# EDGAR Filing Document

**Accession Number:** 0001823306
**File Stem:** 0001823306-25-000043
**Filing Date:** 2025-7
**Character Count:** 78022
**Document Hash:** 55d4ff6a8e3f8f1ae44f084c7fbbaba7
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001823306-25-000043.hdr.sgml**: 20250731

**ACCESSION NUMBER**: 0001823306-25-000043

**CONFORMED SUBMISSION TYPE**: 6-K

**PUBLIC DOCUMENT COUNT**: 2

**CONFORMED PERIOD OF REPORT**: 20250731

**FILED AS OF DATE**: 20250731

**DATE AS OF CHANGE**: 20250731

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Lightspeed Commerce Inc.
- **CENTRAL INDEX KEY:** 0001823306
- **STANDARD INDUSTRIAL CLASSIFICATION:** SERVICES-PREPACKAGED SOFTWARE [7372]
- **ORGANIZATION NAME:** 06 Technology
- **EIN:** 981137623
- **STATE OF INCORPORATION:** Z4
- **FISCAL YEAR END:** 0331

**FILING VALUES:**
- **FORM TYPE:** 6-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-39498
- **FILM NUMBER:** 251169417

**BUSINESS ADDRESS:**
- **STREET 1:** 700 SAINT-ANTOINE STREET EAST, SUITE 300
- **CITY:** MONTREAL
- **STATE:** Z4
- **ZIP:** H2Y 1A6
- **BUSINESS PHONE:** (514) 907-1801

**MAIL ADDRESS:**
- **STREET 1:** 700 SAINT-ANTOINE STREET EAST, SUITE 300
- **CITY:** MONTREAL
- **STATE:** Z4
- **ZIP:** H2Y 1A6

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Lightspeed POS Inc.
- **DATE OF NAME CHANGE:** 20200901

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 6-K**

**Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934** 

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| | | |
|:---|:---|:---|
| For the month of | **July** | **2025** |
| Commission File Number | **001-39498** | |

---

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| |
|:---|
| **LIGHTSPEED COMMERCE INC.** |
| (Translation of registrant's name into English) |
| **700 Saint-Antoine Street East, Suite 300**<br>**Montréal, Québec, Canada** <br>**H2Y 1A6** |
| (Address of principal executive offices) |

---

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F Form 40-F ☒

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> 

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**DOCUMENTS INCLUDED AS PART OF THIS REPORT**

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| | |
|:---|:---|
| **Exhibit** | |
| <u>[99.1](earningsreleasefy26q1.htm)</u> | Lightspeed Announces First Quarter 2026 Financial Results |

---

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**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

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| | | | |
|:---|:---|:---|:---|
| | *Lightspeed Commerce Inc.* | *Lightspeed Commerce Inc.* | *Lightspeed Commerce Inc.* |
| | (Registrant) | (Registrant) | (Registrant) |
| July 31, 2025 | By: | */s/ Dan Micak* | */s/ Dan Micak* |
| | | Name: | Dan Micak |
| | | Title: | Chief Legal Officer |

---

## Exhibit 99.1

**Lightspeed Announces First Quarter 2026 Financial Results**

*Total revenue in the quarter of $304.9 million grew 15% year-over-year and exceeded outlook*

*Gross margin improved to 42%, with gross profit increasing 19% year-over-year exceeding outlook*

*Lightspeed added ~1,700 net Customer Locations across retail in North America and hospitality in Europe, with total Customer Locations growing year-over-year*

*GPV grew 21% year-over-year with GPV as a percentage of GTV at 41%*

**Lightspeed reports in US dollars and in accordance with IFRS Accounting Standards.**<br> MONTREAL, July 31, 2025, /PRNewswire/ - Lightspeed Commerce Inc. (NYSE: LSPD) \| (TSX: LSPD) ("Lightspeed" or the "Company"), the unified omnichannel platform powering ambitious retail and hospitality businesses in over 100 countries, today announced financial results for the three months ended June 30, 2025.

"Lightspeed is winning where it matters — we added high-quality locations, increased ARPU, and delivered solid top-line growth with expanded margins," said Dax Dasilva, Founder and CEO. "We're seeing strong impact from our product innovation and go-to-market execution, and our focused strategy is gaining traction and delivering profitable growth".

"Lightspeed had a great start to the year with revenue and gross profit exceeding our previously-established outlook," said Asha Bakshani, CFO. "Our strong Adjusted EBITDA growth is evidence of the leverage we are seeing in our business model as well as our relentless operating efficiency, allowing us to invest in our business while also delivering higher profitability."

**First Quarter Financial Highlights**

(All comparisons are relative to the three-month period ended June 30, 2024 unless otherwise stated):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Total revenue of $304.9 million, an increase of 15% year-over-year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Transaction-based revenue of $204.6 million, an increase of 18% year-over-year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Subscription revenue of $90.9 million, an increase of 9% year-over-year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Net loss of ($49.6) million, or ($0.35) per share, as compared to a net loss of ($35.0) million, or ($0.23) per share. After adjusting for certain items, such as share-based compensation, the Company delivered Adjusted Income<sup>1</sup> of $7.9 million, or $0.06 per share<sup>1</sup>, as compared to Adjusted Income<sup>1</sup> of $16.1 million, or $0.10 per share<sup>1</sup>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA<sup>1</sup> of $15.9 million versus Adjusted EBITDA<sup>1</sup> of $10.2 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Cash flows from operating activities of $12.4 million as compared to cash flows used in operating activities of ($14.2) million, and Adjusted Free Cash Flow<sup>1</sup> used of ($1.7) million as compared to Adjusted Free Cash Flow<sup>1</sup> used of ($3.0) million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• As at June 30, 2025, Lightspeed had $447.6 million in cash and cash equivalents.

**First Quarter Operational Highlights**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Lightspeed delivered several new product releases in the quarter including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Enhanced inventory tracking with **Custom Inventory Adjustments** allowing for detailed tracking of stock changes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Added **Inventory Turns** and **GMROI (Gross Margin Return on Investment)** to Retail Insights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**◦** Improved customer service within the **Lightspeed Scanner App** which now allows for product search, inventory checking, and pricing directly from the app;

