What were the key takeaways from Lightspeed’s earnings call?

What is the revenue and EPS growth rate for Lightspeed year over year?

What is the market's earnings forecast for Lightspeed next quarter?

Did Lightspeed beat or miss consensus estimates last quarter?

What guidance did Lightspeed's management provide for the next earnings period?

What is Lightspeed's latest dividend and current dividend yield?

What is Lightspeed's gross profit margin?

What does Lightspeed do and what are its main business segments?

- **Revenue Beat**: $312.3M (+11% YoY), with growth engines (North America Retail, European Hospitality) up 21% YoY.
- **AI-Driven Growth**: Lightspeed AI and Marketplace launched, driving ARPU and module attachments. Software gross margin 82%, transaction-based margin 31%.
- **Cash Flow Strength**: $50M Q3 Free Cash Flow, positive for two straight quarters. FY2026 EBITDA guidance of $200M+.
- **Location Momentum**: 2,600 net locations added (9% YoY), with outbound sales ramping for FY2027. Annual contracts now 50% of retail North America business.
- **Risk Management**: Seasonal Q4 GTV decline offset by growth engine strength. Default rates <5% for merchant cash advances.


**【CEO Summary Section】**
- **Revenue Growth**: Q3 revenue of $312.3M exceeded expectations, with North America Retail and European Hospitality (growth engines) contributing 21% YoY revenue growth.
- **Customer Locations**: Added 2,600 net locations (9% YoY), driven by outbound sales in retail and hospitality. Total locations reached 148,000.
- **AI Strategy**: Launched Lightspeed AI, integrating agentic workflows into retail and hospitality. Marketplace and Lightspeed Wholesale expanded wholesale ecosystem.
- **Financial Performance**: Adjusted EBITDA of $20.2M (22% YoY growth), positive Free Cash Flow of $15M, and cash balance increase to $479M.

**【CFO Financial Commentary】**
- **Revenue**: $312.3M (+11% YoY), with software revenue at $93M (+6% YoY) and transaction-based revenue at $209.4M (+15% YoY).
- **Gross Profit**: $125.3M (+15% YoY), with software gross margin at 82% (vs. 79% YoY) and transaction-based margin at 31% (vs. 28% YoY).
- **Free Cash Flow**: $50M in Q3, positive for the second consecutive quarter, driven by EBITDA growth and working capital management.
- **Outlook**: Q4 guidance: $280-284M revenue, $125-127M gross profit, $50M EBITDA. FY2026: $1.216-1.22B revenue, $523-525M gross profit, $200M+ EBITDA.

**【Q&A Highlights】**
- **Market Health**: Same-store sales growth across regions; European hospitality GTV boosted by strong euro. Software ARPU growth (+4% YoY) driven by outbound sales and product innovation.
- **AI Impact**: Lightspeed AI adoption accelerating; Marketplace and agentic workflows enhance merchant efficiency. Software gross margins >80% sustainable due to cloud cost optimization and AI-driven support efficiency.
- **Location Growth**: 9% YoY location growth, with 1/3 new businesses, 1/3 migrating from competitors, and 1/3 upgrading from legacy systems. Outbound sales ramping in Q4 to support FY2027 growth.
- **Capital Allocation**: $479M cash balance; $200M remaining under $400M share buyback authorization. Merchant cash advances at $106M, targeting shorter remittance periods.
- **Risks**: Seasonal GTV decline in Q4 (15%-20% drop), offset by growth engine momentum. Annual contract shift impacts short-term software growth but improves long-term cash flow and churn.


Lightspeed Commerce Inc (LSPD) Q3 2026 Earnings Call Transcript

- **Revenue Surge**: 15% YoY growth to $305 million, fueled by North American retail and European hospitality expansion.
- **Profit Leap**: Adjusted EBITDA up 55% to $16 million, with AI-driven efficiency cutting costs and boosting ARPU by 10%.
- **Customer Momentum**: 1,700 new locations added, targeting 10-15% CAGR by FY28, supported by 130 outbound reps nearing full productivity.
- **AI Innovation**: AI tools like Order Trends boost order value by 10%, while Lightspeed Capital gross profit rose 30% YoY.
- **Shareholder Value**: $85 million returned via buybacks in Q1, with $200 million remaining under repurchase authorization.

**【CEO Summary Section】**
- **Revenue Growth**: Q1 revenue of $305 million, up 15% YoY, driven by North American retail and European hospitality growth engines. Gross profit rose 19% to $129 million, exceeding expectations.
- **Customer Expansion**: Added 1,700 net new locations, with total locations reaching 145,000. ARPU increased 10% YoY, supported by software innovations like Customer Inventory Adjustments and Order Trends.
- **AI Integration**: AI-powered tools such as Benchmarks & Trends and Lightspeed Scanner enhance efficiency, with early adopters seeing a 10% increase in average order value.
- **Strategic Wins**: Secured major clients like Neiman Marcus, Western Golf Properties, and Michelin-starred restaurants, showcasing market leadership.

