KinderCare Reports Third Quarter 2026 Financial Results

KinderCare reported Q3 2026 revenue of $665.3M, missing estimates, with adjusted EBITDA down 35.9% YoY. Stock fell 24.64% after-hours. Champions program grew, but core early education segment struggled with lower occupancy. Company expects to close 80-85 centers by year-end and revised full-year guidance downward.

KinderCare reported Q3 Non-GAAP EPS of -$0.03, missing estimates by $0.03, with revenue of $665.3M, down 1.7% year-over-year and missing by $3.49M. The company updated its 2026 guidance ranges based on current trends.

KinderCare reported 3Q 2026 revenue of $665.34M, down 1.7% YoY, and a net loss of $84.97M, compared to a profit last year. Lower enrollment in early childhood education centers and impairment losses contributed to the decline, while before- and after-school revenue rose 16.4%.

KinderCare Learning Companies reported a 1.7% revenue decline to $665.3M in Q3 2026, with a net loss of $85.0M. The company reduced its 2026 revenue outlook to $2.64B–$2.66B and adjusted EBITDA to $190M–$195M. The results reflect enrollment pressure and impairment losses.

S&P Global Ratings revised KinderCare's outlook to negative, citing enrollment pressures and declining utilization. The agency expects revenue to fall and margins to contract in 2026, with adjusted leverage rising above 5.0x. KinderCare plans to close 80-85 underperforming centers this year, accelerating from historical rates. S&P may downgrade KinderCare if enrollment trends and leverage do not improve.

KinderCare (KLC) reported Q2 revenue of $697.5M, down 0.4%, and a net loss of $8.8M. The company is closing 80-85 underperforming centers to improve occupancy. Champions program revenue grew 13.4% to $59.4M. Core business saw a 4% enrollment decline, and adjusted EBITDA fell to $63M. Full-year EPS guidance lowered to $0.05-$0.15.