From Nasdaq: 2024-05-09 12:04:00

Shopify reported a Q1 2024 adjusted earnings of 20 cents per share, beating estimates by 25% and up from 1 cent per share in the year-ago quarter. Revenues jumped 23.4% to $1.86 billion, with Subscription Solutions revenue up 33.8% and Merchant Solutions revenue up 20%.

In the reported quarter, Shopify processed $36.2 billion of GMV on Shopify Payments, up 32% year over year, with Shop Pay processing $14 billion of GMV. Monthly Recurring Revenues were $151 million, up 32% year over year. Non-GAAP gross profit increased 30.4% to $962 million.

Shopify had a cash balance of $5.2 billion as of Mar 31, 2024, and free cash flow was $232 million. For Q2 2024, Shopify expects revenue growth in the high teens on a year-over-year basis, with a decrease in gross margin and operating expenses between 45% and 46% of revenues.

Shopify currently carries a Zacks Rank #3 (Hold), with shares declining 19.5% year to date. Nutanix, NetApp, and NVIDIA are better-ranked stocks in the sector. Nutanix shares have gained 38.8% year to date, NetApp shares have gained 24.2%, and NVIDIA shares have gained 82.5%.

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Read more at Nasdaq: Shopify (SHOP) Q1 Earnings Beat Estimates, Revenues Rise Y/Y