Shopify Inc. (SHOP) is a leading commerce platform that empowers businesses of all sizes to create, manage, and grow their online and offline stores. The company provides tools and services for entrepreneurs and enterprises to sell products, manage transactions, and streamline operations. Shopify's offerings include subscription-based software, merchant services, and advanced ecommerce solutions tailored to diverse business needs.
- Merchant Solutions - Offers success-based services such as payment processing, transaction management, and other merchant-focused tools to support business growth and operations.
- Subscription Solutions - Provides subscription-based access to Shopify's platform, including ecommerce tools, point-of-sale systems, and premium features like Shopify Plus for larger businesses.
- Shopify Plus - Targets large-scale merchants with advanced ecommerce automation, B2B capabilities, and dedicated account management.
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| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Tobias Lütke ExecutiveBoard | CEO | Board Member at Coinbase Global Inc. | Co-founder of Shopify, CEO since 2008, previously CTO. Holds significant voting power through Class A, B, and Founder shares. Contributor to Ruby on Rails framework. | View Report → |
Jeff Hoffmeister Executive | CFO | Board Member at a private company (name undisclosed) | Joined Shopify in 2022 after 22 years at Morgan Stanley, where he led the Americas Technology Banking Team. Licensed CPA. | |
David Heinemeier Hansson Board | Director | N/A | Creator of Ruby on Rails and co-founder of Basecamp. Joined Shopify's board to provide technical and entrepreneurial expertise. | |
Fidji Simo Board | Director | CEO and Chair of Instacart; Co-founder of Metrodora Institute and Women in Product | Former VP and Head of the Facebook App. CEO of Instacart and co-founder of organizations focused on healthcare and women in tech. | |
Gail Goodman Board | Director | Board Member at private companies and non-profits | Former CEO of Constant Contact, led its IPO and acquisition. Chair of Shopify's Compensation and Talent Management Committee. | |
Jeremy Levine Board | Director | Partner at Bessemer Venture Partners; Board Member at Pinterest, Inc. | Long-standing Shopify board member since 2011. Partner at Bessemer Venture Partners, focusing on investments in consumer internet and software companies. | |
Kevin Scott Board | Director | EVP of AI and CTO at Microsoft Corp. | Joined Shopify's board to provide expertise in AI and technology. Currently leads AI initiatives at Microsoft. | |
Lulu Cheng Meservey Board | Director | Founder and CEO of Rostra | Former EVP at Activision Blizzard and VP at Substack. Founder of Rostra, a strategic communications firm. | |
Prashanth Mahendra-Rajah Board | Director | CFO at Uber Technologies Inc.; Board Member at Goodyear Tire & Rubber Company | Elected to Shopify's board in 2024. CFO at Uber, with prior financial leadership roles at Analog Devices, Visa, and United Technologies. | |
Robert Ashe Board | Lead Independent Director | Board Member at MSCI Inc. | Lead Independent Director since 2015. Former CEO of Cognos, led its acquisition by IBM. Fellow of the Institute of Chartered Accountants of Ontario. | |
Toby Shannan Board | Director | Board Member and Trustee at Santa Fe Institute | Former COO of Shopify, transitioned to a special advisor role in 2022 before joining the board in 2023. |
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Given the pressures on Merchant Solutions gross margin from lower noncash revenues and payment margins , how do you plan to improve the gross margin profile of this segment?
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With higher transaction losses on capital loans and payments due to volume growth , what strategies are you implementing to manage credit risk and prevent future losses from escalating?
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How are you addressing the potential impact of political uncertainties, such as U.S.-China relations and tariffs, on your international growth, particularly in China ?
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Despite strong GMV growth in Europe , what steps are you taking to sustain this momentum amid increasing competition in these markets?
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As you expand into the enterprise market, how do you plan to compete with established ERP and CRM providers without overextending beyond your core commerce competencies ?
Research analysts who have asked questions during SHOPIFY earnings calls.
Colin Sebastian
Baird
4 questions for SHOP
Mark Zgutowicz
The Benchmark Company
4 questions for SHOP
Michael Morton
MoffettNathanson
4 questions for SHOP
Andrew Boone
JMP Securities
3 questions for SHOP
Trevor Young
Barclays
3 questions for SHOP
Bradley Sills
Bank of America
2 questions for SHOP
Brian Peterson
Raymond James Financial
2 questions for SHOP
Craig Maurer
FT Partners
2 questions for SHOP
Deepak Mathivanan
Cantor Fitzgerald
2 questions for SHOP
Dominic Ball
Redburn Atlantic
2 questions for SHOP
Gabriela Borges
Goldman Sachs
2 questions for SHOP
Ken Wong
Oppenheimer & Co. Inc.