**【CFO Financial Commentary】**
- **Profitability**: Adjusted EBITDA of $16 million, up 55% YoY, with free cash flow near breakeven at $1.7 million used. Gross margin improved to 42%, driven by Lightspeed Capital growth (34% YoY).
- **Shareholder Returns**: Returned $85 million via share buybacks in Q1, with $200 million remaining under a $400 million authorization.
- **Outlook**: Q2 revenue expected $305-310 million, with fiscal 2026 gross profit growth of 14% YoY and EBITDA targeting $68-72 million.

**【Q&A Highlights】**
- **Growth Sustainability**: 130/150 outbound reps ramping, with 70% chat interactions automated by AI. Payback ratios remain high, supporting 10-15% CAGR location growth by FY28.
- **AI Impact**: AI tools like Web Builder and Menu Configurator reduce admin, enabling merchants to focus on core operations.
- **Market Dynamics**: European hospitality GTV grew 12% YoY, outpacing North American retail, with bike and toy retailers showing strong same-store sales.
- **Competitive Edge**: Differentiated product suite (e.g., Lightspeed Tableside + KDS + Pulse) and vertical marketing (trade shows, customer events) drive inbound and outbound success.

Lightspeed Commerce Inc. (LSPD) Q1 2026 Earnings Call Transcript

- **Revenue Milestone**: FY2025 revenue surpasses $1B, up 18% YoY, with 3% YoY growth in core markets.
- **AI Sales Surge**: Record March revenue from AI-powered outbound sales, signing high-GTV clients like Groupe Éclore.
- **Profitability Boost**: Q4 gross margin 44%, adjusted EBITDA $12.9M (vs. $4.4M prior), driven by cost control and Lightspeed Capital.
- **Share Buybacks**: $219M repurchased since March 2024, with $200M remaining under $400M authorization.
- **FY2026 Guidance**: Revenue +10-12%, EBITDA $68-72M, supported by 150 outbound reps and 35% R&D spend increase.
- **Payments Growth**: GPV penetration 40% in April 2025, targeting 30%+ YoY growth in Lightspeed Capital.


**【CEO Summary Section】**
- **Strategic Pivot Success**: FY2025 revenue reached $1.077B (+18% YoY), with $53.7M adjusted EBITDA. Focus on North American Retail and European Hospitality drove 3% YoY growth in customer locations and 6% YoY GTV growth in core markets.
- **AI-Driven Sales Growth**: Outbound sales reps using AI for lead targeting achieved record March revenue, with examples like Runners Roost (7 locations) and Groupe Éclore (8 Michelin-starred restaurants).
- **Product Innovation**: 11% YoY software ARPU growth from new modules like Retail Insights and Kitchen Display System. North American Retail features include generative AI web builders; European Hospitality launched Google integration for order visibility.
- **Capital Allocation**: Repurchased 18.7M shares ($219M) since March 2024, with $200M remaining under $400M buyback authorization.

**【CFO Financial Commentary】**
- **FY2025 Financials**: Total revenue $1.077B (+18% YoY), gross margin 42%, adjusted EBITDA $53.7M (vs. $1.3M prior). Q4 gross margin 44%, driven by cost control and Lightspeed Capital (90%+ gross margin).
- **Payments Penetration**: GPV as % of GTV rose to 38% in Q4 (32% in Q3 2024), reaching 40% in April 2025. Lightspeed Capital provided $45M in merchant cash advances, with 90%+ gross margin.
- **Outlook FY2026**: Revenue growth 10-12%, gross profit +14%, adjusted EBITDA $68-72M. Q1 2026 revenue $285-290M, EBITDA $14-16M. Capital allocation focuses on 150 outbound reps (half hired by April 2025) and 35% R&D spend increase.

**【Q&A Highlights】**
- **Macro Resilience**: Despite Q4 same-store sales softness, April/May stabilization suggests cautious optimism. Outbound sales reps (150 total by FY2026) drive high unit economics, with 6-month ramp period.
- **Market Mix**: Retail 60%, Hospitality 40%. Europe payments attach rate matches North America, with 40% GPV penetration in April 2025. Lightspeed Capital targets 30%+ YoY growth in FY2026.
- **Risks**: Goodwill impairment charge ($556M) due to market cap below net assets, but no impact on liquidity. Rest-of-world markets contribute stable, low-double-digit revenue growth via net retention.


