To Asset Ratio	-	-	0.280	0.292	-4%	0.246	+14%	0.199	+41%	0.199	+41%
Debt To Equity Ratio	-	-	0.389	0.413	-6%	0.330	+18%	0.263	+48%	0.263	+48%
Dividend Per Share	-	-	-	-	0%	-	0%	-	0%	-	0%
Eps	-	-	-0.061	-0.094	+55%	-0.036	-41%	-0.048	-20%	-0.048	-20%
Eps Growth	-	-	1.428	0.555	+157%	0.710	+101%	0.789	+81%	0.789	+81%
Free Cash Flow Per Share	-	-	-0.011	-0.034	+223%	-0.015	+44%	-0.027	+156%	-0.027	+156%
Free Cash Flow Per Share Growth	-	-	1.873	-1.908	+202%	0.465	+303%	0.138	+1261%	0.138	+1261%
Free Cash Flow To Equity Per Share	-	-	0.143	-0.001	+101%	0.227	-37%	0.044	+222%	0.044	+222%
Free Cash Flow To Equity Per Share Growth	-	-	3.393	-1.209	+136%	12.746	-73%	3.353	+1%	3.353	+1%
Gross Profit Margin	-	-	2.793	2.059	+36%	1.417	+97%	1.523	+83%	1.523	+83%
Intrinsic Value_10Y_max	-	-	-1.886	-	-	-	-	-	-	-	-
Intrinsic Value_10Y_min	-	-	-4.990	-	-	-	-	-	-	-	-
Intrinsic Value_1Y_max	-	-	-0.096	-	-	-	-	-	-	-	-
Intrinsic Value_1Y_min	-	-	-0.200	-	-	-	-	-	-	-	-
Intrinsic Value_3Y_max	-	-	-0.358	-	-	-	-	-	-	-	-
Intrinsic Value_3Y_min	-	-	-0.865	-	-	-	-	-	-	-	-
Intrinsic Value_5Y_max	-	-	-0.707	-	-	-	-	-	-	-	-
Intrinsic Value_5Y_min	-	-	-1.813	-	-	-	-	-	-	-	-
Net Profit Margin	-	-	-0.172	-0.433	+151%	-0.212	+23%	-0.322	+87%	-0.322	+87%
Operating Margin	-	-	-0.178	-0.382	+114%	-0.126	-29%	-0.234	+31%	-0.234	+31%
Operating Ratio	-	-	1.178	1.414	-17%	0.581	+103%	0.704	+67%	0.704	+67%
Pb Ratio	5.403	+25%	4.027	6.224	-35%	18.840	-79%	9.052	-56%	9.052	-56%
Pe Ratio	-107.390	-34%	-80.049	-69.858	-13%	-220.968	+176%	-110.928	+39%	-110.928	+39%
Peg Ratio	-	-	-56.047	-47.470	-15%	-339.020	+505%	-165.799	+196%	-165.799	+196%
Price Per Share	6.520	+25%	4.860	4.638	+5%	7.508	-35%	3.945	+23%	3.945	+23%
Price To Total Gains Ratio	52.830	+25%	39.380	-8.296	+121%	-103.797	+364%	-68.812	+275%	-68.812	+275%
Profit Growth	-	-	1.417	1.094	+30%	0.301	+372%	0.666	+113%	0.666	+113%
Quick Ratio	-	-	1.257	1.073	+17%	2.419	-48%	2.065	-39%	2.065	-39%
Return On Assets	-	-	-0.036	-0.070	+94%	-0.088	+142%	-0.075	+106%	-0.075	+106%
Return On Equity	-	-	-0.050	-0.100	+98%	-0.118	+134%	-0.096	+91%	-0.096	+91%
Revenue Growth	-	-	1.248	1.041	+20%	0.932	+34%	1.102	+13%	1.102	+13%
Total Gains Per Share	-	-	0.123	-0.013	+111%	0.234	-47%	0.067	+84%	0.067	+84%
Total Gains Per Share Growth	-	-	3.730	1.411	+164%	2.000	+86%	1.516	+146%	1.516	+146%
Usd Book Value	-	-	162691131.400	155822075.225	+4%	71808157.550	+127%	72027595.667	+126%	72027595.667	+126%
Usd Book Value Change Per Share	-	-	0.082	-0.009	+111%	0.155	-47%	0.045	+84%	0.045	+84%
Usd Book Value Per Share	-	-	0.803	0.644	+25%	0.361	+122%	0.331	+142%	0.331	+142%
Usd Dividend Per Share	-	-	-	-	0%	-	0%	-	0%	-	0%
Usd Eps	-	-	-0.040	-0.063	+55%	-0.024	-41%	-0.032	-20%	-0.032	-20%
Usd Free Cash Flow	-	-	-1435717.400	-6929931.125	+383%	-2028250.213	+41%	-4135755.540	+188%	-4135755.540	+188%
Usd Free Cash Flow Per Share	-	-	-0.007	-0.023	+223%	-0.010	+44%	-0.018	+156%	-0.018	+156%
Usd Free Cash Flow To Equity Per Share	-	-	0.095	-0.001	+101%	0.151	-37%	0.030	+222%	0.030	+222%
Usd Price Per Share	4.338	+25%	3.233	3.085	+5%	4.995	-35%	2.625	+23%	2.625	+23%
Usd Profit	-	-	-8185185.900	-15419491.775	+88%	-7554980.475	-8%	-7952497.399	-3%	-7952497.399	-3%
Usd Revenue	-	-	47461171.400	37977818.875	+25%	23674700.500	+100%	21130859.413	+125%	21130859.413	+125%
Usd Total Gains Per Share	-	-	0.082	-0.009	+111%	0.155	-47%	0.045	+84%	0.045	+84%
	EOD	+3 -2	MRQ	TTM	+38 -2	YOY	+19 -21	5Y	+27 -13	10Y	+27 -13

4.2. Fundamental Score

Let's check the fundamental score of Life360 Inc based on Penke's default stock scanner.

Penke's Stock Scanner

Indicator	Condition		Value
Price to Earnings Ratio (EOD)	Between	0-15	-107.390
Price to Book Ratio (EOD)	Between	0-1	5.403
Net Profit Margin (MRQ)	Greater than	0	-0.172
Operating Margin (MRQ)	Greater than	0	-0.178
Quick Ratio (MRQ)	Greater than	1	1.257
Current Ratio (MRQ)	Greater than	1	1.628
Debt to Asset Ratio (MRQ)	Less than	1	0.280
Debt to Equity Ratio (MRQ)	Less than	1	0.389
Return on Equity (MRQ)	Greater than	0.15	-0.050
Return on Assets (MRQ)	Greater than	0.05	-0.036
Total			4/10 (40.0%)

Create your own Stock Scanner

Investing is personal. The best investors buy stocks based on their own analysis. Create your personal Stock Scanner with the key performance indicators that are important to you.
Create your own Stock Scanner

4.3. Technical Score

Let's check the technical score of Life360 Inc based on Penke's default Symbol scanner.

