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Shopify quarterly loss widens as operating expenses rise

Credit: REUTERS/Chris Wattie

Shopify Inc reported a wider net loss as the Canadian e-commerce software maker spent more during the quarter to attract customers to its offerings.

Adds background, Q2 details

Aug 1 (Reuters) - Shopify Inc SHOP.TO, SHOP.N reported a wider net loss as the Canadian e-commerce software maker spent more during the quarter to attract customers to its offerings.

The Ottawa-based company, which is looking for a larger slice of the e-commerce industry, dominated by players including Amazon.com AMZN.O and eBay EBAY.O, is investing heavily to attract merchants to its tools and websites.

Shopify said total operating expenses jumped 46% to $244.4 million in the second quarter.

The company also launched its fulfillment network in June, and said it plans on spending over a billion dollars to build and operate the network in the next few years.

The company's net loss widened to $28.7 million, or 26 cents per share, in the second quarter ended June 30, from about $24.0 million, or 23 cents per share, a year earlier.

Revenue surged nearly 48% to $362 million in the quarter.

(Reporting by Shradha Singh in Bengaluru; Editing by Shailesh Kuber)

((Shradha.Singh@thomsonreuters.com; within U.S. +1 646 223 8780 Ext: 2439, outside U.S. +91 80 6749 2439; Reuters Messaging: shradha.singh@.thomsonreuters.com@reuters.net))

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