LSPD

Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge. Lightspeed Commerce (TSX:LSPD) is back in focus after a busy July 30 update that combined first quarter results, fresh revenue guidance for 2026 and 2027, and confirmation of a completed share buyback program. See our latest analysis for Lightspeed Commerce. Recent price action suggests investors are weighing Lightspeed Commerce's improving earnings picture and completed buyback against a longer history of weak returns. The 90 day share price return of 7.99% contrasts with a 5 year total shareholder return that declined 87.73%. If Lightspeed's update has you rethinking your tech exposure, this could be a good moment to scan other growth stories through the Simply Wall St screener for 68 profitable AI stocks that aren't just burning cash Lightspeed Commerce is starting to look more like a functioning engine than a turnaround idea, especially after the latest quarter and buyback. The next step is working out whether the current share price reflects that progress yet. Lightspeed Commerce's most followed valuation narrative pegs fair value at CA$17.57 per share, above the recent CA$14.59 close. This puts the current price at a discount to that model. Read the complete narrative. Read the complete narrative. Want to understand why this narrative still leans positive despite a long history of weak returns? The key ingredients are revenue expansion, margin rebuild and a punchy future earnings multiple. Curious which assumptions link those together into that CA$17.57 fair value? Result: Fair Value of CA$17.57 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, the Lightspeed Commerce narrative still hinges on execution. Rising competition and ongoing losses of $97.27 million could both challenge these fair value assumptions. Find out about the key risks to this Lightspeed Commerce narrative. Given the mixed tone around Lightspeed Commerce, it makes sense to move quickly and check the underlying data yourself before forming a view. You can then balance the concerns in this article against the potential rewards investors are focusing on through the 4 key rewards. If this update on Lightspeed Commerce has sharpened your focus, do not stop here. Broader research across high quality ideas can help you build a more resilient portfolio. Target resilient companies first by scanning the 9 resilient stocks with low risk scores that may help steady your overall returns. Hunt for quality at a potential discount by reviewing the 12 high quality undervalued stocks that currently screen well on fundamentals. Strengthen your income stream by checking the 6 dividend fortresses that combine higher yields with consistent payment histories. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include LSPD.TO. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Toast, Inc. TOST is set to report its second-quarter 2026 results on Aug. 4, after market close. The Zacks Consensus Estimate for second-quarter revenues is pegged at $1.87 billion, indicating an increase of 20.8% from the year-ago quarter’s reported figure. The consensus mark for earnings per share (EPS) is pinned at 32 cents and has remained unchanged over the past two months. It indicates a rise of 33.3% from the figure reported in the year-ago quarter. Image Source: Zacks Investment Research The company’s EPS surpassed the Zacks Consensus Estimate in two of the trailing four quarters, met once and missed on another, with the average surprise being 0.89%. The graph below depicts this surprising history: Toast, Inc. price-eps-surprise | Toast, Inc. Quote However, our proprietary model does not conclusively predict an earnings beat for Toast this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. You can see the complete list of today’s Zacks #1 Rank stocks here. Toast crrently has an Earnings ESP of 0.00% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Toast’s second-quarter performance is likely to have been shaped by strong revenue momentum and increased adoption of AI-driven products. The company’s ability to leverage AI-driven innovation and deepen its value proposition for restaurant operators bodes well for long-term prospects. Strong customer momentum across the Subscription and FinTech segments is likely to have aided TOST’s top and bottom lines. It expects second-quarter non-GAAP total subscription and fintech gross profit in the range of $565-$575 million, implying 22-24% year-over-year growth. Adjusted EBITDA is projected to be between $185 million and $195 million. Toast is likely to have strengthened its growth case ahead of second-quarter results as its expansion beyond its core restaurant base has continued to broaden its total addressable market and drive new highs in Annualized Recurring Run-Rate (ARR). The company may have benefitted from this broader mix while still continuing to apply its vertical playbook with discipline, which is expected to have supported momentum into the second quarter. However, higher tariff-related costs are likely to have been a spoilsport for Toast in the to-be-reported quarter. The Zacks Consensus Estimate for Toast’s subscription services revenues is pegged at $283.5 million, which suggests a 24.9% increase from the year-ago quarter. The consensus mark for revenues from financial technology solutions is pegged at $1.55 billion for the second quarter, up 21.2% from the year-ago period. The consensus mark for Gross Payment Volume (GPV) is pinned at $60.31 billion, which is above the company’s reported figure of $49.9 billion in the year-ago quarter. The consensus mark for the total ARR is pegged at $2.39 billion, up from the year-ago figure of $1.93 billion. The consensus mark for total locations served stands at 179,375, up from 148,000 reported a year ago. However, the Zacks Consensus Estimate for hardware and professional services is pegged at $44.3 billion, indicating a decline from $47 million reported year over year. Toast’s shares have gained 9.7% in the past three months. The Zacks Internet Software Market and the S&P 500 have increased 0.5% and 3.1%, respectively, over the same period. Peers like PayPal, Inc. PYPL and Lightspeed Commerce, Inc. LSPD continue to expand their offerings, challenging Toast’s dominance in the global technology platform built for restaurant and retail businesses. PayPal shares have increased 13.5%, while Lightspeed shares have gained 5.8% over the same time frame. Image Source: Zacks Investment Research From a valuation standpoint, in terms of forward 12-month Price/Sales (P/S), TOST stock is trading at 2.04X compared with the Zacks Internet Software Market industry’s 3.76X. On the other hand, PYPL trades at 1.38X forward 12-month P/S, while LSPD trades near 1.06X forward 12-month P/S. Image Source: Zacks Investment Research Toast is a solid company with strong growth, improving margins and a clear product strategy. Its rising location count, AI roadmap and new-market expansion continue to support the long-term story. However, higher costs are likely to have posed challenges in the to-be-reported quarter. Given its strategic advantages and the existing headwinds, the stock is best treated as a hold. For long-term investors, its important to wait before adding to positions due to short-term volatility. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Toast, Inc. (TOST) : Free Stock Analysis Report PayPal Holdings, Inc. (PYPL) : Free Stock Analysis Report Lightspeed Commerce Inc. (LSPD) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

MONTREAL, July 31, 2026 /CNW/ -- Lightspeed Commerce Inc. ("Lightspeed" or the "Company") (TSX: LSPD) (NYSE: LSPD), the unified omnichannel platform powering ambitious retail, golf and hospitality businesses in over 100 countries, today announced the voting results for the items of business put forth by the Company at its annual and special shareholders meeting held on July 30th, 2026 (the "Meeting"). Shareholders of the Company voted in favor of all items of business put forth at the Meeting by the Company. The voting results for each item of business at the Meeting are presented below. 1. Election of Directors The seven (7) candidates proposed as directors were duly elected directors of the Company by a majority of the votes cast by the shareholders present or represented by proxy at the Meeting, as follows: 2. Appointment of Auditors A ballot was conducted with respect to the appointment of PricewaterhouseCoopers LLP ("PwC") as the Company's auditors. According to the proxies received and ballots cast, PwC was appointed the Company's auditors with the following results: Votes For: 91,715,046 (99.54%)Votes Withheld: 426,212 (0.46%) 3. Advisory Vote on Executive Compensation A ballot was conducted with respect to approving an advisory, non-binding resolution on the Company's approach to executive compensation as more fully described in the Company's management information circular. According to the proxies received and ballots cast, such advisory, non-binding resolution on the Company's approach to executive compensation was approved with the following results: Votes For: 87,432,295 (98.16%)Votes Against: 1,643,263 (1.84%) 4. Ordinary Resolution in respect of the Amended and Restated Omnibus Incentive Plan A ballot was conducted with respect to approving an ordinary resolution, the full text of which is reproduced on Schedule D to the management information circular for the Meeting, to (1) approve an amendment to the Company's Amended and Restated Omnibus Incentive Plan (as defined in the management information circular) to extend the term of such plan to the tenth (10th) anniversary of the Meeting and (2) approve all unallocated options, rights and other entitlements thereunder. According to the proxies received and ballots cast, such ordinary resolution in respect of the Amended and Restated Omnibus Incentive Plan was approved with the following results: Votes For: 62,280,332 (70.04%)Votes Against: 26,645,364 (29.96%) Final voting results on all matters voted at the Meeting are available on Lightspeed's website and on SEDAR+ at www.sedarplus.com and EDGAR at www.sec.gov. About Lightspeed Lightspeed is the POS and payments platform powering businesses at the heart of communities in over 100 countries. As the partner of choice for ambitious retail, golf and hospitality entrepreneurs, Lightspeed helps businesses accelerate growth, deliver exceptional customer experiences, and run smarter across all channels and locations. With fast, flexible omnichannel technology, Lightspeed brings together point of sale, ecommerce, embedded payments, inventory, reporting, staff and supplier management, financial services, and an exclusive wholesale retail network. Backed by insights, and expert support, Lightspeed helps businesses run more efficiently and focus on what they do best. Founded in Montréal, Canada in 2005, Lightspeed is dual-listed on the New York Stock Exchange and Toronto Stock Exchange (NYSE: LSPD) (TSX: LSPD), with teams across North America, Europe, and