Following its second-quarter results, Ethos, a US digital life insurance platform operated by Ethos Technologies, increased its full-year 2026 revenue forecast to between $727 mn and $731 mn, representing expected annual growth of approximately 88% at the midpoint. The company also forecast full-year adjusted EBITDA of $119–123 mn.
For the third quarter of 2026, management projected revenue of $160–164 mn, equivalent to approximately 73% year-over-year growth at the midpoint, and adjusted EBITDA of $23–25 mn.
The projections remain forward-looking and depend on the company’s ability to sustain policy activation volumes, distribution growth and its underwriting and customer acquisition performance.
Ethos reported second-quarter 2026 revenue of $189.6 mn, an increase of 113% from $88.8 mn in the corresponding period of 2025.
The company’s direct-to-consumer channel generated $116.5 mn in revenue, up 131% year-over-year, while third-party distribution revenue increased 90% to $73.1 mn.
Direct sales therefore accounted for approximately 61% of quarterly revenue, with third-party distribution contributing the remaining 39%.
Net income reached $19.5 mn, equivalent to a 10% net profit margin. GAAP diluted earnings per share were $0.30, while non-GAAP diluted earnings per share reached $0.53.
For decades, buying life insurance meant weeks of paperwork, phone calls, and waiting. The process was slow, confusing, and built for another era. Ethos changed that. We redesigned the life insurance process from the ground up to make it faster, easier, and entirely online.
“Now getting covered takes minutes, not months – bringing life insurance into the modern world and making protection accessible to more families than ever before”, Ethos noted.
The adjusted EPS figure exceeded Citizens’ estimate of $0.28 and the consensus expectation of $0.33 cited in the analyst coverage.
Adjusted EBITDA increased to $35.2 mn, representing approximately 19% of revenue. Gross profit reached $185.5 mn, corresponding to a 98% gross margin.
Ethos generated $35.7 mn in operating cash flow during the quarter.
The company also reported activating 107,847 new insurance policies, a 133% increase from the prior-year period. Cumulative policy activations exceeded 700,000 by the end of June 2026.
Average reported revenue per unit was $1,758, declining 8% year-over-year because of changes in channel and product mix.
Despite quarterly profitability, Ethos recorded a GAAP net loss of $146.9 mn for the first six months of 2026, compared with net income of $30.7 mn a year earlier. The 2026 figure included $208.2 mn in stock-based compensation expense.
Operating cash flow for the first half increased to $66.9 mn from $24.0 mn in the corresponding period of 2025.
These results distinguish the company’s positive quarterly operating performance and cash generation from the GAAP losses recorded over the first half of the year.
Ethos also announced that its board had authorized a share repurchase program of up to $100 mn of Class A common stock.
The authorization provides flexibility to repurchase shares but does not require the company to complete the entire program.
