In reporting its third quarter results on Wednesday (Nov. 4), cloud-based eCommerce player Shopify said that it had passed a milestone in logging more than 200,000 merchants on its platform.
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As reported in a release, Shopify said it had seen growth across partnerships with Facebook and Twitter, among others.
Looking at the results, revenues of $52.8 million stood at a 93 percent increase from a year ago’s third quarter. The segment breakdowns showed that the company’s subscriptions business was up 67 percent to $29.6 million, boosted by merchant growth. Monthly recurring revenues were also up, by 70 percent to $9.8 million.
The total gross merchandise volume more than doubled to $1.9 billion. Operating loss, as adjusted for certain items, was $2 million, better than the $3.2 million last year.
In calling out certain highlights in the quarter, Shopify mentioned being selected by Amazon as the preferred migration solution for Amazon’s Webstore merchants. Among other notable successes, the company also cited the debut of Shopify Shipping, which ties into USPS services and offers discount rates.
Looking forward, Shopify offered guidance that projected $194 million to $196 million in top line for the year, compared with $183 million in consensus estimates.
As Bloomberg noted in the wake of the announcement and the earnings call, the 200,000+ tally mentioned above is notable compared to the 175,000 merchants that had been tied to the platform a year ago. Increased marketing efforts showed through in the unveiling of buy buttons, such as those featured on Twitter and Facebook. In addition, the company has been boosting its eCommerce position with larger marquee brands, such as Tesla Motors. The stock rose as much as 7.9 percent in intraday trading before finishing the session roughly flat.