Asia Pacific. For more information, see www.lightspeedhq.com. Follow us on social media: LinkedIn, Facebook, Instagram, YouTube, and X. Forward-Looking Statements This news release may include forward-looking information and forward-looking statements within the meaning of applicable securities laws ("forward-looking statements"). Forward-looking statements are statements that are predictive in nature, depend upon or refer to future events or conditions and are identified by words such as "will", "expects", "anticipates", "intends", "plans", "believes", "estimates" or similar expressions concerning matters that are not historical facts. Such statements are based on current expectations of Lightspeed's management and inherently involve numerous risks and uncertainties, known and unknown, including economic factors. A number of risks, uncertainties and other factors may cause actual results to differ materially from the forward-looking statements contained in this news release, including, among other factors, those risk factors identified in our most recent Management's Discussion and Analysis of Financial Condition and Results of Operations, under "Risk Factors" in our most recent Annual Information Form, and in our other filings with the Canadian securities regulatory authorities and the U.S. Securities and Exchange Commission, all of which are available under our profiles on SEDAR+ at www.sedarplus.com and on EDGAR at www.sec.gov. Readers are cautioned to consider these and other factors carefully when making decisions with respect to Lightspeed's subordinate voting shares and not to place undue reliance on forward-looking statements. Forward-looking statements contained in this news release are not guarantees of future performance and, while forward-looking statements are based on certain assumptions that Lightspeed considers reasonable, actual events and results could differ materially from those expressed or implied by forward-looking statements made by Lightspeed. Except as may be expressly required by applicable law, Lightspeed does not undertake any obligation to update publicly or revise any such forward-looking statements, whether as a result of new information, future events or otherwise. View original content to download multimedia:https://www.prnewswire.com/news-releases/lightspeed-announces-voting-results-from-its-annual-and-special-shareholders-meeting-302839525.html

Interested in Lightspeed Commerce Inc.? Here are five stocks we like better. Lightspeed reported a strong fiscal 2027 first quarter: Organic revenue increased 17% to $322.7 million, exceeding guidance, while adjusted EBITDA rose to $17.5 million and the net loss narrowed sharply to $2.4 million. Growth was led by North American retail and European hospitality: Revenue in these markets grew 20%, with gross transaction value up 14%, customer locations up 10%, and payments penetration reaching 49%. Software growth accelerated, payments and Lightspeed Capital expanded, and AI tools saw rapid adoption. The company maintained its full-year outlook for $1.225 billion to $1.265 billion in revenue and $75 million to $95 million in adjusted EBITDA. Lightspeed also repurchased roughly $86 million of stock, while pursuing cost efficiencies and margin improvements. 3 Small Cap Techs Gaining Traction for Investors Lightspeed Commerce (NYSE:LSPD) reported a stronger-than-expected start to fiscal 2027, with first-quarter revenue surpassing its outlook as software growth accelerated, payments penetration increased and the company continued to focus its operations on North American retail and European hospitality. Founder and CEO Dax Dasilva said the company generated $323 million in first-quarter revenue, up 17% year over year on an organic basis, while gross profit increased 12% to $139 million. Adjusted EBITDA was $18 million, within the company’s guided range. → Why SK hynix Could Be the Best AI Chip Stock to Buy Now Will DoubleVerify form handle to offer early buy opportunity? “Fiscal 2027 started off strong for Lightspeed, with the company surpassing its revenue outlook,” Dasilva said. He highlighted 8% organic software revenue growth, an acceleration from 6% in the prior quarter, and payments penetration of 44%, compared with 40% a year earlier on an organic basis. Lightspeed’s designated growth engines, which center on retail in North America and hospitality in Europe, generated 20% revenue growth during the quarter. Gross transaction value in those markets rose 14%, customer locations increased 10%, and payments penetration reached 49%, up from 45% a year earlier. → Microsoft Just Flipped the AI Spending Narrative Overnight Cloud stocks surge double digits; big gains ahead The company ended the quarter with approximately 99,000 customer locations in its growth engines. Total customer locations, including efficiency markets, stood at 146,000 following the divestiture of the non-core Upserve U.S. hospitality product line. Dasilva said the company terminated a legacy white-label partnership during the quarter, resulting in the removal of about 500 low-average-revenue-per-user locations. He said Lightspeed is emphasizing higher-quality agreements with its ideal customer profile, particularly more sophisticated, multi-location small and midsize businesses that can use its broader software suite. → Carrier Earnings Could Send the Stock to a New All-Time High Examples of new customers cited by the company included Adorn Boutique in Texas, Synergy Sportswear, Dutch hospitality chain Vlaamsch Broodhuys, U.K. restaurant chain Afrikana Peri Kitchen and Grill, Encore Leisure Group, and Belgium’s Royal Latem Golf Club. Lightspeed also said NuORDER by Lightspeed continues to support its retail customer-acquisition strategy. The company added Lafayette 148, Slowtide and Head Golf to the wholesale platform during the quarter. Dasilva said expanding the number of brands on NuORDER is intended to strengthen a network effect in which more brands attract retailers and more retailers attract brands. CFO Asha Bakshani said total revenue rose 17% organically to $322.7 million, above the company’s outlook for 10% to 14% growth. Software revenue totaled $95.4 million, up 8% year over year, while software revenue in growth engines rose 12%. Software average revenue per user increased 6% year over year, compared with 4% in the previous quarter. Bakshani attributed the acceleration to growth in high-GTV customer locations, larger customers adopting more of Lightspeed’s software suite, upsells to existing customers and a larger mix of annual contracts. Transaction-based revenue increased 20% to $214.5 million, while gross payments volume also rose 20%. Total GTV increased 9% to $25.7 billion, including 14% growth in the company’s growth engines. Total monthly ARPU reached approximately $676, up 13% year over year. Lightspeed Capital revenue grew 56% year over year. Bakshani said customers using the capital offering demonstrate lower churn and higher lifetime value, making continued expansion of the product a priority. Merchant cash advances outstanding totaled $160 million at quarter-end, while default rates remained in the low single-digit range, according to the company. Management also emphasized its AI product efforts. Dasilva said Lightspeed AI has been among the fastest-adopted releases on the Lightspeed Restaurant platform. The company has introduced AI tools designed to generate reports, charts and insights, and said it sees an opportunity to develop specialized agents that could help merchants manage inventory, pricing, suppliers and operations. While Lightspeed has not yet added separate pricing for its AI products, Dasilva said strong adoption could provide pricing power over time. He also said the company is using different AI models depending on the task in an effort to manage costs. First-quarter gross margin was 43%, compared with 45% a year earlier on an organic basis. Bakshani said the decline reflected a higher mix of transaction-based revenue, which carries lower margins than software, and pressure on hardware margins from supply-chain constraints and higher freight costs. Software gross margin improved to 83% from 81% a year earlier, which Bakshani said was supported by AI resolving 80% of support tickets. Transaction-based gross margin rose to 32% from 31% organically, aided by international payments adoption and Lightspeed Capital growth. The company expects hardware margins to improve in the second half of fiscal 2027 after implementing supply-chain management measures. Hardware represents about 4% of company revenue, according to Bakshani. Adjusted operating expenses across research and development, sales and marketing, and general and administrative functions increased 7% year over year, partly due to field and outbound sales investments. However, management said it is taking steps to raise efficiency, including broader self-onboarding for certain customer groups and a recent reduction of about 10% of headcount in product and technology. Adjusted EBITDA rose to $17.5 million from $15.9 million a year earlier. Net loss narrowed to $2.4 million, or $0.02 per share, from a $49.6 million loss, or $0.35 per share, in the prior-year period. Adjusted free cash flow was negative $4.4 million, which management attributed to working-capital movements. Lightspeed repurchased and canceled 7 million shares for $66 million during the quarter and spent another $21 million repurchasing shares to fund future share-award settlements. The company returned approximately $86 million to shareholders through repurchases and ended the quarter with about $372 million in cash. About $150 million remained under its broader share repurchase authorization. Lightspeed maintained its fiscal 2027 guidance, calling for revenue of $1.225 billion to $1.265 billion, representing organic growth of 12% to 15%. It forecast gross profit of $565 million to $585 million and adjusted EBITDA of $75 million to $95 million. For the fiscal second quarter, the company expects revenue of $316 million to $326 million, gross profit of $141 million to $146 million, and adjusted EBITDA of $20 million to $25 million. Chief Revenue Officer Gabriel Benavides said the company’s sales-capacity buildout is “largely behind us” and that future growth will rely more heavily on improving seller productivity, tightening customer targeting and expanding partnerships. He said Lightspeed is pursuing both deeper relationships with existing partners and greater monetization opportunities across its customer base. Lightspeed Commerce Inc is a Canadian technology company that develops cloud-based point-of-sale (POS) and e-commerce software for small and medium-sized businesses across the retail and hospitality sectors. Its integrated platform enables merchants to manage sales, inventory, customer relationships and analytics through a single interface. By combining in-store and online channels, Lightspeed helps businesses streamline operations and improve customer engagement in an increasingly omnichannel marketplace. The company's product suite includes POS terminals, payment processing services, inventory management tools, customer loyalty programs and data reporting dashboards. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Lightspeed Commerce Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

