Shopify beats by $0.14, beats on revs; guides Q2 revs above consensus; raises FY19 outlook (225.79)
- Reports Q1 (Mar) earnings of $0.09 per share, excluding non-recurring items, $0.14 better than the S&P Capital IQ Consensus of ($0.05); revenues rose 49.6% year/year to $320.5 mln vs the $310.11 mln S&P Capital IQ Consensus.
- Subscription Solutions revenue grew 40% to $140.5 million. This increase was driven primarily by growth in Monthly Recurring Revenue, largely due to an increase in the number of merchants joining the Shopify platform. Merchant Solutions revenue grew 58%, to $180.0 million, driven primarily by the growth of Gross Merchandise Volume, as well as by robust growth in Shopify Capital and Shopify Shipping. GMV for the first quarter was $11.9 billion, an increase of $3.9 billion, or 50%, over the first quarter of 2018. Gross Payments Volume grew to $4.9 billion, which accounted for 41% of GMV processed in the quarter, versus $3.0 billion, or 38%, for the first quarter of 2018.
- Co issues upside guidance for Q2, sees Q2 revs of $345-350 mln vs. $342.73 mln S&P Capital IQ Consensus; adj. operating loss $6-8 mln, just below ests.
- Co issues in-line guidance for FY19, sees FY19 revs of $1.48-1.50 bln vs. $1.49 bln S&P Capital IQ Consensus; raises adj. operating income to $20-30 mln from $10-20 mln