Third-Quarter Revenue Grows 96% on GMV Growth
of 109% Year on Year
Shopify reports in U.S. dollars and in
accordance with U.S. GAAP
Shopify Inc. (NYSE:SHOP)(TSX:SHOP), a leading global commerce
company, announced today strong financial results for the third
quarter ended September 30, 2020.
“The accelerated shift to digital commerce triggered by COVID-19
is continuing, as more consumers shop online and entrepreneurs step
up to meet demand,” said Harley Finkelstein, Shopify’s President.
“Entrepreneurs will be the force in rebuilding economies all over
the world, which makes it even more important for Shopify to
innovate and build the critical tools that merchants need to
succeed in a low-touch retail environment.”
“Shopify’s tremendous third-quarter results reflect the
resilience and entrepreneurial spirit of our merchants,” said Amy
Shapero, Shopify’s CFO. “More entrepreneurs are signing on to
Shopify so they can quickly and easily put their ideas into action.
We continue to evolve our global commerce operating system to make
it easier for merchants to get online and start selling, get
discovered, and get their goods to buyers, while providing a
delightful shopping experience.”
Third-Quarter Financial Highlights
- Total revenue in the third quarter was $767.4 million, a 96%
increase from the comparable quarter in 2019.
- Subscription Solutions revenue was $245.3 million, up 48% year
over year, primarily due to more merchants joining the
platform.
- Merchant Solutions revenue growth increased 132%, to $522.1
million, driven primarily by the growth of Gross Merchandise
Volume1 ("GMV").
- Monthly Recurring Revenue2 ("MRR") as of September 30, 2020 was
$74.4 million. Growth accelerated to 47% year-over-year with MRR up
from $50.7 million as of September 30, 2019 as merchants from both
the 90-day free trial (offered from March 21, 2020 through May 31,
2020) and standard 14-day free trial (offered from June 1, 2020
onwards) converted into paying merchants in the quarter, creating a
‘double cohort’ effect. Shopify Plus contributed $18.7 million, or
25%, of MRR compared with 27% of MRR as of September 30, 2019 as a
result of the significantly higher number of Standard merchants
joining the platform in Q3 2020.
- GMV for the third quarter was $30.9 billion, an increase of
$16.1 billion, or 109% over the third quarter of 2019. Gross
Payments Volume3 ("GPV") grew to $14.0 billion, which accounted for
45% of GMV processed in the quarter, versus $6.2 billion, or 42%,
for the third quarter of 2019.
- Gross profit dollars grew 87% to $405.1 million in the third
quarter of 2020, compared with $216.7 million for the third quarter
of 2019.
- Adjusted gross profit4 grew 88% to $412.6 million in the third
quarter of 2020, compared with $219.4 million for the third quarter
of 2019.
- Operating income for the third quarter of 2020 was $50.6
million, or 7% of revenue, versus a loss of $35.7 million, or 9% of
revenue, for the comparable period a year ago.
- Adjusted operating income4 for the third quarter of 2020 was
$130.9 million, or 17% of revenue, compared with adjusted operating
income of $10.5 million or 3% of revenue in the third quarter of
2019.
- Net income for the third quarter of 2020 was $191.1 million, or
$1.54 per diluted share, compared with a net loss of $72.8 million,
or $0.64 per basic and diluted share, for the third quarter of
2019.
- Adjusted net income4 for the third quarter of 2020 was $140.8
million, or $1.13 per diluted share, compared with adjusted net
loss of $33.6 million, or $0.29 per basic and diluted share, for
the third quarter of 2019. Adjusted net income in the third quarter
of 2020 excludes an unrealized gain on an equity investment of
$133.2 million or $1.07 per share, stock-based compensation and
related payroll taxes of $75.4 million or $0.60 per share, and
other adjustments totaling $7.5 million or $0.06 per share.
- At September 30, 2020, Shopify had $6.12 billion in cash, cash
equivalents and marketable securities, compared with $2.46 billion
on December 31, 2019. The increase reflects $2.03 billion of net
proceeds from Shopify’s offering of Class A subordinate voting
shares and convertible senior notes in the third quarter of 2020
and $1.46 billion of net proceeds from Shopify's offering of Class
A subordinate voting shares in the second quarter of 2020.
