NASDAQ$LZ
Legalzoomcom Inc · Q3 2021 earnings
Q3 2021 earnings · · Investor relations
Briefing
LegalZoom's third quarter results for 2021 were reported, showing revenue growth and a shift towards subscription revenue.
LegalZoom reported a 12% increase in revenue year-over-year, driven by a strong performance in subscription revenue. The company is focused on strategic investments to capitalize on market opportunities and maintain a long-term, growth-oriented mindset.
- Revenue increased by 12% year-over-year to $147.9 million.
- Subscription revenue grew by 24% year-over-year, reaching $73.3 million.
- The company had 1,264,000 subscription units as of September 30, 2021, with 49,000 net units added in the quarter.
- Net loss was $39.7 million, compared to a net income of $9.4 million in the third quarter of 2020.
Headline financials
Revenue & EPS history
LegalZoom · Revenue · Quarterly
$148M
Revenue by segment
LegalZoom · $140M total across 2 segments · Q3 2021
- Subscription revenue$73.3M+23.9%52.3%
- Transaction revenue$66.9M+949.9%47.7%
Forward guidance
LegalZoom provided guidance for the fourth quarter and full year 2021.
Tailwinds
- Revenue is expected to be in the range of $142 million to $146 million for the fourth quarter.
- Full year revenue is expected to be in the range of $575 million to $579 million.
- Adjusted EBITDA is expected to be in the range of $45 million to $47 million for the full year.
Headwinds
- Quarterly revenue growth rates in 2021 are impacted by the effect COVID-19 had on business formations in 2020.
- Adjusted EBITDA guidance reflects near-term opportunities to invest in our business, including our brand, channel testing and product, in order to drive long-term growth.
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 Q3 2021
+3.6%
Avg return
Earnings day
+3.0%
Avg return
5 days after
+1.7%
Avg return
30 days after
45%
10 / 22 earnings
Positive
+30.1%
Q1 2023
Best reaction
-23.0%
Q1 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -2.7% | -1.9% | -8.8% | |
| Q4 2025 | -6.7% | -7.1% | -12.2% | |
| Q3 2025 | +7.5% | -0.5% | -7.8% | |
| Q1 2025 | +23.2% | +31.2% | +26.5% | |
| Q4 2024 | +13.2% | +14.2% | -0.5% | |
| Q3 2024 | +22.0% | +11.0% | +8.5% | |
| Q2 2024 | -0.5% | -5.1% | +9.4% | |
| Q1 2024 | -23.0% | -17.2% | -29.7% | |
| Q4 2023 | +15.2% | +19.1% | +34.7% | |
| Q3 2023 | +8.1% | +5.2% | +5.7% | |
| Q2 2023 | -21.2% | -18.7% | -36.0% | |
| Q1 2023 | +30.1% | +29.4% | +53.8% | |
| Q4 2022 | -0.8% | -1.6% | +7.8% | |
| Q3 2022 | +27.3% | +20.9% | +8.9% | |
| Q2 2022 | +14.9% | +9.3% | +1.7% | |
| Q1 2022 | +9.5% | +4.8% | +19.0% | |
| Q4 2019 | -2.4% | -0.9% | -1.4% | |
| Q4 2021 | -3.1% | +5.0% | +4.9% | |
| Q3 2021 | -19.8% | -14.3% | -36.1% | |
| Q2 2021 | -4.1% | -5.5% | -3.6% | |
| Q1 2021 | -4.1% | -5.5% | -3.6% | |
| Q4 2020 | -4.1% | -5.5% | -3.6% | |
| Q3 2020 | — | — | — | |
| Q2 2020 | — | — | — | |
| Q1 2020 | — | — | — | |
| Q2 2012 | — | — | — | |
| Q1 2012 | — | — | — | |
| Q2 2011 | — | — | — | |
| Q1 2011 | — | — | — |
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