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Jun 30, 2021

LivePerson Q2 2021 Earnings Report

LivePerson exceeded guidance with record revenue and growth, increased annual contract value of new logo signings, achieved Rule of 40 for a fourth consecutive quarter, and expanded new target verticals.

Key Takeaways

LivePerson announced strong Q2 2021 financial results, achieving record revenue of $119.6 million, a 31% year-over-year increase. The company saw significant growth in new customer contracts and average revenue per enterprise customer. They are increasing investment in go-to-market capacity, expecting at least 27% growth in 2022.

Total revenue for Q2 2021 was $119.6 million, a 31% increase compared to the same period last year.

Business operations revenue increased 31% year-over-year to $109.8 million, while consumer operations revenue increased 29% year-over-year to $9.8 million.

Trailing-twelve-months average revenue per enterprise and mid-market customer increased 35% to $535,000.

The company signed four seven-figure deals and 105 deals in total, with 29 new and 76 existing customer contracts.

Total Revenue
$120M
Previous year: $91.6M
+30.6%
EPS
-$0.3
Previous year: -$0.22
+36.4%
Adjusted EBITDA
$13.4M
Previous year: $9.3M
+43.7%
Gross Profit
$79.5M
Previous year: $63.9M
+24.5%
Cash and Equivalents
$664M
Previous year: $173M
+283.6%
Free Cash Flow
-$7.16M
Previous year: -$4.79M
+49.3%
Total Assets
$1.04B
Previous year: $518M
+101.4%

LivePerson

LivePerson

LivePerson Revenue by Segment

Forward Guidance

LivePerson updated its revenue guidance for full year 2021 to a range of $464.0 million to $471.0 million, and third quarter revenue guidance range is $117.0 million to $119.0 million. The company is updating its guidance for 2021 adjusted EBITDA to a range of $14.8 million to $22.8 million.

Positive Outlook

  • Full year revenue guidance increased to $464.0 million - $471.0 million.
  • Targeting full year growth of 26.5% to 28.5%.
  • Third quarter revenue guidance range is $117.0 million to $119.0 million
  • Third quarter adjusted EBITDA in a range of $4.0 million to $8.0 million
  • Fully diluted share count (in millions) 75.6

Challenges Ahead

  • GAAP net loss per share $(0.55) - $(0.49)
  • Adjusted operating loss (in millions) $(5.5) - $(1.5)
  • GAAP net loss per share $(2.02) - $(1.90)
  • Adjusted operating (loss)/income (in millions) $(17.6) - $(9.6)
  • Adjusted EBITDA (in millions) $14.8 - $22.8