<sup>1</sup> Non-IFRS measure or ratio. See the section entitled "Non-IFRS Measures and Ratios" and the reconciliation to the most directly comparable IFRS measure or ratio.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ NuORDER by Lightspeed introduced **Order Trends,** aggregating top-performing products, colors, categories and sizes at the brand level, allowing buyers to make confident stocking decisions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Launched AI-powered **Benchmarks & Trends** for hospitality in Europe, providing restaurant owners with the insights to boost sales, streamline operations, and outperform competition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Released **Mobile Tap on Lightspeed Tableside** in the UK, Netherlands, and Belgium, improving table turnover and service speed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Enhancements to **Kitchen Display System**, and back office updates, reducing time spent modifying menus and understanding kitchen performance; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**◦** New **sales report** consolidates what was previously fragmented into a single, flexible data dashboard that enables restaurant operators to uncover deeper sales insights through enhanced filtering and cross-period comparisons.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• ARPU<sup>2</sup> increased 16% to ~$655 from ~$567 in the same quarter last year driven by software price increases and expanding adoption of our payments offering. Subscription ARPU increased 10%.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our growth engines, retail in North America and hospitality in Europe, grew Customer Locations by 1,700 from the previous quarter, up 5% year-over-year to approximately 90,000. Lightspeed ended the quarter with total Customer Locations<sup>2</sup> of approximately 145,000, up year-over-year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Total GTV<sup>2</sup> was $24.6 billion and grew by 4% year-over-year. An increasing portion of GTV is being processed through the Company's payments solutions. GPV<sup>2</sup> increased 21% to $10.2 billion in the quarter from $8.4 billion in the same period last year. GPV as a percentage of GTV was 41%.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Gross profit of $129.1 million increased 19% year-over-year. Overall gross margin was 42%, compared to 41% in the same quarter last year. Subscription gross margin grew to 81% in the quarter from 79% in the same quarter last year driven by a dedicated effort at controlling costs and targeted price increases. Transaction-based gross margin was 29% compared to 26% last year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*•* Lightspeed Capital showed strong growth with revenue increasing 34% year-over-year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Notable retail customer wins in North America include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**◦ Last Stop,** a premium streetwear retailer with 10 locations in Maryland and Virginia.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ **Shades of Charleston,** a four-location eyewear retailer in South Carolina.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Across NuORDER by Lightspeed we added several new brands, including **Tory Burch** and **Fabletics**, and renowned retailers **Neiman Marcus** and **Bergdorf Goodman.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;***◦*** In golf, we signed **Western Golf Properties,** with 11 locations across California and Nevada.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**•** For hospitality customers in Europe, we welcomed:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ **La Petite Chaise,** the oldest restaurant in Paris, operating since 1680.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Two Michelin starred restaurant **Aan de Poel** located by lake De Poel in Amsterdam.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ The **Corrigan Collection** with seven locations across the UK and Ireland.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*•* In the quarter, Lightspeed completed its latest normal course issuer bid program, repurchasing and cancelling ~9.0 million shares for ~$85.4 million. Collectively, since the start of Fiscal 2025, Lightspeed has spent ~$219.6 million to acquire ~18.7 million shares, representing ~12% of the total shares outstanding as at April 1, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The Company appointed Glen LeBlanc to its Board of Directors, effective July 1, 2025. Mr. LeBlanc brings more than 30 years of experience in the telecommunications and technology industries. Mr. LeBlanc currently serves as the Vice

<sup>2</sup> Key Performance Indicator. See the section entitled "Key Performance Indicators".

------

Chair, Atlantic Canada with BCE Inc. where he has also previously held the positions of Executive Vice President and CFO.

**Financial Outlook**<sup>3</sup>

The following outlook supersedes all prior statements made by the Company and is based on current expectations.

Lightspeed remains confident in its ability to execute its strategy of focusing on retail customers in North America and hospitality customers in Europe and expects to increase Customer Locations within these growth engines while focusing on retaining revenue in its other markets.

Finally, the financial outlook reflects our most recent view of the macroeconomic environment and is consistent with our three-year target gross profit CAGR<sup>4</sup> of approximately 15-18% and three-year target Adjusted EBITDA<sup>1</sup> CAGR<sup>4</sup> of approximately 35% presented at our Capital Markets Day in March. Overall, the Company's outlook is as follows:

**Second Quarter 2026**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Revenue of approximately $305 million to $310 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Gross profit growth of approximately 14%.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA<sup>1</sup> of approximately $17 million to $19 million.

**Fiscal 2026** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Revenue growth of approximately 10% to 12%.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Gross profit growth of approximately 14%.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA<sup>1</sup> of approximately $68 million to $72 million.

**Conference Call and Webcast Information**

Lightspeed will host a conference call and webcast to discuss the Company's financial results at 8:00 am ET on Thursday, July 31, 2025. To access the telephonic version of the conference call, visit https://registrations.events/direct/Q4I7431689. After registering, instructions will be shared on how to join the call including dial-in information as well as a unique passcode and registrant ID. At the time of the call, registered participants will dial in using the numbers from the confirmation email, and upon entering their unique passcode and ID, will be entered directly into the conference. Alternatively, the webcast will be available live in the Events section of the Company's Investor Relations website, https://investors.lightspeedhq.com/English/events-and-presentations/upcoming-events/.

Among other things, Lightspeed will discuss quarterly results, financial outlook and trends in its customer base on the conference call and webcast, and related materials will be made available on the Company's website at https://investors.lightspeedhq.com. Investors should carefully review the factors, assumptions and uncertainties included in such related materials.

An audio replay of the call will also be available to investors beginning at approximately 11:00 a.m. Eastern Time on July 31, 2025 until 11:59 p.m. Eastern Time on August 7, 2025, by dialing 800.770.2030 for the U.S. or Canada, or 647.362.9199 for international callers and providing conference ID 74316. In addition, an archived webcast will be available on the Investors section of the Company's website at https://investors.lightspeedhq.com.

<sup>3</sup> The financial outlook is fully qualified and based on a number of assumptions and subject to a number of risks described under the headings "Forward-Looking Statements", "Financial Outlook Assumptions" and "Long-Term Financial Outlook" of this press release.

<sup>4</sup> Financial outlook, please see the section entitled "Long-Term Financial Outlook" in this press release for the assumptions, risks and uncertainties related to Lightspeed's financial outlook, and the section entitled "Forward-Looking Statements".

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Lightspeed's unaudited condensed interim consolidated financial statements and management's discussion and analysis for the three months ended June 30, 2025 are available on Lightspeed's website at https://investors.lightspeedhq.com and will be filed on SEDAR+ at www.sedarplus.com and on EDGAR at www.sec.gov.

