Shopify Inc. (TSX:SHOP) is officially profitable.
The Ottawa-based online shopping platform reported its first-ever profit as part of its first quarter earnings. The company, which reports results in U.S. dollars, said it had adjusted earnings of $10.3 million or nine cents per share for the first quarter, while analysts had expected a loss of five cents per share, according to Thomson Reuters Eikon
Shares of Shopify jumped on news that the company beat earnings expectations and boosted its full-year forecast. Shares of Shopify closed Tuesday’s trading session up $22.71, or 8.9%, at $325.75 on the Toronto Stock Exchange.
Shopify also reported revenue of $320.5 million U.S., which was up 50% from $214.3 million a year ago, and above the $310 million expected by analysts.
The growth comes as Shopify expands internationally and continues to add merchants as it pushes to increase its offerings in the highly competitive online retail space. The company launched a TV and film content development and production house that will initially showcase entrepreneurial success stories.
Shopify is also rolling out more seamless international currency transactions and support for more languages. The company faces increased competition from other online platforms that are adding direct sales options, including Instagram.
