The leadership of LifeStance Health Group Inc. (Nasdaq: LFST) said it’s too early to talk about how it will handle the looming approval of the first genuinely psychedelic intervention.
However, company leadership expressed confidence that its growing specialty division has the chops to adopt a new treatment. It will also use that division as the foundation for adopting synthetic psilocybin, allowing it to roll out the treatment quickly if it does.
“There’s still regulatory payer reimbursement and adoption hurdles that remain unresolved,” LifeStance Health CEO Dave Bourdon said on the company’s third-quarter earnings call. “We’re monitoring it, but there’s still a lot to play out. … At this stage, it’s still too early to be talking about if something new would be impacting 2027.”
The company’s specialty division’s infrastructure and know-how have so far been built on establishing sites where Spravato, a formulation of ketamine, and transcranial magnetic stimulation (TMS) are used. The division generated about $50 million in 2025 and is expected to yield about $70 million this year, a 40% increase, Bourdon added. This division also offers neuropsychological testing, which generated the bulk of its revenue. Bourdon said LifeStance Health is the national leader in that kind of testing.
The company organizes its center footprint in groups of five- to six-center clusters and will place TMS or Spravato locations within those clusters. Bourdon said the company operates about 600 locations. It added TMS at five sites and Spravato at four in the quarter, bringing totals to 37 TMS centers and 25 Spravato centers, Bourdon said.
The growth of this division and others helped LifeStance Health continue its run of financial success.
LifeStance’s third-quarter revenue rose 25.3% year over year to $455.9 million. For the first nine months of 2026, revenue reached $1.29 billion, up 24.2% from the same period last year.
Net income jumped to $22.4 million in the quarter, a 1,978.5% increase from $1.1 million a year earlier. Year to date, net income totals $60.2 million, reversing a $2 million loss from the year before.
Topline growth was largely driven by new net provider hires and increases in patient volume. LifeStance Health added 321 clinicians. Its clinical workforce totals 8,863 clinicians, up to 11%. Visit volume for the quarter increased by 17%. Per-visit revenue also increased 7% to $170.
“Clinician productivity also remains very strong, building on last year’s improvements and underscoring the strength and the scalability of LifeStance’s model,” Bourdon said. “Turning to technology, we continue to deploy digital tools, AI capabilities, and workflow automation to improve patient access, enhance the clinician experience, and drive greater efficiency across the organization.”
That productivity may take a hit in 2027.
The company is preparing to convert and transition to a new, unnamed electronic health record. The rollout will be phased across the year and is planned to be completed by the end of 2027. The company estimates that revenue growth will be hampered by 1 to 2 percentage points. It is also estimating as much as $30 million in impact to the company’s earnings figures. LifeStance Health’s leadership also hopes that the impact of the implementation will be isolated to 2027.
The company’s growth will likely include M&A to expand into new markets, as well as de novo expansion to build density. The company acquired a practice in Iowa, marking the company’s entry into that market. It did not name the company. Bourdon said the company expects to do one to two tuck-in acquisitions per quarter in 2027. The company will open between 20 and 30 locations by year-end.
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