2 questions for SHOP
Richard Tse
National Bank Financial
2 questions for SHOP
Siti Panigrahi
Mizuho Securities
2 questions for SHOP
Todd Coupland
CIBC
2 questions for SHOP
Andrew Bauch
Wells Fargo & Company
1 question for SHOP
Arjun Bhatia
William Blair
1 question for SHOP
Bhavin Shah
Deutsche Bank
1 question for SHOP
Craig Mauer
Financial Technology Partners
1 question for SHOP
David Hynes
Canaccord Genuity Group Inc.
1 question for SHOP
Jeffrey Cantwell
Seaport Research Partners
1 question for SHOP
Keith Weiss
Morgan Stanley
1 question for SHOP
Mark Mahaney
Evercore ISI
1 question for SHOP
Martin Toner
ATB Capital Markets
1 question for SHOP
Paul Treiber
RBC Capital Markets
1 question for SHOP
Reggie Smith
JPMorgan Chase & Co.
1 question for SHOP
Rob Wildhack
Autonomous Research
1 question for SHOP
Samad Samana
Jefferies
1 question for SHOP
Sitikantha Panigrahi
Mizuho
1 question for SHOP
Terry Tillman
Truist Securities
1 question for SHOP
Thomas Ingham
CIBC
1 question for SHOP
Timothy Chiodo
UBS Group AG
1 question for SHOP
Tyler Radke
Citigroup Inc.
1 question for SHOP
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Individually immaterial acquisitions | 2023 | In 2023, Shopify completed several individually immaterial acquisitions that resulted in the recognition of $29 million in goodwill, reflecting expected synergies and benefits despite each acquisition being too small for detailed disclosure. |
Deliverr, Inc. | 2022 | Shopify completed the Deliverr, Inc. acquisition on July 8, 2022, for a total consideration of approximately $2.1 billion (comprising $1.7 billion in net cash and $0.4 billion in shares) to integrate its capabilities and scale into the Shopify Fulfillment Network, enhancing multi-channel inventory management and logistics capabilities, while also recognizing $1,437.7 million in goodwill and other identifiable intangible assets. |
Recent press releases and 8-K filings for SHOP.
- Commerce.com, Inc. reported Q3 2025 total revenue of $86.0 million, an increase of 3% compared to the three months ended September 30, 2024, with non-GAAP net income of $6.2 million and Adjusted EBITDA of $8.8 million.
- Total Annual Recurring Revenue (ARR) as of September 30, 2025, was $355.7 million, up 2% year-over-year, with ARR from Enterprise Accounts increasing 5% to $269.2 million.
- For the fourth quarter of 2025, the company expects total revenue between $87.8 million to $92.8 million. The full-year 2025 total revenue is projected to be between $340.6 million and $345.6 million.
- The company is focusing on scaling sustainable growth and leveraging strategic partnerships with AI leaders like Perplexity, Google, and PayPal, and announced new offerings including Feedonomics Surface and an embedded payment processing solution with PayPal.
- Shiplify's analysis indicates that the week following Thanksgiving consistently marks the beginning of the residential freight peak season, with residential shipments surging by 123% in 2023 and 103.9% in 2024 compared to Thanksgiving week.
- Early December is identified as the most concentrated period for residential LTL shipping, which introduces added complexity and hidden costs for carriers and 3PLs due to factors like liftgates and limited access points.
- To mitigate these risks and protect margins, Shiplify emphasizes the critical need for digital accuracy in capturing accessorials and validating delivery data upfront.
- Despite an ongoing "freight recession," consumer demand in direct-to-consumer eCommerce remains strong, with Shopify projecting over $226 billion in D2C orders for 2025.
- Shopify reported robust Q3 2025 financial performance, with GMV growing 32% and revenue increasing 32% (30% and 31% on a constant currency basis, respectively). The company also achieved an 18% free cash flow margin.
- The company demonstrated consistent financial execution, with revenue growth accelerating from 27% in Q1 to 32% in Q3, and free cash flow margins improving from 15% in Q1 to 18% in Q3.
- Strategic initiatives in AI are gaining traction, with over 750,000 shops using the Sidekick AI assistant for the first time in Q3 and partnerships with major AI platforms for agentic commerce.
- Growth was broad-based across channels and segments, including B2B GMV nearly doubling at 98% year-over-year and Shopify Payments reaching 65% penetration of GMV. The company also noted continued migration of enterprise brands to its platform.
- Shopify reported strong Q3 2025 financial performance, with merchant solutions revenue increasing 38% and subscription solutions revenue growing 15%. The company achieved $507 million in free cash flow, representing 18% of revenue.
- Operating expenses for Q3 2025 were 37% of revenue, demonstrating increased operating leverage, down from 45% in 2023 and 39% in 2024, primarily due to disciplined headcount management.