MONTREAL, July 31, 2026 /CNW/ -- Lightspeed Commerce Inc. ("Lightspeed" or the "Company") (TSX: LSPD) (NYSE: LSPD), the unified omnichannel platform powering ambitious retail, golf and hospitality businesses in over 100 countries, today announced the voting results for the items of business put forth by the Company at its annual and special shareholders meeting held on July 30th, 2026 (the "Meeting"). Shareholders of the Company voted in favor of all items of business put forth at the Meeting by the Company. The voting results for each item of business at the Meeting are presented below. 1. Election of Directors The seven (7) candidates proposed as directors were duly elected directors of the Company by a majority of the votes cast by the shareholders present or represented by proxy at the Meeting, as follows: 2. Appointment of Auditors A ballot was conducted with respect to the appointment of PricewaterhouseCoopers LLP ("PwC") as the Company's auditors. According to the proxies received and ballots cast, PwC was appointed the Company's auditors with the following results: Votes For: 91,715,046 (99.54%)Votes Withheld: 426,212 (0.46%) 3. Advisory Vote on Executive Compensation A ballot was conducted with respect to approving an advisory, non-binding resolution on the Company's approach to executive compensation as more fully described in the Company's management information circular. According to the proxies received and ballots cast, such advisory, non-binding resolution on the Company's approach to executive compensation was approved with the following results: Votes For: 87,432,295 (98.16%)Votes Against: 1,643,263 (1.84%) 4. Ordinary Resolution in respect of the Amended and Restated Omnibus Incentive Plan A ballot was conducted with respect to approving an ordinary resolution, the full text of which is reproduced on Schedule D to the management information circular for the Meeting, to (1) approve an amendment to the Company's Amended and Restated Omnibus Incentive Plan (as defined in the management information circular) to extend the term of such plan to the tenth (10th) anniversary of the Meeting and (2) approve all unallocated options, rights and other entitlements thereunder. According to the proxies received and ballots cast, such ordinary resolution in respect of the Amended and Restated Omnibus Incentive Plan was approved with the following results: Votes For: 62,280,332 (70.04%)Votes Against: 26,645,364 (29.96%) Final voting results on all matters voted at the Meeting are available on Lightspeed's website and on SEDAR+ at www.sedarplus.com and EDGAR at www.sec.gov. About Lightspeed Lightspeed is the POS and payments platform powering businesses at the heart of communities in over 100 countries. As the partner of choice for ambitious retail, golf and hospitality entrepreneurs, Lightspeed helps businesses accelerate growth, deliver exceptional customer experiences, and run smarter across all channels and locations. With fast, flexible omnichannel technology, Lightspeed brings together point of sale, ecommerce, embedded payments, inventory, reporting, staff and supplier management, financial services, and an exclusive wholesale retail network. Backed by insights, and expert support, Lightspeed helps businesses run more efficiently and focus on what they do best. Founded in Montréal, Canada in 2005, Lightspeed is dual-listed on the New York Stock Exchange and Toronto Stock Exchange (NYSE: LSPD) (TSX: LSPD), with teams across North America, Europe, and Asia Pacific. For more information, see www.lightspeedhq.com. Follow us on social media: LinkedIn, Facebook, Instagram, YouTube, and X. Forward-Looking Statements This news release may include forward-looking information and forward-looking statements within the meaning of applicable securities laws ("forward-looking statements"). Forward-looking statements are statements that are predictive in nature, depend upon or refer to future events or conditions and are identified by words such as "will", "expects", "anticipates", "intends", "plans", "believes", "estimates" or similar expressions concerning matters that are not historical facts. Such statements are based on current expectations of Lightspeed's management and inherently involve numerous risks and uncertainties, known and unknown, including economic factors. A number of risks, uncertainties and other factors may cause actual results to differ materially from the forward-looking statements contained in this news release, including, among other factors, those risk factors identified in our most recent Management's Discussion and Analysis of Financial Condition and Results of Operations, under "Risk Factors" in our most recent Annual Information Form, and in our other filings with the Canadian securities regulatory authorities and the U.S. Securities and Exchange Commission, all of which are available under our profiles on SEDAR+ at www.sedarplus.com and on EDGAR at www.sec.gov. Readers are cautioned to consider these and other factors carefully when making decisions with respect to Lightspeed's subordinate voting shares and not to place undue reliance on forward-looking statements. Forward-looking statements contained in this news release are not guarantees of future performance and, while forward-looking statements are based on certain assumptions that Lightspeed considers reasonable, actual events and results could differ materially from those expressed or implied by forward-looking statements made by Lightspeed. Except as may be expressly required by applicable law, Lightspeed does not undertake any obligation to update publicly or revise any such forward-looking statements, whether as a result of new information, future events or otherwise. View original content to download multimedia:https://www.prnewswire.com/news-releases/lightspeed-announces-voting-results-from-its-annual-and-special-shareholders-meeting-302839525.html View original content to download multimedia: http://www.newswire.ca/en/releases/archive/July2026/31/c3303.html

First quarter revenue of $322.7 million and organic1 revenue growth of 17%, exceeded outlook Gross profit of $138.6 million and organic1 gross profit growth of 12% GPV as a percentage of GTV of 44% in the quarter Across retail in North America and hospitality in Europe: Revenue grew 20% year-over-year, GTV grew 14% year-over-year and ~1,300 net Customer Locations added in the quarter Lightspeed repurchased $86 million worth of shares in the quarter 2 Lightspeed reports in US dollars and in accordance with IFRS Accounting Standards. MONTREAL, July 30, 2026 /CNW/ -- Lightspeed Commerce Inc. (NYSE: LSPD) (TSX: LSPD) ("Lightspeed" or the "Company"), the unified omnichannel platform powering ambitious retail, golf, and hospitality businesses in over 100 countries, today announced financial results for the three months ended June 30, 2026. "Fiscal 2027 is off to a strong start for Lightspeed, with revenue ahead of our outlook, and solid progress across our strategic priorities," said Dax Dasilva, Founder and CEO. "With the foundations of our transformation firmly in place, we are accelerating product innovation across retail and hospitality, expanding our AI capabilities and executing with greater discipline to drive stronger results." "Our first-quarter results reflect strong execution across our strategic priorities, with accelerating organic software growth, continued momentum in our growth engines and record payments penetration," said Asha Bakshani, CFO. "We also executed on our share repurchase program, repurchasing and cancelling seven million shares in the quarter, while continuing to position the business for durable growth and long-term shareholder value." First Quarter Financial Highlights (All comparisons are relative to the three-month period ended June 30, 2025 unless otherwise stated.) The divestiture of Upserve on April 28, 2026 affects year-over-year comparability. The as-reported prior-year period reflects the contribution of Upserve, as it included a full three months of Upserve, whereas the as-reported current period reflects Upserve only up to the divestiture date. For this reason, organic growth rates are provided to facilitate greater comparability year-over-year Total revenue of $322.7 million, representing organic1 growth of 17% year-over-year, and growth of 6% year-over-year as reported. Transaction-based revenue of $214.5 million, representing organic1 growth of 20% year-over-year, and growth of 5% year-over-year as reported. Subscription revenue of $95.4 million, representing organic1 growth of 8% year-over-year, and growth of 5% year-over-year as reported. Net loss of ($2.4) million, or ($0.02) per share, as compared to a net loss of ($49.6) million, or ($0.35) per share. After adjusting for certain items, such as share-based compensation, the Company delivered Adjusted Income3 of $17.4 million, or $0.13 per share3 as compared to Adjusted Income3 of $7.9 million, or $0.06 per share3. Adjusted EBITDA3 of $17.5 million up from Adjusted EBITDA3 of $15.9 million. Cash flows from operating activities of $0.1 million as compared to cash flows from operating activities of $12.4 million, and Adjusted Free Cash Flow3 used of $4.4 million as compared to Adjusted Free Cash Flow3 used of $1.7 million. As at June 30, 2026, Lightspeed had $372.1 million in cash and cash equivalents. First Quarter Operational Highlights Lightspeed announced key product releases during the quarter, including: For the quarter, Lightspeed's growth engines of retail in North America and hospitality in Europe continued their impressive performance with total revenue growing 20% year-over-year, subscription revenue increasing 12% year-over-year, GTV4 up 14% year-over-year, and GPV4 as a percentage of GTV of 49% up from 45% last year. Customer Locations4 within these growth engines increased by approximately 1,300 in the quarter, and were up 10% year-over-year to approximately 99,000. Lightspeed ended the quarter with total Customer Locations of approximately 146,000, after giving effect to the divestiture of the non-core Upserve U.S. hospitality product line. Total ARPU4 increased to ~$676 from ~$655 in the same quarter last year, representing organic5 ARPU growth of 13% year-over-year and ARPU growth of 3% as reported, driven by expanding adoption of our payments offering, greater adoption of innovative new software modules and signing more high-GTV customers. Organic5 subscription ARPU growth was 6% year-over-year and subscription ARPU growth year-over-year was 4% as reported. Total GTV was $25.7 billion, up from $24.6 billion in the same quarter last year, representing organic6 GTV growth of 9% year-over-year and growth