Shopify Suffers Biggest Drop Ever on Slowing Growth Outlook
- Revenue growth will be less than the 57% increase in 2021
- Changes to contract terms with apps also causes ‘headwind’
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Shopify Inc. plunged 17% in Toronto, the most ever, after giving a weaker outlook for growth this year, as online spending resets and consumers face higher inflation.
“The Covid-triggered acceleration of ecommerce that spilled into the first half of 2021 in the form of lockdowns and government stimulus will be absent from 2022,” the Canadian e-commerce firm said in a statement on Wednesday. “There is caution around inflation and consumer spend near term, for the full year.”