Third-Quarter Business Highlights
- Shopify began rolling out to a select number of merchants early
access to Shop Pay Installments, a ‘buy now, pay later’ product
that lets merchants offer their customers more payment choice and
flexibility at checkout, helping merchants boost sales through
increased cart size and higher conversion.
- Shopify continued to build the foundation of Shopify
Fulfillment Network, including developing the software that
connects the network, adding partner nodes and improving their
performance, and enhancing the merchant-facing app and merchant
support functions. With strong demand for Shopify Fulfillment
Network’s services expected heading into the holiday selling season
in Q4 2020, we intend to continue to enroll merchants and build
volume at a rate where we can maintain high quality standards to
achieve product-market fit at this early stage of our fulfillment
network’s development.
- 6 River Systems held its second annual user conference, FLOW
2020, a fully interactive online event where several enhancements
to its wall-to-wall fulfillment solution were announced, including
The Bridge, an overarching tool that connects the data from what’s
happening in a physical warehouse operation to an intuitive
cloud-based control center, providing more visibility into
operations and increasing efficiency.
- Shopify launched Shopify Payments in Belgium, enabling iDEAL as
a local payment method and supporting Bancontact debit payments,
expanding the availability of Shopify Payments to 17
countries.
- 51% of eligible merchants in the United States and Canada
utilized Shopify Shipping in the third quarter of 2020, versus 45%
in the third quarter of 2019.
- Merchants in the U.S., Canada, and the U.K. received $252.1
million in merchant cash advances and loans from Shopify Capital in
the third quarter of 2020, an increase of 79% versus the $141.0
million received by U.S. merchants in the third quarter of last
year. Shopify Capital has grown to approximately $1.4 billion in
cumulative capital advanced since its launch in April 2016, with
approximately $248.0 million of which was outstanding on September
30, 2020.
- Shopify’s partner ecosystem continued to expand, as
approximately 37,400 partners referred a merchant to Shopify over
the past 12 months, compared with 23,000 over the 12 months ended
September 30, 2019.
Subsequent to Third-Quarter 2020
- Shopify announced a collaboration with Operation HOPE to help
the organization’s goal to create one million new Black-owned
businesses in the U.S. by 2030. Shopify intends to provide up to
$130 million of resources to support Operation HOPE’s efforts to
reduce systemic barriers to entry to entrepreneurship historically
faced by the Black community.
- Shopify launched the TikTok channel, enabling merchants to
market their products using TikTok for Business. Merchants are able
to create in-feed video ads that autoplay between videos while
users scroll through their For You page. Shopify and TikTok will
also collaborate to test new commerce features over the coming
months that will further empower merchants to expand their paid and
organic reach in video and on profiles.
Financial Outlook
While Shopify expects both sellers and buyers to continue
adopting multi-channel commerce for safety as the COVID-19 pandemic
continues, and to continue using multi-channel commerce for
selection and convenience, near-term demand for our subscription
and merchant solutions depends on several external factors that are
particularly fluid at present. These include unemployment, fiscal
stimulus, and the magnitude and duration of the COVID-19 pandemic,
all of which may impact new shop creation on our platform and
consumer spending.
Despite the heightened uncertainty surrounding the macro
environment, Shopify remains uniquely positioned to level the
playing field for entrepreneurs during this period of rapid change
in the retail landscape. While Shopify is not providing a financial
outlook for Q4 2020 or for full year 2020, as a leading global
commerce operating system that can help merchants of all sizes
adapt their businesses to this new reality, Shopify expects to
continue to attract more independent voices to commerce, and will
continue investing to innovate on their behalf.
Quarterly Conference Call
Shopify’s management team will hold a conference call to discuss
our third-quarter results today, October 29, 2020, at 8:30 a.m. ET.
The conference call will be webcast on the investor relations
section of Shopify’s website at
https://investors.shopify.com/news-and-events/default.aspx#upcoming-events.