of 5% year-over-year as reported, with a growing portion processed through the Company's payments solutions. GPV increased to $11.3 billion from $10.2 billion in the same quarter last year, representing organic6 GPV growth of 20% year-over-year and growth of 11% year-over-year as reported. GPV as a percentage of GTV was 44% in the quarter up from 40% a year ago on an organic6 basis, or 41% as reported. Gross profit in the quarter was $138.6 million, representing organic1 gross profit growth of 12% year-over-year and growth of 7% year-over-year as reported. Overall gross margin was 43%, compared to 45% on an organic1 basis in the same quarter last year, or 42% as reported. Subscription gross margin grew to 83% in the quarter from 81% in the same quarter last year on both an as reported and an organic1 basis. Transaction-based gross margin rose to 32% from 31% on an organic1 basis in the same quarter last year, or 29% as reported. Gross margin was negatively impacted by lower hardware margins. Lightspeed Capital showed strong growth with revenue of $14.5 million in the quarter, representing organic1 growth of 56%, or 39% as reported. Notable customer wins in North America include: Among hospitality customers in Europe, we welcomed: During the quarter, Lightspeed announced the sale of its non-core Upserve U.S. hospitality product line ("Upserve") to Skyview Equity for total consideration of up to $81 million, $37 million of which is subject to an earnout. The divestiture is consistent with Lightspeed's strategy to streamline its portfolio and concentrate on its two core growth engines of retail in North America and hospitality in Europe. In May, Lightspeed announced the appointment of Bhawna Singh as Chief Technology Officer. Ms. Singh is a technology executive with more than 25 years of experience leading platform transformation and global engineering organizations across enterprise SaaS and consumer businesses. She is recognized for aligning technology investment with growth, modernizing complex systems, and driving secure, scalable innovation in high-growth environments. Most recently, as a Chief Technology Officer at Okta, she led the technology strategy for a global customer identity platform powering billions of secure authentications, while advancing AI adoption and security-first architecture. Financial Outlook7 The following outlook supersedes all prior statements made by the Company and is based on current expectations. Lightspeed remains confident that the actions the Company is taking to grow quality Customer Locations and revenues while finding significant operating efficiencies position it to meet the three-year Adjusted Free Cash Flow3 target of $95 million for Fiscal 2028. For the full year Fiscal 2027, Lightspeed expects Adjusted Free Cash Flow3 to show significant growth over Fiscal 2026. The Company's strong start supports its confidence in the year, and is maintaining its existing outlook which remains consistent with the Company's three-year targets for gross profit, Adjusted EBITDA3 and Adjusted Free Cash Flow3. For Fiscal 2027, Lightspeed's outlook includes organic revenue growth and organic gross profit growth, each of which exclude the revenue and gross profit contribution from Upserve for the period from April 28, 2025 to March 31, 2026. The table below outlines this impact for the first and second quarter of Fiscal 2026 and for the full year Fiscal 20261: Second Quarter Fiscal 2027 Revenue of $316 million to $326 million representing organic1 revenue growth of 12% to 16%. Gross profit of $141 million to $146 million representing organic1 gross profit growth of 10% to 14%. Adjusted EBITDA3 of $20 million to $25 million. Fiscal 2027 Revenue of $1,225 million to $1,265 million representing organic1 revenue growth of 12% to 15%. Gross profit of $565 million to $585 million representing organic1 gross profit growth of 12% to 16%. Adjusted EBITDA3 of $75 million to $95 million. Conference Call and Webcast Information Lightspeed will host a conference call and webcast to discuss the Company's financial results at 8:00 a.m. ET on Thursday, July 30, 2026. To access the telephonic version of the conference call, visit https://registrations.events/direct/Q4I7431685. After registering, instructions will be shared on how to join the call including dial-in information as well as a unique passcode and registrant ID. At the time of the call, registered participants will dial in using the numbers from the confirmation email, and upon entering their unique passcode and ID, will be entered directly into the conference. Alternatively, the webcast will be available live in the Events section of the Company's Investor Relations website, https://investors.lightspeedhq.com/English/events-and-presentations/upcoming-events/. Among other things, Lightspeed will discuss quarterly results, financial outlook and trends in its customer base on the conference call and webcast, and related materials will be made available on the Company's website at https://investors.lightspeedhq.com. Investors should carefully review the factors, assumptions and uncertainties included in such related materials. An audio replay of the call will also be available to investors beginning at approximately 11:00 a.m. Eastern Time on July 30, 2026 until 11:59 p.m. Eastern Time on August 6, 2026, by dialing 800.770.2030 for the U.S. or Canada, or 647.362.9199 for international callers and providing conference ID 74316. In addition, an archived webcast will be available on the Investors section of the Company's website at https://investors.lightspeedhq.com. Lightspeed's unaudited condensed interim consolidated financial statements and management's discussion and analysis for the three months ended June 30, 2026 are available on Lightspeed's website at https://investors.lightspeedhq.com and will be filed on SEDAR+ at www.sedarplus.com and on EDGAR at www.sec.gov. Financial Outlook Assumptions When calculating the Adjusted EBITDA included in our financial outlook for the quarter ending September 30, 2026 and Adjusted EBITDA and Adjusted Free Cash Flow included in our financial outlook for the full year ending March 31, 2027, we considered IFRS measures including revenues, direct cost of revenues, operating expenses and cash flows from (used in) operating activities. Our financial outlook is based on a number of assumptions, including assumptions related to inflation, tariffs, changes in interest rates, consumer spending, foreign exchange rates and other macroeconomic conditions; that the jurisdictions in which Lightspeed has significant operations do not impose strict measures like those put in place in response to pandemics like the COVID-19 pandemic or other health crises; requests for subscription pauses and churn rates owing to business failures remain in line with planned levels; our Customer Location count growing in line with our planned levels (particularly in higher GTV cohorts and among retail customers in North America and hospitality customers in Europe); quarterly subscription revenue growth in line with our expectations; revenue streams resulting from certain partner referrals remaining in line with our expectations (particularly in light of our decision to unify our POS and payments solutions, which payments solutions have in the past and may in the future, in some instances, be perceived by certain referral partners to be competing with their own solutions); customers adopting our payments solutions having an average GTV at our planned levels; continued uptake of our payments solutions in line with our expectations in connection with our ongoing efforts to sell our POS and payments solutions as one unified platform; our ability to price our payments solutions in line with our expectations and to achieve suitable margins and to execute on more optimized pricing structures; our pricing and packaging initiatives and resulting impacts on our year-over-year growth rates; continued uptake of our merchant cash advance solutions in line with our expectations; our ability to manage default risks of our merchant cash advances in line with our expectations; seasonal trends being in line with our expectations and the resulting impact on our GTV, GPV and subscription, transaction-based, and hardware and other revenues; our capital expenditures and capitalized internal development costs remaining in line with our expectations; hardware and freight costs, and our ability to manage hardware margins, being in line with our expectations including hardware margins improving in the second half of the fiscal year; the timing of customer collections, supplier and other payments and inventory purchases being in line with our expectations; cash income taxes being in line with our expectations; continued success in module adoption expansion throughout our customer base; our ability to selectively pursue strategic opportunities (such as acquisitions, investments or divestitures) and derive the benefits we expect from the acquisitions we have completed including expected synergies resulting from the prioritization of our flagship Lightspeed Retail and Lightspeed Restaurant offerings; our ability to derive the benefits from past and future divestitures, including the divestiture of the Upserve U.S. hospitality product line, and to receive the post-closing and potential earn out payments from such sale; market acceptance and adoption of our flagship offerings; our ability to attract and retain key personnel required to achieve our plans, including outbound and field sales personnel in our key markets; our ability to execute our succession planning; our expectations regarding the costs, timing and impact of our reorganizations and other cost reduction initiatives; our expectations regarding our growth strategy focused on retail customers in North America and hospitality customers in Europe and our strategies for customers in other geographies and verticals; our ability to manage customer churn; and our ability to manage customer discount requests. Our financial outlook does not give effect to the potential impact of acquisitions, divestitures or other strategic transactions that may be announced or closed after the date hereof. Our financial outlook, including the various underlying assumptions, constitutes forward-looking information and should be read in conjunction with the cautionary statement on forward-looking information below. Many factors may cause our actual results, level of activity, performance or achievements to differ materially from those expressed or implied by such forward-looking information, including the risks and uncertainties related to: macroeconomic factors affecting small and medium-sized businesses, including inflation, tariffs, changes in interest rates and consumer spending trends; instability in the banking sector; exchange rate fluctuations and the use of hedging; any pandemic or global health crisis; the Russian invasion of Ukraine and reactions thereto; continuing military conflict in the