Shopify Inc.NASDAQ: SHOP

Financial Supplemental (ebd59d8d bf29 45f3 af49 ef27c5e7f5fb)

· Issued by Shopify Inc.

Summary by 6ix AI

Shopify Inc. published a financial supplement showing revenue of US$3,742 million and net income of US$462 million, or US$0.36 per basic and diluted share, for the three months ended September 30, 2026.

Key details

  • Revenue for the quarter ended September 30, 2026 came from subscription solutions (US$836 million) and merchant solutions (US$2,906 million). Gross profit was US$1,781 million.
  • Income from operations was US$568 million, a GAAP (standard US accounting rules) operating margin of 15%, for the quarter ended September 30, 2026. Total operating expenses were US$1,213 million.
  • Net income for the quarter ended September 30, 2026 included a net unrealized loss on equity and other investments of US$127 million and a provision for income taxes of US$37 million.
  • On a non-GAAP basis (adjusted measures that exclude items such as stock-based compensation), operating income was US$717 million, a 19% margin, and diluted earnings were US$0.49 per share for the quarter ended September 30, 2026.
  • For the quarter ended September 30, 2025, revenue was US$2,844 million, net income was US$264 million and diluted earnings were US$0.20 per share.

6ix AI wrote this summary from the release below and checked it against the release.

On 6ix: 6ix.com/news/shopify-financial-supplemental-ebd59d8d-bf29-45f3-af49-ef27c5e7f5fb

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(In US $ Millions, Except Per Share Amounts)

‌Three Months Ended Revenues Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Jun 30, 2025 Mar 31, 2025 Dec 31, 2024

Subscription solutions 836 802 750 777 699 656 620 666

Merchant solutions 2,906 2,781 2,420 2,895 2,145 2,024 1,740 2,146

3,742 3,583 3,170 3,672 2,844 2,680 2,360 2,812

Subscription solutions 175 163 148 148 128 121 123 134

Cost of revenues

Merchant solutions

1,786

1,712

1,476

1,831

1,325

1,257

1,068

1,326

1,961

1,875

1,624

1,979

1,453

1,378

1,191

1,460

Gross profit

1,781

1,708

1,546

1,693

1,391

1,302

1,169

1,352

Operating expenses

Sales and marketing

466

498

496

433

410

415

405

348

Research and development

497

445

437

390

375

394

377

351

General and administrative

130

136

115

125

115

122

109

112

Transaction and loan losses

120

141

116

114

148

80

75

76

Total operating expenses

1,213

1,220

1,164

1,062

1,048

1,011

966

887

Income from operations

568

488

382

631

343

291

203

465

Other income (expense), net

Interest income

65

66

75

79

81

106

65

72

Net realized gain on equity and other investments

10

1

3

32

-

1

-

-

Net unrealized (loss) gain on equity and other investments

(127)

1,249

(1,064)

216

(62)

681

(1,021)

928

Net (loss) gain on equity method investment

(21)

(22)

(21)

28

(21)

(24)

(23)

(22)

Realized loss on embedded derivative

-

-

-

(123)

-

-

-

-

Unrealized gain (loss) on embedded derivative

-

-

-

29

(29)

-

-

-

Foreign exchange gain (loss)

4

(7)

(9)

-

(4)

24

6

(22)

Total other (expense) income, net

(69)

1,287

(1,016)

261

(35)

788

(973)

956

Income (loss) before income taxes

499

1,775

(634)

892

308

1,079

(770)

1,421

(Provision for) recovery of income taxes

(37)

(273)

53

(149)

(44)

(173)

88

(128)

Net income (loss)

462

1,502

(581)

743

264

906

(682)

1,293

Net income (loss) per share attributable to shareholders:

Basic

$ 0.36

$ 1.16

$ (0.45)

$ 0.57

$ 0.20

$ 0.70

$ (0.53)

$ 1.00

Diluted

$ 0.36

$ 1.16

$ (0.45)

$ 0.57

$ 0.20

$ 0.69

$ (0.53)

$ 0.99

Weighted average shares used to compute net income (loss) per share attributable to

shareholders:

Basic

1,286,866,079

1,295,220,307

1,303,357,874

1,302,490,030

1,300,069,685

1,297,746,050

1,295,377,376

1,292,349,784

Diluted

1,290,726,742

1,297,940,958

1,303,357,874

1,308,408,782

1,312,872,709

1,308,993,838

1,295,377,376

1,305,229,922

Other comprehensive income (loss)