**Financial Outlook Assumptions**

When calculating the Adjusted EBITDA included in our financial outlook for the quarter ending September 30, 2025 and the full year ending March 31, 2026, we considered IFRS measures including revenues, direct cost of revenues, and operating expenses. Our financial outlook is based on a number of assumptions, including assumptions related to inflation, tariffs, changes in interest rates, consumer spending, foreign exchange rates and other macroeconomic conditions; that the jurisdictions in which Lightspeed has significant operations do not impose strict measures like those put in place in response to pandemics like the COVID-19 pandemic or other health crises; requests for subscription pauses and churn rates owing to business failures remain in line with planned levels; our Customer Location count growing in line with our planned levels (particularly in higher GTV cohorts and among retail customers in North America and hospitality customers in Europe); quarterly subscription revenue growth in line with our expectations; revenue streams resulting from certain partner referrals remaining in line with our expectations (particularly in light of our decision to unify our POS and payments solutions, which payments solutions have in the past and may in the future, in some instances, be perceived by certain referral partners to be competing with their own solutions); customers adopting our payments solutions having an average GTV at our planned levels; continued uptake of our payments solutions in line with our expectations in connection with our ongoing efforts to sell our POS and payments solutions as one unified platform; our ability to price our payments solutions in line with our expectations and to achieve suitable margins and to execute on more optimized pricing structures; continued uptake of our merchant cash advance solutions in line with our expectations; our ability to manage default risks of our merchant cash advances in line with our expectations; seasonal trends of our key verticals being in line with our expectations and the resulting impact on our GTV, GPV and transaction-based revenues; continued success in module adoption expansion throughout our customer base; our ability to selectively pursue strategic opportunities and derive the benefits we expect from the acquisitions we have completed including expected synergies resulting from the prioritization of our flagship Lightspeed Retail and Lightspeed Restaurant offerings; market acceptance and adoption of our flagship offerings; our ability to attract and retain key personnel required to achieve our plans, including outbound and field sales personnel in our key markets; our ability to execute our succession planning; our expectations regarding the costs, timing and impact of our reorganizations and other cost reduction initiatives; our expectations regarding our growth strategy focused on retail customers in North America and hospitality customers in Europe and our strategies for customers in other geographies and verticals; our ability to manage customer churn; and our ability to manage customer discount requests. Our financial outlook does not give effect to the potential impact of acquisitions, divestitures or other strategic transactions that may be announced or closed after the date hereof. Our financial outlook, including the various underlying assumptions, constitutes forward-looking information and should be read in conjunction with the cautionary statement on forward-looking information below. Many factors may cause our actual results, level of activity, performance or achievements to differ materially from those expressed or implied by such forward-looking information, including the risks and uncertainties related to: macroeconomic factors affecting small and medium-sized businesses, including inflation, tariffs, changes in interest rates and consumer spending trends; instability in the banking sector; exchange rate fluctuations and the use of hedging; any pandemic or global health crisis; the Russian invasion of Ukraine and reactions thereto; continuing military conflict in the Middle East and reactions thereto; the impact and uncertainty of foreign policy shifts in the U.S., Canada and Europe (including the impacts of tariffs, trade wars, or other trade conditions or protective government actions); certain natural disasters; our inability to attract and retain customers, including among high GTV customers and among retail customers in North America and hospitality customers in Europe; our inability to increase customer sales; our inability to implement our growth strategy; our inability to continue to increase adoption of our payments solutions, including our initiative to sell our POS and payments solutions as one unified platform; our ability to successfully execute our pricing and packaging initiatives; risks relating to our merchant cash advance program; our ability to continue offering merchant cash advances and scaling our merchant cash advance program in line with our expectations; our reliance on a small number of cloud service suppliers and suppliers for parts of the technology in our payments solutions; our ability to manage and maintain integrations

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between our platform and certain third-party platforms; our ability to maintain sufficient levels of hardware inventory; our inability to improve and enhance the functionality, performance, reliability, design, security and scalability of our platform; our ability to prevent and manage information security breaches or other cyber-security threats; our ability to compete against competitors; strategic relations with third parties; our reliance on integration of third-party payment processing solutions; compatibility of our solutions with third-party applications and systems; changes to technologies on which our platform is reliant; our ability to effectively incorporate artificial intelligence solutions into our business and operations; our ability to obtain, maintain and protect our intellectual property; risks relating to international operations, sales and use of our platform in various countries; our liquidity and capital resources; pending and threatened litigation and regulatory compliance; any external stakeholder activism; changes in tax laws and their application; our ability to expand our sales, marketing and support capability and capacity; our ability to execute on our reorganizations and cost reduction initiatives; our ability to execute on our growth strategy focused on retail customers in North America and hospitality customers in Europe and our strategies for customers in other geographies and verticals; our ability to successfully make future investments in our business through capital expenditures; our ability to successfully execute our capital allocation strategies; our ability to execute on our business and operational strategy; and maintaining our customer service levels and reputation. The purpose of the forward-looking information is to provide the reader with a description of management's expectations regarding our financial performance and may not be appropriate for other purposes.

**Long-Term Financial Outlook**

Our long-term targets constitute financial outlook and forward-looking information within the meaning of applicable securities laws. The purpose of communicating long-term targets is to provide a description of management's expectations regarding our intended operating model, financial performance and growth prospects at a further stage of business maturity. Such information may not be appropriate for other purposes.

A number of assumptions were made by the Company in preparing our long-term targets, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our expectations regarding our growth strategy for retail customers in North America and hospitality customers in Europe and our strategies for customers in other geographies and verticals.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Economic conditions in our core geographies and verticals, including inflation, consumer confidence, disposable income, consumer spending, foreign exchange rates, employment and other macroeconomic conditions, remaining at close to current levels.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Jurisdictions in which Lightspeed has significant operations do not impose strict measures like those put in place in response to pandemics like the COVID-19 pandemic.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Customer adoption of our payments solutions in line with expectations, with new customers having an average GTV at or above planned levels.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to price our payments solutions in line with our expectations and to achieve suitable margins and to execute on more optimized pricing structures.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Continued uptake of our payments solutions in line with our expectations in connection with our ongoing efforts to sell our POS and payments solutions as one unified platform.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Revenue streams resulting from certain partner referrals remaining in line with our expectations (particularly in light of our decision to unify our POS and payments solutions, which payments solutions have in the past and may in the future, in some instances, be perceived by certain referral partners to be competing with their own solutions).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to manage default risks of our merchant cash advances in line with our expectations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Long-term growth in ARPU, including growth in subscription ARPU, in line with expectations, driven by Customer Location expansion in our growth engines, customer adoption of additional solutions and modules and the introduction of new solutions, modules and functionalities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to achieve higher close rates and better unit economics with customers in our growth engines.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our reallocation of investment over time towards our growth engines - retail customers in North America and hospitality customers in Europe.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to price solutions and modules in line with our expectations.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to recognize synergies and reinvest those synergies in core areas of the business as we prioritize our flagship Lightspeed Retail and Lightspeed Restaurant offerings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to scale our outbound and fields sales motions in our growth engines.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to attract and retain customers and grow subscription ARPU in our addressable markets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The size of our addressable markets for our growth engines - retail customers in North America and hospitality customers in Europe - being in line with our expectations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Customer Location growth of ~10-15% (three year CAGR between Fiscal 2025 and Fiscal 2028) in our two growth engines - retail customers in North America and hospitality customers in Europe.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to selectively pursue strategic opportunities and derive the benefits we expect from the acquisitions we have completed including expected synergies resulting from the prioritization of our flagship Lightspeed Retail and Lightspeed Restaurant offerings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Market acceptance and adoption of our flagship offerings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to increase our operating efficiencies by consolidating infrastructure and hosting contracts with certain providers and consolidating certain service centers into lower cost geographies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to attract, develop and retain key personnel and our ability to execute our succession planning.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our expectations regarding the costs, timing and impact of our reorganizations and other cost reduction initiatives.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The ability to effectively develop and expand our labour force, including our sales, marketing, support and product and technology operations, in each case both domestically and internationally, but particularly in our growth engines.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to manage customer churn.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to manage requests for subscription pauses, customer discounts and payment deferral requests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Assumptions as to foreign exchange rates and interest rates, including inflation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Share-based compensation declining as a percentage of revenue over time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Gross margin being within a range of ~42-45% over time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Seasonal trends of our key verticals being in line with our expectations and the resulting impact on our GTV, GPV and transaction-based revenues.

