Neutron Holdings, Inc. (LIME) · Nov 3, 2026 · Earnings
Miss — Diluted EPS $0.63 vs ~$0.68 consensus; adjusted EBITDA $118.4M vs $120M-$130M guide
Lime earnings show revenue just above Q3 guidance, but adjusted EBITDA, margins and free cash flow came in softer.
Lime is a newly public micromobility operator using its IPO-funded balance sheet to expand its vehicle network, grow LimePrime subscriptions and defend local market leadership. Its prior Q3 plan called for $340M-$360M of revenue and $120M-$130M of adjusted EBITDA, against a backdrop of continued fleet growth and debt elimination after the IPO.
| Q3 2026 | Q3 2025 | Guide / consensus | |
|---|---|---|---|
| Revenue (Income Statement) | $360.6M | $301.6M | $340M-$360M / ~$352.3M |
| Diluted EPS (Income Statement) | $0.63 | $1.01 | ~$0.68 |
| Adjusted EBITDA (Adjusted EBITDA reconciliation) | $118.4M | $106.7M | $120M-$130M |
| Adjusted EBITDA margin (Adjusted EBITDA reconciliation) | 32.8% | 35.4% | — |
| Free cash flow (Free Cash Flow reconciliation) | $90.6M | $98.8M | — |
Revenue reached the top of the company’s range, but not the full earnings bar. Q3 revenue of $360.6M grew 19.6% year over year and edged above the prior guidance ceiling, but diluted EPS of $0.63 was below the roughly $0.68 published consensus. The revenue result is the cleanest positive in the quarter; the profit result is what keeps this from being a beat.
The main issue is margin pressure while Lime is investing for growth. Adjusted EBITDA rose 11.0% year over year, but at $118.4M it fell below the previously issued $120M-$130M range, while adjusted EBITDA margin declined to 32.8% from 35.4%. That matches management’s warning that market investments and LimePrime expansion could temporarily weigh on near-term margins, but the filing shows the pressure arrived immediately rather than remaining merely theoretical. 〔0〕
Cash generation also softened despite stronger reported earnings. Operating cash flow was broadly stable at $114.6M, but heavier vehicle and other capital spending pushed free cash flow down to $90.6M from $98.8M in the year-ago quarter; for the first nine months, free cash flow was only $7.3M versus $78.9M. That matters because Lime’s expansion strategy now depends on spending more on fleet and market capacity while preserving the cash discipline investors were promised.
The strategic story is still advancing, but the near-term tradeoff is becoming visible. Lime crossed $1 billion in trailing twelve-month revenue and says LimePrime riders generate twice the adjusted gross profit of non-subscription riders, supporting the case for the subscription push. But this quarter suggests the company is buying that growth with lower margins and higher reinvestment, not producing clean operating leverage yet.
Bottom line: Lime delivered the revenue growth its expansion story requires, but missed the more important profitability targets and used more cash to get there. The business is still progressing, yet this filing makes the growth-versus-margin tradeoff harder to ignore.
Q4 results, early 2027
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