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LPSN

LivePerson, Inc.

LPSN

LivePerson, Inc. • NASDAQ
$4.98 ▲ 0.81% (+0.04)
Market Cap $31.70 M
52w High $31.20
52w Low $4.47
Dividend Yield 0%
P/E -0.19
Volume 51.95K
Outstanding Shares 6.37M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $60.154M ▲ $57.523M ▲ $8.711M ▲ 14.481% ▲ $1.22 ▲ $22.852M ▲
Q2-2025 $59.6M ▼ $47.995M ▼ $-15.71M ▼ -26.359% ▼ $-0.17 ▲ $-2.358M ▼
Q1-2025 $64.7M ▼ $63.426M ▼ $-14.133M ▲ -21.844% ▲ $-2.25 ▲ $-1.813M ▲
Q4-2024 $73.206M ▼ $156.018M ▲ $-112.128M ▼ -153.168% ▼ $-19.05 ▼ $-52.064M ▼
Q3-2024 $74.244M $65.735M $-28.309M -38.13% $-4.8 $4.221M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $106.661M ▼ $511.449M ▼ $533.499M ▼ $-22.05M ▲
Q2-2025 $161.963M ▼ $604.214M ▲ $686.626M ▲ $-82.412M ▼
Q1-2025 $176.254M ▼ $596.22M ▼ $671.164M ▼ $-74.944M ▼
Q4-2024 $183.237M ▲ $607.778M ▼ $675.094M ▲ $-67.316M ▼
Q3-2024 $142.104M $692.026M $646.12M $45.906M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $8.711M ▲ $-6.009M ▲ $-3.268M ▲ $-46.296M ▼ $-55.302M ▼ $-8.898M ▲
Q2-2025 $-15.71M ▼ $-11.676M ▼ $-3.802M ▲ $470K ▲ $-14.291M ▼ $-15.478M ▼
Q1-2025 $-14.133M ▲ $-3.096M ▲ $-4.145M ▲ $-26K ▼ $-6.983M ▼ $-7.241M ▲
Q4-2024 $-112.128M ▼ $-3.115M ▼ $-4.711M ▲ $49.834M ▲ $41.133M ▲ $-7.826M ▼
Q3-2024 $-28.309M $4.817M $-5.789M $-3.065M $-3.853M $-972K

Revenue by Products

Product Q4-2024Q1-2025Q2-2025Q3-2025
Hosted Services Business
Hosted Services Business
 $130.00M ▲$60.00M ▼$50.00M ▼$50.00M ▲
Professional Services
Professional Services
 $30.00M ▲$10.00M ▼$10.00M ▲$10.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue grew solidly through 2022 but has pulled back since then, suggesting the business has gone from a strong expansion phase to more of a reset or stabilization period. Despite this, the company still generates healthy gross profit on its sales, which means the core product and pricing appear economically attractive. The problem sits below the gross profit line: operating costs are high relative to revenue, leading to recurring operating and net losses every single year. Losses peaked a couple of years ago and have narrowed somewhat, but the company is still far from consistent profitability. That tells you management is likely in restructuring mode, trying to right-size expenses and improve efficiency while protecting growth. Overall, the income statement shows a business with a solid underlying product but a cost structure and scale that so far have not been brought into balance.

Balance Sheet

Balance Sheet The balance sheet has weakened over the last few years. Total assets have trended down, and the cash cushion that was once fairly comfortable has shrunk meaningfully. This gives the company less flexibility to absorb shocks or invest aggressively. Debt remains sizable relative to the overall asset base and has not been reduced in a dramatic way. More concerning, shareholder equity has turned negative most recently, meaning liabilities now exceed assets on an accounting basis. That is a clear sign of financial strain, even if the business is still operating. In simple terms, the company enters the next phase of its strategy with a thin margin for error: a heavy debt load, a smaller cash buffer, and an accounting deficit that limits room to maneuver.

Cash Flow

Cash Flow Cash flow from operations has been consistently weak, fluctuating between slightly negative and breakeven, with only a brief period of modest positive cash generation. Free cash flow has been negative every year, even though spending on capital investments has not been especially large. This pattern means the business is not yet self-funding. It has relied on its existing cash and access to capital markets to cover losses and investment needs. While cash burn has moderated somewhat from the worst period, the direction is not yet clearly toward sustained positive cash flow. The cash flow profile reinforces the message from the income statement and balance sheet: turning the current technology and customer base into a cash-generative operation is still an unproven part of the story.

Competitive Edge

Competitive Edge LivePerson has a long operating history and a focused position in conversational AI, particularly for large enterprises. Its Conversational Cloud ties together many digital and voice channels, which is attractive for brands that want a single, integrated platform rather than a patchwork of tools. Key strengths include deep domain experience, a large volume of conversational data, strong integration with existing contact center and CRM systems, and features like “bring your own model” for large language models. These create switching costs and can make LivePerson sticky once embedded in a customer’s workflow. However, the competitive arena is intense. Large cloud and software vendors, as well as newer AI-native companies, are pushing hard into similar territory. LivePerson’s challenge is to maintain differentiation and pricing power while competing with players that may have stronger balance sheets and broader platforms.

Innovation and R&D

Innovation and R&D Innovation is clearly at the center of LivePerson’s strategy. The company has leaned into generative AI, natural language understanding, and voice AI, aiming to make customer interactions more human-like and automated across text and voice channels. Its ability to let enterprises plug in their own large language models is a notable flexibility and a potential trust advantage for security- and compliance-sensitive clients. The firm has also used acquisitions to deepen its capabilities in speech analytics and integrations, strengthening the overall platform. Its large historical dataset of customer conversations is a valuable ingredient for training and refining AI models, which can improve accuracy and personalization over time. The tension is that high levels of R&D and platform investment are expensive, and the company is under pressure to improve profitability and cash flow. Executing the transformation plan without diluting its innovation edge is a central execution risk.

Summary

LivePerson sits at the intersection of two very different stories. Strategically, it operates in an attractive space—enterprise conversational AI—with a differentiated, data-rich platform, long-standing expertise, and meaningful integration into clients’ customer service and sales workflows. Its focus on omnichannel orchestration, generative AI, and voice automation positions it well for the ongoing shift from traditional call centers to AI-driven digital engagement. Financially, the picture is much tougher. Revenue has cooled after earlier growth, losses have persisted, cash flow remains negative, and the balance sheet has weakened to the point of negative equity and a thinner cash buffer. Debt is significant, leaving less room to absorb missteps. The company’s future hinges on whether it can translate its clear technological and market advantages into a business model that is both growing and financially sustainable. That will depend on successful execution of its transformation plan, disciplined cost control, continued product differentiation in a crowded market, and progress toward consistent positive cash flow.

NEWS

November 17, 2025 · 8:30 AM UTC

Tripp Lane Joins LivePerson Board of Directors

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November 10, 2025 · 4:30 PM UTC

LivePerson Announces Third Quarter 2025 Financial Results

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November 6, 2025 · 10:00 AM UTC

LivePerson Launches Conversation Simulator to De-risk Generative AI and Accelerate AI Adoption

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October 28, 2025 · 8:30 AM UTC

LivePerson to Announce Third Quarter 2025 Financial Results on November 10, 2025

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October 20, 2025 · 8:30 AM UTC

Ryan Vardeman Joins LivePerson Board of Directors

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