Lightspeed reports in US dollars and in accordance with IFRS. 

 Lightspeed Commerce Inc. ("Lightspeed" or the "Company") (TSX: LSPD) (NYSE: LSPD), the one-stop commerce platform empowering merchants to provide the best omnichannel experiences, will be hosting its Capital Markets Day today March 26, at the New York Stock Exchange, beginning at 8:00 am EST.

"I am incredibly excited to present Lightspeed's three year strategy and financial outlook to investors and analysts today at the New York Stock Exchange," said Dax Dasilva, Founder and CEO. "Lightspeed faces the future with the strongest product offering it has ever had, a strategy focused on the markets where it has a proven right to win, Adjusted EBITDA positive operations and a healthy balance sheet. We have never been bigger, better or stronger and I look to the future with great enthusiasm."  

Three-Year Financial Outlook

As discussed on its fiscal third quarter conference call, Lightspeed is executing on its renewed strategy focused on winning in its two primary growth engines: retail in North America and hospitality in Europe. In this event, management will explain why Lightspeed is doubling down on these focus areas and how they intend to accelerate growth.

As part of Capital Markets Day, the executive team will unfold details of the strategy, targeted investments in sales, marketing, and product development and cost optimization efforts across the business. This focused and disciplined approach will allow the Company to accelerate customer location growth, expand subscription ARPU, and drive profitable growth over the next three years.

As a result, during the period of Fiscal 2026 to Fiscal 2028 inclusive, within its primary growth engines, Lightspeed expects to grow gross profit at a three-year compound annual growth rate ("CAGR") of ~20% to ~25%1, and for the consolidated business, Lightspeed expects to grow gross profit at a three-year total CAGR of ~15% to ~18%1, reaching ~$700 million1 in gross profit by Fiscal 2028. Within its primary growth engines for the same period, net Customer Locations2,4 are expected to grow at a three-year CAGR of ~10% to ~15%1. For the consolidated business, total Adjusted EBITDA5 is expected to grow at a CAGR of ~35%1 over the same period, reaching ~20%1 of gross profit and Adjusted Free Cash Flow5 is expected to reach ~$100 million1 in Fiscal 2028.

Share Repurchase Program

The Company has completed its existing share repurchase program, authorized in April of 2024. Lightspeed has repurchased and cancelled 9,722,677 shares, representing ~6% of total shares outstanding as at March 22, 2024, for an aggregate consideration of ~$132 million.

Given the ongoing confidence in Lightspeed's strategic plan and its strong financial position, Lightspeed's board has approved the renewal of its normal course issuer bid for the repurchase of an additional 9,013,953 shares representing U.S. ~$95 million6 as part of an overall repurchase authorization for up to $400 million, including ~$92 million repurchased since the beginning of February 2025. The Company will continue to opportunistically assess additional avenues for the return of capital to shareholders in furtherance of this authorization.

Capital Markets Day

When: Wednesday, March 26, 2025Time: 8:00 AM - 12:00 PM ETWhere: New York Stock ExchangeWebcast registration: https://lightspeed-capital-markets-day-2025.open-exchange.net/registrationReplay: To access a replay of the event please visit the Investor Relations section of the Company's website where the webcast will be hosted for two years.For all information: https://investors.lightspeedhq.com

Renewal of Normal Course Issuer Bid

Lightspeed has authorized, and the Toronto Stock Exchange (the "TSX") has approved, the renewal of its normal course issuer bid (the "NCIB") to purchase for cancellation up to 9,013,953 subordinate voting shares of Lightspeed over the twelve-month period commencing on April 5, 2025 and ending no later than April 4, 2026, representing approximately 10% of the "public float" (as defined in the TSX Company Manual) of the subordinate voting shares issued and outstanding as at March 21, 2025. As at March 21, 2025, there were 146,399,347 subordinate voting shares issued and outstanding, of which 90,139,538 subordinate voting shares are part of the public float. The NCIB will be conducted through the facilities of the TSX and the New York Stock Exchange (the "NYSE") or alternative trading systems in Canada and the United States, if eligible, and will conform to their regulations. Repurchases of subordinate voting shares may also be made pursuant to available issuer bid exemptions approved by the applicable Canadian securities commissions. Subordinate voting shares will be acquired under the NCIB at the prevailing market price at the time of acquisition, except that any purchases made under an issuer bid exemption order will be at a discount to the prevailing market price as per the terms of the order. Any subordinate voting share purchased under the NCIB will be canceled.

