NASDAQ$LPSN

LivePerson Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Achieved first $100 million revenue quarter with 29% revenue growth.

LivePerson announced strong Q4 2020 results, achieving its first $100 million revenue quarter with 29% growth and signing 10 seven-figure deals. The company exceeded guidance and is positioned for revenue acceleration in 2021.

  • Total revenue was $102.1 million, up 29% year-over-year.
  • B2B revenue increased 29% year-over-year to $94.1 million.
  • Signed 10 seven-figure deals in the fourth quarter.
  • Trailing-twelve-month average revenue per enterprise and mid-market customer increased by 35% to approximately $465,000.

Headline financials

Total Revenue

$102M

Previous: $79.1M+29.2%
EPS (adj)

-$0.20

Previous: -$0.40+50.0%
Adjusted EBITDA

$18.2M

Previous: $1.2M+1416.7%
Capital Expenditures

$8.74M

Previous: $14M-37.7%
Free Cash Flow

-$12.8M

Previous: -$32.7M+60.9%
Net Income

-$13.3M

Previous: -$27.3M+51.3%
Operating Income

-$6.67M

Previous: -$24.5M+72.8%
Gross Profit

$74.1M

Previous: $57M+29.9%
Cash & Equivalents

$654M

Previous: $177M+270.6%
Total Assets

$1.01B

Previous: $513M+96.3%
Stock-Based Comp

$19.8M

Previous: $18.6M+6.5%

Revenue & EPS history

LivePerson · Revenue · Quarterly

$102M

Q4 2020+29.2%vs Q4 2019
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

LivePerson · $102M total across 2 segments · Q4 2020

  • Hosted services
    $94.1M
  • Professional services
    $8.1M

Forward guidance

LivePerson is targeting a revenue range of $458 million to $466 million, or 25% to 27% revenue growth in 2021. The Company is guiding for first quarter revenue growth of 32% to 33% to a range of $103 million to $104 million.

Tailwinds

  • Targeting revenue growth of 25% to 27% in 2021.
  • Guiding for first quarter revenue growth of 32% to 33%.
  • Expecting to accelerate investments in go-to-market capacity.
  • Expecting to accelerate investments in product development.
  • Continuing to realize efficiency gains from internal automation.

Headwinds

  • Expecting to accelerate investments in go-to-market capacity in the first half of 2021.
  • Expecting to accelerate investments in product development in the first half of 2021.
  • Guiding for 2021 adjusted EBITDA range of $33.5 million to $41.5 million or 7% to 9% margin.
  • First quarter adjusted EBITDA is estimated to be in a range of $5.0 million to $7.0 million or 5% to 7% margin.
  • Estimated IP litigation and consulting expenses of approximately $3.5 million ($0.05 per share) and severance and restructuring of $6.0 million ($0.08 per share)

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

-1.7%

Avg return

Earnings day

-1.7%

Avg return

5 days after

-3.8%

Avg return

30 days after

35%

22 / 62 earnings

Positive

+43.3%

Q1 2020

Best reaction

-56.4%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-4.9%-19.5%-21.1%
Q4 2025-1.1%-1.5%+1.9%
Q3 2025+12.4%-2.9%+1.3%
Q1 2025+8.1%+12.8%+0.0%
Q4 2024-16.0%-22.7%-38.2%
Q3 2024-25.7%-27.4%-23.1%
Q2 2024-11.6%-10.9%-4.7%
Q1 2024-2.0%+11.9%+10.2%
Q4 2023-50.6%-51.0%-61.1%
Q3 2023-9.0%-7.7%+15.0%
Q2 2023+18.2%+26.4%-1.2%
Q1 2023+27.9%+0.7%-17.4%
Q4 2022-56.4%-60.1%-44.1%
Q3 2022+20.4%+34.7%+12.0%
Q2 2022-17.8%-11.1%-26.5%
Q1 2022-5.4%-6.3%-14.1%
Q4 2021-20.7%+3.0%+4.7%
Q3 2021-5.3%-6.7%-32.3%
Q2 2021-2.5%-3.3%+3.7%
Q1 2021-3.1%-3.5%+1.2%
Q4 2020+9.1%+7.6%-13.5%
Q3 2020-5.5%-3.8%+2.4%
Q2 2020+24.0%+27.1%+17.6%
Q1 2020+43.3%+44.5%+47.6%
Q4 2019-23.3%-26.3%-53.3%
Q3 2019-16.3%-16.1%-9.8%
Q2 2019+3.6%-1.7%+21.9%
Q1 2019-0.8%-0.7%-3.2%
Q4 2018+4.3%+8.9%+7.4%
Q3 2018-7.5%-11.0%-16.7%
Q2 2018+3.9%+3.9%+15.9%
Q1 2018+8.4%+9.3%+17.5%
Q4 2017+15.3%+14.5%+21.3%
Q3 2017-17.9%-16.4%-21.4%
Q2 2017+17.9%+18.3%+11.8%
Q1 2017+22.6%+27.7%+41.5%
Q4 2016-0.7%+4.3%-4.3%
Q3 2016-3.0%+1.2%+0.0%
Q2 2016-15.0%-11.3%+4.4%
Q1 2016-3.5%
Q4 2015-18.8%
Q3 2015-7.9%
Q2 2015+12.3%
Q1 2015-10.3%
Q4 2014-1.1%
Q3 2014+0.7%
Q2 2014+21.8%
Q1 2014-3.0%
Q4 2013-8.0%
Q3 2013+20.8%
Q2 2013+0.7%
Q4 2012-6.1%
Q3 2012-12.5%
Q1 2011+7.7%
Q1 2012+2.1%
Q4 2009-0.4%
Q4 2011-0.4%
Q3 2010-4.2%
Q3 2011-4.2%
Q2 2010-3.5%
Q2 2011-3.5%
Q4 2010-3.5%

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