Our financial outlook does not give effect to the potential impact of acquisitions, divestitures or other strategic transactions that may be announced or closed after the date hereof. Many factors may cause actual results, level of activity, performance or achievements to differ materially from those expressed or implied by such targets, including risk factors identified in our most recent Management's Discussion and Analysis of Financial Condition and Results of Operation and under "Risk Factors" in our most recent Annual Information Form. In particular, our long-term targets are subject to risks and uncertainties related to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to execute on our growth strategy focused on retail customers in North America and hospitality customers Europe and our strategies for customers in other geographies and verticals.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The Russian invasion of Ukraine and reactions thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Continuing military conflict in the Middle East and reactions thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The impact and uncertainty of foreign policy shifts in the U.S., Canada and Europe (including the impacts of tariffs, trade wars, or other trade conditions or protective government actions).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Supply chain risk and the impact of shortages in the supply chain on our merchants.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Macroeconomic factors affecting small and medium-sized businesses, including inflation, changes in interest rates and consumer spending trends.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Instability in the banking sector.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any pandemic or global health crisis or certain natural disasters.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to manage the impact of foreign currency fluctuations on our revenues and results of operations, including the use of hedging.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to implement our growth strategy and the impact of competition.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our inability to attract and retain customers, including among high GTV customers or customers in our growth engines.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our inability to increase customer sales.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to successfully execute our pricing and packaging initiatives.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The substantial investments and expenditures required in the foreseeable future to expand our business, including over $50 million incremental investment in our product and technology roadmap in Fiscal 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our liquidity and capital resources, including our ability to secure debt or equity financing on satisfactory terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to increase scale and operating leverage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our inability to continue to increase adoption of our payments solutions, including our initiative to sell our POS and payments solutions as one unified platform.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to our merchant cash advance program.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to continue offering merchant cash advances and scaling our merchant cash advance program in line with our expectations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to further monetize our Lightspeed NuORDER offering.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our reliance on a small number of cloud service providers and suppliers for parts of the technology in our payments solutions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to improve and enhance the functionality, performance, reliability, design, security and scalability of our platform.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to prevent and manage information security breaches or other cyber-security threats.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to compete and satisfactorily price our solutions in a highly fragmented and competitive market.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Strategic relations with third parties, including our reliance on integration of third-party payment processing solutions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to maintain sufficient levels of hardware inventory including any impacts resulting from tariffs, trade wars or supply chain disruptions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to manage and maintain integrations between our platform and certain third-party platforms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Compatibility of our solutions with third-party applications and systems.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Changes to technologies on which our platform is reliant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to effectively incorporate artificial intelligence solutions into our business and operations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to obtain, maintain and protect our intellectual property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to our international operations, sales and use of our platform in various countries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Seasonality in our business and in the business of our customers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Pending and threatened litigation and regulatory compliance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any external stakeholder activism.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Changes in tax laws and their application.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to expand our sales capability (including employing over 150 outbound and field sales personnel in our growth engines by the end of Fiscal 2026) and maintain our customer service levels and reputation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to execute on our reorganizations and cost reduction initiatives.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to successfully make future investments in our business through capital expenditures.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to successfully execute our capital allocation strategies, including our share repurchase initiatives.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Gross profit and operating expenses being measures determined in accordance with IFRS Accounting Standards, and the fact that such measures may be affected by unusual, extraordinary, or non-recurring items, or by items which do not otherwise reflect operating performance or which hinder period-to-period comparisons.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any potential acquisitions, divestitures or other strategic opportunities, some of which may be material in size or result in significant integration difficulties or expenditures, or otherwise impact our ability to achieve our long term targets on our intended timeline or at all.

See also the section entitled "Forward-Looking Statements" in this press release.

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**About Lightspeed**

Lightspeed is the POS and payments platform powering businesses at the heart of communities in over 100 countries. As the partner of choice for ambitious retail and hospitality entrepreneurs, Lightspeed helps businesses accelerate growth, deliver exceptional customer experiences, and run smarter across all channels and locations.

With fast, flexible omnichannel technology, Lightspeed brings together point of sale, eCommerce, embedded payments, inventory, reporting, staff and supplier management, financial services, and an exclusive wholesale retail network. Backed by insights, and expert support, Lightspeed helps businesses run more efficiently and focus on what they do best.

Founded in Montréal, Canada in 2005, Lightspeed is dual-listed on the New York Stock Exchange and Toronto Stock Exchange (NYSE: LSPD) (TSX: LSPD), with teams across North America, Europe, and Asia Pacific.

For more information, please visit: www.lightspeedhq.com

On social media: LinkedIn, Facebook, Instagram, YouTube, and X (formerly Twitter)

**Non-IFRS Measures and Ratios**

The information presented herein includes certain non-IFRS financial measures such as "Adjusted EBITDA", "Adjusted Income", "Adjusted Free Cash Flow", "Non-IFRS gross profit", "Non-IFRS general and administrative expenses", "Non-IFRS research and development expenses", and "Non-IFRS sales and marketing expenses" and certain non-IFRS ratios such as "Adjusted Income per Share - Basic and Diluted", "Non-IFRS gross profit as a percentage of revenue", "Non-IFRS general and administrative expenses as a percentage of revenue", "Non-IFRS research and development expenses as a percentage of revenue", and "Non-IFRS sales and marketing expenses as a percentage of revenue". These measures and ratios are not recognized measures and ratios under IFRS and do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures and ratios presented by other companies. Rather, these measures and ratios are provided as additional information to complement those IFRS measures and ratios by providing further understanding of our results of operations from management's perspective. Accordingly, these measures and ratios should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS. These non-IFRS measures and ratios are used to provide investors with supplemental measures and ratios of our operating performance and liquidity and thus highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS measures and ratios. We also believe that securities analysts, investors and other interested parties frequently use non-IFRS measures and ratios in the evaluation of issuers. Our management also uses non-IFRS measures and ratios in order to facilitate operating performance comparisons from period to period, to prepare operating budgets and forecasts and to determine components of management compensation.

**"Adjusted EBITDA"** is defined as net loss excluding interest, taxes, depreciation and amortization, or EBITDA, as adjusted for share-based compensation and related payroll taxes, compensation expenses relating to acquisitions completed, foreign exchange gains and losses, transaction-related costs, restructuring, litigation provisions and goodwill impairment. We believe that Adjusted EBITDA provides a useful supplemental measure of the Company's operating performance, as it helps illustrate underlying trends in our business that could otherwise be masked by the effect of the income or expenses that are not indicative of the core operating performance of our business.

**"Adjusted Income"** is defined as net loss excluding amortization of intangibles, as adjusted for share-based compensation and related payroll taxes, compensation expenses relating to acquisitions completed, transaction-related costs, restructuring, litigation provisions, deferred income tax expense (recovery) and goodwill impairment. We use this measure as we believe excluding amortization of intangibles and certain other non-cash or non-operational expenditures provides a helpful supplementary indicator of our business performance as it allows for more accurate comparability across periods.

