Lightspeed Commerce Streamlines Operations with a Continued Focus on Profitable Growth

Leaner structure follows global launch of flagship products

Elimination of approximately 10 percent of Lightspeed's headcount-related operating expenditures

Third quarter results expected to fall within the previously-established range for revenue outlook and ahead of Adjusted EBITDA outlook

MONTREAL, Jan. 17, 2023 /PRNewswire/ - Lightspeed Commerce Inc. (NYSE: LSPD) (TSX: LSPD), the one-stop commerce platform for merchants around the world to simplify, scale, and create exceptional customer experiences, today announced a reorganization to streamline the Company's operating model while continuing to focus on profitable growth.

After several years of strong performance, this reorganization represents the next deliberate step in executing Lightspeed's strategy to unify all of its acquired companies and products. This new structure is expected to unlock efficiencies after absorbing employees, technology and processes through its most recent acquisitions.

The reorganization includes the reduction of approximately 300 roles representing about 10 percent of Lightspeed's headcount-related operating expenditures, with half of the cost reduction coming from management layers. Lightspeed will continue to hire core go-to-market and development roles that support profitable growth.

"We have done outstanding work to complete our goal of integrating each brand and rolling out our flagship products to market," said Lightspeed CEO JP Chauvet. "This represents three years of hard, foundational work that is setting us up for long-term success."

Chauvet continued, "The launch of these flagship products, coupled with our new, leaner structure, will allow us to be more agile and responsive to our customers as we invest in innovations that will fuel our long-term growth."

Lightspeed expects to deliver third quarter results within its previously-established range for revenue outlook and ahead of Adjusted EBITDA outlook. The Company estimates the actions announced today will result in an incremental restructuring cash charge of $12 million to $14 million, primarily consisting of severance payments, employee benefits and related costs, and expects to incur these charges primarily in the Company's 4th quarter¹.

Lightspeed will provide an update on its financial performance on its earnings call on February 2nd.

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 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 (NYSE: LSPD) and Toronto Stock Exchange (TSX: LSPD). With teams across North America, Europe, and Asia Pacific, the company serves retail, hospitality, and golf businesses in over 100 countries.

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This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") within the meaning of applicable securities laws. Forward looking information may relate to our financial outlook (including revenue and Adjusted EBITDA), and anticipated events or results and may include information regarding our financial position, business strategy, growth strategies, addressable markets, budgets, operations, financial results, plans and objectives. Particularly, information regarding: our expectations of future results, performance, achievements, prospects or opportunities or the markets in which we operate; macroeconomic conditions such as increasing inflationary pressures, interest rates, and global economic uncertainty; our expectations regarding the costs, timing and impact of our cost reduction initiatives; and expectations regarding industry and consumer spending trends, our growth rates, the achievement of advances in and expansion of our platform, our gross margins and future profitability, acquisition outcomes and synergies, our business plans and strategies and our competitive position in our industry, is forward-looking information.

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SOURCE Lightspeed Commerce Inc.