![]() Upadhyaya argued the two companies fit together well, as NuORDER provides all the benefit of Lightspeed’s previous Supplier Network while also having its own set of advantages, such as it accelerates the timeline of building a full-scale supplier network that can support all of Lightspeed’s retailers, it provides access to luxury brands, it has increased the stickiness and reduced the churn of LSPD’s B2C merchants and the increased product offering should also lead to higher GTV, ARPU and revenue. ![]() Last fall, Lightspeed’s share price dipped after the company announced the $425 million (half cash, half shares) acquisition of NuORDER, with Upadhyaya summing up the sentiment as being concerned about LSPD buying a B2B business to link up with its B2C platform. The analyst called NuORDER a “sleeping giant” for Lightspeed. We posit that with a sufficient increase in payment adoption, Lightspeed will be able to withstand a recessionary environment better than most SaaS companies,” Upadhyaya wrote. “Payment adoption will singlehandedly be the most important factor in determining LSPD’s growth and profitability over the next few years. Upadhyaya concurred with that sentiment on the macro conditions, saying disposable income is likely to drop due to rising interest rates and inflationary pressures, but he’s still forecasting topline growth for both fiscal 20 for LSPD, saying increased payments adoption rates will help the company’s top and bottom lines while also asserting that Lightspeed has plenty of growth levers to pull in the near future, including a B2B payments solution and the integration of the NuORDER, the digital brand management and global distribution network Lightspeed acquired last year. “Consumers are once again shopping in-store and dining out, and our customers are turning to Lightspeed to help them deliver compelling omni-channel experiences under one comprehensive commerce platform, helping them grow revenue, reduce complexity and lower operating costs,” he said. ![]() “Our two flagship offerings, Lightspeed Retail and Lightspeed Restaurant, continued to see excellent market reception this quarter, which helped drive strong revenue growth.” said JP Chauvet, CEO, in a press release. In its quarterly comments, management said macro conditions have become more concerning in recent months, the company should be able to keep growing its number of customer locations and expanding its gross transaction volume (GTV), while the return of in-person shopping and dining should also benefit Lightspeed. The company posted $221.7 million in revenue for its fiscal 2021 (year-end March 31) and $548.4 million in fiscal 2022, with the jumps in revenue coming from increases in adoption of its payments service, merchant growth along with acquisitions.įor its most recently reported quarter, the company’s Q1 fiscal 2023, reported in early August, revenue was up 50 per cent year-over-year to $173.9 million, while the quarterly adjusted EBITDA loss was $15.6 million compared to a loss of $16.0 million a year earlier. Shares of Montreal-based payments company Lightspeed Commerce ( Lightspeed Commerce Stock Quote, Charts, News, Analysts, Financials NYSE:LSPD) have been decimated over the past 12 months, with the stock having lost over 80 per cent of its value since last September.īut with a robust growth profile, a potential for be EBITDA positive in a year’s time and a set of deep pockets likely to keep the company busy with acquisitions, now’s a good time to be buying Lightspeed, according to iA Capital Markets analyst Neehal Upadhyaya, who initiated coverage on Thursday with a “Buy” rating and $29.00 target price, which at the time of publication represented a projected one-year return of 55.7 per cent.Ĭloud-based e-commerce platform Lightspeed offers tools for clients to engage customers, manage their operations, accept payments and grow their business, with Lightspeed’s client base being within the restaurant and retail spaces.
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