Shopify Inc Financials
This page shows Shopify Inc (SHOP) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 13 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Financial Health Signals
Based on FY2025 annual data. Scores normalized against common benchmarks. How we calculate these scores
Shopify Inc has an operating margin of 12.7%, meaning the company retains $13 of operating profit per $100 of revenue. This results in a moderate score of 64/100, indicating healthy but not exceptional operating efficiency. This is up from 12.1% the prior year.
Shopify Inc's revenue surged 30.1% year-over-year to $11.6B, reflecting rapid business expansion. This strong growth earns a score of 100/100.
Shopify Inc carries a low D/E ratio of 0.13, meaning only $0.13 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 100/100, indicating a strong balance sheet with room for future borrowing.
With a current ratio of 5.96, Shopify Inc holds $5.96 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 100/100.
Shopify Inc converts 17.4% of revenue into free cash flow ($2.0B). This strong cash generation earns a score of 87/100.
Shopify Inc's ROE of 9.1% shows moderate profitability relative to equity, earning a score of 37/100. This is down from 17.5% the prior year.
Shopify Inc scores 58.34, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($161.4B) relative to total liabilities ($1.7B). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Shopify Inc passes 5 of 9 financial strength tests. 3 of 4 profitability signals pass, 1 of 2 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.
For every $1 of reported earnings, Shopify Inc generates $1.65 in operating cash flow ($2.0B OCF vs $1.2B net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Shopify Inc earns $489333333.3 in operating income for every $1 of interest expense ($1.5B vs $3). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
Key Financial Metrics
Shopify Inc generated $11.6B in revenue in fiscal year 2025. This represents an increase of 30.1% from the prior year.
Shopify Inc's EBITDA was $1.5B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 34.9% from the prior year.
Shopify Inc generated $2.0B in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 25.7% from the prior year.
Shopify Inc reported $1.2B in net income in fiscal year 2025. This represents a decrease of 39.0% from the prior year.
Shopify Inc earned $0.94 per diluted share (EPS) in fiscal year 2025. This represents a decrease of 39.4% from the prior year.
Shopify Inc held $1.5B in cash against $0 in long-term debt as of fiscal year 2025.
Shopify Inc had 1.23B shares outstanding in fiscal year 2025.
Shopify Inc's gross margin was 48.1% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is down 2.3 percentage points from the prior year.
Shopify Inc's operating margin was 12.7% in fiscal year 2025, reflecting core business profitability. This is up 0.6 percentage points from the prior year.
Shopify Inc's net profit margin was 10.7% in fiscal year 2025, showing the share of revenue converted to profit. This is down 12.1 percentage points from the prior year.
Shopify Inc's ROE was 9.1% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 8.3 percentage points from the prior year.
Shopify Inc invested $1.5B in research and development in fiscal year 2025. This represents an increase of 12.4% from the prior year.
Shopify Inc invested $26.0M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 36.8% from the prior year.
