Shopify Revenue More Than Doubles on Online Boom

Shopify Revenue More Than Doubles on Online Boom

The Shopify App. Shutterstock.

Canada’s Shopify Inc, reported a 110 percent jump in first-quarter revenue that also trounced analysts’ estimates on Wednesday, as its e-commerce platform profited from the past year’s Covid-19 driven boom in online selling.

The company was a clear pandemic winner as pandemic-induced lockdowns fuelled a swift to online purchases, with revenue jumping 86 percent last year from 2019 and making it Canada’s most valuable firm.

US-listed shares of the Ottawa-based company, which provides infrastructure for retailers to set up their stores online, rose more than 3 percent in pre-market trading.

Gross merchandise volume (GMV), a widely watched figure for the e-commerce industry’s performance, surged 114 percent to $37.3 billion in the quarter ended March 31, topping Street’s expectation for at least the sixth straight quarter. Analysts on average had expected $34.38 billion, according to IBES data from Refinitiv.

Shopify’s revenue rose to $988.6 million, above analysts’ estimate of $865.5 million.

By Tiyashi Datta; editor: Sriraj Kalluvila.

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