KinderCare Learning Companies lowered its 2026 revenue outlook and reported second-quarter adjusted earnings that missed estimates, sending shares down 19% in premarket trading Friday. Revenue declined 0.4% year-over-year to $697.5 million, as revenue from early childhood education centers fell 1.5% amid a 4.0% decline in enrollment, partly offset by higher tuition rates, while revenue from before- and after-school sites rose 13.4%. The company now expects 2026 revenue of approximately $2.66 billion to $2.70 billion, below the $2.70 billion consensus, with adjusted EBITDA of $200 million to $220 million and adjusted EPS of $0.05 to $0.15, versus the $0.17 consensus. Adjusted EBITDA fell 23.6% to $63 million, adjusted net income declined to $9.9 million from $26 million a year earlier, and adjusted EPS came in at $0.08, missing the $0.10 estimate. KinderCare also closed 49 early childhood education centers during the quarter as part of its footprint optimization initiative.
KinderCare Learning Companies, Inc.KinderCare lowered 2026 revenue outlook and missed Q2 EPS estimates, sending shares down 19%.
