KinderCare Reports Q4 2024 Net Loss Amid IPO-Related Expenses, Provides 2025 Guidance

KLC
October 04, 2025

KinderCare Learning Companies, Inc. announced financial results for the fourth quarter and fiscal year ended December 28, 2024, on March 20, 2025. Total revenue for Q4 2024 increased by 4.7% to $647.0 million compared to $618.0 million in Q4 2023, with early childhood education centers growing 4.0% and before- and after-school sites growing 12.5%.

The company reported a loss from operations of $89.3 million for Q4 2024, a significant change from income of $48.7 million in Q4 2023. This was primarily due to a $122.9 million increase in equity-based compensation expense related to the IPO's acceleration of profit interest units vesting, and $29.4 million lower COVID-19 Related Stimulus reimbursements.

Net loss for the fourth quarter was $133.6 million, compared to $14.8 million net income in the prior year, also impacted by a $24.8 million loss on extinguishment from a $608.0 million term loan repayment. Despite this, adjusted EBITDA increased by 4.9% to $66.0 million, and adjusted net income rose to $10.7 million. For fiscal year 2025, KinderCare expects revenue between $2.75 billion and $2.85 billion, and adjusted EBITDA between $310 million and $325 million, including a 53rd week contribution.

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