SHOP
Shopify Inc
Q3 2024 Report
Shopify Inc (SHOP) Q3 2024 Financial Results: Sustained Growth Amid Market Expansion...
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Executive Summary
Shopify Inc (SHOP) reported stellar results for Q4 2024 with revenues of $2.81 billion, marking a significant 31% year-over-year increase, driven by robust growth in both its merchant solutions and subscription services. This quarter, Shopify achieved an impressive free cash flow margin of 22%, signaling operational efficiency and a commitment to long-term engagement with a growing merchant base. Management emphasized their trajectory towards becoming a leading platform in global e-commerce, capturing 12% of the U.S. e-commerce market and achieving a GMV nearing $300 billion. With a focus on innovation and expansion, Shopify aims to bolster growth through strategic enhancements in its product suite and increased international penetration.
Key Performance Indicators
Revenue
2.81B
QoQ: 30.06% | YoY:31.16%
Gross Profit
1.35B
48.10% margin
QoQ: 20.93% | YoY:27.31%
Operating Income
465.00M
QoQ: 64.31% | YoY:127.38%
Net Income
1.29B
QoQ: 56.16% | YoY:96.80%
EPS
1.00
QoQ: 56.25% | YoY:88.68%
Revenue Trend
Margin Analysis
Key Insights
- **Revenue:** $2.81 billion, up 31% YoY
- **Gross Profit:** $1.35 billion, with a gross margin of 48.1%
- **Net Income:** $1.29 billion, reflecting a net income margin of 45.9%
- **Free Cash Flow:** $611 million (22% of revenue)
- **Operating Income:** $465 million with an operating margin of 16.5%