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**"Adjusted Income per Share - Basic and Diluted"** is defined as Adjusted Income divided by the weighted average number of common shares outstanding - basic and diluted. We use Adjusted Income per Share - Basic and Diluted to provide a helpful supplemental indicator of the performance of our business on a per share (basic and diluted) basis.

**"Adjusted Free Cash Flow"** is defined as cash flows from (used in) operating activities as adjusted for the payment of amounts related to capitalized internal development costs, the payment of amounts related to acquiring property and equipment and certain cash inflows and outflows associated with merchant cash advances. We use this measure as we believe including or excluding certain inflows and outflows provides a helpful supplemental indicator to investors of the Company's ability to generate cash flows.

**"Non-IFRS gross profit"** is defined as gross profit as adjusted for share-based compensation and related payroll taxes. We use this measure as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our business performance in regard to the Company's performance and profitability.

**"Non-IFRS gross profit as a percentage of revenue"** is calculated by dividing our Non-IFRS gross profit by our total revenue. We use this ratio as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our business performance in regard to the Company's performance and profitability.

**"Non-IFRS general and administrative expenses"** is defined as general and administrative expenses as adjusted for share-based compensation and related payroll taxes, transaction-related costs and litigation provisions. We use this measure as we believe excluding certain charges provides a helpful supplemental indicator to investors on our operating expenditures.

**"Non-IFRS general and administrative expenses as a percentage of revenue"** is calculated by dividing our Non-IFRS general and administrative expenses by our total revenue. We use this ratio as we believe excluding certain charges provides a helpful supplemental indicator to investors on our operating expenditures.

**"Non-IFRS research and development expenses"** is defined as research and development expenses as adjusted for share-based compensation and related payroll taxes. We use this measure as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our operating expenditures.

**"Non-IFRS research and development expenses as a percentage of revenue"** is calculated by dividing our Non-IFRS research and development expenses by our total revenue. We use this ratio as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our operating expenditures.

**"Non-IFRS sales and marketing expenses"** is defined as sales and marketing expenses as adjusted for share-based compensation and related payroll taxes. We use this measure as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our operating expenditures.

**"Non-IFRS sales and marketing expenses as a percentage of revenue"** is calculated by dividing our Non-IFRS sales and marketing expenses by our total revenue. We use this ratio as we believe excluding share-based compensation and related payroll taxes provides a helpful supplemental indicator to investors on our operating expenditures.

See the financial tables below for a reconciliation of the non-IFRS measures and ratios.

**Key Performance Indicators**

We monitor the following key performance indicators to help us evaluate our business, measure our performance, identify trends affecting our business, formulate business plans and make strategic decisions. These key performance indicators are also used to provide investors with supplemental measures of our operating performance and thus highlight trends in our core business that

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may not otherwise be apparent when relying solely on IFRS measures and ratios. We also believe that securities analysts, investors and other interested parties frequently use industry metrics in the evaluation of issuers. Our key performance indicators may be calculated in a manner different than similar key performance indicators used by other companies.

**Average Revenue Per User. "Average Revenue Per User"** or **"ARPU"** represents the total subscription revenue and transaction-based revenue of the Company in the period divided by the number of Customer Locations of the Company in the period. Subscription revenue and transaction-based revenue attributable to standalone eCommerce sites is excluded from ARPU. We use this measure as we believe it provides a helpful supplemental indicator of our progress in growing the revenue that we derive from our customer base. For greater clarity, the number of Customer Locations of the Company in the period is calculated by taking the average number of Customer Locations throughout the period.

**Customer Locations. "Customer Location"** means a billing merchant location for which the term of services has not ended, or in respect of which we are negotiating a renewal contract, and, in the case of NuORDER, a brand with a direct or indirect paid subscription for which the term of services has not ended or in respect of which we are negotiating a subscription renewal. A single unique customer can only have multiple Customer Locations if it has multiple physical sites and in the case of NuORDER, multiple subscriptions. We use this measure as we believe that our ability to increase the number of Customer Locations with a high GTV per year and the number of retail Customer Locations in North America and hospitality Customer Locations in Europe served by our platform is an indicator of our success in terms of market penetration and growth of our business.

**Gross Payment Volume. "Gross Payment Volume" or "GPV"** means the total dollar value of transactions processed, excluding amounts processed through the NuORDER solution, in the period through our payments solutions in respect of which we act as the principal in the arrangement with the customer, net of refunds, inclusive of shipping and handling, duty and value-added taxes. We use this measure as we believe that growth in our GPV demonstrates the extent to which we have scaled our payments solutions. As the number of Customer Locations using our payments solutions grows, particularly those with a high GTV, we will generate more GPV and see higher transaction-based revenue. We have excluded amounts processed through the NuORDER solution from our GPV because they represent business-to-business volume rather than business-to-consumer volume and we do not currently have a robust payments solution for business-to-business volume. Some of our brands can accept certain payments from retailers in certain of our geographies, and we may in the future include such volume in GPV once we have further developed our payments solution for business-to-business volume.

**Gross Transaction Volume**. **"Gross Transaction Volume"** or **"GTV"** means the total dollar value of transactions processed through our cloud-based software-as-a-service platform, excluding amounts processed through the NuORDER solution, in the period, net of refunds, inclusive of shipping and handling, duty and value-added taxes. We use this measure as we believe GTV is an indicator of the success of our customers and the strength of our platform. GTV does not represent revenue earned by us. We have excluded amounts processed through the NuORDER solution from our GTV because they represent business-to-business volume rather than business-to-consumer volume and we do not currently have a robust payments solution for business-to-business volume. Some of our brands can accept certain payments from retailers in certain of our geographies, and we may in the future include such volume in GTV once we have further developed our payments solution for business-to-business volume.

**Forward-Looking Statements**

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, gross profit 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, taxes, dividend and capital allocation policy (including share repurchase initiatives), plans and objectives. Particularly, information

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regarding: our expectations of future results, performance, achievements, prospects or opportunities or the markets in which we operate; macroeconomic conditions such as inflationary pressures, interest rates, the international trade environment and related restrictions or disputes, and global economic uncertainty; our expectations regarding the costs, timing and impact of reorganizations and cost reduction initiatives and personnel changes; our expectations regarding our growth strategy focused on retail customers in North America and hospitality customers in Europe and our strategies for customers in other geographies and verticals; geopolitical instability, terrorism, war and other global conflicts such as the Russian invasion of Ukraine and continuing military conflict in the Middle East; and expectations regarding industry and consumer spending trends, our growth rates, the achievement of advances in and expansion of our platform, our focus on complex customers, our revenue and the revenue generation potential of our payment-related and other solutions, the impact of our decision to sell our POS and payments solutions as one unified platform, our pricing and packaging initiatives; our gross margins and future profitability, acquisition, investment or divestiture outcomes and synergies, the impact of any further goodwill impairments, the impact of pending and threatened litigation, the impact of any external stakeholder activism, the impact of foreign currency fluctuations and the use of hedging on our results of operations, our business plans and strategies and our competitive position in our industry, is forward-looking information.