Unrealized gain (loss) on cash flow hedges

2

(4)

(7)

3

(9)

16

5

(14)

Tax effect on unrealized (loss) gain on cash flow hedges

(1)

1

2

(1)

3

(5)

(1)

5

Total other comprehensive income (loss)

1

(3)

(5)

2

(6)

11

4

(9)

Comprehensive income (loss)

463

1,499

(586)

745

258

917

(678)

1,284

In addition to disclosing financial results in accordance with GAAP, this Financial Supplement provides supplementary non-GAAP financial measures to consider in evaluating Shopify Inc.'s (the "Company," "we," or "our") operating performance. These non-GAAP measures should not be viewed as a substitute for reported results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP measures that may be presented by other companies. See the tables titled "Unaudited Condensed Consolidated Statement of Operations - Non-GAAP" on pages 2 and 3 for a reconciliation of any non-GAAP financial measures. Investors should refer to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, and subsequent quarterly reports and other filings filed with the Securities and Exchange Commission from time to time for additional information.

‌Three Months Ended

Sep 30,

2026

Jun 30,

2026

Mar 31,

2026

Dec 31,

2025

Sep 30,

2025

Jun 30,

2025

Mar 31,

2025

Dec 31,

2024

Revenue

3,742

3,583

3,170

3,672

2,844

2,680

2,360

2,812

Gross profit

1,781

1,708

1,546

1,693

1,391

1,302

1,169

1,352

Operating expenses

Sales and marketing

466

498

496

433

410

415

405

348

Research and development

497

445

437

390

375

394

377

351

General and administrative

130

136

115

125

115

122

109

112

Transaction and loan losses

120

141

116

114

148

80

75

76

Total operating expenses

1,213

1,220

1,164

1,062

1,048

1,011

966

887

Income from operations - GAAP

568

488

382

631

343

291

203

465

Stock-based compensation expense and related taxes

147

133

138

125

116

120

123

118

Amortization of acquired intangible assets

2

2

3

4

3

3

3

2

Impairment of right-of-use assets and leaseholds

-

-

-

-

3

10

-

-

Total Non-GAAP operating income adjustments

149

135

141

129

122

133

126

120

Non-GAAP operating income

717

623

523

760

465

424

329

585

GAAP operating margin

15 %

14 %

12 %

17 %

12 %

11 %

9 %

17 %

Non-GAAP operating margin

19 %

17 %

16 %

21 %

16 %

16 %

14 %

21 %

Stock-based compensation expense and related payroll taxes as follows:

Cost of revenues

1

2

1

1

1

1

1

-

Sales and marketing

13

9

11

10

13

12

13

13

Research and development

104

94

97

87

78

85

84

81

General and administrative

29

28

29

27

24

22

25

24

Total

147

133

138

125

116

120

123

118

GAAP net income (loss) Sep 30, Jun 30, Mar 31, Dec 31, Sep 30, Jun 30, Mar 31, Dec 31, 2026 2026 2026 2025 2025 2025 2025 2024

462 1,502 (581) 743 264 906 (682) 1,293

Non-GAAP adjustments to net income (loss): Three Months Ended

Net loss (gain) on equity and other investments 117 (1,250) 1,061 (248) 62 (682) 1,021 (928)

Non-GAAP operating income adjustments (see table above) 149 135 141 129 122 133 126 120

Loss on embedded derivative - - - 94 29 - - -

Net loss (gain) on equity method investment 21 22 21 (28) 21 24 23 22

575

335

455

441

633

471

549

638

Non-GAAP net income

Income tax effects and tax adjustments (111) 140 (171) (57) (57) 74 (153) 68

Diluted net income (loss) per share attributable to shareholders*:

Non-GAAP

$ 0.49

$ 0.42

$ 0.36

$ 0.48

$ 0.34

$ 0.35

$ 0.25

$ 0.44

Weighted average shares used to compute net income (loss) per share attributable to shareholders:

GAAP $ 0.36 $ 1.16 $ (0.45) $ 0.57 $ 0.20 $ 0.69 $ (0.53) $ 0.99

Diluted 1,290,726,742 1,297,940,958 1,307,231,484 1,308,408,782 1,312,872,709 1,308,993,838 1,307,935,143 1,305,229,922

*may include rounding

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