Key Highlights

  • Third-quarter 2026 Revenue grew to $235.2 million, a jump of 151% compared with the year-earlier quarter.
  • Profit landed at $4.7 million ($0.07 a share), against $15.9 million a year before.
  • Adjusted EBITDA amounted to $34.9 million, which represents 15% of revenue; operating cash generation was $40.7 million.
  • The 2026 revenue outlook was lifted to a band spanning $838 million through $842 million, with adjusted EBITDA expected at $134 million through $136 million.
  • For the fourth quarter, the company forecasts revenue between $220 million and $224 million and adjusted EBITDA between $30 million and $32 million.

Agency Channel Sales Surge 209% as Direct Revenue Climbs 112%

Ethos (NASDAQ:LIFE) announced results on Nov 2, 2026 for the period ending Sep 30, 2026. Sales jumped by 151%, arriving at $235.2 million, against $93.8 million in the year before, and a third consecutive quarter of triple-digit gains followed. Newly activated policies totaled 142,111, a 189% increase from a year earlier.

Customers can buy its digital life policy online without an exam, through its own direct channel or outside agencies. Revenue from the direct channel grew 112%, reaching $118.8 million, and the third-party channel rose 209% to $116.4 million. Leadership noted that agencies onboarded during 2025 and 2026 are scaling rapidly, while longer-standing agencies keep expanding.

Cumulatively, activated policies have topped 850,000, the company reported.

Whole Life Share Pushes Average Policy Revenue Lower

Gross profit totaled $230.8 million (98% of revenue), while contribution profit reached $66.4 million, equal to a 28% margin. Management reported that contribution profit increased 81% from a year earlier and attributed the blended rate partly to a bigger share of third-party sales plus heavier Brand outlays in direct.

Revenue per policy averaged $1,655, a 13% decrease year over year, because whole life contracts were increasingly sold via third parties. The third-party share rose roughly 10 percentage points relative to the second quarter.

On a GAAP basis, the figure was $4.7 million, or 2% of revenue, versus $15.9 million earlier. Adjusted measures were higher: non-GAAP Net Income climbed to $33.8 million, which is $0.49 per diluted share, and adjusted EBITDA $34.9 million. Across nine months, the GAAP result was a loss of $142.2 million, compared with $46.6 million of net income for the matching 2025 span.

Upgraded Full-Year Targets Sit Alongside a Lower Fourth-Quarter Revenue Range

Fiscal 2026 projections were raised: revenue spanning $838 million through $842 million, which represents a 117% gain at the midpoint, plus adjusted EBITDA running $134 million through $136 million. The fourth quarter, which closes Dec 31, 2026, is expected to bring $220 million to $224 million of revenue, equal to 102% growth at the midpoint, alongside $30 million to $32 million of adjusted EBITDA.

The fourth-quarter band is beneath the $235.2 million recorded in the third quarter. According to leadership, the forecast already accounts for the mix between channels and heavier brand spending, and a look at 2027 will come with the February report on fourth-quarter results.

Cash Position Grows While $100 Million Repurchase Authority Sits Idle

Liquidity in the form of cash, equivalents and investments came to $290 million on Sep 30, 2026, compared with $253 million at the prior quarter-end. Operating cash generation of $40.7 million lifted cash conversion past 100%, a result leadership linked to the quicker cash profile of third-party business. The board approved Buybacks up to $100 million, though nothing has been repurchased yet. Investors can look ahead to the report on the fourth quarter that arrives in February.