In some cases, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "targets", "expects" or "does not expect", "is expected", "an opportunity exists", "budget", "scheduled", "estimates", "suggests", "outlook", "forecasts", "projection", "prospects", "strategy", "intends", "anticipates" or "does not anticipate", "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", "will", "will be taken", "occur" or "be achieved", the negative of these terms and similar terminology. In addition, any statements that refer to expectations, intentions, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent management's expectations, estimates and projections regarding future events or circumstances.

Forward-looking information is necessarily based on a number of opinions, estimates and assumptions that we considered appropriate and reasonable as of the date of such forward-looking information. Forward-looking information is subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including the risk factors identified in our most recent Management's Discussion and Analysis of Financial Condition and Results of Operations, under "Risk Factors" in our most recent Annual Information Form, and in our other filings with the Canadian securities regulatory authorities and the U.S. Securities and Exchange Commission, all of which are available under our profiles on SEDAR+ at www.sedarplus.com and on EDGAR at www.sec.gov.

Although we have attempted to identify important risk factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other risk factors not presently known to us or that we presently believe are not material that could also cause actual results or future events to differ materially from those expressed in such forward-looking information. You should not place undue reliance on forward-looking information, which speaks only as of the date made. The forward-looking information contained in this news release represents our expectations as of the date hereof (or as of the date they are otherwise stated to be made), and are subject to change after such date. However, we disclaim any intention or obligation or undertaking to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required under applicable securities laws. All of the forward-looking information contained in this news release is expressly qualified by the foregoing cautionary statements.

**Contacts:**<br>**Asha Bakshani**<br> Chief Financial Officer<br>**Gus Papageorgiou**<br> Head of Investor Relations

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investorrelations@lightspeedhq.com<br>SOURCE Lightspeed Commerce Inc.

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| | | |
|:---|:---|:---|
| ***Condensed Interim Consolidated Statements of Loss and Comprehensive Loss***<br>**(expressed in thousands of US dollars, except number of shares and per share amounts, unaudited)** | ***Condensed Interim Consolidated Statements of Loss and Comprehensive Loss***<br>**(expressed in thousands of US dollars, except number of shares and per share amounts, unaudited)** | ***Condensed Interim Consolidated Statements of Loss and Comprehensive Loss***<br>**(expressed in thousands of US dollars, except number of shares and per share amounts, unaudited)** |
| | **Three months ended June 30,** | **Three months ended June 30,** |
|  | **2025** | **2024** |
| **Revenues** | **$** | **$** |
| Subscription | 90862 | 83314 |
| Transaction-based | 204559 | 174054 |
| Hardware and other | 9521 | 8723 |
| **Total revenues** | 304942 | 266091 |
| **Direct cost of revenues** |  |  |
| Subscription | 17343 | 17507 |
| Transaction-based | 144703 | 127952 |
| Hardware and other | 13823 | 12424 |
| **Total direct cost of revenues** | 175869 | 157883 |
| **Gross profit** | 129073 | 108208 |
| **Operating expenses** |  |  |
| General and administrative | 34713 | 31856 |
| Research and development | 32425 | 27471 |
| Sales and marketing | 67880 | 57070 |
| Depreciation of property and equipment | 1635 | 1973 |
| Depreciation of right-of-use assets | 1188 | 1394 |
| Foreign exchange loss (gain) | (2763) | 85 |
| Acquisition-related compensation | 157 |  |
| Amortization of intangible assets | 34681 | 22895 |
| Restructuring | 1210 | 9541 |
| **Total operating expenses** | 171126 | 152285 |
| **Operating loss** | (42053) | (44077) |
| Net interest income (expense) | (6209) | 10166 |
| **Loss before income taxes** | (48262) | (33911) |
| **Income tax expense (recovery)** |  |  |
| Current | 1691 | 801 |
| Deferred | (386) | 300 |
| **Total income tax expense** | 1305 | 1101 |
| **Net loss** | (49567) | (35012) |
| **Other comprehensive income (loss)** |  |  |
| ***Items that may be reclassified to net loss*** |  |  |
| Foreign currency differences on translation of foreign operations | 7402 | 240 |
| Change in net unrealized gain (loss) on cash flow hedging instruments, net of tax | 3131 | (514) |
| **Total other comprehensive income (loss)** | 10533 | (274) |
| **Total comprehensive loss** | (39034) | (35286) |
| **Net loss per share – basic and diluted** | (0.35) | (0.23) |
| **Weighted average number of Common Shares outstanding – basic and diluted** | 140818891 | 154744336 |

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| | | |
|:---|:---|:---|
| ***Condensed Interim Consolidated Balance Sheets***<br>**(expressed in thousands of US dollars, unaudited)** | | |
| | **As at** | **As at** |
| | **June 30,<br>2025** | **March 31,<br>2025** |
| **Assets** | **$** | **$** |
| **Current assets** |  |  |
| Cash and cash equivalents | 447598 | 558469 |
| Trade and other receivables | 52127 | 53077 |
| Merchant cash advances | 103626 | 106169 |
| Inventories | 14944 | 14612 |
| Other current assets | 69480 | 65696 |
| **Total current assets** | 687775 | 798023 |
| **Lease right-of-use assets, net** | 11774 | 12714 |
| **Property and equipment, net** | 17043 | 17102 |
| **Intangible assets, net** | 135391 | 159542 |
| **Goodwill** | 805321 | 797962 |
| **Other long-term assets** | 38964 | 40562 |
| **Deferred tax assets** | 356 | 298 |
| **Total assets** | 1696624 | 1826203 |
| **Liabilities and Shareholders' Equity** |  |  |
| **Current liabilities** |  |  |
| Accounts payable and accrued liabilities | 72867 | 73075 |
| Lease liabilities | 5430 | 5654 |
| Income taxes payable | 1833 | 1540 |
| Deferred revenue | 69461 | 68714 |
| **Total current liabilities** | 149591 | 148983 |
| **Deferred revenue** | 1132 | 1088 |
| **Lease liabilities** | 10844 | 11319 |
| **Other long-term liabilities** | 744 | 562 |
| **Deferred tax liabilities** | 216 | 284 |
| **Total liabilities** | 162527 | 162236 |
| **Shareholders' equity** |  |  |
| Share capital | 3878111 | 4157395 |
| Additional paid-in capital | 206445 | 200634 |
| Accumulated other comprehensive income (loss) | 3071 | (7462) |
| Accumulated deficit | (2553530) | (2686600) |
| **Total shareholders' equity** | 1534097 | 1663967 |
| **Total liabilities and shareholders' equity** | 1696624 | 1826203 |