Middle East and reactions thereto; the impact and uncertainty of foreign policy shifts in the U.S., Canada and Europe (including the impacts of tariffs, sanctions, trade wars, or other trade conditions or protective government actions); certain natural disasters; our inability to attract and retain customers, including among high GTV customers and among retail customers in North America and hospitality customers in Europe; our inability to increase customer sales; our inability to implement our growth strategy; our inability to continue to increase adoption of our payments solutions, including our initiative to sell our POS and payments solutions as one unified platform; our ability to successfully execute our pricing and packaging initiatives; risks relating to our merchant cash advance program; our ability to continue offering merchant cash advances and scaling our merchant cash advance program in line with our expectations; our reliance on a small number of cloud service suppliers and suppliers for parts of the technology in our payments solutions; our ability to manage and maintain integrations between our platform and certain third-party platforms; our ability to maintain sufficient levels of hardware inventory; supply chain risks and our ability to manage shortages including for our hardware; global disruptions in shipping and energy costs; our inability to improve and enhance the functionality, performance, reliability, design, security and scalability of our platform; our ability to prevent and manage information security breaches or other cyber-security threats; our ability to compete against competitors; strategic relations with third parties; our reliance on integration of third-party payment processing solutions; compatibility of our solutions with third-party applications and systems; changes to technologies on which our platform is reliant; our ability to effectively incorporate artificial intelligence solutions into our business and operations; our inability to control the availability or pricing of software, infrastructure or hardware required to provide artificial intelligence solutions; our ability to obtain, maintain and protect our intellectual property; risks relating to international operations, sales and use of our platform in various countries; our liquidity and capital resources; pending and threatened litigation and regulatory compliance; any external stakeholder activism; changes in tax laws and their application; our ability to expand our sales, marketing and support capability and capacity; our ability to execute on our reorganizations and cost reduction initiatives; our ability to execute on our growth strategy focused on retail customers in North America and hospitality customers in Europe and our strategies for customers in other geographies and verticals; our ability to successfully make future investments in our business through capital expenditures; our ability to successfully execute our capital allocation strategies; our ability to execute on our business and operational strategy; maintaining our customer service levels and reputation; our ability to effectively control and manage our working capital; and cash inflows and outflows being in line with our expectations. The purpose of the forward-looking information is to provide the reader with a description of management's expectations regarding our financial performance and may not be appropriate for other purposes. Long-Term Financial Outlook Our long-term financial outlook constitutes financial outlook and forward-looking information within the meaning of applicable securities laws. The purpose of communicating long-term targets is to provide a description of management's expectations regarding our intended operating model, financial performance and growth prospects at a further stage of business maturity. Such information may not be appropriate for other purposes. A number of assumptions were made by the Company in preparing our long-term targets, including: Our expectations regarding our growth strategy for retail customers in North America and hospitality customers in Europe and our strategies for customers in other geographies and verticals. Economic conditions in our core geographies and verticals, including inflation, consumer confidence, disposable income, consumer spending, foreign exchange rates, employment and other macroeconomic conditions, remaining at close to current levels. Jurisdictions in which Lightspeed has significant operations do not impose strict measures like those put in place in response to pandemics like the COVID-19 pandemic. Customer adoption of our payments solutions in line with expectations, with new customers having an average GTV at or above planned levels. Our ability to price our payments solutions in line with our expectations and to achieve suitable margins and to execute on more optimized pricing structures. Continued uptake of our payments solutions in line with our expectations in connection with our ongoing efforts to sell our POS and payments solutions as one unified platform. Revenue streams resulting from certain partner referrals remaining in line with our expectations (particularly in light of our decision to unify our POS and payments solutions, which payments solutions have in the past and may in the future, in some instances, be perceived by certain referral partners to be competing with their own solutions). Our ability to manage default risks of our merchant cash advances in line with our expectations. Long-term growth in ARPU, including growth in subscription ARPU, in line with expectations, driven by Customer Location expansion in our growth engines, customer adoption of additional solutions and modules and the introduction of new solutions, modules and functionalities. Our ability to achieve higher close rates and better unit economics with customers in our growth engines. Our reallocation of investment over time towards our growth engines - retail customers in North America and hospitality customers in Europe. Our ability to price solutions and modules in line with our expectations. Our ability to recognize synergies and reinvest those synergies in core areas of the business as we prioritize our flagship Lightspeed Retail and Lightspeed Restaurant offerings. Our ability to invest in our outbound and field sales motions in our growth engines. Our ability to attract and retain customers and grow subscription ARPU in our addressable markets. The size of our addressable markets for our growth engines - retail customers in North America and hospitality customers in Europe - being in line with our expectations. Customer Location growth of ~10-15% (three-year Compound Annual Growth Rate ("CAGR") between Fiscal 2025 and Fiscal 2028) in our two growth engines - retail customers in North America and hospitality customers in Europe. Our ability to selectively pursue strategic opportunities (such as acquisitions, investments or divestitures) and derive the benefits we expect from the acquisitions we have completed including expected synergies resulting from the prioritization of our flagship Lightspeed Retail and Lightspeed Restaurant offerings. Market acceptance and adoption of our flagship offerings. Our ability to increase our operating efficiencies by consolidating infrastructure and hosting contracts with certain providers and consolidating certain service centers into lower cost geographies. Our ability to attract, develop and retain key personnel and our ability to execute our succession planning. Our expectations regarding the costs, timing and impact of our reorganizations and other cost reduction initiatives. The ability to effectively develop and expand our labour force, including our sales, marketing, support and product and technology operations, in each case both domestically and internationally, but particularly in our growth engines. Our ability to manage customer churn. Our ability to manage requests for subscription pauses, customer discounts and payment deferral requests. The timing of customer collections, supplier and other payments, and inventory purchases being in line with our expectations. Assumptions as to foreign exchange rates and interest rates, including inflation. Cash income taxes being in line with our expectations. Our capital expenditures and capitalized internal development costs remaining in line with our expectations. Share-based compensation declining as a percentage of revenue over time. Gross margin being within a range of ~43-46% over time. Hardware and freight costs, and our ability to manage hardware margins, being in line with our expectations. Adjusted EBITDA3 growing to ~20% of gross profit3 by Fiscal 2028. Seasonal trends of our key verticals being in line with our expectations and the resulting impact on our GTV, GPV and transaction-based revenues. Our ability to derive the benefits from past and future divestitures, including the divestiture of the Upserve U.S. hospitality product line, and to receive the post-closing and potential earn out payments from such sale. Our financial outlook does not give effect to the potential impact of acquisitions, divestitures or other strategic transactions that may be announced or closed after the date hereof. Many factors may cause actual results, level of activity, performance or achievements to differ materially from those expressed or implied by such targets, including risk factors identified in our most recent Management's Discussion and Analysis of Financial Condition and Results of Operation and under "Risk Factors" in our most recent Annual Information Form. In particular, our long-term targets are subject to risks and uncertainties related to: Our ability to execute on our growth strategy focused on retail customers in North America and hospitality customers in Europe and our strategies for customers in other geographies and verticals. The Russian invasion of Ukraine and reactions thereto. Continuing military conflict in the Middle East and reactions thereto. The impact and uncertainty of foreign policy shifts in the U.S., Canada and Europe (including the impacts of tariffs, sanctions, trade wars, or other trade conditions or protective government actions). Supply chain risk and the impact of shortages in the supply chain on us and our merchants. Macroeconomic factors affecting small and medium-sized businesses, including inflation, changes in interest rates and consumer spending trends. Instability in the banking sector. Any pandemic or global health crisis or certain natural disasters. Our ability to manage the impact of foreign currency fluctuations on our revenues and results of operations, including the use of hedging. Our ability to implement our growth strategy and the impact of competition. Our inability to attract and retain customers, including among high GTV customers or customers in our growth engines. Our inability to increase customer sales. Our ability to successfully execute our pricing and packaging initiatives. The substantial investments