Lightspeed Commerce Inc. (LSPD) reported impressive financial results for the second quarter of fiscal 2025, surpassing analyst estimates on both revenue and earnings. The strong performance prompted the company to raise its full-year Adjusted EBITDA guidance, fueling investor optimism.

For the quarter ended September 30, 2024, Lightspeed reported total revenue of $277.2 million, representing a 20% year-over-year increase and exceeding the consensus estimate of $274.08 million. The growth was driven by a 33% surge in transaction-based revenue to $183.8 million and a 6% rise in subscription revenue to $85.5 million.

Adjusted EPS came in at $0.13, beating the consensus estimate of $0.11. Adjusted EBITDA stood at $14.0 million, surpassing the company's outlook of $12 million. Lightspeed also reported positive Adjusted Free Cash Flow of $1.6 million, reflecting the company's efforts to expand payments adoption and control costs.

Encouraged by the strong performance, Lightspeed raised its Adjusted EBITDA outlook for fiscal 2025 to a minimum of $50 million from the previous guidance of at least $45 million. The company expects revenue growth of at least 20% for the full year.

Dax Dasilva, Founder and CEO, expressed pride in Lightspeed's trailing twelve-month revenue milestone, saying, "I am proud to announce that on a trailing twelve month basis, Lightspeed now exceeds $1 billion in revenue." The company's focus on complex, high-volume SMBs and its competitive product offerings have enabled it to gain a strong foothold in target markets, particularly retail in North America and hospitality in Europe.