Business
LegalZoom Reports First Quarter 2024 Financial Results
Revenue of $174.2 million for the quarter, an increase of 5% year-over-yearSubscription revenue of $107.9 million for the quarter, an increase of 10%
About this update from Legalzoom.com, Inc.
[{"type":"text","content":"Revenue of $174.2 million for the quarter, an increase of 5% year-over-yearSubscription revenue of $107.9 million for the quarter, an increase of 10% year-over-year$228.1 million of cash and cash equivalents and no debt outstanding as of March 31, 2024 MOUNTAIN VIEW, Calif., May 07, 2024 (GLOBE NEWSWIRE) -- LegalZoom.com, Inc. (Nasdaq: LZ), the No. 1 choice in online small business formations, today announced results for its first quarter ended March 31, 2024. “I am excited by the momentum we are seeing across our ecosystem. We began the year with strong demand for our new compliance offering, continued to enhance our formations experience, and are innovating towards creating a modern technology platform that provides a simple and affordable experience for legal and financial services,” said Dan Wernikoff, LegalZoom’s Chief Executive Officer. Noel Watson, LegalZoom’s Chief Financial Officer added, “Our solid execution enabled us to achieve our revenue expectations despite a weaker than expected macro environment. Adjusted EBITDA exceeded our expectations, growing 28% year-over-year as we balance investing in growth and driving operational efficiencies in our business.” First Quarter 2024 Highlights Revenue was $174.2 million for the quarter, up 5% year-over-year: Transaction units increased 9% year-over-year; transaction revenue of $66.3 million decreased 3% year-over-year.Subscription units increased 7% year-over-year; subscription revenue of $107.9 million grew 10% year-over-year. Net income was $4.7 million for the quarter, or 3% of revenue, compared to net loss of $2.4 million, or 1% of revenue, for the same period in 2023. Non-GAAP net income was $18.3 million for the quarter compared to Non-GAAP net income of $14.0 million in the same period in 2023.Adjusted EBITDA was $27.9 million for the quarter, or 16% of revenue, compared to $21.9 million, or 13% of revenue, for the same period in 2023.Cash flow provided by operating activities was $34.2 million for the quarter compared to $29.2 million for the same period in 2023.Free cash flow was $24.7 million for the quarter compared to $21.8 million for the same period in 2023.Repurchased 1.2 million shares of common stock for a total cost of $12.8 million, at an average price of $10.91 per share.Cash and cash equivalents were $228.1 million as of March 31, 2024 compared to $225....