Shopify benefited from AI initiatives, delivering a stronger quarter with revenue and GMV growth beating expectations.
Shopify (NYSE:SHOP) shares finished Wednesday’s regular trading session up close to 18%, driven by strong financials supported by AI initiatives.
Revenue for the second quarter was up 21% year-on-year to $2.05 billion, versus Wall Street estimates of $2.01 billion, as new AI tools attracted increased numbers of e-commerce merchants to its platform.
Gross merchandise volume (GMV) was up 22% to $67.2 billion, it highlighted.
Earnings (adjusted) per share came in at 26 cents ahead of the 20 cents pencilled in by analysts.
Shopify's CFO, Jeff Hoffmeister, emphasised a focus on revenue and gross profit growth amidst what’s been a mixed consumer spending environment.
Looking ahead, to the third quarter, Shopify said it expected to grow revenue in the low-to-mid-twenties percentage range, whereas the market is modelling 21% growth.
In New York, Shopify stock closed out regular trading at $63.89 for a 17.8% or $9.67 per share gain.
