Business
Shopify Announces Second-Quarter 2024 Financial Results
Revenue up 21%, and up 25% Adjusting for the Sale of Our Logistics Businesses; Gross Profit up 25% Year Over Year; Free Cash Flow Margin More Than Doubled
About this update from Shopify Inc.
[{"type":"text","content":"Revenue up 21%, and up 25% Adjusting for the Sale of Our Logistics Businesses;\nGross Profit up 25% Year Over Year;\nFree Cash Flow Margin More Than Doubled Year Over Year to 16%\nInternet, Everywhere--(Newsfile Corp. - August 7, 2024) - Shopify Inc. (NYSE, TSX: SHOP), announced today financial results for the quarter ended June 30, 2024.\n\"Our Q2 results make it clear: Shopify is rapidly strengthening its position as a leading enabler of global commerce and entrepreneurship,\" said Harley Finkelstein, President of Shopify. \"More and more merchants across the world are putting their trust in Shopify's unified commerce operating system to fuel growth and simplify complex operations. We're fully committed to executing our growth strategies and delivering immense value to our merchants for years to come.\"\n\"We are proud to report another quarter of robust financial performance. We drove strong growth in GMV, revenue, and gross profit, all amidst a mixed consumer spend environment, continued to take share and concurrently expanded our free cash flow margin. We delivered across every metric,\" said Jeff Hoffmeister, Chief Financial Officer of Shopify. \"Our results underscore our commitment to providing exceptional value to our merchants through focused operating execution and efficiency. As a high-growth global technology leader in commerce, we remain committed to leveraging our core strengths and investing in opportunities to achieve sustainable growth and long-term profitability.\"\nSecond-Quarter Financial Highlights (all comparisons are to the second quarter of 2023)\n\n\nGross Merchandise Volume1 (\"GMV\") increased 22% to $67.2 billion\n\n\nRevenue increased 21% to $2.0 billion, which translates into year-over-year growth of 25% after adjusting for the sale of our logistics businesses\n\n\nMerchant Solutions revenue increased 19% to $1.5 billion, driven primarily by the growth of GMV and continued penetration of Shopify Payments\n\n\nGross Payments Volume2 (\"GPV\") grew to $41.1 billion, representing 61% of GMV processed in the quarter, versus $31.7 billion, or 58%\n\n\nSubscription Solutions revenue increased 27% to $563 million, driven by growth in the number of merchants and pricing increases on our subscription plans\n\n\nMonthly Recurring Revenue3 (\"MRR\") as of June 30, 2024 increased 25% to $169 million, driven by...