KinderCare Learning Companies announced that Lindsay Sorhondo, who has been with the company since 2013, will become Chief Operating Officer effective November 11 2025. In her new role she will oversee strategy, operations, growth channels, customer experience, marketing, and information technology across the company’s more than 2,600 early‑learning centers and programs.
KinderCare reported Q2 2025 revenue of $700 million, a 1.5% year‑over‑year increase, and earnings per share of $0.22 versus the consensus estimate of $0.26—a miss of $0.04 or 15.4%. Adjusted EBITDA fell 5% to $82 million. The revenue miss was driven by a 71% same‑center occupancy rate, below the company’s target, and softer enrollment in core markets. The earnings miss reflects the impact of higher personnel costs and the need to invest in digital tools to support enrollment and family engagement.
For the full year, KinderCare guided revenue of $2.75 billion to $2.80 billion and adjusted EBITDA of $310 million to $320 million. The guidance represents modest growth compared with the prior year’s $2.663 billion revenue and $310 million EBITDA, and signals management’s confidence that occupancy improvements and cost discipline will support the outlook. The guidance range is consistent with the company’s Q2 2025 earnings report and reflects a cautious view of near‑term demand.
CEO Paul Thompson said the company remains focused on improving occupancy and leveraging federal policy to expand access to affordable childcare. “We are intensively focused on initiatives to improve occupancy,” he said, adding that digital tools and targeted engagement are addressing market‑specific needs. Sorhondo added, “My strategic vision and operational excellence will fuel continued growth and advance operational excellence across the organization, ensuring we deliver exceptional experiences for families, teachers and clients while strengthening our foundation.”
KinderCare’s strategic focus remains on its B2B (employer‑sponsored childcare) and Champions (before‑ and after‑school) segments. The company is investing in digital platforms to streamline enrollment, enhance family engagement, and support occupancy growth, while also pursuing new center openings to scale its footprint.
After the earnings announcement, the market reacted with a slight decline of 0.21% in aftermarket trading, closing near the company’s 52‑week low. The modest drop reflects the earnings miss and the company’s conservative guidance, which tempered investor enthusiasm despite the company’s ongoing efforts to improve occupancy and cost efficiency.
The promotion of Sorhondo to COO is a strategic move to strengthen KinderCare’s operating hierarchy. Her experience as Chief Innovation Officer and her track record of driving technology initiatives position her to accelerate the company’s growth strategy, address occupancy challenges, and maintain margin discipline as the company navigates a competitive early‑childcare market.
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