Penke's Symbol Scanner

Indicator	Condition		Value
Open	Greater than	Close	6.650
Total			1/1 (100.0%)

Create your own Symbol Scanner

Trading is personal. The best traders buy and sell based on their own technical analysis. Create your personal Symbol Scanner with the technical indicators that are important to you.
Create your own Symbol Scanner

Latest Balance Sheet

Balance Sheet of 2022-12-31. Currency in AUD. All numbers in thousands.

Summary

Total Assets	339,630
Total Liabilities	95,092
Total Stockholder Equity	244,538

	As reported
Total Liabilities	95,092
Total Stockholder Equity	+ 244,538
Total Assets	= 339,630

Assets

Total Assets	339,630
Total Current Assets	142,655
Long-term Assets	142,655

Total Current Assets

Total Current Assets (as reported)	142,655
Cash And Cash Equivalents	75,444
Net Receivables	34,748
Inventory	10,826
Other Current Assets	13,274
Total Current Assets (calculated)	134,292
+/-	8,363

Long-term Assets

Long-term Assets (as reported)	196,975
Property Plant Equipment	1,195
Goodwill	133,674
Long Term Investments	5,474
Intangible Assets	52,699
Long-term Assets Other	3,933
Long-term Assets (calculated)	196,975
+/-	0

Liabilities & Shareholders' Equity

Total Current Liabilities	87,649
Long-term Liabilities	7,443
Total Stockholder Equity	244,538

Total Current Liabilities

Total Current Liabilities (as reported)	87,649
Short-term Debt	4,326
Short Long Term Debt	3,513
Accounts payable	13,791
Other Current Liabilities	39,476
Total Current Liabilities (calculated)	61,106
+/-	26,543

Long-term Liabilities

Long-term Liabilities (as reported)	7,443
Long term Debt Total	4,060
Capital Lease Obligations	813
Long-term Liabilities Other	576
Long-term Liabilities (calculated)	5,449
+/-	1,994

Total Stockholder Equity

Total Stockholder Equity (as reported)	244,538
Retained Earnings	-256,972
Accumulated Other Comprehensive Income	-6
Capital Surplus	501,763
Total Stockholder Equity (calculated)	244,785
+/-	247

Other

Capital Stock	67
Cash And Equivalents	75,444
Cash and Short Term Investments	75,444
Common Stock Shares Outstanding	202,642
Current Deferred Revenue	30,056
Liabilities and Stockholders Equity	339,630
Net Debt	-67,058
Net Invested Capital	252,111
Net Working Capital	55,006
Short Long Term Debt Total	8,386

Balance Sheet

Currency in AUD. All numbers in thousands.

Trend

2022-12-31

2022-09-30

2022-06-30

2022-03-31

2021-12-31

2021-09-30

2021-06-30

2021-03-31

2020-12-31

2020-09-30

2020-06-30

2020-03-31

2019-12-31

2019-09-30

2019-06-30

2019-03-31

2018-12-31

2018-03-31

> Total Assets

0
0
93,266
93,266
85,541
85,541
0
88,335
0
86,313
0
81,001
0
303,106
351,300
323,730
308,252
339,630

339,630

308,252

323,730

351,300

303,106

81,001

86,313

88,335

85,541

93,266

> Total Current Assets

0
0
90,472
90,472
79,237
79,237
78,401
78,401
78,853
78,853
71,752
71,752
257,010
257,010
130,900
107,677
95,055
142,655

142,655

95,055

107,677

130,900

257,010

71,752

78,853

78,401

79,237

90,472

Cash And Cash Equivalents

0
0
78,427
78,427
63,818
63,818
0
58,157
0
56,413
0
50,558
0
230,990
82,700
64,264
43,964
75,444

75,444

43,964

64,264

82,700

230,990

50,558

56,413

58,157

63,818

78,427

Net Receivables

0
0
7,445
9,242
7,982
7,982
10,260
10,260
9,062
9,062
12,031
12,031
12,894
12,564
22,400
21,663
25,643
34,748

34,748

25,643

21,663

22,400

12,564

12,894

12,031

9,062

10,260

7,982

9,242

7,445

Other Current Assets

0
0
1,797
1,797
2,244
7,437
4,110
4,110
3,381
13,378
2,223
2,223
1,319
11,447
1,500
10,612
10,242
13,274

13,274

10,242

10,612

1,500

11,447

1,319

2,223

13,378

3,381

4,110

7,437

2,244

1,797

> Long-term Assets

0
0
0
0
0
6,304
0
0
0
7,460
0
9,249
0
46,096
220,400
216,053
213,197
196,975

196,975

213,197

216,053

220,400

46,096

9,249

7,460

6,304

Property Plant Equipment

0
0
344
344
547
547
4,124
4,124
3,439
3,439
2,573
2,573
2,207
2,207
3,400
2,685
2,016
1,195

1,195

2,016

2,685

3,400

2,207

2,573

3,439

4,124

547

344

Goodwill

0
0
764
764
764
764
0
764
0
764
0
764
0
31,527
133,100
133,244
133,620
133,674

133,674

133,620

133,244

133,100

31,527

764

Long Term Investments

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
5,474
5,474
5,474

5,474

Intangible Assets

0
0
339
339
257
257
0
175
0
0
0
764
0
7,986
58,600
56,822
54,934
52,699

52,699

54,934

56,822

58,600

7,986

764

175

257

339

Other Assets

0
0
1,347
290
4,736
4,736
4,871
4,871
3,257
3,257
5,912
5,912
4,376
4,300
19,648
17,828
17,153
3,307

3,307

17,153

17,828

19,648

4,300

4,376

5,912

3,257

4,871

4,736

290

1,347

> Total Liabilities

0
0
12,961
12,961
13,265
13,265
0
19,225
0
21,818
0
22,569
0
52,731
104,100
94,077
92,790
95,092

95,092

92,790

94,077

104,100

52,731

22,569

21,818

19,225

13,265

12,961

> Total Current Liabilities

0
0
11,879
11,879
12,214
12,214
16,207
16,207
19,510
19,510
21,058
21,058
41,446
41,846
90,600
82,163
84,155
87,649

87,649

84,155

82,163

90,600

41,846

41,446

21,058

19,510

16,207

12,214

11,879

Short-term Debt

0
0
0
0
0
0
0
0
0
1,460
0
0
0
5,796
3,800
5,050
4,767
4,326

4,326

4,767

5,050

3,800

5,796

1,460

Short Long Term Debt

0
0
0
0
0
0
0
0
0
0
0
6,028
0
4,222
3,800
3,392
3,454
3,513

3,513

3,454

3,392

3,800

4,222

6,028

Accounts payable

0
0
1,252
1,252
495
495
516
516
2,420
2,420
907
907
3,248
3,248
11,756
11,429
12,578
13,791

13,791

12,578

11,429

11,756

3,248

907

2,420

516

495

1,252

Other Current Liabilities

0
0
7,079
7,079
8,396
8,396
11,070
11,070
11,855
3,775
12,013
12,013
23,600
18,873
60,000
40,849
38,939
39,476

