The stock of E-commerce operating system company Shopify Inc (NYSE:SHOP) is flying this morning. The company produced strong financial results in the first quarter and consequently, the stock has rallied by 10% this morning. Shopify’s revenues soared by 110% year on year.
In addition to that, profits went up considerably as well due to strong subscription numbers and the investment in Affirm. Revenues came in at $988.6 million for the quarter thanks to a 71% year-on-year growth in subscription revenues.
On the other hand, merchant solutions revenues grew by 137% year on year. More importantly, the net income generated by Shopify for the quarter was $1.26 billion, which worked out to earnings per share of $9.94. Much of that was driven by the unrealized gain to the tune of $1.3 billion from the Affirm investment. The company managed to beat Wall Street’s revenue expectations comfortably as well.
At the time of writing, Shopify stock 9.61% to $1268.05. The stock has more than doubled over the past year.