# LegalZoom Cuts Full-Year 2026 Adjusted EBITDA Outlook to $180 Million-$185 Million

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/49707
Published: 2026-11-06T01:37:52.000Z
Updated: 2026-11-06T01:37:52.000Z
Section: Business

> Third-quarter revenue rose 3% to $195 million. Subscription revenue increased 11%, while search pressure and spending on customer acquisition weighed on the forecast.

LegalZoom cut its full-year 2026 adjusted EBITDA outlook to $180 million-$185 million as search-driven customer acquisition pressure and spending on new channels and services weighed on its forecast.

Third-quarter revenue rose 3% year over year to $195 million. Adjusted EBITDA was $50 million, equal to a 26% margin. Subscription revenue increased 11%.

Human-in-the-loop subscription services accounted for 49% of revenue and grew 17% year over year. Business Manager subscriptions grew about 25% quarter over quarter in the third quarter.

LegalZoom is expanding marketing through partnerships, affiliates, paid artificial intelligence placements and other channels to reduce its reliance on search. The investments may bring lower marketing efficiency in the near term as the company faces weaker customer-acquisition economics.

The outlook also reflects added sales and service capacity for Business Manager and the company’s new business formation offerings.


