Shopify is closing in on profitability. The Ottawa-based ecommerce company posted a smaller loss than anticipated during its last quarter thanks to strong growth of new merchants.
Revenue from Shopify’s ecommerce solution climbed to nearly $50 million, while revenue from subscriptions rose 69% to $50 million. Shopify now expects to make upward of $380 million in 2016.
The Canadian company is on pace to lose than $40 million in 2016, less than originally expected. Shares rose more than 6% on the news.