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In a first, point-of-sale system and e-commerce platform Lightspeed Commerce Inc. exceeded $1 billion in yearly revenue, posting $1.1 billion for its fiscal year ended March 31. That’s up 21% from $909 million the previous year. It wasn’t enough, however, to offset financial performance, resulting in a loss for the year.
Montreal-based Lightspeed, which in February decided to remain a publicly traded company, posted a $667.2 million net loss for 2025, compared with a loss of $164 million in fiscal 2024. Despite the revenue growth, Lightspeed’s bottom line was affected by a non-cash goodwill impairment charge of $556.4 million in the fourth quarter. Goodwill is an intangible asset that is essentially the value of its name, customer base, and employee relations among other criteria.
Still, Lightspeed pointed to a growth in monthly average revenue per user to $489 from $431, based on 162,000 customer locations, in the fourth quarter as a positive indicator. It intends to expand the ARPU figure by focusing on subscriptions and payments, Lightspeed reveals in a Web presentation on its quarterly earnings. The clear strategy, it says, is to improve gross profit with a focus on software, too. In the latest fourth quarter, subscription revenue accounted for 34.7% of its sales, compared with 35.3% in the year-ago quarter. Transaction-based revenue at 62.3% in the 2024 fourth quarter was up from 60.4% in the year-ago quarter.
In March, Lightspeed revised its 2025 outlook, citing a drop in same-store sales for its clients along with dampened new-business formation.
Lightspeed also noted it changed its definition of a client location. Previously, a Lightspeed merchant with a POS system counted as a location, and that same merchant’s e-commerce site counted as another location. Now, because it markets mostly with a combined POS and e-commerce service, Lightspeed says it will consider this product to be a single customer location.
This changes the number of customer locations as of March 31 from approximately 162,000 to 144,000 and increases the monthly average revenue per user from $489 to $545.
In related point-of-sale news, Atlanta-based Manhattan Associates Inc. released its Manhattan Active-Order Management app on the Shopify App Store.
The app provides merchants with real-time network inventory, order-fulfillment status visibility, and payment processing. It also adds support for Shop Pay, Shopify’s checkout option.