SHOP Income Statement
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q4'23 | Q4'22 | Q4'21 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $3.7B+29.1% | $2.8B+6.1% | $2.7B+13.6% | $2.4B-16.1% | $2.8B | N/A | N/A | N/A |
| Cost of Revenue | $2.0B+36.2% | $1.5B+5.4% | $1.4B+15.7% | $1.2B-18.4% | $1.5B | N/A | N/A | N/A |
| Gross Profit | $1.7B+21.7% | $1.4B+6.8% | $1.3B+11.4% | $1.2B-13.5% | $1.4B | N/A | N/A | N/A |
| R&D Expenses | $390.0M+4.0% | $375.0M-4.8% | $394.0M+4.5% | $377.0M+7.4% | $351.0M | N/A | N/A | N/A |
| SG&A Expenses | $125.0M+8.7% | $115.0M-5.7% | $122.0M+11.9% | $109.0M-2.7% | $112.0M | N/A | N/A | N/A |
| Operating Income | $631.0M+84.0% | $343.0M+17.9% | $291.0M+43.3% | $203.0M-56.3% | $465.0M | N/A | N/A | N/A |
| Interest Expense | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Income Tax | $149.0M+238.6% | $44.0M-74.6% | $173.0M+296.6% | -$88.0M-168.8% | $128.0M | N/A | N/A | N/A |
| Net Income | $743.0M+181.4% | $264.0M-70.9% | $906.0M+232.8% | -$682.0M-152.7% | $1.3B | N/A | N/A | N/A |
| EPS (Diluted) | $0.58+190.0% | $0.20-71.0% | $0.69+230.2% | $-0.53-153.5% | $0.99 | N/A | N/A | N/A |
SHOP Balance Sheet
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q4'23 | Q4'22 | Q4'21 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $15.2B+1.0% | $15.0B+3.3% | $14.6B+8.7% | $13.4B-3.8% | $13.9B+23.2% | $11.3B+5.0% | $10.8B-19.4% | $13.3B |
| Current Assets | $8.3B-4.7% | $8.7B+8.8% | $8.0B+7.5% | $7.4B+2.6% | $7.3B+15.6% | $6.3B+3.7% | $6.0B-29.2% | $8.5B |
| Cash & Equivalents | $1.5B-36.0% | $2.4B+56.5% | $1.5B+17.8% | $1.3B-12.6% | $1.5B+6.0% | $1.4B-14.3% | $1.6B-34.1% | $2.5B |
| Inventory | $21.0M | N/A | N/A | N/A | $26.0M+36.8% | $19.0M | N/A | N/A |
| Accounts Receivable | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Goodwill | $491.0M0.0% | $491.0M0.0% | $491.0M0.0% | $491.0M+8.6% | $452.0M+5.9% | $427.0M-76.7% | $1.8B+414.3% | $357.0M |
| Total Liabilities | $1.7B-32.1% | $2.5B+3.7% | $2.4B+3.7% | $2.3B-0.7% | $2.4B+6.0% | $2.2B-11.3% | $2.5B+14.1% | $2.2B |
| Current Liabilities | $1.4B-37.1% | $2.2B+6.5% | $2.1B+3.4% | $2.0B+2.7% | $2.0B+117.8% | $898.0M+4.9% | $856.0M+21.8% | $702.7M |
| Long-Term Debt | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Equity | $13.5B+7.7% | $12.5B+3.2% | $12.1B+9.7% | $11.1B-4.4% | $11.6B+27.5% | $9.1B+10.0% | $8.2B-26.0% | $11.1B |
| Retained Earnings | $2.9B+35.1% | $2.1B+14.2% | $1.9B+95.7% | $947.0M-41.9% | $1.6B+517.7% | -$390.0M+25.3% | -$522.0M-117.8% | $2.9B |
SHOP Cash Flow Statement
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q4'23 | Q4'22 | Q4'21 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $725.0M+41.3% | $513.0M+19.9% | $428.0M+16.6% | $367.0M-40.3% | $615.0M | N/A | N/A | N/A |
| Capital Expenditures | $10.0M+66.7% | $6.0M0.0% | $6.0M+50.0% | $4.0M0.0% | $4.0M | N/A | N/A | N/A |
| Free Cash Flow | $715.0M+41.0% | $507.0M+20.1% | $422.0M+16.3% | $363.0M-40.6% | $611.0M | N/A | N/A | N/A |
| Investing Cash Flow | -$654.0M-295.2% | $335.0M+232.9% | -$252.0M+59.3% | -$619.0M+6.4% | -$661.0M | N/A | N/A | N/A |
| Financing Cash Flow | -$938.0M-4008.3% | $24.0M-45.5% | $44.0M-25.4% | $59.0M+20.4% | $49.0M | N/A | N/A | N/A |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
SHOP Financial Ratios
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q4'23 | Q4'22 | Q4'21 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 46.1%-2.8pp | 48.9%+0.3pp | 48.6%-1.0pp | 49.5%+1.5pp | 48.1% | N/A | N/A | N/A |
| Operating Margin | 17.2%+5.1pp | 12.1%+1.2pp | 10.9%+2.3pp | 8.6%-7.9pp | 16.5% | N/A | N/A | N/A |
| Net Margin | 20.2%+11.0pp | 9.3%-24.5pp | 33.8%+62.7pp | -28.9%-74.9pp | 46.0% | N/A | N/A | N/A |
| Return on Equity | 5.5%+3.4pp | 2.1%-5.4pp | 7.5% | N/A | 11.2% | N/A | N/A | N/A |
| Return on Assets | 4.9%+3.1pp | 1.8%-4.5pp | 6.2%+11.3pp | -5.1%-14.4pp | 9.3% | N/A | N/A | N/A |
| Current Ratio | 5.96+2.0 | 3.93+0.1 | 3.85+0.1 | 3.710.0 | 3.71-3.3 | 6.99-0.1 | 7.07-5.1 | 12.15 |
| Debt-to-Equity | 0.13-0.1 | 0.200.0 | 0.20-0.0 | 0.210.0 | 0.20-0.0 | 0.25-0.1 | 0.31+0.1 | 0.20 |
| FCF Margin | 19.5%+1.6pp | 17.8%+2.1pp | 15.8%+0.4pp | 15.4%-6.3pp | 21.7% | N/A | N/A | N/A |
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Frequently Asked Questions
What is Shopify Inc's annual revenue?
