Lightspeed Commerce Inc., the one-stop commerce platform empowering merchants to provide the best omnichannel experiences, announced Thursday financial results for the three months and fiscal year ended March 31, 2025.
“Fiscal 2025 was a transformative year for Lightspeed: we delivered revenue growth of 18% with annual revenue exceeding $1 billion for the first time, we adopted a more focused strategy, concentrating on the markets where we have a proven right to win, and we aligned our organization to execute on that strategy,” said Dax Dasilva, Founder and CEO. “With a strong financial foundation and our industry-leading commerce platforms, Fiscal 2026 will be dedicated to growing locations, expanding software revenue and enhancing Adjusted EBITDA profitability.”
“Our healthy balance sheet, improving Adjusted EBITDA profitability and free cash flow nearing break-even enabled us to return ~$219 million of capital to shareholders in the last year,” said Asha Bakshani, CFO. “At the same time, we strategically invested in product and go-to-market for retail customers in North America and hospitality customers in Europe, laying the groundwork for continued success.”
Fourth Quarter Financial Highlights
(All comparisons are relative to the three-month period ended March 31, 2024 unless otherwise stated):
- Total revenue of $253.4 million, an increase of 10% year-over-year.
- Transaction-based revenue of $157.8 million, an increase of 14% year-over-year.
- Subscription revenue of $87.9 million, an increase of 8% year-over-year.
- Net loss of ($575.9) million, or ($3.79) per share, as compared to a net loss of ($32.5) million, or ($0.21) per share. Net loss includes a non-cash goodwill impairment charge of ($556.4) million. After adjusting for certain items, such as goodwill impairment and share-based compensation, the Company delivered an Adjusted Income of $15.0 million, or $0.10 per share, as compared to Adjusted Income3 of $8.5 million, or $0.06 per share.
- Adjusted EBITDA of $12.9 million versus Adjusted EBITDA of $4.4 million.
- Cash flows used in operating activities of ($9.9) million as compared to cash flows used in operating activities of ($28.5) million, and Adjusted Free Cash Flow used of ($9.3) million as compared to Adjusted Free Cash Flow used of ($16.3) million.
- As at March 31, 2025, Lightspeed had $558.5 million in cash and cash equivalents.
Full Fiscal Year Financial Highlights
(All comparisons are relative to the full fiscal year ended March 31, 2024 unless otherwise stated):
- Total revenue of $1,076.8 million, an increase of 18% year-over-year.
- Transaction-based revenue of $697.3 million, an increase of 28% year-over-year.
- Subscription revenue of $344.8 million, an increase of 7% year-over-year.
- Net Loss of ($667.2) million, or ($4.34) per share, as compared to a net loss of ($164.0) million, or ($1.07) per share. Net loss includes a non-cash goodwill impairment charge of ($556.4) million. After adjusting for certain items such as goodwill impairment and share-based compensation, the Company delivered an Adjusted Income of $69.5 million, or $0.45 per share as compared to an Adjusted Income of $24.5 million, or $0.16 per share in 2024.
- Adjusted EBITDA of $53.7 million versus Adjusted EBITDA of $1.3 million in 2024.
- Cash flows used in operating activities of ($32.8 million) as compared to cash flows used in operating activities of ($97.7 million), and Adjusted Free Cash Flow used of ($11.2) million as compared to Adjusted Free Cash Flow used of ($64.5) million in 2024.
“As announced at its Capital Markets Day in March, Lightspeed expects to grow its outbound sales team to over 150 outbound sales representatives by the end of Fiscal 2026 in addition to increasing its investment in product and technology development by over 35%. The benefits of these investments will likely be reflected in the latter half of the year as the new sales representatives ramp through the year,” said the company.
“Lightspeed remains confident in its ability to execute its strategy of focusing on retail customers in North America and hospitality customers in Europe and expects to increase Customer Locations within these growth engines. With its increased investment in product and technology development, Lightspeed also expects to increase software revenue.
“Finally, the financial outlook reflects our most recent view of the macroeconomic environment and is consistent with our three-year target gross profit CAGR of approximately 15-18% and three-year target Adjusted EBITDA CAGR of approximately 35% presented at our Capital Markets Day in March.”
Overall, the company’s outlook is as follows:
First Quarter 2026
- Revenue of approximately $285 million to $290 million.
- Gross profit growth of approximately 13%.
- Adjusted EBITDA of approximately $14 million to $16 million.
Fiscal 2026
- Revenue growth of approximately 10% to 12%.
- Gross profit growth of approximately 14%.
- Adjusted EBITDA of approximately $68 million to $72 million.
Lightspeed, based in Montreal, was founded in 2005.
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