An archived replay of the webcast will be available following the
conclusion of the call.
Shopify’s Third-Quarter 2020 Interim Unaudited Condensed
Consolidated Financial Statements and Notes and its Third Quarter
2020 Management's Discussion and Analysis are available on
Shopify’s website at www.shopify.com and will be filed on SEDAR at
www.sedar.com and on EDGAR at www.sec.gov.
About Shopify
Shopify is a leading global commerce company, providing trusted
tools to start, grow, market, and manage a retail business of any
size. Shopify makes commerce better for everyone with a platform
and services that are engineered for reliability, while delivering
a better shopping experience for consumers everywhere.
Headquartered in Ottawa, Canada, Shopify powers over one million
businesses in more than 175 countries and is trusted by brands such
as Allbirds, Gymshark, Heinz, Staples and many more. For more
information, visit www.shopify.com.
Non-GAAP Financial Measures
To supplement our consolidated financial statements, which are
prepared and presented in accordance with United States generally
accepted accounting principles ("GAAP"), Shopify uses certain
non-GAAP financial measures to provide additional information in
order to assist investors in understanding our financial and
operating performance.
Adjusted gross profit, adjusted operating income, non-GAAP
operating expenses, adjusted net income (loss) and adjusted net
income (loss) per share are non-GAAP financial measures that
exclude the effect of stock-based compensation expenses and related
payroll taxes and amortization of acquired intangibles. Adjusted
net income and adjusted net income per share also exclude an
unrealized gain on an equity investment, amortization of the debt
discount related to Shopify’s convertible senior notes, and tax
effects related to non-GAAP adjustments.
Management uses non-GAAP financial measures internally for
financial and operational decision-making and as a means to
evaluate period-to-period comparisons. Shopify believes that these
non-GAAP measures provide useful information about operating
results, enhance the overall understanding of past financial
performance and future prospects, and allow for greater
transparency with respect to key metrics used by management in its
financial and operational decision making. Non-GAAP financial
measures are not recognized measures for financial statement
presentation under U.S. GAAP and do not have standardized meanings,
and may not be comparable to similar measures presented by other
public companies. Such non-GAAP financial measures should be
considered as a supplement to, and not as a substitute for, or
superior to, the corresponding measures calculated in accordance
with GAAP. See the financial tables below for a reconciliation of
the non-GAAP measures.
Forward-looking Statements
This press release contains certain forward-looking statements
within the meaning of applicable securities laws, including
statements regarding Shopify’s planned business initiatives and
operations and financial outlook, the performance of Shopify's
merchants, the impact of Shopify's business on its merchants and
other entrepreneurs, and economic activity and consumer spending.
Words such as “believe”, "continue", "will", "intends", "support",
“allow”, and "expect" or similar expressions are intended to
identify forward-looking statements.
These forward-looking statements are based on Shopify’s current
projections and expectations about future events and financial
trends that management believes might affect its financial
condition, results of operations, business strategy and financial
needs, and on certain assumptions and analysis made by Shopify in
light of the experience and perception of historical trends,
current conditions and expected future developments and other
factors management believes are appropriate. These projections,
expectations, assumptions and analyses are subject to known and
unknown risks, uncertainties, assumptions and other factors that
could cause actual results, performance, events and achievements to
differ materially from those anticipated in these forward-looking
statements. Although Shopify believes that the assumptions
underlying these forward-looking statements are reasonable, they
may prove to be incorrect, and readers cannot be assured that
