Shopify (SHOP)
NASDAQ:SHOP
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Earnings Data
Report Date
Aug 05, 2026Before Open (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.4Last Year’s EPS
0.36Same Quarter Last Year
Strong Buy
Based on 33 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call presented a strongly positive operational and financial picture: very large GMV and revenue growth, robust free cash flow, rapid adoption and monetization of AI products (Sidekick, catalog, Campaigns), sizable payments and Shop Pay momentum, and broad strength across geographies, channels and merchant sizes, including enterprise wins. The primary negatives were manageable near‑term headwinds—rising transaction/credit losses as financial products scale, higher LLM costs as AI usage grows, normalization of a developer revenue‑share benefit, modest FX and tax impacts, and some regulatory/accounting changes. Overall, the highlights substantially outweigh the lowlights, indicating durable growth and a compounding platform advantage.Company Guidance
GMV Milestone and Growth
Q1 GMV was $101 billion, up 35% year‑over‑year (30% on a constant currency basis), marking the second consecutive quarter above $100 billion.
Revenue Acceleration
Q1 revenue was $3.2 billion, up 34% year‑over‑year (32% on a constant currency basis), the highest quarterly revenue growth rate in over four years.
Strong Free Cash Flow and Margins
Q1 free cash flow was $476 million, representing a 15% free cash flow margin; Shopify delivered four straight quarters of 30%+ revenue and GMV growth alongside mid‑ to high‑teens free cash flow margins.
Rapid AI Adoption (Sidekick & Pulse)
Sidekick weekly active shops grew ~4x year‑over‑year (cited later as ~385% growth); over 12,000 custom apps were created in Q1 using Sidekick; nearly 50% of Shopify Flows generated in Q1 were built with Sidekick; Theme edits grew over 1,000% in a single quarter.
AI-Driven Traffic and Orders
AI‑driven traffic to Shopify stores grew 8x year‑over‑year and orders from AI‑powered searches increased nearly 13x year‑over‑year; new buyer orders from AI searches occur at nearly twice the rate of other channels.
Catalog Advantage and Conversion
Shopify catalog now structures over 1 billion products with clean attributes and real‑time inventory; traffic from catalog‑powered AI searches converts 2x more than traffic from general AI searches.
Campaigns and Demand Creation
The number of merchants with a live Campaign was up 3x year‑over‑year; for some smaller merchants, Campaigns contributes up to 25% of total GMV.
Shop App Momentum
Shop App GMV grew 70% year‑over‑year; monthly active users grew over 40% and unique buyers purchasing directly on Shop grew over 50% year‑over‑year.
Payments and Checkout Growth
Shopify Payments processed $67 billion of GMV in Q1, up 41% YoY and representing 67% penetration (up 3 points YoY); Shop Pay processed $35 billion GMV, up 59% YoY, with >70% growth outside the U.S.
Broad-Based GMV and Segment Strength
GMV growth was broad across merchant size bands and regions: Europe GMV up 48% (35% cc); offline GMV up 33% with 50% location growth for merchants operating 20+ stores; B2B GMV grew 80%.
Profitability and Operating Leverage
Total gross profit grew 32% YoY and has compounded at a 29% CAGR over the past three years; operating expenses were $1.2 billion (37% of revenue), a 4‑point improvement year‑over‑year; Q2 guidance expects OpEx of 35–36% of revenue and mid‑teens free cash flow margins.
Enterprise and Large Merchant Expansion
The number of merchants doing $100M+ annual GMV on Shopify has nearly doubled in two years; notable enterprise wins included LVMH, Mulberry, BevMo!, Orvis, Lands' End and more.
Merchant Success Case
Example of platform-led outcomes: Groons launched on Shopify in 2023 and was acquired by Unilever for over $1 billion in just over two years, illustrating Shopify's ability to scale merchants.
Product Velocity and Internal AI Efficiency
Shopify shipped over 300 new products and features last year while keeping headcount flat; internal AI usage has materially increased engineering and employee output (Harley noted AI writes a significant portion of code).
SHOP Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
SHOP Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
May 05, 2026 | $127.55 | $107.63 | -15.62% |
Feb 11, 2026 | $127.24 | $118.71 | -6.70% |
Nov 04, 2025 | $172.94 | $160.94 | -6.94% |
Aug 06, 2025 | $127.00 | $154.90 | +21.97% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Shopify (SHOP) report earnings?
Shopify (SHOP) is schdueled to report earning on Aug 05, 2026, Before Open (Confirmed).
What is Shopify (SHOP) earnings time?
Shopify (SHOP) earnings time is at Aug 05, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is SHOP EPS forecast?
SHOP EPS forecast for the fiscal quarter 2026 (Q2) is 0.4.