39,476

38,939

40,849

60,000

18,873

23,600

12,013

3,775

11,855

11,070

8,396

7,079

> Long-term Liabilities

0
0
0
0
0
1,051
0
0
0
2,308
0
1,511
0
10,885
13,500
11,914
8,635
7,443

7,443

8,635

11,914

13,500

10,885

1,511

2,308

1,051

Long term Debt Total

0
0
0
0
0
0
0
0
0
0
0
0
0
8,284
0
7,089
3,909
4,060

4,060

3,909

7,089

8,284

Other Liabilities

0
0
1,082
1,082
1,051
1,051
749
749
701
701
611
611
2,312
2,600
5,948
4,378
4,537
0

4,537

4,378

5,948

2,600

2,312

611

701

749

1,051

1,082

Deferred Long Term Liability

0
0
786
786
724
724
1,368
1,368
569
569
520
520
330
300
305
196
113
0

113

196

305

300

330

520

569

1,368

724

786

> Total Stockholder Equity

-65,266
0
80,305
80,305
72,276
72,276
0
69,110
0
64,495
0
58,432
0
250,375
247,200
229,653
215,462
244,538

244,538

215,462

229,653

247,200

250,375

58,432

64,495

69,110

72,276

80,305

-65,266

Common Stock

0
0
48
48
49
188,349
49
49
50
196,902
50
50
61
416,339
100
62
62
67

100

416,339

196,902

188,349

Retained Earnings Total Equity

Accumulated Other Comprehensive Income

0
0
0
0
0
-621
0
0
0
-621
0
0
0
-621
0
15
-14
-6

-6

-14

-621

Capital Surplus

0
0
0
184,479
0
188,300
0
192,334
0
196,852
0
201,445
0
416,278
0
453,437
460,395
501,763

501,763

460,395

453,437

416,278

201,445

196,852

192,334

188,300

184,479

Treasury Stock

Other Stockholders Equity

0
0
-621
-621
-621
-621
-621
-621
-621
-621
-621
-621
-621
-951
437,700
453,126
460,083
501,449

501,449

460,083

453,126

437,700

-951

-621

Balance Sheet

Currency in AUD. All numbers in thousands.

	2022-12-31	2021-12-31	2020-12-31	2019-12-31	2018-12-31	2017-12-31
Accounts Payable	13,791	3,248	2,420	495	2,900	334
Accumulated Other Comprehensive Income	-6	-621	-621	-621	-500	-
Capital Lease Obligations	813	1,863	3,982	156	-	-
Capital Stock	67	416,339	196,902	188,349	182,900	-
Capital Surpluse	501,763	416,278	196,852	188,300	-8,889	2,487
Cash	75,444	230,990	56,413	63,818	100,600	15,416
Cash And Equivalents	75,444	230,990	56,413	63,818	25,813	15,416
Cash And Short Term Investments	75,444	230,990	56,413	63,818	100,600	15,416
Common Stock	67	416,339	196,902	188,349	182,900	10
Common Stock Shares Outstanding	188,519	154,969	444,114	310,799	143,891	47,960
Common Stock Total Equity	-	-	255,650	268,840	259,139	-
Current Deferred Revenue	30,056	13,929	11,855	11,719	6,100	-
Deferred Long Term Liab	-	300	569	1,278	1,593	233
Good Will	133,674	31,527	764	764	-	-
Intangible Assets	52,699	7,986	0	257	1,000	247
Inventory	10,826	2,009	-	-	-	-
Liabilities And Stockholders Equity	339,630	303,106	86,313	85,541	112,300	27,088
Long Term Debt	4,060	8,284	-	-	3,310	-
Long Term Debt Total	4,060	8,284	0	0	3,310	0
Long Term Investments	5,474	-	-	-	-	-
Net Debt	-67,058	-216,621	-53,346	-63,709	-95,700	-
Net Invested Capital	252,111	262,881	83,738	103,163	141,683	-
Net Receivables	34,748	12,564	9,062	7,982	5,700	2,870
Net Tangible Assets	-	210,800	63,731	71,255	-96,152	-65,513
Net Working Capital	55,006	215,164	77,049	95,665	137,574	-
Non Current Assets Total	196,975	46,096	7,460	6,304	2,400	-
Non Current Liabilities Other	576	916	-	36	1,133	-
Non Current Liabilities Total	7,443	10,885	2,308	1,051	4,400	-
Non Currrent Assets Other	3,933	4,376	3,257	4,736	1,100	-
Other Assets	3,307	4,300	3,257	5,290	2,144	6,690
Other Current Assets	13,274	1,649	3,381	2,244	3,600	400
Other Current Liab	39,476	18,873	3,775	11,084	2,200	2,455
Other Liab	-	2,600	701	1,051	1,133	1,183
Other Stockholder Equity	501,449	-951	-621	-621	-9,510	-621
Property Plant And Equipment Gross	-	-	4,465	781	425	-
Property Plant And Equipment Net	1,195	2,207	3,439	547	300	-
Property Plant Equipment	1,195	2,200	3,439	547	276	199
Retained Earnings	-256,972	-165,343	-131,786	-115,452	-87,300	-67,142
Short Long Term Debt	3,513	4,222	-	-	2,267	-
Short Long Term Debt Total	8,386	14,369	3,067	109	4,900	-
Short Term Debt	4,326	5,796	1,460	0	1,600	0
Total Assets	339,630	303,106	86,313	85,541	112,300	27,088
Total Current Assets	142,655	257,010	78,853	79,237	109,900	19,952
Total Current Liabilities	87,649	41,846	19,510	12,214	12,800	8,709
Total Liab	95,092	52,731	21,818	13,265	17,200	9,980
Total Stockholder Equity	244,538	250,375	64,495	72,276	95,100	17,108