- The company is heavily focused on AI, noting a 7x increase in AI-driven traffic to Shopify stores and an 11x increase in orders attributed to AI searches since January. Shopify is building "agentic commerce" tools and partnering with major AI platforms like ChatGPT.
- Shopify continues to expand its enterprise footprint, attracting major brands across diverse verticals and displacing incumbent platforms, with offline GMV growing 31% in Q3.
- For Q4 2025, Shopify anticipates revenue growth in the mid- to high-20s% year-over-year and expects Q4 free cash flow margin to be slightly above Q3, projecting a 2025 free cash flow margin similar to 2024.
- Shopify reported robust Q3 2025 financial results, with GMV growing 32% and revenue increasing 32%, achieving an 18% free cash flow margin.
- For Q4 2025, the company anticipates revenue growth in the mid to high 20s year-over-year and a free cash flow margin slightly above Q3, with the full year 2025 free cash flow margin expected to be similar to 2024.
- Strategic growth drivers include significant international expansion, with international GMV up 41% and Europe contributing 21% of overall Q3 revenue, alongside strong growth in offline GMV (up 31%) and B2B GMV (up 98%).
- The company is heavily investing in and leveraging AI, reporting a 7x increase in AI-driven traffic to Shopify stores and an 11x increase in orders attributed to AI searches since January, and has partnered with conversational AI leaders like ChatGPT and Microsoft Copilot.
- Shopify reported robust financial results for Q3 2025, with revenue reaching $2.8 billion, marking a 32% year-over-year increase, and Gross Merchandise Volume (GMV) growing to $94 billion, also up 32% year-over-year.
- The company demonstrated strong profitability and cash generation, achieving a gross profit of $1.4 billion with a 48.9% margin , and generating free cash flow of $507 million with an 18% margin.
- Key operational metrics continued to show significant growth, including Monthly Recurring Revenue (MRR) of $193 million and Gross Payments Volume (GPV) of $60 billion, representing 65% penetration.
- Shopify's B2B commerce experienced 98% year-over-year growth in Q3 2025, while offline GMV increased by 31%.
- Operating leverage improved, with total adjusted operating expenses as a percentage of revenue at 33% in Q3 2025.
- Shopify reported strong Q3 2025 financial results, with revenue growing 32% (or 31% on a constant currency basis) and GMV increasing 32% (or 30% on a constant currency basis) to $92 billion. The company achieved an 18% free cash flow margin in Q3 2025.
- Growth was significantly driven by international expansion, with international GMV up 41% in Q3, and increased penetration of Shopify Payments, which reached 65% of GMV. Merchant Solutions revenue increased 38%.
- Shopify is heavily investing in and leveraging AI across its platform, including for agentic commerce and merchant operations through its Sidekick intelligent assistant, which was used by over 750,000 shops for the first time in Q3.
- The company continues to attract large enterprise brands, with companies such as Estee Lauder Companies choosing Shopify to power their businesses.
- For Q4 2025, Shopify anticipates revenue growth in the mid to high 20s year over year and expects gross profit dollars to grow in the low to mid-20s.
- Shopify Inc. reported its financial results for the quarter ended September 30, 2025, on November 4, 2025.
- For Q3 2025, revenue increased by 32% year-over-year to $2,844 million, and Gross Merchandise Volume (GMV) grew by 32% to $92,013 million.
- The company achieved an 18% free cash flow margin in Q3 2025, marking its ninth consecutive quarter of double-digit free cash flow margins.
- For Q4 2025, Shopify expects revenue to grow at a mid-to-high-twenties percentage rate year-over-year and projects the free cash flow margin to be slightly above Q3 2025.
- Shopify and Domaine Worldwide have launched a European Platform Migrations initiative to facilitate the migration of enterprise-level brands in the UK, DACH region, and Benelux to Shopify's scalable infrastructure.
- Domaine Worldwide is positioned as the key commercial partner for this initiative, distinguished by its exclusive specialization in Shopify and its status as the largest global team of Shopify SMEs outside of Shopify itself.
- The partnership highlights measurable success, with examples such as Creed experiencing a 22.1% increase in average order value and Laura Mercier seeing a 38% increase in average order value and 22% increase in revenue after migrating to Shopify.
- Shopify and Domaine Worldwide have launched a European Platform Migrations initiative to facilitate enterprise platform migrations to Shopify in the UK, DACH, and Benelux regions.
- Domaine Worldwide, a leading global design and development partner for Shopify, specializes exclusively in Shopify and has the largest global team of Shopify experts outside of Shopify itself, managing complex enterprise migrations.
- The initiative aims to provide brands with a strategic path to improved performance, agility, and measurable ROI by modernizing their legacy systems.
- Previous migrations by Domaine for brands like Creed resulted in a 22.1% increase in average order value and a 19% increase in recurring customers, while Laura Mercier saw a 38% increase in average order value and 22% increase in revenue.