actual results will be consistent with these forward-looking
statements. Actual results could differ materially from those
projected in the forward-looking statements as a result of numerous
factors, including certain risk factors, many of which are beyond
Shopify’s control, including but not limited to: (i) uncertainty
around the duration and scope of the COVID-19 pandemic and the
impact of the pandemic and actions taken in response on global and
regional economies and economic activity; (ii) shifting our
operations to be “digital-by-default”; (iii) merchant acquisition
and retention; (iv) managing our growth; (v) our history of losses;
(vi) our limited operating history; (vii) our ability to innovate;
(viii) the security of personal information we store relating to
merchants and their customers and consumers with whom we have a
direct relationship; (ix) a disruption of service or security
breach; (x) our potential inability to compete successfully against
current and future competitors; (xi) international sales and the
use of our platform in various countries; (xii) the reliance of our
growth in part on the success of our strategic relationships with
third parties; (xiii) our potential failure to effectively
maintain, promote and enhance our brand; (xiv) our use of a single
cloud-based platform to deliver our services; (xv) our potential
inability to achieve or maintain data transmission capacity; (xvi)
our reliance on a single supplier to provide the technology we
offer through Shopify Payments; (xvii) payments processed through
Shopify Payments; (xviii) our potential inability to hire, retain
and motivate qualified personnel; (xix) serious errors or defects
in our software or hardware or issues with our hardware supply
chain; (xx) evolving privacy laws and regulations, cross-border
data transfer restrictions, data localization requirements and
other domestic or foreign regulations may limit the use and
adoption of our services; and (xxi) other one-time events and other
important factors disclosed previously and from time to time in
Shopify’s filings with the U.S. Securities and Exchange Commission
and the securities commissions or similar securities regulatory
authorities in each of the provinces or territories of Canada. The
forward-looking statements contained in this news release represent
Shopify’s expectations as of the date of this news release, or as
of the date they are otherwise stated to be made, and subsequent
events may cause these expectations to change. Shopify undertakes
no obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as may be required by law.
Shopify Inc.
Condensed Consolidated
Statements of Operations and Comprehensive Income (Loss)
(Expressed in US $000’s, except
share and per share amounts, unaudited)
Three months ended
Nine months ended
September 30, 2020
September 30, 2019
September 30, 2020
September 30, 2019
$
$
$
$
Revenues
Subscription solutions
245,274
165,577
629,317
459,075
Merchant solutions
522,131
224,975
1,322,430
613,938
767,405
390,552
1,951,747
1,073,013
Cost of revenues
Subscription solutions
52,170
33,263
134,282
90,786
Merchant solutions
310,087
140,593
780,333
380,475
362,257
173,856
914,615
471,261
Gross profit
405,148
216,696
1,037,132
601,752
Operating expenses
Sales and marketing
147,608
116,546
447,320
340,778
Research and development
143,427
90,387
393,050
252,262
General and administrative
51,799
38,022
179,948
103,247
Transaction and loan losses
11,753
7,399
39,202
16,533
Total operating expenses
354,587
252,354
1,059,520
712,820
Income (loss) from operations
50,561
(35,658)
(22,388)
(111,068)
Other income, net
135,806
11,212
152,999
33,793
Income (loss) before income
taxes
186,367
(24,446)
130,611
(77,275)
Recovery of (provision for) income
taxes
4,701
(48,338)
65,026
(48,338)
Net income (loss)
191,068
(72,784)
195,637
(125,613)
Other comprehensive income
(loss)
4,190
(6,097)
(1,790)
9,923
Comprehensive income (loss)
195,258
(78,881)
193,847
(115,690)
Net income (loss) per share
attributable to shareholders:
Basic
1.59
(0.64)
1.65
(1.12)
Diluted
1.54
(0.64)
1.59
(1.12)
Shares used to compute net income
(loss) per share attributable to shareholders:
Basic
120,511,484
113,086,997
118,692,898
112,015,160
Diluted
124,908,279
113,086,997
123,399,606
112,015,160
Shopify Inc.
