Shopify Inc., an ecommerce platform that enables merchants to sell products online, posted their slowest growth since their launch in 2015. Compared to the 90 percent growth in its first year as a public company, the 71% in revenue growth reflects a steady decline since the second quarter of 2016.
“In the short and mid-term our focus will be to continue to grow the number of merchants on our platform and our share wallet,” Chief Financial Officer Russ Jones says. “We think creating that bigger piece of pie positions us much better once we want to move more towards achieving longer-term profitability goals.”
Analysts seem to think the 4.9 percent drop in shares looked like a brief dip in the company’s impressive rise this past year. In their earnings release, the company says that its net loss narrowed to nearly $3-million, or 3 cents per share, in the three months prior to Dec. 31, from $8.9-million, or 10 cents per share the previous year.