LivePerson’s first quarter showed a smaller loss on sharply lower revenue and much leaner operating costs.
Revenue fell to $56.956 million in the three months ended March 31, 2026, down from $64.700 million a year earlier, a decline of $7.744 million or about 12%.
Operating expenses dropped much faster than sales. Total costs, expenses and other came down to $58.707 million from $81.644 million, a reduction of $22.937 million. Within that total:
- Cost of revenue fell to $15.525 million from $18.218 million
- Sales and marketing dropped to $13.770 million from $23.485 million
- General and administrative decreased to $12.120 million from $16.784 million
- Product development declined to $12.180 million from $16.034 million
- Depreciation and amortization eased to $5.112 million from $5.818 million
- Restructuring costs were $0 in the latest quarter, versus $1.305 million a year ago
That cut the operating loss to $1.751 million, compared with $16.944 million in the prior-year quarter.
Below the operating line, results were weighed down by higher interest expense and weaker other income. Interest expense increased to $8.252 million from $7.478 million, while interest income fell to $503,000 from $1.457 million. Other income, net dropped to $998,000 from $8.487 million. As a result, total other expense swung to $6.751 million from $2.466 million of other income last year.
The company reported a net loss of $8.827 million, narrower than the $14.133 million loss in the same quarter last year. Loss per share improved as well:
- Basic loss per share: $0.73, versus $2.32
- Diluted loss per share: $0.73, versus $3.61
On the cash flow statement, operating cash generation turned positive. LivePerson produced $9.544 million of cash from operations, compared with a $3.096 million cash outflow a year earlier. That improvement came even though accounts receivable used $2.536 million of cash, and accounts payable, accrued expenses and other current liabilities used $604,000.
Investing cash outflow narrowed to $2.916 million from $4.145 million, helped by lower spending on property and equipment and software development, which fell to $2.644 million from $3.759 million. Purchases of intangible assets also declined to $272,000 from $386,000.
Cash and cash equivalents ended the quarter at $101.499 million, up from $95.004 million at December 31, 2025. Total assets rose slightly to $457.582 million from $454.667 million.
On the balance sheet, current liabilities climbed to $130.520 million from $122.569 million, driven by higher accrued expenses and deferred revenue. Accrued expenses and other current liabilities increased to $48.105 million from $38.700 million, and deferred revenue rose to $57.987 million from $54.295 million. Accounts payable fell sharply to $4.357 million from $9.522 million.
Debt was little changed at the current level, with current portion of long-term debt at $20.071 million and senior notes, net of current portion at $373.723 million. Total liabilities increased to $509.078 million from $499.162 million.
Stockholders’ deficit widened to $51.496 million from $44.495 million. The accumulated deficit deepened to $1.067 billion from $1.058 billion, while additional paid-in capital rose to $1.023 billion from $1.021 billion. Following these announcements, the company's shares moved 0.31%, and are now trading at a price of $8.155. Check out the company's full 8-K submission here.