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| | | |
|:---|:---|:---|
| ***Condensed Interim Consolidated Statements of Cash Flows***<br>**(expressed in thousands of US dollars, unaudited)** | | |
| | **Three months ended June 30,** | **Three months ended June 30,** |
|  | **2025** | **2024** |
| **Cash flows from (used in) operating activities** | **$** | **$** |
| Net loss | (49567) | (35012) |
| Items not affecting cash and cash equivalents |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible assets | 34681 | 22895 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation of property and equipment and lease right-of-use assets | 2823 | 3367 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred income tax expense (recovery) | (386) | 300 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based compensation expense | 12963 | 11328 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange loss (gain) | (501) | 3 |
| (Increase)/decrease in operating assets and increase/(decrease) in operating liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trade and other receivables | 475 | 15576 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Merchant cash advances | 2543 | (13302) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Inventories | (332) | (1764) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other assets | (1073) | (3259) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | 3295 | (3361) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income taxes payable | 293 | (468) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | 791 | (197) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other long-term liabilities | 182 | (173) |
| Net interest (income) expense | 6209 | (10166) |
| **Total operating activities** | 12396 | (14233) |
| **Cash flows from (used in) investing activities** |  |  |
| Additions to property and equipment | (1804) | (847) |
| Additions to intangible assets | (10515) | (3269) |
| Interest income | 6114 | 10985 |
| **Total investing activities** | (6205) | 6869 |
| **Cash flows from (used in) financing activities** |  |  |
| Proceeds from exercise of stock options | 19 | 1349 |
| Shares repurchased and cancelled | (86238) | (39946) |
| Shares repurchased for settlement of non-treasury RSUs | (30188) |  |
| Payment of lease liabilities and movement in restricted lease deposits | (2059) | (2141) |
| Financing costs | (9) | (40) |
| **Total financing activities** | (118475) | (40778) |
| **Effect of foreign exchange rate changes on cash and cash equivalents** | 1413 | (12) |
| **Net decrease in cash and cash equivalents during the period** | (110871) | (48154) |
| **Cash and cash equivalents – Beginning of period** | 558469 | 722102 |
| **Cash and cash equivalents – End of period** | 447598 | 673948 |
| Income taxes paid | 1390 | 1056 |

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| | | |
|:---|:---|:---|
| ***Reconciliation from IFRS to Non-IFRS Results***<br>***Adjusted EBITDA***<br>**(expressed in thousands of US dollars, unaudited)** | ***Reconciliation from IFRS to Non-IFRS Results***<br>***Adjusted EBITDA***<br>**(expressed in thousands of US dollars, unaudited)** | ***Reconciliation from IFRS to Non-IFRS Results***<br>***Adjusted EBITDA***<br>**(expressed in thousands of US dollars, unaudited)** |
| | **Three months ended <br>June 30,** | **Three months ended <br>June 30,** |
|  | **2025** | **2024** |
|  | **$** | **$** |
| **Net loss** | (49567) | (35012) |
| Share-based compensation and related payroll taxes<sup>(1)</sup> | 13969 | 11674 |
| Depreciation and amortization<sup>(2)</sup> | 37504 | 26262 |
| Foreign exchange loss (gain)<sup>(3)</sup> | (2763) | 85 |
| Net interest (income) expense<sup>(2)</sup> | 6209 | (10166) |
| Acquisition-related compensation<sup>(4)</sup> | 157 |  |
| Transaction-related costs<sup>(5)</sup> | 64 | 685 |
| Restructuring<sup>(6)</sup> | 1210 | 9541 |
| Litigation provisions<sup>(7)</sup> | 7788 | 6053 |
| Income tax expense | 1305 | 1101 |
| **Adjusted EBITDA** | 15876 | 10223 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>These expenses represent non-cash expenditures recognized in connection with issued stock options and other awards under our equity incentive plans to our employees and directors, and cash related payroll taxes given that they are directly attributable to share-based compensation; they can include estimates and are therefore subject to change. For the three months ended June 30, 2025, share-based compensation expense was $12,963 (June 2024 - expense of $11,328), and related payroll taxes were an expense of $1,006 (June 2024 - expense of $346). These amounts are included in direct cost of revenues, general and administrative expenses, research and development expenses and sales and marketing expenses (see note 6 of the unaudited condensed interim consolidated financial statements for additional details).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(2)</sup>In connection with the accounting standard IFRS 16 - Leases, for the three months ended June 30, 2025, net loss includes depreciation of $1,188 related to right-of-use assets, interest expense of $274 on lease liabilities, and excludes an amount of $2,059 relating to rent expense ($1,394, $354, and $2,110, respectively, for the three months ended June 30, 2024).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(3)</sup>These non-cash gains and losses relate to foreign exchange translation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(4)</sup>These costs represent a portion of the consideration paid to acquired businesses that is contingent upon the ongoing employment obligations for certain key personnel of such acquired businesses, and/or on certain performance criteria being achieved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(5)</sup>These expenses relate to professional, legal, consulting, accounting, advisory, and other fees relating to our public offerings and acquisitions that would otherwise not have been incurred. These costs are included in general and administrative expenses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(6)</sup>We implemented a reorganization to streamline the Company's operating model while continuing to focus on profitable growth. The expenses associated with reorganization initiatives were recorded as a restructuring charge (see note 13 of the unaudited condensed interim consolidated financial statements for additional details).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(7)</sup>These amounts represent provisions taken, settlement amounts and other costs, such as legal fees, incurred in respect of certain litigation matters, net of amounts covered by insurance and indemnifications. These amounts are included in general and administrative expenses (see note 13 of the unaudited condensed interim consolidated financial statements for additional details).

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| | | |
|:---|:---|:---|
| ***Reconciliation from IFRS to Non-IFRS Results (continued)***<br>***Adjusted Income and Adjusted Income per Share - Basic and Diluted***<br>**(expressed in thousands of US dollars, except number of shares and per share amounts, unaudited)** | ***Reconciliation from IFRS to Non-IFRS Results (continued)***<br>***Adjusted Income and Adjusted Income per Share - Basic and Diluted***<br>**(expressed in thousands of US dollars, except number of shares and per share amounts, unaudited)** | ***Reconciliation from IFRS to Non-IFRS Results (continued)***<br>***Adjusted Income and Adjusted Income per Share - Basic and Diluted***<br>**(expressed in thousands of US dollars, except number of shares and per share amounts, unaudited)** |
| | **Three months ended <br>June 30,** | **Three months ended <br>June 30,** |
|  | **2025** | **2024** |
|  | **$** | **$** |
| **Net loss** | (49567) | (35012) |
| Share-based compensation and related payroll taxes<sup>(1)</sup> | 13969 | 11674 |
| Amortization of intangible assets | 34681 | 22895 |
| Acquisition-related compensation<sup>(2)</sup> | 157 |  |
| Transaction-related costs<sup>(3)</sup> | 64 | 685 |
| Restructuring<sup>(4)</sup> | 1210 | 9541 |
| Litigation provisions<sup>(5)</sup> | 7788 | 6053 |
| Deferred income tax expense (recovery) | (386) | 300 |
| **Adjusted Income** | 7916 | 16136 |
| **Weighted average number of Common Shares outstanding – basic and diluted**<sup>(6)</sup> | 140818891 | 154744336 |
| **Net loss per share – basic and diluted** | (0.35) | (0.23) |
| **Adjusted Income per Share – Basic and Diluted** | 0.06 | 0.10 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>These expenses represent non-cash expenditures recognized in connection with issued stock options and other awards under our equity incentive plans to our employees and directors, and cash related payroll taxes given that they are directly attributable to share-based compensation; they can include estimates and are therefore subject to change. For the three months ended June 30, 2025, share-based compensation expense was $12,963 (June 2024 - expense of $11,328), and related payroll taxes were an expense of $1,006 (June 2024 - expense of $346). These amounts are included in direct cost of revenues, general and administrative expenses, research and development expenses and sales and marketing expenses (see note 6 of the unaudited condensed interim consolidated financial statements for additional details).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(2)</sup>These costs represent a portion of the consideration paid to acquired businesses that is contingent upon the ongoing employment obligations for certain key personnel of such acquired businesses, and/or on certain performance criteria being achieved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(3)</sup>These expenses relate to professional, legal, consulting, accounting, advisory, and other fees relating to our public offerings and acquisitions that would otherwise not have been incurred. These costs are included in general and administrative expenses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(4)</sup>We implemented a reorganization to streamline the Company's operating model while continuing to focus on profitable growth. The expenses associated with reorganization initiatives were recorded as a restructuring charge (see note 13 of the unaudited condensed interim consolidated financial statements for additional details).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(5)</sup>These amounts represent provisions taken, settlement amounts and other costs, such as legal fees, incurred in respect of certain litigation matters, net of amounts covered by insurance and indemnifications. These amounts are included in general and administrative expenses (see note 13 of the unaudited condensed interim consolidated financial statements for additional details).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(6)</sup>For the three months ended June 30, 2025 and 2024, because the impact of including potentially-dilutive shares in the weighted average number of Common Shares outstanding - basic and diluted would not result in a change in the Adjusted Income per Share - Basic and Diluted, the weighted average number of Common Shares outstanding - basic and diluted was not adjusted to include the potentially-dilutive shares.