and expenditures required in the foreseeable future to expand our business. Our liquidity and capital resources, including our ability to secure debt or equity financing on satisfactory terms. Our ability to increase scale and operating leverage. Our inability to continue to increase adoption of our payments solutions, including our initiative to sell our POS and payments solutions as one unified platform. Risks relating to our merchant cash advance program. Our ability to continue offering merchant cash advances and scaling our merchant cash advance program in line with our expectations. Our ability to further monetize our Lightspeed Wholesale offering. Our reliance on a small number of cloud service providers and suppliers for parts of the technology in our payments solutions. Our ability to improve and enhance the functionality, performance, reliability, design, security and scalability of our platform. Our ability to prevent and manage information security breaches or other cyber-security threats. Our ability to compete and satisfactorily price our solutions in a highly fragmented and competitive market. Strategic relations with third parties, including our reliance on integration of third-party payment processing solutions. Our ability to maintain sufficient levels of hardware inventory including any impacts resulting from tariffs, sanctions, trade wars or supply chain disruptions. Global disruptions in shipping and energy costs. Our ability to manage and maintain integrations between our platform and certain third-party platforms. Compatibility of our solutions with third-party applications and systems. Changes to technologies on which our platform is reliant. Our ability to effectively incorporate artificial intelligence solutions into our business and operations. Our ability to control the availability or pricing of software, infrastructure or hardware required to provide artificial intelligence solutions. Our ability to obtain, maintain and protect our intellectual property. Risks relating to our international operations, sales and use of our platform in various countries. Seasonality in our business and in the business of our customers. Pending and threatened litigation and regulatory compliance. Any external stakeholder activism. Changes in tax laws and their application. Our ability to expand our sales capability and maintain our customer service levels and reputation. Our ability to execute on our reorganizations and cost reduction initiatives. Our ability to successfully make future investments in our business through capital expenditures. Our ability to successfully execute our capital allocation strategies, including our share repurchase initiatives. Gross profit, operating expenses and cash flows from (used in) operating activities being measures determined in accordance with IFRS Accounting Standards, and the fact that such measures may be affected by unusual, extraordinary, or non-recurring items, or by items which do not otherwise reflect operating performance or which hinder period-to-period comparisons. Any potential acquisitions, divestitures or other strategic opportunities, some of which may be material in size or result in significant integration difficulties or expenditures, or otherwise impact our ability to achieve our long-term targets on our intended timeline or at all. See also the section entitled "Forward-Looking Statements" in this press release. About Lightspeed Lightspeed is the POS and payments platform powering businesses at the heart of communities in over 100 countries. As the partner of choice for ambitious retail and hospitality entrepreneurs, Lightspeed helps businesses accelerate growth, deliver exceptional customer experiences, and run smarter across all channels and locations. With fast, flexible omnichannel technology, Lightspeed brings together point of sale, eCommerce, embedded payments, inventory, reporting, staff and supplier management, financial services, and an exclusive wholesale retail network. Backed by insights, and expert support, Lightspeed helps businesses run more efficiently and focus on what they do best. Founded in Montréal, Canada in 2005, Lightspeed is dual-listed on the New York Stock Exchange and Toronto Stock Exchange (NYSE: LSPD) (TSX: LSPD), with teams across North America, Europe, and Asia Pacific. For more information, please visit: www.lightspeedhq.com On social media: LinkedIn, Facebook, Instagram, YouTube, and X Non-IFRS Measures and Ratios The information presented herein includes certain non-IFRS financial measures such as "Adjusted EBITDA", "Adjusted Income", "Adjusted Free Cash Flow", "Non-IFRS gross profit", "Non-IFRS general and administrative expenses", "Non-IFRS research and development expenses", "Non-IFRS sales and marketing expenses", and "Total Revenue at Constant Currency" and certain non-IFRS ratios such as "Adjusted EBITDA as a percentage of gross profit", "Adjusted Income per Share - Basic and Diluted", "Non-IFRS gross profit as a percentage of revenue", "Non-IFRS general and administrative expenses as a percentage of revenue", "Non-IFRS research and development expenses as a percentage of revenue", "Non-IFRS sales and marketing expenses as a percentage of revenue", and "Total Revenue Growth Rate at Constant Currency". These measures and ratios are not recognized measures and ratios under IFRS and do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures and ratios presented by other companies. Rather, these measures and ratios are provided as additional information to complement those IFRS measures and ratios by providing further understanding of our results of operations from management's perspective. Accordingly, these measures and ratios should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS. These non-IFRS measures and ratios are used to provide investors with supplemental measures and ratios of our operating performance and liquidity and thus highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS measures and ratios. We also believe that securities analysts, investors and other interested parties frequently use non-IFRS measures and ratios in the evaluation of issuers. Our management also uses non-IFRS measures and ratios in order to facilitate operating performance comparisons from period to period, to prepare operating budgets and forecasts and to determine components of management compensation. The comparability of these non-IFRS measures and ratios is affected by the divestiture of Upserve on April 28, 2026, as the prior-year period reflects a full three months of Upserve, whereas the current period reflects Upserve only up to the divestiture date. "Adjusted EBITDA" is defined as net loss excluding interest, taxes, depreciation and amortization, or EBITDA, as adjusted for share-based compensation and related payroll taxes, compensation expenses relating to acquisitions completed, foreign exchange gains and losses, transaction-related costs, restructuring, litigation provisions, goodwill impairment and gains and losses on the sale of businesses. We believe that Adjusted EBITDA provides a useful supplemental measure of the Company's operating performance, as it helps illustrate underlying trends in our business that could otherwise be masked by the effect of the income or expenses that are not indicative of the core operating performance of our business. "Adjusted EBITDA as a percentage of gross profit" is calculated by dividing our Adjusted EBITDA by our gross profit. We use this ratio as we believe that it provides a useful supplemental indicator of the Company's operating performance, as it helps illustrate underlying trends in our business that could otherwise be masked by the effect of the income or expenses that are not indicative of the core operating performance of our business. "Adjusted Income" is defined as net loss excluding amortization of intangibles, as adjusted for share-based compensation and related payroll taxes, compensation expenses relating to acquisitions completed, transaction-related costs, restructuring, litigation provisions, deferred income tax expense (recovery), goodwill impairment and gains and losses on the sale of businesses. We use this measure as we believe excluding amortization of intangibles and certain other non-cash or non-operational expenditures provides a helpful supplementary indicator of our business performance as it allows for more accurate comparability across periods. "Adjusted Income per Share - Basic and Diluted" is defined as Adjusted Income divided by the weighted average number of Common Shares outstanding - basic and diluted. We use Adjusted Income per Share - Basic and Diluted to provide a helpful supplemental indicator of the performance of our business on a per share (basic and diluted) basis. "Adjusted Free Cash Flow" is defined as cash flows from (used in) operating activities as adjusted for the payment of amounts related to capitalized internal development costs, the payment of amounts related to acquiring property and equipment and certain cash inflows and outflows associated with merchant cash advances. We use this measure as we believe including or excluding certain inflows and outflows provides a helpful supplemental indicator to investors of the Company's ability to generate cash flows. "Non-IFRS gross profit" is defined as gross profit as adjusted for share-based compensation and related payroll taxes. We use this measure as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our business performance in regard to the Company's performance and profitability. "Non-IFRS gross profit as a percentage of revenue" is calculated by dividing our Non-IFRS gross profit by our total revenue. We use this ratio as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our business performance in regard to the Company's performance and profitability. "Non-IFRS general and administrative expenses" is defined as general and administrative expenses as adjusted for share-based compensation and related payroll taxes, transaction-related costs and litigation provisions. We use this measure as we believe excluding certain charges provides a helpful supplemental indicator to investors on our operating expenditures. "Non-IFRS general and administrative expenses as a percentage of revenue" is calculated by dividing our Non-IFRS general and administrative expenses by our total revenue. We use this ratio as we believe excluding certain charges provides a helpful supplemental indicator to investors on our operating expenditures. "Non-IFRS research and development expenses" is defined as research and development expenses as adjusted for share-based compensation and related payroll taxes. We use this measure as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our operating expenditures. "Non-IFRS research and development expenses as a percentage of revenue" is calculated by dividing our Non-IFRS research and development expenses by our total revenue. We use this ratio as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our