	2022-12-31	2022-09-30	2022-06-30	2022-03-31	2021-12-31	2021-09-30	2021-06-30	2021-03-31	2020-12-31	2020-09-30	2020-06-30	2020-03-31	2019-12-31	2019-09-30	2019-06-30	2019-03-31	2018-12-31	2018-03-31
Accounts Payable	13,791	12,578	11,429	11,756	3,248	3,248	907	907	2,420	2,420	516	516	495	495	1,252	1,252	-	-
Accumulated Other Comprehensive Income	-6	-14	15	-	-621	-	-	-	-621	-	-	-	-621	-	-	-	-	-
Capital Lease Obligations	813	1,502	2,105	-	1,863	-	-	-	3,982	-	-	-	156	-	-	-	-	-
Capital Stock	67	62	62	100	416,339	-	201,495	-	-	-	-	-	-	-	-	-	-	-
Capital Surpluse	501,763	460,395	453,437	-	416,278	-	201,445	-	196,852	-	192,334	-	188,300	-	184,479	-	-	-
Cash	75,444	43,964	64,264	82,700	230,990	-	50,558	-	56,413	-	58,157	-	63,818	63,818	78,427	78,427	-	-
Cash And Equivalents	75,444	43,964	64,264	-	230,990	-	50,558	-	56,413	-	-	-	-	-	-	-	-	-
Cash And Short Term Investments	75,444	43,964	64,264	82,700	230,990	-	50,558	-	56,413	-	58,157	-	63,818	-	78,427	-	-	-
Common Stock	67	62	62	100	416,339	61	50	50	196,902	50	49	49	188,349	49	48	48	-	-
Common Stock Shares Outstanding	202,642	186,521	185,649	579,867	189,781	153,652	50,729	-	146,522	-	-	-	146,492	-	103,600	103,600	103,600	-
Common Stock Total Equity	-	-	-	-	-	-	-	-	255,650	-	-	-	268,840	-	-	-	-	-
Current Deferred Revenue	30,056	27,871	24,835	26,800	13,929	-	-	-	11,855	-	-	-	11,719	-	-	-	-	-
Deferred Long Term Liab	-	113	196	305	300	330	520	520	569	569	1,368	1,368	724	724	786	786	-	-
Good Will	133,674	133,620	133,244	133,100	31,527	-	764	-	764	-	764	-	764	764	764	764	-	-
Intangible Assets	52,699	54,934	56,822	58,600	7,986	-	764	-	0	-	175	-	257	257	339	339	-	-
Inventory	10,826	15,206	11,138	10,600	2,009	2,009	-	-	-	-	-	-	-	-	-	-	-	-
Liabilities And Stockholders Equity	339,630	308,252	323,730	351,300	303,106	-	81,001	-	86,313	-	-	-	85,541	-	-	-	-	-
Long Term Debt	4,060	3,909	7,089	7,300	8,284	-	-	-	-	-	-	-	-	-	-	-	-	-
Long Term Debt Total	4,060	3,909	7,089	-	8,284	-	0	-	0	-	-	-	-	-	-	-	-	-
Long Term Investments	5,474	5,474	5,474	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Net Debt	-67,058	-35,099	-51,678	-71,600	-216,621	-	-	-	-53,346	-	-	-	-63,709	-	-	-	-	-
Net Invested Capital	252,111	222,825	240,134	258,300	262,881	-	64,460	-	83,738	-	-	-	-	-	-	-	-	-
Net Receivables	34,748	25,643	21,663	22,400	12,564	12,894	12,031	12,031	9,062	9,062	10,260	10,260	7,982	7,982	9,242	7,445	-	-
Net Tangible Assets	-	26,908	39,587	55,313	210,800	211,262	57,668	63,731	63,731	63,731	68,171	68,171	71,255	71,255	79,202	79,202	-	-65,513
Net Working Capital	55,006	10,900	25,514	40,300	215,164	-	50,694	-	77,049	-	-	-	-	-	-	-	-	-
Non Current Assets Total	196,975	213,197	216,053	220,400	46,096	-	9,249	-	7,460	-	-	-	6,304	-	-	-	-	-
Non Current Liabilities Other	576	1,309	838	6,200	916	-	1,511	-	-	-	-	-	36	-	-	-	-	-
Non Current Liabilities Total	7,443	8,635	11,914	13,500	10,885	-	1,511	-	2,308	-	-	-	1,051	-	-	-	-	-
Non Currrent Assets Other	3,933	17,153	17,828	25,300	4,376	-	5,912	-	3,257	-	-	-	4,736	-	-	-	-	-
Other Assets	3,307	17,153	17,828	19,648	4,300	4,376	5,912	5,912	3,257	3,257	4,871	4,871	4,736	4,736	290	1,347	-	-
Other Current Assets	13,274	10,242	10,612	1,500	11,447	1,319	2,223	2,223	13,378	3,381	4,110	4,110	7,437	2,244	1,797	1,797	-	-
Other Current Liab	39,476	38,939	40,849	60,000	18,873	23,600	12,013	12,013	3,775	11,855	11,070	11,070	8,396	8,396	7,079	7,079	-	-
Other Liab	-	4,537	4,378	5,948	2,600	2,312	611	611	701	701	749	749	1,051	1,051	1,082	1,082	-	-
Other Stockholder Equity	501,449	460,083	453,126	437,700	-951	-621	-621	-621	-621	-621	-621	-621	-621	-621	-621	-621	-	-
Property Plant And Equipment Gross	-	-	-	-	-	-	-	-	4,465	-	-	-	781	-	-	-	-	-
Property Plant And Equipment Net	1,195	2,016	2,685	3,400	2,207	-	-	-	3,439	-	-	-	547	-	-	-	-	-
Property Plant Equipment	1,195	2,016	2,685	3,330	2,200	2,207	2,573	2,573	3,439	3,439	4,124	4,124	547	547	344	344	-	-
Retained Earnings	-256,972	-244,669	-223,550	-190,600	-165,343	-165,343	-142,442	-142,442	-131,786	-131,786	-122,652	-122,652	-115,452	-115,452	-103,601	-103,601	-	-
Short Long Term Debt	3,513	3,454	3,392	3,800	4,222	-	6,028	-	-	-	-	-	-	-	-	-	-	-
Short Long Term Debt Total	8,386	8,865	12,586	11,100	14,369	-	-	-	3,067	-	-	-	109	-	-	-	-	-
Short Term Debt	4,326	4,767	5,050	3,800	5,796	-	0	-	1,460	-	-	-	-	-	-	-	-	-
Total Assets	339,630	308,252	323,730	351,300	303,106	-	81,001	-	86,313	-	88,335	-	85,541	85,541	93,266	93,266	-	-
Total Current Assets	142,655	95,055	107,677	130,900	257,010	257,010	71,752	71,752	78,853	78,853	78,401	78,401	79,237	79,237	90,472	90,472	-	-
Total Current Liabilities	87,649	84,155	82,163	90,600	41,846	41,446	21,058	21,058	19,510	19,510	16,207	16,207	12,214	12,214	11,879	11,879	-	-
Total Liab	95,092	92,790	94,077	104,100	52,731	-	22,569	-	21,818	-	19,225	-	13,265	13,265	12,961	12,961	-	-
Total Stockholder Equity	244,538	215,462	229,653	247,200	250,375	-	58,432	-	64,495	-	69,110	-	72,276	72,276	80,305	80,305	-	-65,266

Cash Flow

Currency in AUD. All numbers in thousands.