Condensed Consolidated Balance
Sheets
(Expressed in US $000’s except
share amounts, unaudited)
As at
September 30, 2020
December 31, 2019
$
$
Assets
Current assets
Cash and cash equivalents
3,089,884
649,916
Marketable securities
3,031,277
1,805,278
Trade and other receivables, net
109,700
90,529
Merchant cash advances, loans and related
receivables, net
247,977
150,172
Income taxes receivable
71,303
—
Other current assets
63,076
46,333
6,613,217
2,742,228
Long-term assets
Property and equipment, net
94,698
111,398
Intangible assets, net
143,925
167,282
Right-of-use assets, net
122,710
134,774
Deferred tax assets
5,116
19,432
Equity and other investments
170,500
2,500
Goodwill
311,865
311,865
848,814
747,251
Total assets
7,462,031
3,489,479
Liabilities and shareholders’
equity
Current liabilities
Accounts payable and accrued
liabilities
261,561
181,193
Income taxes payable
799
69,432
Deferred revenue
96,777
56,691
Lease liabilities
10,994
9,066
370,131
316,382
Long-term liabilities
Deferred revenue
23,080
5,969
Lease liabilities
141,539
142,641
Convertible senior notes
750,452
—
Deferred tax liabilities
—
8,753
915,071
157,363
Commitments and contingencies
Shareholders’ equity
Common stock, unlimited Class A
subordinate voting shares authorized, 110,044,179 and 104,518,173
issued and outstanding; unlimited Class B multiple voting shares
authorized, 11,868,020 and 11,910,802 issued and outstanding
6,035,099
3,256,284
Additional paid-in capital
251,061
62,628
Accumulated other comprehensive (loss)
income
(744
)
1,046
Accumulated deficit
(108,587
)
(304,224
)
Total shareholders’ equity
6,176,829
3,015,734
Total liabilities and shareholders’
equity
7,462,031
3,489,479
Shopify Inc.
Condensed Consolidated
Statements of Cash Flows
(Expressed in US $000’s,
unaudited)
Nine months ended
September 30, 2020
September 30, 2019
$
$
Cash flows from operating
activities
Net income (loss) for the period
195,637
(125,613
)
Adjustments to reconcile net income (loss)
to net cash provided by operating activities:
Amortization and depreciation
52,167
22,950
Stock-based compensation
179,883
110,464
Amortization of debt discount and offering
costs
1,200
—
Impairment of right-of-use assets and
leasehold improvements
31,623
—
Provision for transaction and loan
losses
19,954
11,186
Deferred income taxes
5,598
(15,295
)
Unrealized gain on equity and other
investments
(133,239
)
—
Unrealized foreign exchange (gain)
loss
(1,186
)
2,404
Changes in operating assets and
liabilities:
Trade and other receivables
(21,053
)
(25,153
)
Merchant cash advances, loans and related
receivables
(112,447
)
(84,869
)
Other current assets
(17,441
)
(3,139
)
Equity and other investments
(24,710
)
—
Accounts payable and accrued
liabilities
86,067
53,666
Income tax assets and liabilities
(139,936
)
61,485
Deferred revenue
57,197
9,029
Lease assets and liabilities
278
612
Net cash provided by operating
activities
179,592
17,727
Cash flows from investing
activities
Purchase of marketable securities
(3,661,092
)
(2,003,102
)
Maturity of marketable securities
2,436,216
2,034,933
Equity and other investments
(10,051
)
—
Acquisitions of property and equipment
(35,377
)
(43,357
)
Acquisitions of intangible assets
(262
)
(5,484
)
Acquisition of businesses, net of cash
acquired
—
(12,476
)
Net cash used in investing activities
(1,270,566
)
(29,486
)
Cash flows from financing
activities
Proceeds from public equity offerings, net
of issuance costs
2,578,591
688,014
Proceeds from convertible senior notes,
net of underwriting fees and offering costs
907,950
—
Proceeds from the exercise of stock
options
50,076
37,301
Net cash provided by financing
activities
3,536,617
725,315
Effect of foreign exchange on cash and
cash equivalents
(5,675
)
290
Net increase in cash and cash
equivalents
2,439,968
713,846
Cash and cash equivalents – Beginning
of Period
649,916
410,683
Cash and cash equivalents – End of
Period
3,089,884
1,124,529
Shopify Inc.
