Shopify (SHOP.US) revenue has grown by over 25% for six consecutive quarters, with a year-over-year increase in GMV of 24%.

Shopify (SHOP.US) exceeded analyst expectations in the third quarter revenue, indicating that the growth momentum of this Canadian e-commerce company is strengthening as consumer spending continues to shift from offline to online. Data shows that Shopify's revenue grew by approximately 26% to $2.16 billion, higher than the analyst average expectation of $2.12 billion. This marks the sixth consecutive quarter where the revenue growth of this e-commerce company has exceeded 25% (excluding logistics). Looking ahead to the fourth quarter, the company predicts revenue growth of around 25-29%, while analysts expect 23%. Following the financial report release, the stock surged over 14% in pre-market trading on Tuesday. As of Monday's close, the stock has already accumulated a 23% increase year-to-date. To drive growth, Shopify CEO Harley Finkelstein has been heavily investing in marketing, even if it affects profit margins. After primarily targeting small businesses for many years, Shopify has been attracting larger corporate clients such as Toys "R" Us. Shopify believes that the order volume generated by large retailers will help it grow faster than relying on existing small companies. In the third quarter, the company's Gross Merchandise Volume (GMV) reached $69.7 billion, a 24% year-over-year increase, exceeding Wall Street's expectation of $67.8 billion. Additionally, Shopify enables businesses to establish and operate online stores by providing a variety of tools from creating websites to shipping products. This year, the company enhanced its services by integrating AI-based features. In June, the company launched the AI assistant Sidekick, offering sales reports, customer behavior data, and assistance in setting discount codes to a wider range of businesses on the platform. Finkelstein stated that the company's help in establishing online stores for small and medium-sized enterprises is crucial, and as the important holiday shopping season approaches, businesses will continue to rely on its tools. However, Shopify has abandoned plans to establish a logistics business, which could have helped its development by selling more services to existing customers.