operating expenditures. "Non-IFRS sales and marketing expenses" is defined as sales and marketing expenses as adjusted for share-based compensation and related payroll taxes. We use this measure as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our operating expenditures. "Non-IFRS sales and marketing expenses as a percentage of revenue" is calculated by dividing our Non-IFRS sales and marketing expenses by our total revenue. We use this ratio as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our operating expenditures. "Total Revenue at Constant Currency" is defined as total revenue adjusted for the impact of foreign currency exchange fluctuations. We believe this measure provides a helpful supplemental indicator on comparable total revenue growth by removing the effect of changes in foreign currency exchange rates year-over-year to aid investors to better understand our performance. "Total Revenue Growth Rate at Constant Currency" is defined as the year-over-year change in Total Revenue at Constant Currency divided by reported total revenue in the prior period. We believe this ratio provides a helpful supplemental indicator on comparable total revenue growth by removing the effect of changes in foreign currency exchange rates year-over-year to aid investors to better understand our performance. See the financial tables below for a reconciliation of the non-IFRS measures and ratios to the most directly comparable IFRS measures and ratios. Key Performance Indicators We monitor the following key performance indicators to help us evaluate our business, measure our performance, identify trends affecting our business, formulate business plans and make strategic decisions. These key performance indicators are also used to provide investors with supplemental measures of our operating performance and thus highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS measures and ratios. We also believe that securities analysts, investors and other interested parties frequently use industry metrics in the evaluation of issuers. Our key performance indicators may be calculated in a manner different than similar key performance indicators used by other companies. The divestiture of Upserve on April 28, 2026, affects the year-over-year comparability of these key performance indicators, as the prior-year period includes a full three months of Upserve, whereas the current period includes Upserve only up to the divestiture date. Average Revenue Per User. "Average Revenue Per User" or "ARPU" represents the total subscription revenue and transaction-based revenue of the Company in the period divided by the number of Customer Locations of the Company in the period. Subscription revenue and transaction-based revenue attributable to standalone eCommerce sites is excluded from ARPU. We use this measure as we believe it provides a helpful supplemental indicator of our progress in growing the revenue that we derive from our customer base. For greater clarity, the number of Customer Locations of the Company in the period is calculated by taking the average number of Customer Locations throughout the period. Customer Locations. "Customer Location" means a billing merchant location for which the term of services has not ended, or in respect of which we are negotiating a renewal contract, and, in the case of NuORDER, a brand with a direct or indirect paid subscription for which the term of services has not ended or in respect of which we are negotiating a subscription renewal. A single unique customer can only have multiple Customer Locations if it has multiple physical sites and in the case of NuORDER, multiple subscriptions. We use this measure as we believe that our ability to increase the number of Customer Locations with a high GTV per year and the number of retail Customer Locations in North America and hospitality Customer Locations in Europe served by our platform is an indicator of our success in terms of market penetration and growth of our business. Gross Payment Volume. "Gross Payment Volume" or "GPV" means the total dollar value of transactions processed, excluding amounts processed through the NuORDER solution, in the period through our payments solutions in respect of which we act as the principal in the arrangement with the customer, net of refunds, inclusive of shipping and handling, duty and value-added taxes. We use this measure as we believe that growth in our GPV demonstrates the extent to which we have scaled our payments solutions. As the number of Customer Locations using our payments solutions grows, particularly those with a high GTV, we will generate more GPV and see higher transaction-based revenue. We have excluded amounts processed through the NuORDER solution from our GPV because they represent business-to-business volume rather than business-to-consumer volume and we do not currently have a robust payments solution for business-to-business volume. Some of our brands can accept certain payments from retailers in certain of our geographies, and we may in the future include such volume in GPV once we have further developed our payments solution for business-to-business volume. Gross Transaction Volume. "Gross Transaction Volume" or "GTV" means the total dollar value of transactions processed through our cloud-based software-as-a-service platform, excluding amounts processed through the NuORDER solution, in the period, net of refunds, inclusive of shipping and handling, duty and value-added taxes. We use this measure as we believe GTV is an indicator of the success of our customers and the strength of our platform. GTV does not represent revenue earned by us. We have excluded amounts processed through the NuORDER solution from our GTV because they represent business-to-business volume rather than business-to-consumer volume and we do not currently have a robust payments solution for business-to-business volume. Some of our brands can accept certain payments from retailers in certain of our geographies, and we may in the future include such volume in GTV once we have further developed our payments solution for business-to-business volume. Forward-Looking Statements This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") within the meaning of applicable securities laws. Forward-looking information may relate to our financial outlook (including revenue, gross profit, Adjusted EBITDA and Adjusted Free Cash Flow), and anticipated events or results and may include information regarding our financial position, business strategy, growth strategies, addressable markets, budgets, operations, financial results, taxes, dividend and capital allocation policy (including share repurchase initiatives), plans and objectives. Particularly, information regarding: our expectations of future results, performance, achievements, prospects or opportunities or the markets in which we operate; macroeconomic conditions such as inflationary pressures, interest rates, the international trade environment and related restrictions or disputes, and global economic uncertainty; our expectations regarding the costs, timing and impact of reorganizations and cost reduction initiatives and personnel changes; our expectations regarding our growth strategy focused on retail customers in North America and hospitality customers in Europe and our strategies for customers in other geographies and verticals; geopolitical instability, terrorism, war and other global conflicts such as the Russian invasion of Ukraine and continuing military conflict in the Middle East; and expectations regarding industry and consumer spending trends, our growth rates, the achievement of advances in and expansion of our platform, our focus on complex customers, our revenue and the revenue generation potential of our payment-related and other solutions, the impact of our decision to sell our POS and payments solutions as one unified platform, our pricing and packaging initiatives, our gross margins and future profitability, acquisition, investment or divestiture outcomes and synergies, our expectations to derive the benefits from past and future divestitures, including the divestiture of the Upserve U.S. hospitality product line, and to receive the post-closing and potential earn out payments from such sale, the impact of any further goodwill impairments, the impact of pending and threatened litigation, the impact of any external stakeholder activism, the impact of foreign currency fluctuations and the use of hedging on our results of operations, our business plans and strategies and our competitive position in our industry, is forward-looking information. In some cases, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "targets", "expects" or "does not expect", "is expected", "an opportunity exists", "budget", "scheduled", "estimates", "suggests", "outlook", "forecasts", "projection", "prospects", "strategy", "intends", "anticipates" or "does not anticipate", "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", "will", "will be taken", "occur" or "be achieved", the negative of these terms and similar terminology. In addition, any statements that refer to expectations, intentions, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent management's expectations, estimates and projections regarding future events or circumstances. Forward-looking information is necessarily based on a number of opinions, estimates and assumptions that we considered appropriate and reasonable as of the date of such forward-looking information. Forward-looking information is subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including the risk factors identified in our most recent Management's Discussion and Analysis of Financial Condition and Results of Operations, under "Risk Factors" in our most recent Annual Information Form, and in our other filings with the Canadian securities regulatory authorities and the U.S. Securities and Exchange Commission, all of which are available under our profiles on SEDAR+ at www.sedarplus.com and on EDGAR at www.sec.gov. Although we have attempted to identify important risk factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other risk factors not presently known to us or that we presently believe are not material that could also cause actual results or future events to differ materially from those expressed in such forward-looking information. You should not place undue reliance on forward-looking information, which speaks only as of the date made. The forward-looking information contained in this news release represents our expectations as of the date hereof (or as of the date they are otherwise stated to be made), and are subject to change after such date. However, we disclaim any intention or obligation or undertaking to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required under applicable securities laws. All of the forward-looking information contained in this news release is expressly qualified by the foregoing cautionary statements. The comparability of these non-IFRS measures and ratios is affected by the divestiture of Upserve on April 28, 2026, as the prior-year period reflects a full three months of Upserve, whereas the current period reflects Upserve only up to the divestiture date. The comparability of these non-IFRS measures and ratios is affected by the divestiture of Upserve on April 28, 2026, as the prior-year period reflects a full three months of Upserve, whereas the current period reflects Upserve only up to the divestiture date. The comparability of these non-IFRS measures and ratios is affected by the divestiture of Upserve on April 28, 2026, as the prior-year period reflects a full three months of Upserve, whereas the current period reflects Upserve only up to the divestiture date. The comparability of these non-IFRS measures and ratios is affected by the divestiture of Upserve on April 28, 2026, as the prior-year period reflects a full three months of Upserve, whereas the current period reflects Upserve only up to the divestiture date. The comparability of these non-IFRS measures and ratios is affected by the divestiture of Upserve on April 28, 2026, as the prior-year period reflects a full three months of Upserve, whereas the current period reflects Upserve only up to the divestiture date. View original content to download multimedia:https://www.prnewswire.com/news-releases/lightspeed-announces-first-quarter-2027-financial-results-302838459.html

