Shopify Stock Surges After Q2 Earnings Beat Estimates
Strong Growth in Gross Merchandise Volume Drives Upbeat Results
Shopify Inc. (SHOP) reported strong second-quarter earnings that exceeded analyst estimates, fueled by a surge in gross merchandise volume (GMV).
The company said GMV, or the total volume of merchandise sold on its platform, increased 22% year-over-year to $67.2 billion. This increase was driven by strong growth across all major markets, including North America, Europe, and Asia.
Gross revenue also saw a significant boost, rising 21% to $1.3 billion. This growth was driven by a combination of increased GMV and higher subscription revenue.
As a result of these strong financial results, Shopify's stock price jumped by over 10% in after-hours trading. The company's upbeat outlook and continued growth momentum have investors optimistic about its future prospects.
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