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Jun 30, 2023

LivePerson Q2 2023 Earnings Report

Reported total revenue of $97.5M and adjusted EBITDA of $12.8M, exceeding guidance.

Key Takeaways

LivePerson's Q2 2023 financial results showed a total revenue of $97.5 million, which was above the midpoint of their guidance range. The company's adjusted EBITDA was $12.8 million, exceeding the top end of their guidance range. LivePerson signed 69 deals in total, consisting of 33 new and 36 existing customer contracts, including 3 seven-figure deals.

Total revenue was $97.5 million, exceeding the midpoint of prior guidance.

Adjusted EBITDA was $12.8 million, above the top end of guidance.

Signed 69 deals in total, including 33 new and 36 existing customer contracts.

Trailing-twelve-months average revenue per enterprise and mid-market customer increased 14% to $575,000.

Total Revenue
$97.5M
Previous year: $133M
-26.4%
EPS
$0.12
Previous year: -$0.23
-152.2%
Adjusted EBITDA
$12.8M
Previous year: -$5.5M
-332.7%
Gross Profit
$66.6M
Previous year: $87.5M
-23.9%
Cash and Equivalents
$214M
Previous year: $426M
-49.8%
Free Cash Flow
-$32M
Previous year: -$53.6M
-40.2%
Total Assets
$898M
Previous year: $1.15B
-22.2%

LivePerson

LivePerson

Forward Guidance

For the third quarter, LivePerson expects total revenue to range from $97 million to $101 million and adjusted EBITDA to range from $5.9 million to $12.9 million. For full year 2023, LivePerson is narrowing the revenue guidance range to $388 million - $400 million and increasing the adjusted EBITDA guidance range to $19 million - $32 million.

Positive Outlook

  • Maintaining the midpoint of full year 2023 revenue guidance at $394M.
  • Narrowing the full year 2023 revenue guidance range to $388M - $400M.
  • Increasing the full year 2023 Adjusted EBITDA guidance range to $19M - $32M.
  • Expecting B2B Core recurring revenue to represent 86% of total revenue for full year 2023.
  • Expecting strong growth from WildHealth's core business.

Challenges Ahead

  • Third quarter revenue is expected to range from $97M - $101M.
  • B2B Core recurring revenue is expected to represent 85% of total revenue in Q3 due to a one-time increase in non-core revenue.
  • Third quarter adjusted EBITDA is expected to range from $5.9M - $12.9M.
  • Full year 2023 revenue growth (year-over-year) is expected to be (19)% - (16)%.
  • Full year 2023 Adjusted EBITDA margin is expected to be 4.9% - 8.0%.