Lightspeed POS Q1 Earnings: Key Metrics Outpace Wall Street Estimates

Lightspeed POS (LSPD) Q1 earnings: revenue $304.94 million, up 14.6% YoY, EPS $0.06, down from $0.10 YoY. Revenue beats Zacks Consensus Estimate of $286.85 million by 6.31%, while EPS misses by 45.45%. Shares have returned +12.8% over the past month. The stock has a Zacks Rank #3 (Hold).

Montreal, Canada - Lightspeed Commerce Inc. (LSPD), a leading provider of cloud-based point-of-sale (POS) and e-commerce solutions, reported its Q1 2025 earnings on July 31, revealing a mixed financial performance. The company's revenue exceeded expectations, while earnings per share (EPS) fell short of projections.

Revenue Surge

Lightspeed reported revenue of US$304.94 million for the quarter, marking a 14.6% year-over-year (YoY) increase. This figure surpassed the Zacks Consensus Estimate of US$286.85 million by 6.31%, demonstrating strong sales performance [2].

EPS Miss

Despite the revenue beat, Lightspeed's EPS for the quarter was US$0.06 per share, falling short of the Zacks Consensus Estimate of US$0.11 per share. This represents a 45.45% miss compared to the previous year's EPS of US$0.10 per share [2].

Stock Performance

Following the earnings release, Lightspeed's stock price rose by 3.69% in pre-market trading, reaching US$13.43. This positive movement suggests that investors focused more on the revenue beat and the company’s growth prospects rather than the EPS miss [3].

Growth and Innovation

Lightspeed continued to show robust year-over-year growth, with total revenue growing by 15% to US$205 million, maintaining its impressive 5-year revenue compound annual growth rate (CAGR) of 55%. The company also reported a 55% rise in adjusted EBITDA to US$16 million, showcasing its ability to enhance profitability [3].

Outlook

For fiscal 2026, Lightspeed projects revenue growth of between 10% and 12% and a gross profit growth target of 14% year-over-year. The company expects adjusted EBITDA to be between US$68 million and US$72 million [3].

Zacks Rank

The stock has a Zacks Rank #3 (Hold), indicating that it is expected to perform in line with the market in the near future [2].

Risks and Challenges

The EPS miss could signal potential challenges in cost management or market conditions. Macro-economic pressures could impact consumer spending and business investments. Competition in the retail and hospitality sectors remains intense, requiring ongoing innovation. Supply chain disruptions could affect product availability and operational efficiency. The success of new AI-powered features is yet to be fully realized in financial performance [3].

References

[1] The Canadian Press. (July 31, 2025). Lightspeed Commerce Inc. reports US$49.6 million loss in Q1 2026. Retrieved from https://ca.finance.yahoo.com/news/lightspeed-commerce-reports-us-49-125633826.html

[2] Nasdaq. (July 31, 2025). Lightspeed Commerce Inc. (LSPD) Q1 earnings lag estimates. Retrieved from https://www.nasdaq.com/articles/lightspeed-commerce-inc-lspd-q1-earnings-lag-estimates

[3] Investing.com. (July 31, 2025). Earnings call transcript: Lightspeed POS Inc. (LSPD) Q1 2025 sees mixed results. Retrieved from https://www.investing.com/news/transcripts/earnings-call-transcript-lightspeed-q1-2025-sees-mixed-results-93CH-4163648