Company: LPSN
Filing Date: 2025-03-14
Form Type: 10-K
Source: 0001102993-25-000018
Chunk: 107

Company: LIVEPERSON INC
Filing Date: 2025-03-14
Form: 10-K
Item: Item 7
Chunk 107
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 December 31,20242023% Change(Dollars in thousands)Cost of revenue $93,404 $142,823 (35)%Percentage of total revenue30 %36 %Headcount (at period end)187 211 (11)%

Cost of revenue decreased by 35% to $93.4 million for the year ended December 31, 2024, from $142.8 million for the year ended December 31, 2023. This decrease in expense is primarily attributable to a decrease in outsourced labor and related costs of $20.1 million, a decrease in software and hosting expenses of $13.8 million, a decrease in salary and related employee expenses of $7.1 million due to attrition from the prior year, and a decrease in amortization expense of $9.5 million related to purchased intangible assets and finance leases.

48

Sales and Marketing 

Sales and marketing expenses consist of compensation and related expenses for sales and marketing personnel, as well as advertising, marketing events, public relations, trade show exhibit expenses and allocated occupancy costs and related overhead. 

Year Ended December 31,20242023% Change(Dollars in thousands)Sales and marketing$100,475 $125,677 (20)%Percentage of total revenue32 %31 %Headcount (at period end)224 328 (32)%

Sales and marketing expenses decreased by 20% to $100.5 million for the year ended December 31, 2024, from $125.7 million for the year ended December 31, 2023. This decrease was primarily attributable to a decrease in salary and employee-related expenses of $14.0 million due to attrition from the prior year, a decrease in marketing expenses of $5.7 million, a decrease in software and hosting expenses of $3.6 million, and a decrease in business services, outsourced labor and related costs of $1.9 million.

General and Administrative  

Our general and administrative expenses consist of compensation and related expenses for executive, accounting, legal, human resources and administrative personnel, professional fees and other general corporate expenses.

Year Ended December 31,20242023% Change(Dollars in thousands)General and administrative$80,008 $91,619 (13)%Percentage of total revenue26 %23 %Headcount (at period end)132 136 (3)%

General and