Business
LegalZoom Reports Second Quarter 2023 Financial Results
Revenue of $168.9 million for the quarter, an increase of 4% year-over-yearSubscription revenue of $102.2 million for the quarter, an increase of 12%
About this update from Legalzoom.com, Inc.
[{"type":"text","content":"Revenue of $168.9 million for the quarter, an increase of 4% year-over-yearSubscription revenue of $102.2 million for the quarter, an increase of 12% year-over-year$238.9 million of cash and cash equivalents and no debt outstanding as of June 30, 2023Announced the launch of LZ Books, a new online accounting solution, subsequent to the end of the quarter GLENDALE, Calif., Aug. 08, 2023 (GLOBE NEWSWIRE) -- LegalZoom.com, Inc. (Nasdaq: LZ) today announced results for its second quarter ended June 30, 2023, including the following highlights: Revenue was $168.9 million for the quarter, up 4% year-over-year. Transaction revenue was $60.5 million, down 7% year-over-year. The decline was primarily driven by a 26% year-over-year reduction in average order value driven by our nationwide roll-out of free LLC formations beginning in the first quarter of 2023, partially offset by a 26% increase in transaction volume.Subscription revenue was $102.2 million, up 12% year-over-year. The increase was driven by a 3% year-over-year increase in average revenue per subscription unit and the addition of 159 thousand net new units added during the trailing twelve months.Partner revenue was $6.2 million, up 2% year-over-year. Gross margin was 62% for the quarter, compared to 65% in the same period in 2022, primarily driven by higher filing fees as a percentage of revenue due to an increase in business formation volumes associated with our nationwide roll-out of free LLC formations beginning in the first quarter of 2023.Net income was $1.4 million for the quarter, or 1% of revenue, compared to net loss of $12.7 million or 8% of revenue, for the same period in 2022.Adjusted EBITDA was $29.6 million for the quarter, or 18% of revenue, compared to $18.1 million, or 11% of revenue, for the same period in 2022.Non-GAAP net income was $19.0 million for the quarter, compared to $9.6 million for the same period in 2022.Cash and cash equivalents were $238.9 million as of June 30, 2023, compared to $189.1 million as of December 31, 2022.Cash flow provided by operating activities was $45.2 million for the three months ended June 30, 2023 compared to $11.0 million for the same period in 2022.Free cash flow was $37.4 million for the three months ended June 30, 2023 compared to $5.6 million for the same period in 2022.Basic and diluted net income per share was $0.01 ...