Reconciliation from GAAP to
Non-GAAP Results
(Expressed in US $000’s, except
share and per share amounts, unaudited)
Three months ended
Nine months ended
September 30, 2020
September 30, 2019
September 30, 2020
September 30, 2019
$
$
$
$
GAAP Gross profit
405,148
216,696
1,037,132
601,752
% of Revenue
53
%
55
%
53
%
56
%
add: stock-based compensation
2,667
928
5,003
2,536
add: payroll taxes related to stock-based
compensation
247
113
764
345
add: amortization of acquired
intangibles
4,531
1,649
14,956
4,804
Non-GAAP Gross profit
412,593
219,386
1,057,855
609,437
% of Revenue
54
%
56
%
54
%
57
%
GAAP Sales and marketing
147,608
116,546
447,320
340,778
% of Revenue
19
%
30
%
23
%
32
%
less: stock-based compensation
10,094
8,707
31,914
23,951
less: payroll taxes related to stock-based
compensation
1,387
985
4,432
2,897
less: amortization of acquired
intangibles
388
—
1,164
—
Non-GAAP Sales and marketing
135,739
106,854
409,810
313,930
% of Revenue
18
%
27
%
21
%
29
%
GAAP Research and development
143,427
90,387
393,050
252,262
% of Revenue
19
%
23
%
20
%
24
%
less: stock-based compensation
39,407
23,136
111,372
64,234
less: payroll taxes related to stock-based
compensation
8,334
2,777
22,615
8,050
less: amortization of acquired
intangibles
58
58
174
174
Non-GAAP Research and development
95,628
64,416
258,889
179,804
% of Revenue
12
%
16
%
13
%
17
%
GAAP General and administrative
51,799
38,022
179,948
103,247
% of Revenue
7
%
10
%
9
%
10
%
less: stock-based compensation
11,639
7,261
31,594
19,743
less: payroll taxes related to stock-based
compensation
1,627
592
4,121
1,585
less: impairment of right-of-use assets
and leasehold improvements
—
—
31,623
—
Non-GAAP General and administrative
38,533
30,169
112,610
81,919
% of Revenue
5
%
8
%
6
%
8
%
Shopify Inc.
Reconciliation from GAAP to
Non-GAAP Results (continued)
(Expressed in US $000’s, except
share and per share amounts, unaudited)
Three months ended
Nine months ended
September 30, 2020
September 30, 2019
September 30, 2020
September 30, 2019
$
$
$
$
GAAP Transaction and loan losses
11,753
7,399
39,202
16,533
% of Revenue
2
%
2
%
2
%
2
%
GAAP Operating expenses
354,587
252,354
1,059,520
712,820
% of Revenue
46
%
65
%
54
%
66
%
less: stock-based compensation
61,140
39,104
174,880
107,928
less: payroll taxes related to stock-based
compensation
11,348
4,354
31,168
12,532
less: amortization of acquired
intangibles
446
58
1,338
174
less: impairment of right-of-use assets
and leasehold improvements
—
—
31,623
—
Non-GAAP Operating expenses
281,653
208,838
820,511
592,186
% of Revenue
37
%
53
%
42
%
55
%
GAAP Operating income (loss)
50,561
(35,658
)
(22,388
)
(111,068
)
% of Revenue
7
%
(9
)%
(1
)%
(10
)%
add: stock-based compensation
63,807
40,032
179,883
110,464
add: payroll taxes related to stock-based
compensation
11,595
4,467
31,932
12,877
add: amortization of acquired
intangibles
4,977
1,707
16,294
4,978
add: impairment of right-of-use assets and
leasehold improvements
—
—
31,623
—
Adjusted Operating income
130,940
10,548
237,344
17,251
% of Revenue
17
%
3
%
12
%
2
%
GAAP Net income (loss)
191,068
(72,784
)
195,637
(125,613
)
% of Revenue
25
%
(19
)%
10
%
(12
)%
add: stock-based compensation
63,807
40,032
179,883
110,464
add: payroll taxes related to stock-based
compensation
11,595
4,467
31,932
12,877
add: amortization of acquired
intangibles
4,977
1,707
16,294
4,978
add: impairment of right-of-use assets and
leasehold improvements
—
—
31,623
—
add: amortization of debt discount
1,130
—
1,130
—
less: unrealized gain on equity and other
investments
(133,239
)
—
(133,239
)
—
add: provision for income tax effects
related to non-GAAP adjustments
1,416
(7,018
)
(30,808
)
(18,471
)
Adjusted Net income (loss)
140,754
(33,596
)
292,452
(15,765
)
% of Revenue
18
%
(9
)%
15
%
(1
)%
Shopify Inc.
