Thu, May 8, 8:45 PM (3 days ago)
**LegalZoom.com, Inc. (LZ) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $183.1 million, up 5% YoY, driven by subscription revenue growth (8% YoY). - **Gross Profit:** $116.6 million, up 10% YoY, with a gross margin of 63%. - **Operating Income:** $8.9 million, up from $5.1 million YoY. - **Net Income:** $5.1 million, up from $4.7 million YoY. - **EPS:** $0.03, steady YoY. - **Cash Flow from Operations:** $50.7 million, up from $34.2 million YoY. - **Cash & Cash Equivalents:** $210.0 million, up from $142.1 million QoQ. **Key Metrics:** - **Business Formations:** 131,000, down 6% YoY. - **Transactions:** 341,000, up 1% YoY. - **Subscription Units:** 1,924,000, up 20% YoY. - **ARPU:** $252, down 7% YoY. **Operational Highlights:** - Acquired Formation Nation, Inc. for $83.2 million. - Sold operational headquarters for $37.1 million. - Increased stock repurchase program by $100 million. **Trends & Uncertainties:** - Macroeconomic factors, competition, and regulatory changes pose risks. - Focus on integrating Formation Nation and enhancing customer lifetime value. - Stock repurchase program may impact stock price and liquidity. **Future Operations Impact:** - Continued investment in technology and development. - Expansion of subscription offerings and customer base. - Potential fluctuations in quarterly results due to various factors. **Liquidity & Capital Resources:** - Sufficient cash and cash equivalents for operational needs. - $150 million available for future stock repurchases. - 2021 Revolving Facility with $150 million available. **Market Risks:** - Interest rate and foreign currency exchange risks. - Inflation risk and its potential impact on business. **Controls & Procedures:** - Effective disclosure controls and procedures as of March 31, 2025. - No changes in internal control over financial reporting. **Legal & Risk Factors:** - Various legal proceedings, claims, and litigation risks. - Compliance with complex and evolving laws and regulations. - Data privacy and security risks, including potential breaches. **Stock Information:** - Ticker: LZ - Exchange: Nasdaq Global Select Market - Shares Outstanding: 181.2 million (as of May 1, 2025)