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| | | |
|:---|:---|:---|
| ***Reconciliation from IFRS to Non-IFRS Results (continued)***<br>***Adjusted Free Cash Flow***<br>**(expressed in thousands of US dollars, unaudited)** | ***Reconciliation from IFRS to Non-IFRS Results (continued)***<br>***Adjusted Free Cash Flow***<br>**(expressed in thousands of US dollars, unaudited)** | ***Reconciliation from IFRS to Non-IFRS Results (continued)***<br>***Adjusted Free Cash Flow***<br>**(expressed in thousands of US dollars, unaudited)** |
| | **Three months ended <br>June 30,** | **Three months ended <br>June 30,** |
|  | **2025** | **2024** |
|  | **$** | **$** |
| **Cash flows from (used in) operating activities** | 12396 | (14233) |
| Capitalized internal development costs<sup>(1)</sup> | (10515) | (3269) |
| Additions to property and equipment<sup>(2)</sup> | (1804) | (847) |
| Merchant cash advances, net<sup>(3)</sup> | (1793) | 15379 |
| **Adjusted Free Cash Flow** | (1716) | (2970) |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>These amounts represent the cash outflow associated with capitalized internal development costs. These amounts are included within the cash flows from (used in) investing activities section of the unaudited condensed interim consolidated statements of cash flows. If these costs were not capitalized as an intangible asset, they would be part of our cash flows from (used in) operating activities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(2)</sup>These amounts represent cash outflows associated with the purchase of property and equipment. These amounts are included within the cash flows from (used in) investing activities section of the unaudited condensed interim consolidated statements of cash flows.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(3)</sup>These amounts represent cash outflows, including the principal advanced, and cash inflows, including the repayment of principal, in respect of merchant cash advances.

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| | | |
|:---|:---|:---|
| ***Reconciliation from IFRS to Non-IFRS Results (continued)***<br>**(In thousands of US dollars, except percentages, unaudited)** | ***Reconciliation from IFRS to Non-IFRS Results (continued)***<br>**(In thousands of US dollars, except percentages, unaudited)** | ***Reconciliation from IFRS to Non-IFRS Results (continued)***<br>**(In thousands of US dollars, except percentages, unaudited)** |
| | **Three months ended June 30,** | **Three months ended June 30,** |
|  | **2025** | **2024** |
|  | **$** | **$** |
| **Gross profit** | 129073 | 108208 |
| % of revenue | 42.3% | 40.7% |
| add: Share-based compensation and related payroll taxes<sup>(3)</sup> | 301 | 742 |
| **Non-IFRS gross profit**<sup>(1)</sup> | 129374 | 108950 |
| Non-IFRS gross profit as a percentage of revenue<sup>(2)</sup> | 42.4% | 40.9% |
| **General and administrative expenses** | 34713 | 31856 |
| % of revenue | 11.4% | 12.0% |
| less: Share-based compensation and related payroll taxes<sup>(3)</sup> | 4617 | 4300 |
| less: Transaction-related costs<sup>(4)</sup> | 64 | 685 |
| less: Litigation provisions<sup>(5)</sup> | 7788 | 6053 |
| **Non-IFRS general and administrative expenses**<sup>(1)</sup> | 22244 | 20818 |
| Non-IFRS general and administrative expenses as a percentage of revenue<sup>(2)</sup> | 7.3% | 7.8% |
| **Research and development expenses** | 32425 | 27471 |
| % of revenue | 10.6% | 10.3% |
| less: Share-based compensation and related payroll taxes<sup>(3)</sup> | 5039 | 3175 |
| **Non-IFRS research and development expenses**<sup>(1)</sup> | 27386 | 24296 |
| Non-IFRS research and development expenses as a percentage of revenue<sup>(2)</sup> | 9.0% | 9.1% |
| **Sales and marketing expenses** | 67880 | 57070 |
| % of revenue | 22.3% | 21.4% |
| less: Share-based compensation and related payroll taxes<sup>(3)</sup> | 4012 | 3457 |
| **Non-IFRS sales and marketing expenses**<sup>(1)</sup> | 63868 | 53613 |
| Non-IFRS sales and marketing expenses as a percentage of revenue<sup>(2)</sup> | 20.9% | 20.1% |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>This is a Non-IFRS measure. See the section entitled "Non-IFRS Measures and Ratios".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(2)</sup>This is a Non-IFRS ratio. See the section entitled "Non-IFRS Measures and Ratios".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(3)</sup>These expenses represent non-cash expenditures recognized in connection with issued stock options and other awards under our equity incentive plans to our employees and directors, and cash related payroll taxes given that they are directly attributable to share-based compensation; they can include estimates and are therefore subject to change. For the three months ended June 30, 2025, share-based compensation expense was $12,963 (June 2024 - expense of $11,328), and related payroll taxes were an expense of $1,006 (June 2024 - expense of $346). These amounts are included in direct cost of revenues, general and administrative expenses, research and development expenses and sales and marketing expenses (see note 6 of the unaudited condensed interim consolidated financial statements for additional details).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(4)</sup>These expenses relate to professional, legal, consulting, accounting, advisory, and other fees relating to our public offerings and acquisitions that would otherwise not have been incurred. These costs are included in general and administrative expenses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(5)</sup>These amounts represent provisions taken, settlement amounts and other costs, such as legal fees, incurred in respect of certain litigation matters, net of amounts covered by insurance and indemnifications. These amounts are included in general and administrative expenses (see note 13 of the unaudited condensed interim consolidated financial statements for additional details).

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