Q1 26 EPS
$N/A
Est. $0.33
Q1 26 Revenue
$3.17B
BEAT +2.74%
Est. $3.09B
vs S&P Since Q1 26
-19.5%
TRAILING MARKET
SHOP -17.0% vs S&P +2.5%
Market Reaction
Did SHOP Beat Earnings? Q1 2026 Results
Shopify delivered a strong first quarter for fiscal 2026, with revenue of $3.17 billion beating consensus estimates by 2.74% and growing 34.3% year-over-year, as deepening merchant adoption of its payments and financial services platform powered the … Read more Shopify delivered a strong first quarter for fiscal 2026, with revenue of $3.17 billion beating consensus estimates by 2.74% and growing 34.3% year-over-year, as deepening merchant adoption of its payments and financial services platform powered the period's results. Merchant Solutions was the primary engine, generating $2.42 billion in revenue, up 39% year-over-year, while Gross Merchandise Volume crossed $100.74 billion for the quarter, up 35% from a year ago. Operating income nearly doubled to $382 million from $203 million, reflecting meaningful operating leverage as expense growth trailed revenue gains. The headline GAAP net loss of $581 million, driven by $941 million in mark-to-market losses on equity investments, masked an underlying net income of $360 million excluding those impacts. Free cash flow held at $476 million, a 15% margin, while the company repurchased $491 million in common stock during the quarter. Despite the operational strength, shares faced pressure as investors weighed cautious forward guidance, with Shopify projecting high-twenties revenue growth and mid-teens free cash flow margin for Q2 2026.
Key Takeaways
- • 34% year-over-year revenue growth, accelerating from 27% in Q1 2025
- • GMV surpassed $100 billion in Q1, up 35% year-over-year
- • Merchant Solutions revenue grew 39% year-over-year driven by payments and financial services adoption
- • Broad-based growth across geographies, merchant sizes, and channels
- • MRR grew to $212 million from $182 million year-over-year
- • Operating income grew 88% year-over-year to $382 million
SHOP Forward Guidance & Outlook
For Q2 2026, Shopify expects: revenue to grow at a high-twenties percentage rate year-over-year; gross profit dollars to grow at a mid-twenties percentage rate year-over-year; operating expenses as a percentage of revenue to be 35% to 36%; stock-based compensation of approximately $145 million; and free cash flow margin to be in the mid-teens.
SHOP YoY Financials
Q1 2026 vs Q1 2025, source: SEC Filings
SHOP Revenue by Segment
With YoY comparisons, source: SEC Filings
SHOP Earnings Trends
SHOP vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
SHOP EPS Trend
Earnings per share: estimate vs actual
SHOP Revenue Trend
Quarterly revenue: estimate vs actual
SHOP Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 | $0.33 | — | — | $3.17B | +2.74% |
| Q4 25 FY | $0.50 | — | — | $3.67B | +2.34% |
| FY Full Year | $1.45 | — | — | $11.56B | +0.73% |
| Q3 25 | $0.34 | — | — | $2.84B | +3.05% |
| Q2 25 | $0.29 | — | — | $2.68B | +5.21% |
| Q1 25 | $0.26 | — | — | $2.36B | +1.19% |