Reconciliation from GAAP to
Non-GAAP Results (continued)
(Expressed in US $000’s, except
share and per share amounts, unaudited)
Three months ended
Nine months ended
September 30, 2020
September 30, 2019
September 30, 2020
September 30, 2019
$
$
$
$
Basic GAAP Net income (loss) per share
attributable to shareholders
1.59
(0.64
)
1.65
(1.12
)
add: stock-based compensation
0.53
0.35
1.52
0.99
add: payroll taxes related to stock-based
compensation
0.10
0.04
0.27
0.11
add: amortization of acquired
intangibles
0.04
0.02
0.14
0.04
add: impairment of right-of-use assets and
leasehold improvements
0.00
0.00
0.27
0.00
add: amortization of debt discount
0.01
0.00
0.01
0.00
less: unrealized gain on equity and other
investments
(1.11
)
0.00
(1.12
)
0.00
add: provision for income tax effects
related to non-GAAP adjustments
0.01
(0.06
)
(0.26
)
(0.16
)
Basic Adjusted Net income (loss) per share
attributable to shareholders
1.17
(0.29
)
2.46
(0.14
)
Weighted average shares used to compute
GAAP and non-GAAP basic net income (loss) per share attributable to
shareholders
120,511,484
113,086,997
118,692,898
112,015,160
Diluted GAAP Net income (loss) per share
attributable to shareholders
1.54
(0.64
)
1.59
(1.12
)
add: stock-based compensation
0.51
0.35
1.46
0.99
add: payroll taxes related to stock-based
compensation
0.09
0.04
0.26
0.11
add: amortization of acquired
intangibles
0.04
0.02
0.13
0.04
add: impairment of right-of-use assets and
leasehold improvements
0.00
0.00
0.26
0.00
add: amortization of debt discount
0.01
0.00
0.01
0.00
less: unrealized gain on equity and other
investments
(1.07
)
0.00
(1.08
)
0.00
add: provision for income tax effects
related to non-GAAP adjustments
0.01
(0.06
)
(0.25
)
(0.16
)
Diluted Adjusted Net income (loss) per
share attributable to shareholders
1.13
(0.29
)
2.37
(0.14
)
Weighted average shares used to compute
GAAP and non-GAAP diluted net income (loss) per share attributable
to shareholders
124,908,279
113,086,997
123,399,606
112,015,160
1. Gross Merchandise Volume, or GMV, represents the total dollar
value of orders facilitated through the Shopify platform including
certain apps and channels for which a revenue-sharing arrangement
is in place in the period, net of refunds, and inclusive of
shipping and handling, duty and value-added taxes. 2. Monthly
Recurring Revenue, or MRR, is calculated by multiplying the number
of merchants by the average monthly subscription plan fee in effect
on the last day of that period and is used by management as a
directional indicator of subscription solutions revenue going
forward assuming merchants maintain their subscription plan the
following month. 3. Gross Payments Volume, or GPV, is the amount of
GMV processed through Shopify Payments. 4. Non-GAAP financial
measures exclude the effect of stock-based compensation expenses
and related payroll taxes, amortization of acquired intangibles and
related taxes, an unrealized gain on an equity investment and
related taxes, and amortization of the debt discount related to
convertible senior notes and related taxes. Please refer to
"Non-GAAP Financial Measures" in this press release for more
information.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20201029005170/en/
INVESTORS: Katie Keita Senior Director, Investor Relations
613-241-2828 x 1024 IR@shopify.com
MEDIA: Rebecca Feigelsohn Communications Lead 416-238-6705 x 302
press@shopify.com
Shopify (TSX:SHOP)
Historical Stock Chart
From Nov 2024 to Dec 2024
Shopify (TSX:SHOP)
Historical Stock Chart
From Dec 2023 to Dec 2024
