Latent reasoning approach improves time series language models efficiency

Lapras: Latent Reasoning for Time Series Language Models

Computation and LanguageMachine Learning

Summary

Time series language models try to understand data that changes over time and explain their answers in words. The authors found that making these models explain their steps word by word can cause mistakes that snowball into wrong answers. They created a new method called Lapras that lets the model think through the data silently in a hidden space and only say the final answer out loud. This approach is more accurate, faster, and still lets people see the reasoning if needed.

What this means in practice

  • For data analytics teams: Enhance time series question answering systems with more accurate answers produced faster and with less verbose reasoning outputs.
  • For financial analysts: Improve automated interpretation of financial time series data by integrating latent reasoning models for clearer and more reliable explanations.

Authors

Yuliang Chen, Yu Yvonne Wu, Patrick Langer, Arvind Pillai, Sudarshan Regmi, Martin Maritsch, Juncheng Liu, Robert Jakob, Thomas Kaar, Tess Z. Griffin, Lisa Marsch, Michael V. Heinz, Nicholas C. Jacobson, Andrew Campbell

Abstract

Time Series Language Models (TSLMs) offer a promising path toward time series understanding by reasoning over temporal signals and producing natural language answers and explanations. A common approach is Chain-of-Thought (CoT), which generates step-by-step rationales linking relevant signal patterns to final answers. Although these models learn from reference CoT traces during post-training, generating faithful descriptions of input time series at inference remains challenging. Expressing high-dimensional, continuous temporal representations in discrete language tokens may cause the model to neglect task-relevant patterns or describe them inaccurately. Because later reasoning steps build on these descriptions, early errors propagate, leading to incorrect answers with plausible explanations that are inconsistent with the input signal. We propose Lapras (Latent Post-trained Reasoning Across Series), a post-training framework that equips TSLMs with latent reasoning. A model trained with Lapras reasons through a sequence of continuous thoughts in the joint time series-language space, producing text only for the final answer. It learns this through teacher-student self-distillation, where a teacher trained on CoT reference traces reasons explicitly through text. The student aligns its hidden states with the teacher's at the answer stage, transferring the teacher's reasoning ability into its latent computation. We evaluate Lapras across four TSLM backbones on five time series question answering benchmarks. Lapras improves average F1 by up to 10.79% over explicit CoT while generating 23.9x fewer tokens. Lapras's continuous thoughts can also be decoded into readable reasoning traces via standard language decoding, preserving textual explanations. Together, these results highlight Lapras as a promising post-training paradigm for efficient, effective, and interpretable TSLM reasoning.