This article first appeared on GuruFocus. Revenue: $322.7 million, up 17% year-over-year on an organic basis, exceeding the company's outlook of 10% to 14% growth. Gross Profit: $139 million, up 12% year-over-year on an organic basis. Adjusted EBITDA: $17.5 million, within the company's outlook range. Software Revenue: $95.4 million, up 8% year-over-year. Transaction-Based Revenue: $214.5 million, up 20% year-over-year. Gross Merchandise Volume (GTV): $25.7 billion, up 9% year-over-year. Payments Penetration: 44% on an organic basis, up from 40% a year ago. Software Gross Margin: 83%, up from 81% a year ago. Transaction-Based Gross Margin: 32% on an organic basis, up from 31% a year ago. Total Gross Margin: 43% compared to 45% a year ago on an organic basis. Net Loss: $2.4 million, or a loss of $0.02 per share, compared to a net loss of $49.6 million a year ago. Adjusted Free Cash Flow: Negative $4.4 million in the quarter. Customer Locations (Growth Engines): Approximately 99,000, up 10% year-over-year. Total Customer Locations: 146,000 at the end of the quarter. Software ARPU: Increased 6% year-over-year. Total Monthly ARPU: Approximately $676, up 13% year-over-year. Share Repurchases: Returned approximately $86 million through share repurchases in the quarter. Warning! GuruFocus has detected 1 Warning Sign with LSPD. Is LSPD fairly valued? Test your thesis with our free DCF calculator. Release Date: July 30, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Revenue exceeded outlook, with total revenue of $322.7 million, up 17% year-over-year on an organic basis. Software revenue growth accelerated to 8% year-over-year, driven by higher ARPU and focus on ICP customers. Payments penetration reached 44% (49% in growth engines), up from 40% a year ago, with significant runway for further growth. Adjusted EBITDA improved to $17.5 million, with strong gross margin expansion in software (83%) and transaction-based revenue (32%). Lightspeed Capital revenue grew 56% year-over-year, with low default rates and higher customer lifetime value. Total gross margin declined to 43% from 45% a year ago, partly due to supply chain constraints increasing hardware freight costs. Adjusted free cash flow was negative $4.4 million in the quarter, impacted by working capital movements. Approximately 500 low-ARPU locations were removed due to termination of a legacy white-label partnership agreement. Hardware gross margins experienced temporary compression from supply chain issues, expected to improve in the second half of fiscal 2027. Net customer location additions in growth engines were seasonally lighter, with a 10% year-over-year increase, at the lower end of the 10%-15% CAGR target. Q: Software revenue growth accelerated to 8% from 6% last quarter, and ARPU was up 6%. What explains the slight gap between the two, and how should we think about closing that over the next few quarters?A: Asha Bakshani (CFO): We are very happy with the acceleration in subscription revenue. The gap between software revenue growth and ARPU is due to several puts and takes, including the timing and type of locations we are onboarding. As we bring on more large GTV locations that take more of the Lightspeed suite, we expect software ARPU to align better with the total revenue acceleration. Q: Some peers have started to directly monetize their AI products. How many merchants are currently adopting Lightspeed AI, and what is the potential to monetize it going forward?A: Dax Dasilva (CEO): In hospitality, where we launched our AI products first, this is the fastest uptake of any module in our history. The high adoption and usage give us future pricing power, and we can add more AI and agentic tools across our pricing tiers. We haven't monetized it yet, but we are gathering the data to do so. Q: Can you speak to your hiring plans for the sales force? Is the focus on improving productivity of the existing team, or are you still hiring new bodies?A: Gabriel Benavides (CRO): Our capacity build-out is largely behind us. Our growth ambitions are within reach with our existing capacity, as long as we successfully pivot to a real focus on seller productivity, which is where we are spending a lot of our time and focus. Q: Net location ads in the growth engines came in a bit lower quarter-over-quarter. Was there any impact from the World Cup or delayed integrations? What is the expectation for the rest of the year?A: Dax Dasilva (CEO): The first quarter is seasonally lighter than Q4, and we also removed about 500 low-ARPU locations from a terminated white-label agreement. We are focused on quality locations, which is why you see location growth still at 10% (within our 10-15% CAGR goal) while software growth is also accelerating. Q: Can you provide commentary on the path forward for hardware gross margins, given the compression from supply chain constraints?A: Asha Bakshani (CFO): The compression is temporary, coming from supply chain constraints that resulted in higher freight costs. We have put guardrails in place and expect margins to improve in the back half of the fiscal year. Hardware is only about 4% of revenue, and we see these investments as a means to expand high-margin payments and software. Q: On sales productivity, can you comment on quota attainment and if there have been any changes to the quota or commission structure?A: Gabriel Benavides (CRO): I won't share specifics on targeting or commissions, but as we have shifted focus to seller productivity, the early signs are encouraging. We are already seeing deals of a size and scope emerge in our pipeline that we haven't seen before, without breaking the great velocity we have at Lightspeed. Q: You mentioned positive same-store sales overall. Can you elaborate on the spending environment and if your thoughts on the macro for the second half of the year have changed?A: Asha Bakshani (CFO): We are seeing a very strong macro across North America retail and EMEA hospitality. Total GTV in our growth engines was up 14%. In retail, our largest verticals (bikes, sporting goods, golf, jewelry) all had double-digit or close to double-digit growth. In EMEA hospitality, we also see solid growth, though the Euro tempered a bit towards the end of the quarter. Nothing concerns us; we feel really good about the macro. Q: Can you walk us through the reasons for the gross margin weakness in the quarter and your thoughts for the rest of the year?A: Asha Bakshani (CFO): The main factor is mix, as our fast-growing transaction-based revenue comes in at 25-30% gross margins. The only temporary factor is hardware, which saw slight compression from supply chain constraints. We have put guardrails in place that will benefit us in the back half of the year. We feel good about our long-term 43-45% gross margin guidance. Q: Can you give an update on the strategy to drive payments penetration within the efficiency market?A: Gabriel Benavides (CRO): The strategy is very close to what we do in our growth engine. We are driving better payment penetration into our back book in a more targeted fashion for the efficiency portfolio. We have launched specific initiatives for the back book, and we are bringing our enhanced payment capabilities to bear with full voice, which helps drive growth in the efficiency portfolio. Q: On the termination of the white-label agreement, how prevalent are these locations across the base, and what happened?A: Gabriel Benavides (CRO): Very few of these remain in the back book; it is negligible. This was a one-time thing. This particular white-label agreement didn't fit our refresh strategy around payments and partners, so the agreement was terminated and both parties moved forward. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Lightspeed Commerce Inc. (LSPD) came out with quarterly earnings of $0.13 per share, beating the Zacks Consensus Estimate of $0.11 per share. This compares to earnings of $0.06 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +18.18%. A quarter ago, it was expected that this company would post earnings of $0.1 per share when it actually produced earnings of $0.08, delivering a surprise of -20%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Lightspeed POS, which belongs to the Zacks Internet - Software industry, posted revenues of $322.7 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 3.93%. This compares to year-ago revenues of $304.94 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Lightspeed POS shares have lost about 8.9% since the beginning of the year versus the S&P 500's gain of 6.9%. While Lightspeed POS has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Lightspeed POS was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.15 on $317.76 million in revenues for the coming quarter and $0.52 on $1.25 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software is currently in the bottom 41% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. DoubleVerify Holdings (DV), another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 6. This software platform for digital media measurement and analytics is expected to post quarterly earnings of $0.25 per share in its upcoming report, which represents a year-over-year change of +400%. The consensus EPS estimate for the quarter has been revised 8.2% lower over the last 30 days to the current level. DoubleVerify Holdings' revenues are expected to be $201.54 million, up 6.6% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Lightspeed Commerce Inc. (LSPD) : Free Stock Analysis Report DoubleVerify Holdings, Inc. (DV) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research