	2022-12-31	2021-12-31	2020-12-31	2019-12-31	2018-12-31	2017-12-31	2016-12-31
Begin Period Cash Flow	231,345	56,611	64,069	26,056	-	-	-
Capital Expenditures	701	100	653	410	131	156	156
Change In Cash	-140,980	174,734	-7,458	38,013	10,399	10,230	-10,037
Change In Working Capital	-2,756	-481	-6,661	-10,139	589	-699	1,123
Change To Account Receivables	6,474	-2,689	-1,149	-2,172	-2,880	-1,726	-430
Change To Inventory	-497	-859	-859	-859	-859	-	-
Change To Liabilities	-	2,230	2,695	-14	6,277	1,921	648
Change To Netincome	-	23,300	8,068	6,398	2,571	337	1,385
Change To Operating Activities	-	-1,900	-8,207	-7,953	-2,808	-894	905
Depreciation	9,199	876	657	300	133	171	174
End Period Cash Flow	90,365	231,345	56,611	64,069	37,191	-	-
Free Cash Flow	-57,756	-12,153	-7,250	-30,517	-	-	-
Investments	-111,634	-7,064	-848	-480	-	-	-
Issuance Of Capital Stock	32,215	196,607	1,594	76,231	-	-	-
Net Borrowings	-	2,100	2,100	-5,000	-5,000	3,674	3,674
Net Income	-91,629	-33,557	-16,334	-28,953	-19,357	-10,605	-12,268
Other Cashflows From Financing Activities	-1,035	-2,615	1,966	-336	-2,365	-2,365	-2,365
Other Cashflows From Investing Activities	-110,933	-4,000	-4,000	74	5,727	-1,069	-545
Other Non Cash Items	-6,549	33,557	15,677	28,653	-	-	-
Sale Purchase Of Stock	2,394	3,543	1,594	-2,365	20,170	18,456	91
Stock Based Compensation	34,680	-	-	-	-	-	-
Total Cash From Financing Activities	27,709	193,951	445	68,866	20,170	22,130	91
Total Cash From Operating Activities	-57,055	-12,200	-7,250	-30,517	-15,367	-10,675	-9,583
Total Cashflows From Investing Activities	-111,634	-7,100	-653	-336	5,596	-1,225	-545

	2022-12-31	2022-09-30	2022-06-30	2022-03-31	2021-12-31	2021-09-30	2021-06-30	2021-03-31	2020-12-31	2020-09-30	2020-06-30	2020-03-31	2019-12-31	2019-09-30	2019-06-30	2019-03-31	2018-12-31	2018-06-30	2018-03-31
Begin Period Cash Flow	58,875	79,320	98,216	231,500	50,397	50,754	53,531	-	-	-	-	-	-	22,862	9,298	9,298	9,298	-	-
Capital Expenditures	701	305	113,401	0	41	41	41	41	82	82	245	245	410	140	131	66	131	19	10
Change In Cash	31,490	-20,445	-18,896	-133,000	180,947	-357	-2,928	-3,080	-900	-900	-2,830	-2,830	38,013	-7,301	13,564	13,564	13,564	-4,909	-2,455
Change In Working Capital	-2,548	-6,290	6,082	-	-481	-	-1,870	-	-6,661	-	-3,796	-	-10,139	-	-3,119	-	589	-	-
Change To Account Receivables	-9,938	-3,642	2,899	17,155	150	-888	-1,495	-3,539	609	609	-1,184	-1,184	-224	-224	-862	-862	-	-346	-346
Change To Inventory	4,380	-3,272	-538	-1,067	-430	-235	-430	-430	-	-	-	-	-	-	-	-	-	-	-
Change To Liabilities	-	3,052	-2,621	-11,888	1,793	5,895	-678	-201	1,344	1,344	4	4	280	280	-287	-287	-	1,097	1,097
Change To Netincome	-	7,963	7,441	-17	5,804	3,709	2,564	2,193	2,192	2,192	1,842	1,842	1,852	1,852	1,347	1,347	-	191	191
Change To Operating Activities	-	-2,428	5,000	-2,858	-795	2,967	1,237	2,295	-3,385	-3,385	-719	-719	-3,566	-3,566	-411	-411	-	-460	-460
Depreciation	2,368	2,329	2,301	2,201	326	235	112	112	199	199	130	130	289	79	131	66	133	74	37
End Period Cash Flow	90,365	58,875	79,320	98,500	231,344	50,397	50,754	53,531	-	-	-	-	-	-	22,862	22,862	22,862	9,298	-
Free Cash Flow	-2,158	-16,674	-1,133	-21,700	-11,682	4,448	-1,928	-	-	-	-	-	-	-	-10,890	-10,890	-10,890	-	-
Investments	2,468	-305	-17,582	-96,215	-211	-4,352	-2,500	-	-	-	-	-	-	-	-	-	-	-	-
Issuance Of Capital Stock	32,130	0	-708	793	-236	-400	-459	-	-	-	-	-	-	-	-	-	-	-	-
Net Borrowings	-	-3,471	648	648	-21	-53	1,055	-21	1,055	1,055	-	-	-	-	-2,500	-2,500	-	-2,500	-2,500
Net Income	-12,303	-21,119	-32,985	-25,222	-11,451	-8,014	-5,328	-3,852	-4,567	-4,567	-3,600	-3,600	-28,953	-5,926	-10,332	-10,332	-10,332	-7,513	-3,757
Other Cashflows From Financing Activities	-950	-3,771	130	207	193,063	-4	275	-4	-1,149	-	-124	-	-294	-294	-35,464	-35,464	-35,464	-889	-889
Other Cashflows From Investing Activities	-110,933	-701	-396	-	-750	-1,500	-1,250	-750	-1,250	-1,250	-	-	74	-	74	-	5,727	-	-
Other Non Cash Items	132	748	32,985	-27,800	-	-	-	-	-	-	-	-	-	-	10,332	10,332	10,332	-	-
Sale Purchase Of Stock	2,394	2,079	1,851	-	3,543	-	1,288	-	1,594	-	463	-	76,231	-	-844	-844	-844	1,357	-
Stock Based Compensation	10,193	7,963	-	6,100	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Total Cash From Financing Activities	31,180	-3,771	-578	1,000	192,840	-452	782	-88	53	53	170	170	68,866	-271	-10,890	-10,890	-10,890	1,357	679
Total Cash From Operating Activities	-2,158	-16,369	-16,832	-21,700	-3,617	4,578	-2,460	-2,992	-871	-871	-2,754	-2,754	-6,891	-6,891	-16,736	-8,368	-15,367	-6,247	-3,124
Total Cashflows From Investing Activities	-111,634	-305	-1,491	-112,306	-2,282	-4,483	-1,250	-2,282	-82	-82	-245	-245	-140	-140	-57	-29	5,596	-19	-10

Income Statement

Currency in AUD. All numbers in thousands.