Lightspeed Commerce Inc. (LSPD) Q4 2025 Earnings Call Transcript

- **Revenue Acceleration**: 17% YoY growth, 9% software growth, 38% payments penetration. Q3 EBITDA $16.6M vs. $14M outlook.
- **Focus Markets**: North America retail (sports, golf) and European hospitality driving 25%+ GTV growth in flagships.
- **Buyback Announcement**: $400M share repurchase to return capital, including $100M immediate execution.
- **FY25 Outlook**: >$53M EBITDA (vs. $40M initial), 20% revenue growth. FY26 targets EBITDA expansion and ICP location acceleration.
- **Competitive Strength**: 79% software gross margin, 90%+ Lightspeed Capital margins. LTV:CAC highest in focus markets.

**【CEO Strategic Overview】**
- **Revenue Growth**: Q3 2025 revenue rose 17% YoY to $280 million, driven by 9% YoY software revenue growth and 38% payments penetration (up from 29% YoY). Adjusted EBITDA was $16.6 million, exceeding the prior outlook of $14 million.
- **Focus Markets**: Doubling down on North American retail (e.g., sports, outdoor, golf) and European hospitality (e.g., Germany, UK, France), with strategic reorganization to allocate resources to these growth engines.
- **Product Innovations**: Launches like retail insights module (reducing out-of-stock days by 16%), Lightspeed Scanner, and Tableside POS are driving ARPU growth. Software ARPU increased 11% YoY.
- **Share Repurchase**: Announced $400 million buyback program, including $100 million immediate execution and $300 million new authorization.

**【CFO Financial Highlights】**
- **Revenue Breakdown**: Software ($88.1M, +9% YoY), transaction-based ($181.7M, +23% YoY), Lightspeed Capital ($10.2M, +96% YoY). Total ARPU reached $533, up 19% YoY.
- **Gross Margins**: Overall 41%, with software at 79% (up from 76% YoY) and transaction-based at 28%. Lightspeed Capital margins exceed 90%.
- **Cost Management**: Adjusted R&D/S&M/G&A up 1% YoY, with share-based compensation down 42% to $13.6M. Free cash flow used $0.5M in Q3.
- **FY25 Outlook**: Revenue growth ~20%, adjusted EBITDA >$53M (vs. initial $40M). FY26 focus on accelerating ICP location growth and EBITDA expansion.

**【Q&A Key Takeaways】**
- **Strategic Review**: Board concluded public company structure best for value creation, despite strong interest from potential buyers. Non-core markets will maintain profitability without outbound investment.
- **Sales Ramp-Up**: New hires in North America retail and Europe hospitality take ~6 months to ramp. Q3 outbound sales growth +266% YoY, with 19% of quota-carrying reps in outbound roles (target 25% by end-FY25).
- **Payment Penetration**: Q3 seasonality (golf slowdown) caused 1% qoq penetration stall. FY25 exit target 40-45% remains, with mid-range likely. International expansion offsets US dollar headwinds.
- **Competitive Edge**: Fortress verticals (sports, golf, hospitality) with deep inventory management and supplier network integration provide moat. LTV:CAC highest in focus markets.
- **M&A Strategy**: No large M&A plans, but open to tuck-in acquisitions for module acceleration (e.g., payroll solutions).

Actual	-0.2	-0.06	-0.09	-0.05	-0.08	-0.07	-0.15	-0.12	-0.05	0	0	-0.01	0.04	0.08	0.06	0.1	0.13	0.12	0.1	0.06	0.16	0.15
Forecast	-0.119	-0.1385	-0.1105	-0.0834	-0.094	-0.0796	-0.1588	-0.1194	-0.0713	-0.0515	-0.0309	-0.0391	0.0058	0.0411	0.0578	0.0687	0.107	0.1031	0.1088	0.126	0.16	0.1443
Surprise	-68.07%	+56.68%	+18.55%	+40.05%	+14.89%	+12.06%	+5.54%	-0.50%	+29.87%	+100.00%	+100.00%	+74.42%	+589.66%	+94.65%	+3.81%	+45.56%	+21.50%	+16.39%	-8.09%	-52.38%	0.00%	+3.95%

LSPD

LSPD fundamentals

LSPD Q3 2026 Earnings

Earnings Call

You can ask Aime

LSPD

LSPD fundamentals

LSPD Q3 2026 Earnings

Earnings Call

LSPD Earnings Call Summary for Q3/20268:00 AM on Feb 5, 2026

LSPD Earnings Call Summary for Q2/20268:00 AM on Nov 6, 2025

LSPD Earnings Call Summary for Q1/20268:00 AM on Jul 31, 2025

LSPD Earnings Call Summary for Q4/20258:00 AM on May 22, 2025

LSPD Earnings Call Summary for Q3/20258:00 AM on Feb 6, 2025

You can ask Aime