Lightspeed Announces First Quarter 2026 Financial Results

Executive Summary

• Lightspeed Commerce Inc. reported First Quarter 2026 financial results for the three months ended June 30, 2025, showing total revenue of $304.9 million, a 15% year-over-year increase that exceeded company outlook.
• The company delivered Adjusted EBITDA of $15.9 million (up from $10.2 million in the prior year period) and Adjusted Income of $7.9 million, while reporting a net loss of $49.6 million due to non-cash items including amortization and restructuring charges.
• Operational highlights include the addition of approximately 1,700 net Customer Locations (bringing total locations to ~145,000), a 21% year-over-year increase in Gross Payment Volume (GPV) to $10.2 billion, and a 16% increase in Average Revenue Per User (ARPU).

Key Details

• Revenue: Total revenue was $304.9 million (+15% YoY). Transaction-based revenue was $204.6 million (+18% YoY), and Subscription revenue was $90.9 million (+9% YoY).
• Profitability:
  • Gross profit was $129.1 million (+19% YoY) with a gross margin of 42% (up from 41% in Q1 2025).
  • Subscription gross margin improved to 81% (from 79%).
  • Transaction-based gross margin improved to 29% (from 26%).
  • Net loss was $49.6 million ($0.35 per share), compared to a net loss of $35.0 million ($0.23 per share) in the prior year.
  • Adjusted Income was $7.9 million ($0.06 per share), down from $16.1 million ($0.10 per share) in the prior year.
  • Adjusted EBITDA was $15.9 million, up from $10.2 million in the prior year.
• Cash Flow:
  • Cash flows from operating activities were $12.4 million, compared to a use of $14.2 million in the prior year.
  • Adjusted Free Cash Flow used was $1.7 million, compared to $3.0 million used in the prior year.
  • Cash and cash equivalents stood at $447.6 million as of June 30, 2025.
• Operational Metrics:
  • Customer Locations: Added ~1,700 net locations in Q1 2025; total Customer Locations reached approximately 145,000 (up 5% YoY). Growth engines (Retail in North America and Hospitality in Europe) drove the net addition.
  • ARPU: Increased 16% to ~$655 (from ~$567), driven by software price increases and payments adoption. Subscription ARPU increased 10%.
  • GTV/GPV: Total Gross Transaction Volume (GTV) was $24.6 billion (+4% YoY). Gross Payment Volume (GPV) grew 21% to $10.2 billion. GPV as a percentage of GTV was 41%.
  • Lightspeed Capital: Revenue increased 34% year-over-year.
• Share Repurchases: The company completed its latest normal course issuer bid, repurchasing and cancelling ~9.0 million shares for ~$85.4 million. Since the start of Fiscal 2025, the company has spent ~$219.6 million to acquire ~18.7 million shares (~12% of shares outstanding as of April 1, 2024).
• Board Appointment: Glen LeBlanc was appointed to the Board of Directors, effective July 1, 2025.
• Financial Outlook (Q2 2026):
  • Revenue: ~$305 million to $310 million.
  • Gross Profit Growth: ~14%.
  • Adjusted EBITDA: ~$17 million to $19 million.
• Financial Outlook (Fiscal 2026):
  • Revenue Growth: ~10% to 12%.
  • Gross Profit Growth: ~14%.
  • Adjusted EBITDA: ~$68 million to $72 million.

Notable Quotes

• "Lightspeed is winning where it matters — we added high-quality locations, increased ARPU, and delivered solid top-line growth with expanded margins," said Dax Dasilva, Founder and CEO.
• "Lightspeed had a great start to the year with revenue and gross profit exceeding our previously-established outlook... Our strong Adjusted EBITDA growth is evidence of the leverage we are seeing in our business model as well as our relentless operating efficiency," said Asha Bakshani, CFO.