	2022-12-31	2021-12-31	2020-12-31	2019-12-31	2018-12-31	2017-12-31	2016-12-31
Cost Of Revenue	79,707	22,768	15,395	-	-	-	-
Depreciation And Amortization	7,904	876	657	300	-	-	-
Ebit	-94,411	-32,267	-17,308	-28,452	-18,288	-11,374	-11,866
Ebitda	-86,507	-31,391	-16,651	-28,152	-	-	-
Gross Profit	148,598	89,680	65,260	58,944	32,062	11,474	5,344
Income Before Tax	-91,317	-33,684	-16,334	-28,953	-19,357	-10,605	-12,268
Income Tax Expense	312	-127	-317	609	-	-	-
Interest Expense	4,389	1,417	974	192	0	0	0
Interest Income	1,295	733	0	192	346	255	250
Net Income	-91,629	-33,557	-16,017	-29,562	-19,357	-10,605	-12,268
Net Income Applicable To Common Shares	-91,629	-33,600	-16,334	-28,953	-19,357	-10,605	-12,268
Net Income From Continuing Ops	-91,629	-33,557	-21,207	-41,326	-19,357	-10,605	-12,268
Net Interest Income	-	-	-	-274	-	-	-
Operating Income	-94,411	-32,267	-16,651	-28,152	-18,173	-10,629	-11,866
Other Operating Expenses	322,716	145,083	97,306	87,959	-	-	-
Reconciled Depreciation	9,199	876	657	300	-	-	-
Research Development	102,480	50,994	39,643	32,143	23,157	12,627	10,517
Selling And Marketing Expenses	92,419	47,473	30,190	33,919	-	-	-
Selling General Administrative	48,110	23,670	12,078	9,264	34,498	13,510	8,993
Tax Provision	312	-127	0	0	0	0	0
Total Operating Expenses	243,009	122,315	81,911	87,959	50,350	22,848	17,210
Total Other Income Expense Net	3,094	-1,417	317	-801	-1,069	769	-402
Total Revenue	228,305	112,448	80,655	58,944	32,062	11,474	5,344

	2022-12-31	2022-09-30	2022-06-30	2022-03-31	2021-12-31	2021-09-30	2021-06-30	2021-03-31	2020-12-31	2020-09-30	2020-06-30	2020-03-31	2019-12-31	2019-09-30	2019-06-30	2019-03-31	2018-12-31	2018-06-30	2018-03-31
Cost Of Revenue	26,386	17,913	19,556	15,900	13,519	5,388	9,249	-	15,395	-	-	-	-	-	-	-	-	-	-
Depreciation And Amortization	2,256	2,474	-415	2,200	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Ebit	-12,712	-21,124	-33,468	-15,000	-8,502	-7,748	-5,330	-3,852	-4,631	-4,631	-3,695	-3,695	-6,172	-6,172	-8,323	-8,323	-	-3,742	-3,742
Ebitda	-10,456	-18,650	-33,883	-12,800	-	-8,158	-6,807	-	-	-	-	-	-	-	-10,263	-10,263	-10,263	-	-
Gross Profit	44,952	39,240	29,288	35,100	51,123	24,309	38,752	-	27,462	-	-	-	17,174	17,174	21,033	21,033	21,033	5,755	5,755
Income Before Tax	-12,075	-21,046	-33,032	-26,200	-23,028	-8,158	-10,656	-	-9,134	-	-7,200	-	-11,851	-5,926	-10,332	-10,332	-10,332	-7,513	-3,757
Income Tax Expense	228	73	-47	100	-64	-144	-	-	-	-	-	-	-	-	-	-	-	-	-
Interest Expense	749	67	436	2,000	-	-	-	-	-	-	-	-	-	-	69	69	69	80	80
Interest Income	112	145	415	913	733	-	-	-	0	-	-	-	-	-	192	-	186	160	-
Net Income	-12,303	-21,119	-32,985	-26,300	-22,901	-8,014	-10,656	-	-9,134	-	-7,200	-	-11,851	-5,926	-10,332	-10,332	-10,332	-7,513	-3,757
Net Income Applicable To Common Shares	-12,303	-21,119	-32,985	-25,222	-11,451	-8,014	-5,328	-3,852	-4,567	-4,567	-3,600	-3,600	-5,926	-5,926	-17,102	-8,551	-11,844	-7,513	-3,757
Net Income From Continuing Ops	-12,303	-21,119	-32,985	-25,200	-	-8,014	-6,804	-	-	-	-	-	-5,926	-5,926	-8,551	-8,551	-	-3,757	-3,757
Net Interest Income	-	-	-	2,000	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Operating Income	-12,712	-21,124	-33,468	-15,000	-21,603	-7,748	-10,659	-	-9,262	-	-7,389	-	-12,343	-6,172	-10,354	-10,354	-10,354	-7,484	-3,742
Other Operating Expenses	84,050	78,277	82,312	72,600	-	37,445	-	-	-	-	-	-	-	-	-	-	-	-	-
Reconciled Depreciation	2,368	2,329	-	2,200	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Research Development	25,143	24,569	27,031	22,100	-	13,113	12,016	-	-	-	-	-	10,538	10,538	11,470	11,470	11,470	4,815	4,815
Selling And Marketing Expenses	22,054	24,228	22,895	15,800	-	13,360	-	-	-	-	-	-	-	-	12,104	12,104	12,104	-	-
Selling General Administrative	10,467	11,567	12,830	16,600	44,440	5,584	26,703	-	15,904	-	26,338	-	29,781	12,807	3,306	3,306	3,306	11,931	4,682
Tax Provision	228	73	-47	100	-127	-144	0	-	0	-	-	-	-	-	-	-	-	-	-
Total Operating Expenses	57,664	60,364	62,756	56,700	-	32,057	31,816	-	-	-	-	-	23,345	23,345	4,508	4,508	4,508	9,497	9,497
Total Other Income Expense Net	637	78	436	-11,200	-	-410	3	-	-	-	-	-	246	246	22	22	22	-15	-15
Total Revenue	71,338	57,153	48,844	51,000	64,642	29,697	48,001	-	42,857	-	37,798	-	34,347	17,174	21,033	21,033	21,033	11,509	5,755

Latest Income Statement (annual, 2022-12-31)

Gross Profit (+$)
totalRevenue	228,305
Cost of Revenue	-79,707
Gross Profit	148,598	148,598

Operating Income (+$)
Gross Profit	148,598
Operating Expense	-243,009
Operating Income	-94,411	-94,411

Operating Expense (+$)
Research Development	102,480
Selling General Administrative	48,110
Selling And Marketing Expenses	92,419
Operating Expense	243,009	243,009

Net Interest Income (+$)
Interest Income	1,295
Interest Expense	-4,389
Other Finance Cost	-3,094
Net Interest Income	-

Pretax Income (+$)
Operating Income	-94,411
Net Interest Income	-
Other Non-Operating Income Expenses	-
Income Before Tax (EBT)	-91,317	-97,505 EBIT - interestExpense = -98,800 -91,317 -87,240
Interest Expense	4,389
Earnings Before Interest and Taxes (EBIT)	-94,411	-86,928
Earnings Before Interest and Taxes (EBITDA)	-86,507

After tax Income (+$)
Income Before Tax	-91,317
Tax Provision	-312
Net Income From Continuing Ops	-91,629	-91,629
Net Income	-91,629
Net Income Applicable To Common Shares	-91,629

Non-recurring Events
Discontinued Operations	-
Extraordinary Items	-
Effect of Accounting Charges	-
Other Items	-
Non Recurring	-
Other Operating Expenses	322,716
Total Other Income/Expenses Net	3,094	0

Technicals of Life360

1. Trend Indicators

1.1 Moving Averages

Shows the moving average of the selected period.

