Q4 25 EPS
$0.17
MISS 4.17%
Est. $0.18
Q4 25 Revenue
$190.3M
BEAT +2.93%
Est. $184.9M
vs S&P Since Q4 25
-7.5%
TRAILING MARKET
LZ +1.5% vs S&P +9.0%
Full Year 2025 Results
FY 25 EPS
$0.62
MISS 2.87%
Est. $0.64
FY 25 Revenue
$756.0M
BEAT +0.75%
Est. $750.4M
Market Reaction
Did LZ Beat Earnings? Q4 2025 Results
LegalZoom posted a mixed fourth quarter for fiscal 2025, beating on revenue while falling just short on the bottom line, a split verdict that underscores both the momentum and the cost pressures shaping the company's growth story. Revenue came in at … Read more LegalZoom posted a mixed fourth quarter for fiscal 2025, beating on revenue while falling just short on the bottom line, a split verdict that underscores both the momentum and the cost pressures shaping the company's growth story. Revenue came in at $190.27 million, up 17.7% year-over-year and ahead of the $184.67 million consensus, powered by a 20% surge in subscription revenue to $130.95 million as the company continues steering customers toward its higher-value, human-in-the-loop service model. On earnings, however, LegalZoom delivered $0.17 per share, missing the $0.18 estimate by 4.17%, as sales and marketing expenses ballooned to $62.95 million from $47.51 million a year ago, weighing on GAAP net income despite adjusted EBITDA growing 13% to $49.89 million. The company enters 2026 with record free cash flow of $147.92 million and a clean balance sheet carrying $203.10 million in cash and no debt, guiding full-year revenue to $805–$825 million and adjusted EBITDA of $190–$200 million as it leans into AI-driven legal services.
Key Takeaways
- • Subscription revenue growth of 20% YoY in Q4 driven by higher-value customers and differentiated human-in-the-loop service offerings
- • Formation Nation acquisition contributions to revenue growth
- • Transaction revenue growth of 12% YoY in Q4
- • Business formations up 17% YoY in Q4 to 112 thousand
- • Average order value increased 13% YoY to $248 in Q4
- • Subscription units at period end grew 10% YoY to 1,939 thousand
- • ARPU increased 1% YoY to $266
LZ YoY Financials
Q4 2025 vs Q4 2024, source: SEC Filings
LZ Revenue by Segment
With YoY comparisons, source: SEC Filings
“LegalZoom is built for where the market is going. AI is transforming how legal work starts, which is opening up new markets. We are winning by delivering customers to the finish line with trust, judgment, and execution.”
— Jeff Stibel, Q4 2025 Earnings Press Release
LZ Earnings Trends
LZ vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
LZ EPS Trend
Earnings per share: estimate vs actual
LZ Revenue Trend
Quarterly revenue: estimate vs actual
LZ Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 MISS | $0.13 | $0.12 | -8.12% | $206.8M | +2.30% |
| Q4 25 MISS FY | $0.18 | $0.17 | -4.17% | $190.3M | +2.93% |
| FY Full Year | $0.64 | $0.62 | -2.87% | $756.0M | +0.75% |
| Q3 25 MISS | $0.19 | $0.17 | -8.94% | $190.2M | +3.76% |
| Q2 25 BEAT | $0.15 | $0.15 | +0.87% | $192.5M | +5.49% |
| Q1 25 BEAT | $0.13 | $0.13 | +0.85% | $183.1M | +3.56% |