Shares of Shopify Inc. (SHOP) ended higher Tuesday after the Canadian e-commerce company beat earnings estimates but issued weak revenue guidance.
The stock rose 1.4% to $175.56 after trading lower earlier in the session.
Shopify management guided for full-year 2019 revenue of $1.47 billion vs. Wall Street’s expectations of $1.48 billion. The company guided for first-quarter revenue of $307.5 million against estimates of $308 million.
For the fourth quarter, adjusted earnings were 26 cents a share, beating analysts’ estimates of 20 cents. Adjusted net income was $27.9 million, 73% higher than a year ago. Revenue was $343.9 million, a 54% increase. Subscription revenue rose 42% to $133.6 and beat estimates of $130 million.
“We made history in 2018: no other SaaS company has crossed the $1 billion-dollar revenue mark at a faster growth rate than Shopify has,” said Tobi Lütke, Shopify’s CEO.
Shopify shares have risen more than 16% year to date.