Moving averages are lagging trend indicators.
There are many types of moving averages.
Moving averages are also used within other indicators.

Directionalities and relatives.

Moving Average	Amount of candles	Trend	Price +/-	vs. MA 50	vs. MA 100	vs. MA 200

Explanation: https://www.youtube.com/watch?v=xwW8h0lrQ-I

Shows the moving average of the selected period.

There are four types of indicators:

Trend indicators
Momentum indicators
Volatility indicators
Volume indicators

There are various kinds of moving averages:

Simple moving average (SMA);
Exponential moving average (EMA);
Smoothed moving average (SMMA);
Linear weighted moving average (LWMA).

The moving average looks at a certain period of time and it calculates the price average. The various types of averages are using various formulas. Don’t worry, you don’t have to memorize any formula. All moving averages are calculated automatically by basically every charting software you use. But it’s good to know how moving averages are actually calculated.

Simple moving average

SMA is calculated by summing up the price closures of the selected period. The price is then divided by the selected period. For example, when using the 21 day moving average you sum up all the closing prices for each day and divide that by 21. The result is a line on the chart representing the average. Because it’s an average in the selected timeframe, the trend is always lagging. An moving average looks like this on the chart:

Source: Tradingview.com

In this case, the blue line represents a 21 day moving average. Because the average is based on results from the past, the indicator will always lag behind. For example, when price would suddenly go up, the moving average won't immediately follow.

All other moving averages discussed below look the same on the chart. The only difference is that the line will move in different directions based on the maths behind the used indicators and the amount of days used to determine the average.

Exponential moving average

The EMA gives more weight to the latest closing prices by giving them more value in the equation. EMA is calculated by adding a certain percentage to the latest closing prices:

EMA = (CLOSE (i) * P) + (EMA (i - 1) * (1 - P))

Where:

CLOSE (i) = current period close price.
EMA (i - 1) = value of the Moving Average of a preceding period.
P = the percentage of using the price value.

Smoothed moving average

A smoothed moving average is an exponential moving average with a long lookback period. Older prices are reduced in weight but are never left out in the calculation. Unlike SMA and EMA where prices are removed when they are beyond the selected period. SMMA is a combination of the SMA and EMA. The main advantage is that it smooths out fluctuations in price.

Linear weighted moving average

The LWMA gives the latest price the highest weight and then lineary scales down with each price before that. The result is that the LWMA reacts quicker to changes in price than the SMA or EMA. The formula:

LWMA = ((Pn∗W1)+(Pn−1∗W2)+(Pn−2∗W3)...) / ∑W

Where:

P = Price for the period.
n = The most recent period, n-1 is the prior period, and n-2 is two periods prior.
W = The assigned weight to each period, with the highest weight going first and then descending linearly based on the number of periods being used.

Moving averages are widely used by many traders. Which moving average you need depends on your trading strategy. Common practise is using a combination of multiple periods. For example, the EMA21, EMA50, EMA100 and EMA200. How does that look on a chart:

Source: Tradingview.com

The lowest (purple) line on the chart represents the EMA200 then following up the EMA100, EMA50 and EMA21.

You can use moving averages to determine a trend. The 200 moving average is mostly used as a baseline for determining the current trend:

When the 200 moving average is moving up it is considered a bullish trend.
When the 200 moving average is down it is considered a bearish trend.
When moving averages are flatlined, there is no clear trend so you should look for market structure, consolidation or trend reversals. Depending on how you want to trade.

This is not set in stone. Most trading strategies use multiple moving averages each with different settings. While one strategy might use the EMA20, the other uses the SMA21. There can be hundreds of different variations. Moving averages can also be used as support and resistance. More often than not, prices will bounce on moving averages.

1.2 Moving Average Convergence/Divergence (MACD)

Shows the momentum of the selected period based on two moving averages.

MACD is a lagging momentum indicator.
Uses two moving averages.
Can show buy or sell signals based on momentum.
Can show overbought. and oversold. levels.

Let's take a look of the Moving Average Convergence/Divergence (MACD) of Life360 Inc:

Life360 Inc Daily Moving Average Convergence/Divergence (MACD) Chart

1.3 Directional Movement Index (DMI)

The DMI is a collection of 3 indicators: +DI (Plus Direction Indicator), -DI (Minus Direction Indicator) and ADX (Average Directional Index).

The ADX helps you determine the strength of a trend. Let's take a look of the ADX of Life360 Inc:

The ADX is .

Life360 Inc Daily Directional Movement Index (DMI) Chart

1.4 Parabolic SAR

Shows the current trend and potential entry and exit signals.

Parabolic SAR (stop and reverse) is a lagging trend indicator.
Shows the current trend.
Shows potential entry signals.
Shows potential exit signals.
Can be used to place trailing stoplosses..

The Parabolic SAR is lower than the price. The current trend is up. +2

2. Momentum Indicators

2.1 Relative Strength Index (RSI)

Measures the speed and change of price movements.

Leading momentum indicator, meaning the signals are instant.
Ranges between 0 and 100.
Above 70 is considered overbought.
Below 30 is considered oversold.
Above or below 50 can also be used to determine price trend or support and resistance.
RSI divergence looks at a deviation between RSI and price movement. Penketrading automatically calculates RSI divergences.
Can be used in many different ways

The RSI is below 50. -1
The RSI is below 30 and oversold. +2

Measures the speed and change of price movements.

There are four types of indicators:

Trend indicators
Momentum indicators
Volatility indicators
Volume indicators

The RSI measures the magnitude of recent price changes to determine if the asset is overbought or oversold.

Overbought (RSI above 70) means that the trading price is above its intrinsic value. This might indicate a sell or short signal.
Oversold (RSI below 30) means that the trading price is below its intrinsic value. This might indicate a buy or long signal.
RSI levels above or below 50 can also be used to determine a trend.
RSI divergence looks at a deviation between RSI and price movement.
Can be used in many different ways.

Original usage

Keep in mind that almost every indicator can be used in different ways. Even beyond the orginal settings. The relative strength index was developed by J. Welles Wilder. Wilder recommended a smoothing period of 14 days. That means a 14 day moving average (read more about this setting below). Another quote from the wikipedia page:

Wilders also considers the RSI 50 line as both support and resistance. I recommend to always read the original settings first before using an indicator. Many traders and websites are using their own version of the indicator which might be confusing.

How you can use RSI (Divergence)

First and foremost, there is no real right or wrong usage of the RSI indicator. You can use it in any way you want. Wilder recommends using a 14 day average but you can make it 50 or 100 if you like. Just keep in mind that using an indicator is just part of a larger trading plan. In other words, it’s not recommended to do any trading or investing based on a single indicator like the RSI.

The RSI is measured on a scale between 0 and 100. From 30 till 0 is considered oversold. and from 70 -100 is overbought. The RSI is a leading indicator, meaning the signals are instant.

