Shopify saw $1.3B loss in Q2 as it laid off staff, sold logistics business

By The Canadian Press on August 2, 2023.

OTTAWA – Shopify Inc. says it recorded a US$1.3 billion loss in its most recent quarter as the company laid off 20 per cent of staff and sold its logistics business.

The Ottawa-based e-commerce company says the net loss in its second quarter compared with a net loss of US$1.2 billion a year earlier.

The results for the company, which reports in U.S. dollars, worked out to a net loss of $1.02 per share compared with a loss of 95 cents per share a year ago.

Analysts on average had expected a loss of 46 cents per share, according to estimates compiled by financial markets data firm Refinitiv.

The company’s revenue hit almost US$1.7 billion in the quarter compared with roughly US$1.3 million in the same quarter a year ago.

The financial results encompass a period when Shopify was significantly reducing its head count to help the company refocus on its main e-commerce business and off-loading its fulfilment business to supply chain management company Flexport.

This report by The Canadian Press was first published Aug. 2, 2023.

Companies in this story: (TSX:SHOP)

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