Shopify Q2 revenue up 31% YoY, 8th consecutive quarter of double-digit free cash flow margins.

• Shopify Q2 revenue up 31% YoY • Eight consecutive quarters of double-digit free cash flow margins • 16% free cash flow margin • GMV and revenue growth rates accelerated in North America, Europe, and Asia Pacific • Europe source of strong growth • Shopfiy's innovation investments fuel future growth

Shopify Inc. (NASDAQ, TSX: SHOP) has announced its financial results for the quarter ended June 30, 2025, showcasing robust growth and financial resilience. The company reported a 31% year-over-year (YoY) increase in revenue, marking the eighth consecutive quarter of double-digit free cash flow margins, at 16% [1].

Harley Finkelstein, Shopify's President, attributed the strong performance to strategic investments made years ago. "Today's results are the payoff from bold bets we made years ago," he said. "The investments we're making now will fuel our next chapter. At Shopify, innovation never stops. No matter how good the numbers look, there's always a new frontier in commerce—and we'll continue to lead the way."

Jeff Hoffmeister, the Chief Financial Officer, highlighted the accelerating growth in gross merchandise volume (GMV) and revenue across North America, Europe, and Asia Pacific. Europe, in particular, stood out as a significant source of strength, with GMV growing by 42% on a constant currency basis [1].

Shopify's financial outlook for the third quarter of 2025 projects mid-to-high twenties percentage revenue growth, with gross profit dollars growing at a low-twenties percentage rate on a year-over-year basis. The company expects operating expenses to be 38% to 39% of revenue and stock-based compensation to amount to $130 million. The free cash flow margin is expected to be in the mid-to-high teens [1].

Crescent Energy Company (CRGY), another notable performer in the energy sector, reported a record production of 263,000 barrels of oil equivalent per day, with 108,000 barrels of oil per day. The company generated approximately $171 million in free cash flow for the quarter, surpassing Wall Street expectations. CEO David C. Rockecharlie attributed the strong performance to operational savings and capital efficiency gains [2].

Shopify's continued innovation and investment in its platform are poised to drive future growth, as the company remains committed to expanding its global commerce infrastructure. The company's ability to maintain this momentum will be crucial for sustained success in the competitive e-commerce landscape.

References:
[1] https://finance.yahoo.com/news/shopify-delivers-another-exceptional-quarter-110000877.html
[2] https://seekingalpha.com/news/4478920-crescent-energy-outlines-enhanced-free-cash-flow-outlook-with-171m-generated-in-q2-2025-amid