I like to use the RSI as a trend\momentum indicator and not as an overbought or oversold indicator. I use the middle (50) as the baseline. When prices go above RSI 50 the trend is bullish and can indicate long positions. When below 50 it is considered bearish and can indicate short positions. Other traders use the 70 and 30 levels as overbought/oversold depending on the used strategy. The RSI indicator looks like this:

Source: Tradingview.com

The general concensus is that an RSI above 70 indicates that the security is overbought. In other words, the price this security is trading for is to high and should come down. So if RSI hits 70 or above this might indicate a sell signal or taking a short position (expecting the price will go down). Although RSI above 70 indicates the security is trading above it's fair value, that does not mean the price will go down.

Use tradingview to add indicators

I highly recommend using tradingview to add indicators to a chart. It has all the indicators you can think off and can add them for free (up to three indicators) to any chart you want. You can see that the levels 30 and 70 are marked with a dotted line. If you want you can remove these lines or give it another colour using Tradingview. You can also adjust the moving average used. You can also find RSI indicators made by the community that include other settings like RSI divergences.

Tradingview

Use Tradingview to (back)test your strategies and add hundreds of indicators created by the community.

View tool on Tradingview.com

RSI divergence

RSI is not only used to determine momentum but can also spot reversals or continuations of the trend. A reversal means that the trend is going in the opposite direction. From bullish to bearish or from bearish to bullish. These reversals can be spotted by looking at the price and the direction of the RSI. When the price is going up but the RSI is going down that means there is a divergence. This is also the case when RSI goes up but price is going down.

There are four types of divergences:

Regular bullish divergence
Regular bearish divergence
Hidden bullish divergence
Hidden bearish divergence

Regular bullish divergence

With a regular bullish divergence, the price is making lower highs but the oscillator (in this case the RSI) is making higher lows. A regular bullish divergence might indicate the end of the current trend. You’ll see regular bullish divergences mostly at the end of a downtrend. But that does not mean that every regular bullish divergence is a trend reversal.

Price is making lower highs
RSI is making higher lows
Indicating bullish reversal (price might go up)

Source: Tradingview.com

Regular bearish divergence

With a regular bearish divergence the price is making higher highs but the oscillator (in this case the RSI) is making lower highs. This might indicate the end of an uptrend.

Price is making higher highs
RSI is making lower highs
Indicating bearish reversal

Source: Tradingview.com

Hidden bullish divergence

With a hidden bullish divergence, the price is making a higher low while the RSI is making a lower low. This might indicate bullish trend continuation.

Price is making higher lows
RSI is making lower lows
Indicating bullish continuation

Source: Tradingview.com

As you have noticed, you can have multiple divergences in a row.

Hidden bearish divergence

With a hidden bearish divergence, price is making lower highs but RSI is making higher highs. This might indicate bearish trend continuation.

Price is making lower highs
RSI making higher highs
Indicating bearish continuation

Source: Tradingview.com

You can find many cheatsheets of RSI divergences online. Search for "RSI divergence overview" and you'll find a lot of examples. You can print these to learn the various types of divergences.

Life360 Inc Daily Relative Strength Index (RSI) Chart

2.2 Stochastic Oscillator

Compares a certain price to multiple prices ranging over time.

Leading momentum indicator, meaning the signals are instant.
Used to determine overbought and oversold areas much like the RSI.
Ranges between 0 and 100.
Above 80 is considered overbought.
Below 20 is considered oversold.
Consists of two lines named K and D.
K compares the highest high and lowest low on the selected price range.
The D line is a moving average of the K line.
Can be used to spot divergences

The Stochastic is below 50. -1
The Stochastic is below 30 and oversold. +2

Life360 Inc Daily Stochastic Oscillator Chart

2.3 Commodity Channel Index (CCI)

Life360 Inc Daily Commodity Channel Index (CCI) Chart

2.4 Chande Momentum Oscillator (CMO)

Life360 Inc Daily Chande Momentum Oscillator (CMO) Chart

2.5 Williams %R

3. Volatility Indicators

3.1 Bollinger Bands

3.2 Average True Range (ATR)

Life360 Inc Daily Average True Range (ATR) Chart

4. Volume Indicators

4.1 On-Balance Volume (OBV)

Life360 Inc Daily On-Balance Volume (OBV) Chart

4.2 Money Flow Index (MFI)

Life360 Inc Daily Money Flow Index (MFI) Chart

5. Summary

5.1. Notifications

Type	Notification	Date
Currently no notifications for Life360 Inc.

5.2. Trading Signals

Date	Indicator	Entry signal	Exit signal
2023-05-30	MACD	SHORT ENTRY	LONG CLOSE
	STOCH	SHORT ENTRY	LONG CLOSE	80 crossover to downside
2023-05-31	WILLR	LONG ENTRY	SHORT CLOSE	-20 crossover to upside
2023-06-01	SAR	SHORT ENTRY	LONG CLOSE	price crossed sar to downside

5.2. Technical Score

Let's check the technical score of Life360 Inc based on Penke's default Symbol scanner.

Penke's Symbol Scanner

Indicator	Condition		Value
Open	Greater than	Close	6.650
Total			1/1 (100.0%)

Create your own Symbol Scanner

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Quick analysis of Life360 (30 sec.)

1. Valuation of Life360 (5 min.)

A$6.52

A$1.21

2. Growth of Life360 (5 min.)

Is Life360 growing?

How much money is Life360 making?

How much money comes from the company's main activities?

3. Financial Health of Life360 (5 min.)

4. Comparing to competitors in the Software-Application industry (5 min.)

Industry Rankings (Software-Application)

Fundamentals of Life360

Financial Health

1.1. Profitability of Life360 Inc.

1.1. Profitability

1.1.1. Net Profit Margin

Trends

Compared to industry (Software-Application)

1.1.2. Return on Assets

Trends

Compared to industry (Software-Application)

1.1.3. Return on Equity

Trends

Compared to industry (Software-Application)

1.2. Operating Efficiency of Life360 Inc.

1.2. Operating Efficiency

1.2.1. Operating Margin

Trends

Compared to industry (Software-Application)

1.2.2. Operating Ratio

Trends

Compared to industry (Software-Application)

1.3. Liquidity of Life360 Inc.

1.3. Liquidity

1.3.1. Current Ratio

Trends

Compared to industry (Software-Application)

1.3.2. Quick Ratio

Trends

Compared to industry (Software-Application)

1.4. Solvency of Life360 Inc.

1.3. Liquidity

1.4.1. Debt to Asset Ratio

Trends

Compared to industry (Software-Application)

1.4.2. Debt to Equity Ratio

Trends

Compared to industry (Software-Application)

2. Market Valuation of Life360 Inc

2. Earnings Per Share

2.1. Price to Earnings Ratio

Trends

Compared to industry (Software-Application)

2.2. Price Earnings to Growth Ratio

Trends

Compared to industry (Software-Application)

2. Book Value per Share

2.3. Price to Book Ratio

Trends

Compared to industry (Software-Application)

Life360 Inc
Buy, Hold or Sell?