Lightspeed sees 36% revenue growth in first quarterly report since IPO

Lightspeed at the TSX on the day it went public. Courtesy TSX.

Lightspeed has released its financial results for the fiscal fourth quarter and full fiscal year, ending March 31. The company, which went public in March, reported a 36 percent year-over-year increase in both quarterly and total annual revenue.

Along with its fiscal results, Lightspeed also announced the acquisition of its strategic software partner Chronogolf.

Lightspeed saw quarterly revenue of $21.3 million (all numbers USD) and total annual revenue of $77.5 million, respectively. The company also experienced a net loss of $96.1 million over the fourth quarter and $183.5 million over the year, which was attributed to a non‑cash charge of $132.1 million. This, the company said, was offset by an associated $44.8 million deferred tax benefit. Both of these were related to Lightspeed’s preferred shares, which converted into common shares before the company filed its IPO in February.

“It’s been a great year for Lightspeed and for our customers,” said Dax Dasilva, CEO of Lightspeed. “Our revenue grew 36 percent for the full fiscal year, and we completed our initial public offering.”

Revenue from Lightspeed’s software and revenue increased by 33 percent for the quarter and 24 percent for the year at $68.7 million. The company’s gross profit grew from $10 million to $14.3 million.

The company, developing cloud-based POS and e-commerce software for SMBs, shared its business highlights in the report, including its credit facilities with CIBC, which include a $25 million demand revolving operating credit facility and a $30 million loan, opening up opportunity for a potential acquisition.

RELATED: Lightspeed receives $30 million stand-by acquisition loan from CIBC

Along with its fiscal results, Lightspeed also announced on Thursday the acquisition of its strategic software partner, Chronogolf, which uses Lightspeed’s retail and restaurant platform to offer a golf course management solution for more than 500 golf course operators, primarily in North America.

Lightspeed stated that it expects revenue between $23 million and $25 million. For the full year, it expects revenue between $107 million and $110 million, which would represent annual growth of anywhere between 38 and 42 percent.

“They are forecasting slightly accelerating growth and crossing $100 million in revenue,” Mark McLeod, founder of SurePath Capital Partners, told BetaKit. “This is an important threshold. $100 million is typically the floor in terms of scale for a company to consider listing on a senior US exchange.”

“We are pleased with our fiscal fourth quarter and full year performance which demonstrates continued progress across all of the important areas of the business,” said Brandon Nussey, chief financial officer of Lightspeed. “The accelerated rate of customer additions, combined with continued progress on module adoption is an encouraging sign that our land and expand strategy in how we go to market is successful and is demonstrating our ability to grow average revenue per customer.”

Image courtesy TSX via Twitter

Isabelle Kirkwood

Isabelle Kirkwood

Isabelle is a Vancouver-based writer with 5+ years of experience in communications and journalism and a lifelong passion for telling stories. For over two years, she has reported on all sides of the Canadian startup ecosystem, from landmark venture deals to public policy, telling the stories of the founders putting Canadian tech on the map.

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