Under the NCIB, other than purchases made under block purchase exemptions, Lightspeed will be allowed, subject to applicable securities laws, to purchase daily, through the facilities of the TSX, a maximum of 153,504 subordinate voting shares representing 25% of the average daily trading volume of 614,018 subordinate voting shares, as calculated per the TSX rules for the six-month period ended on February 28, 2025.

In connection with the NCIB, Lightspeed will also enter into an automatic share purchase plan ("ASPP") on the date hereof with the designated broker responsible for the NCIB, allowing for the purchase of subordinate voting shares under the NCIB at times when Lightspeed would ordinarily not be permitted to purchase its securities due to regulatory restrictions and customary self-imposed blackout periods. Pursuant to the ASPP, before entering into a blackout period, Lightspeed may, but is not required to, instruct the designated broker to make purchases under the NCIB in accordance with certain purchasing parameters. Such purchases will be made by the designated broker based on such purchasing parameters, without further instructions by Lightspeed, in compliance with the rules of the TSX, applicable securities laws and the terms of the ASPP.

Lightspeed believes that the purchase of its subordinate voting shares under the NCIB is an appropriate investment by it since, in its view, market prices from time to time may not reflect the underlying value of Lightspeed's business. Furthermore, the purchases are expected to benefit all persons who continue to hold Lightspeed subordinate voting shares by increasing their equity interest in Lightspeed when such repurchased subordinate voting shares are canceled.

Actions in connection with the NCIB will be subject to various factors, including Lightspeed's capital and liquidity positions, accounting and regulatory considerations, Lightspeed's financial and operational performance, alternative uses of capital, the trading price of Lightspeed's subordinate voting shares and general market conditions. The NCIB does not obligate Lightspeed to acquire a specific dollar amount or number of shares and may be modified or discontinued at any time.

Under the Company's existing NCIB for the 12-month period beginning on April 5, 2024 and ending no later than April 4, 2025, the Company is authorized to repurchase up to 9,722,677 subordinate voting shares, or 10% of the "public float" (as defined in the TSX Company Manual) of the subordinate voting shares issued and outstanding as at March 22, 2024. As at March 25, 2025, the Company has repurchased 9,722,677 of its subordinate voting shares at a weighted average purchase price per subordinate voting share of CAD$19.20 through the facilities of the TSX and the NYSE and alternative trading systems in Canada and the United States.

About Lightspeed

Powering the businesses that are the backbone of the global economy, Lightspeed's one-stop commerce platform helps merchants innovate to simplify, scale and provide exceptional omnichannel customer experiences. Our cloud commerce solution transforms and unifies online and physical operations, multichannel sales, expansion to new locations, global payments, financial solutions and connection to supplier networks.

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, the company serves retail, hospitality and golf businesses in over 100 countries.

For more information, see www.lightspeedhq.com.

Follow us on social media: LinkedIn, Facebook, Instagram, YouTube, and X (formerly Twitter).

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"), including information regarding Lightspeed's financial outlooks (including gross profit, Adjusted Free Cash Flow and Adjusted EBITDA), NCIB and ASPP, and the intended purchase for cancellation of subordinate voting shares of Lightspeed thereunder, and Lightspeed's intention to potentially repurchase additional subordinate voting shares outside the NCIB. 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.ca 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.

Non-IFRS Measures and Ratios

The information presented herein includes certain non-IFRS financial measures such as "Adjusted EBITDA" and "Adjusted Free Cash Flow" and the non-IFRS ratio "Adjusted EBITDA as a % of Gross Profit". 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.

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.

Long-Term Financial Outlook

Our long-term targets constitute 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 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:

See also the section entitled "Forward-Looking Statements" in this press release.

SOURCE Lightspeed Commerce Inc.

SOURCE: Lightspeed Commerce Inc.

Contacts: Asha Bakshani, Chief Financial Officer, Gus Papageorgiou, Head of Investor
Relations, investorrelations@lightspeedhq.com

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