Lightspeed Commerce, Inc., the POS and payments platform used in the bike shop segment, with expansion into other active lifestyle specialty retail segments, reported strong fiscal Q2 progress in its key fiscal 2024 objectives.
The flagship retail and restaurant offerings reportedly continued to gain traction with customers, accounting for approximately one-third of customer locations. GPV2 in the quarter reached $5.9 billion, with over 25 percent of Lightspeed’s GTV processed through Lightspeed Payments, mainly due to the Unified Payments initiative.
The company reported that its first quarter had positive Adjusted EBITDA and remained on track for break even or better performance for the fiscal year.
“Our strategy of focusing on two flagship products and rolling out Unified Payments is working and translating into strong performance,” said Asha Bakshani, CFO of Lightspeed. “In the quarter, we were able to accelerate both revenue and gross profit growth while maintaining operating discipline to drive the company’s first-ever positive Adjusted EBITDA.”
Total revenue was $230.3 million for the quarter ended September 30, an increase of 25 percent year-over-year, ahead of the previously established outlook of $210 million to $215 million.
Transaction-based revenue was $137.7 million, an increase of 36 percent year-over-year. Subscription revenue came in at $81.0 million, an increase of 9 percent year-over-year. Subscription and transaction-based revenue combined grew 24 percent year-over-year.
The company posted a net loss of $42.5 million, or 28 cents per share, compared to a net loss of $79.9 million, or 53 cents per share. After adjusting the net loss by $48.9 million for certain items, including share-based compensation, amortization of intangible assets and acquisition-related compensation, the company said it delivered an Adjusted Income of $6.4 million, or 4 cents per share, as compared to an Adjusted Loss of $7.5 million, or 5 cents per share, in the quarter ended September 30, 2022.
Adjusted EBITDA was $0.2 million, ahead of the company’s previously established outlook of an Adjusted EBITDA loss of $4 million, versus an Adjusted EBITDA loss of $8.5 million in the prior-year quarter.
Lightspeed had $761.5 million in cash and cash equivalents at quarter-end.
“Our Unified Payments initiative is proving to be a resounding success. We on-boarded a record number of payments customers in the quarter and are seeing lower than anticipated churn,” said JP Chauvet, CEO of Lightspeed. “The delivery of industry-leading products on impressive timelines is validation that our M&A strategy of acquiring and quickly integrating best-in-class companies has been a success. We are now in a position of strength and will focus on growing our business, helping our customers, completing our vision and delivering value to our shareholders.”
