LifeStance Health Group Reports 11% Revenue Growth to $345.3 Million in Q2 2025

LifeStance Health Group, Inc. reported its financial results for the second quarter of 2025, revealing a total revenue of $345.3 million, an increase of 11% from $312.3 million in the same period last year. The growth was primarily driven by a $32.9 million rise in patient service revenue, attributed to a net increase of 748 clinicians, which led to a 12% increase in patient visits. For the first half of 2025, total revenue also rose by 11% to $678.3 million, compared to $612.8 million in the prior year. Despite the revenue growth, the company reported a net loss of $3.8 million for the quarter, a significant improvement from the $23.3 million loss in Q2 2024.

Operating expenses for the quarter increased to $348.3 million, up from $328.3 million a year earlier, largely due to a $22.4 million rise in center costs, which included increased compensation for clinicians. General and administrative expenses also saw a slight increase of 2% to $97.4 million. The company’s loss from operations narrowed to $2.9 million from $15.9 million in the previous year, indicating improved operational efficiency. The decrease in interest expense, down to $2.9 million from $5.8 million, further contributed to the reduced net loss.

LifeStance continues to expand its operational footprint, employing 7,708 licensed mental health clinicians as of June 30, 2025. The company reported 2.2 million patient visits in the second quarter, reflecting its strategy to enhance patient access through both in-person and virtual care. The company is also focused on geographic expansion, with plans to open new de novo centers and pursue strategic acquisitions to enhance its market presence. The company’s cash and cash equivalents increased to $188.9 million from $154.6 million at the end of 2024, providing a solid liquidity position to support its growth initiatives.

Looking ahead, LifeStance anticipates continued revenue growth driven by its clinician recruitment and de novo center strategies, as well as the ability to increase patient visits through virtual care options. The company remains committed to enhancing its operational capabilities and expanding its market share in the outpatient mental health sector. However, it also acknowledges potential risks, including changes in reimbursement rates from payors and the need to effectively manage its growth to avoid disproportionate increases in expenses. The company is actively working to address these challenges while positioning itself for future growth in a competitive healthcare landscape.