TSX:LSPD - Post Discussion
Post by
retiredcf on Nov 02, 2023 9:39am
RBC
November 2, 2023
Lightspeed Commerce Inc.
F2Q24 beat and raise; Unified Payments Strategy paying off
NYSE: LSPD | USD 12.44 | Outperform | Price Target USD 21.00
Sentiment: Positive
Our view. LSPD reported strong F2Q24 results that beat both RBCe and Street estimates, with adj. revenue $15M above our estimate and adj. EBITDA coming in at $0.2M, ~$4M above our estimate, and both above management's previously established guidance. The strength in the quarter resulted in a ~$10M increase in FY24 revenue guidance at the mid-points. Additionally, management called out a record level of onboarding to Payments, with less than expected churn, driving GPV to grow 59% y/y.
Quick takeaways. LSPD reported $230M / $0.2M in revenue/adj. EBITDA compared to RBCe of $215M / ($3.7M) and Street at $214M / ($3.5M). Gross profit totaled $96M, or a margin of 41.8%, compared to RBCe of $90M (42% margin), the Street at $92M and a margin of 44.3% last year. Gross transaction value (GTV) totaled $23.5B, +5.4% y/y, compared to 6% growth last quarter, while with gross payment volume (GPV) increased 59% y/y to $5.9B. Subscription revenue increased 9% y/y, while transaction revenue increased 36%, compared to 7% and 32% last quarter, respectively. Growth in subscription and transaction-based revenues was 24% y/y, versus 21% last quarter.
FY24 guidance increased; F3Q24 revenue guidance above prior expectations. FY24 guidance calls for revenue in a range of $890M–$905M (previously $875M–$900M) and break even or better adjusted EBITDA. F2Q24 guidance is for revenue in a range of $232M–$237M and adj. EBITDA of $2M, compared to prior RBCe of $227M/$3.2M and the Street at $233M/$4M.
Conference call at 8:00 am ET.
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