Shopify Inc (SHOP) reported $11.6B in total revenue for fiscal year 2025. This represents a 30.1% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Shopify Inc's revenue growing?
Shopify Inc (SHOP) revenue grew by 30.1% year-over-year, from $8.9B to $11.6B in fiscal year 2025.
Is Shopify Inc profitable?
Yes, Shopify Inc (SHOP) reported a net income of $1.2B in fiscal year 2025, with a net profit margin of 10.7%.
What is Shopify Inc's earnings per share (EPS)?
Shopify Inc (SHOP) reported diluted earnings per share of $0.94 for fiscal year 2025. This represents a -39.4% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.
What is Shopify Inc's EBITDA?
Shopify Inc (SHOP) had EBITDA of $1.5B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
What is Shopify Inc's gross margin?
Shopify Inc (SHOP) had a gross margin of 48.1% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Shopify Inc's operating margin?
Shopify Inc (SHOP) had an operating margin of 12.7% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Shopify Inc's net profit margin?
Shopify Inc (SHOP) had a net profit margin of 10.7% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Shopify Inc's return on equity (ROE)?
Shopify Inc (SHOP) has a return on equity of 9.1% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Shopify Inc's free cash flow?
Shopify Inc (SHOP) generated $2.0B in free cash flow during fiscal year 2025. This represents a 25.7% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Shopify Inc's operating cash flow?
Shopify Inc (SHOP) generated $2.0B in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Shopify Inc's total assets?
Shopify Inc (SHOP) had $15.2B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Shopify Inc's capital expenditures?
Shopify Inc (SHOP) invested $26.0M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Shopify Inc spend on research and development?
Shopify Inc (SHOP) invested $1.5B in research and development during fiscal year 2025.
How many shares does Shopify Inc have outstanding?
Shopify Inc (SHOP) had 1.23B shares outstanding as of fiscal year 2025.
What is Shopify Inc's current ratio?
Shopify Inc (SHOP) had a current ratio of 5.96 as of fiscal year 2025, which is generally considered healthy.
What is Shopify Inc's debt-to-equity ratio?
Shopify Inc (SHOP) had a debt-to-equity ratio of 0.13 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Shopify Inc's return on assets (ROA)?
Shopify Inc (SHOP) had a return on assets of 8.1% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Shopify Inc's Altman Z-Score?
Shopify Inc (SHOP) has an Altman Z-Score of 58.34, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios—working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets—to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Shopify Inc's Piotroski F-Score?
Shopify Inc (SHOP) has a Piotroski F-Score of 5 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Shopify Inc's earnings high quality?
Shopify Inc (SHOP) has an earnings quality ratio of 1.65x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Shopify Inc cover its interest payments?
Shopify Inc (SHOP) has an interest coverage ratio of 489333333.3x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Shopify Inc?
Shopify Inc (SHOP) scores 81 out of 100 on our Financial Profile, indicating strong overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.