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Ecommerce: Shopify surpasses Q1 estimates and sells delivery business to Flexport
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Shopify reported earnings and revenue for Q1 2023 that surpassed analysts' estimates, and its stock price rose. The company also announc Show More
Shopify reported earnings and revenue for Q1 2023 that surpassed analysts' estimates, and its stock price rose. The company also announced the sale of its delivery and logistics business to Flexport. Shares of Shopify closed up 23% at $57.30 on Thursday.

Analysts said that the sale would simplify Shopify's story and bode well for higher margins in the short and long term. The company had faced concerns from investors over the capital requirements of building a logistics network and the potential impact on margins.

Shopify's gross merchandise volume increased to $49.6bn, up 15% from the same period last year. For Q2 2023, the company expects revenue to grow at a similar rate to Q1 on a YoY basis.

Do you think Shopify's decision to sell its delivery and logistics business will have a positive or negative impact on its long-term growth and profitability? Why?
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