Shopify Beats Across the Board: Q3 Shows Growth, Efficiency, Brand Wins

Core Insights - Shopify reported a 32% revenue growth for Q3 2025, achieving an 18% free cash flow margin, marking nine consecutive quarters of double-digit free cash flow margins [1][2][3] Financial Performance - Gross Merchandise Volume (GMV) reached $92,013 million, up from $69,715 million in Q3 2024, reflecting a 32% year-over-year increase [3][20] - Monthly Recurring Revenue (MRR) increased to $193 million from $175 million year-over-year [3] - Total revenue for Q3 2025 was $2,844 million, compared to $2,162 million in Q3 2024, also a 32% increase [3][10] - Gross profit rose to $1,391 million from $1,118 million, indicating a 24% increase [3][10] - Operating income improved to $343 million from $283 million, a 21% increase [3][10] - Free cash flow for the quarter was $507 million, up from $421 million in the previous year [3][16] Operational Efficiency - Free cash flow margin was recorded at 18%, slightly down from 19% in Q3 2024 [3][16] - Operating expenses totaled $1,048 million, compared to $835 million in Q3 2024, with significant increases in sales and marketing, and research and development expenses [10] Future Outlook - For Q4 2025, Shopify expects revenue growth to be in the mid-to-high-twenties percentage range year-over-year [5] - Gross profit dollars are anticipated to grow at a low-to-mid-twenties percentage rate year-over-year [11] Company Overview - Shopify is a leading global commerce company providing essential internet infrastructure for commerce, trusted by millions of businesses in over 175 countries [9]